NOTICE OF DISCIPLINARY ACTION

FILE NO.:

CME 06-27375-BC

MEMBER:

CHARLES ESCOBAR (XBAR)

(LEGACY) CME RULES:

539. Prearranged, Pre-Negotiated and
Noncompetitive Trades Prohibited

A. General Prohibition

No person shall prearrange or pre-negotiate any purchase or sale or noncompetitively execute any transaction….
 

FINDINGS:

Pursuant to an offer of settlement in which Charles Escobar neither admitted nor denied the findings, on March 23, 2010, a Panel of the CME Business Conduct Committee found that on September 21, 2006, while in the Russell 2000® Stock Price Index futures pit, Escobar engaged in a noncompetitive trade while filling a customer order. The panel found that in doing so, Escobar violated legacy CME Rule 539.A., as a minor offense.

PENALTY:

In accordance with the settlement offer, the Panel fined Escobar $10,000, and suspended his membership privileges, access to the floor of any CME Group exchange and having direct access to all CME Group electronic trading and clearing platforms for 7 business days. The suspension will run from April 8, 2010, through April 16, 2010, inclusive.

EFFECTIVE DATE:

March 25, 2010