NOTICE OF DISCIPLINARY ACTION

FILE NO.:

CME 10-07268-BC

 

NON-MEMBER:

ADRIEN BERTEAUX

CME RULE VIOLATIONS:

Rule 533 Simultaneous Buy and Sell Orders for Different Beneficial Owners

… On the Globex platform, opposite orders for different beneficial owners that are simultaneously placed by a party with discretion over both accounts may be entered into the Globex platform provided that one order is exposed for a minimum of 5 seconds in the case of futures orders or a minimum of 15 seconds in the case of options orders….

FINDINGS:

Pursuant to an offer of settlement in which Adrien Berteaux (“Berteaux”) neither admitted nor denied the rule violations upon which the penalty is based, on September 24, 2012, a Panel of the CME Business Conduct Committee found that Berteaux submitted himself to the jurisdiction of the Business Conduct Committee and that on one or more occasions between March 12, 2010 and and February 11, 2011, Barteaux and another non-member, both of whom were employed by Newedge Group Paris Branch crossed buy and sell orders on the CME Globex electronic trading platform in a manner that did not allow for exposure of the first order for the prescribed time period before entry of the second order. Additionally, on March 12, 2010, Berteaux failed to wait the requisite 5 seconds before placing simultaneous buy and sell futures orders for different beneficial owners on the CME Globex platform. The Panel found that in so doing Berteaux violated CME Rule 533.

PENALTY:

In accordance with the settlement offer, the Panel fined Berteaux $10,000 and suspended his direct access to any CME Group electronic trading or clearing platform, for 10 business days, beginning on October 1, 2012, and continuing through October 12, 2012, inclusive.

EFFECTIVE DATE:

October 1, 2012