NOTICE OF DISCIPLINARY ACTION

FILE NO.:

CME 12-9013-BC

NON-MEMBER FIRM:

AS KIT FINANCE EUROPE

CME RULE VIOLATIONS:

Rule 526. BLOCK TRADES (in part)

F. The seller must ensure that each block trade is reported to the Exchange within five minutes of the time of execution; except that block trades in interest rate futures and options executed outside of Regular Trading Hours (7:00 a.m. – 4:00 p.m. Central Time, Monday – Friday on regular business days) and Housing and Weather futures and options must be reported within fifteen minutes of the time of execution. The report must include the contract, contract month, price, quantity of the transaction, the respective clearing members, the time of execution, and, for options, strike price, put or call and expiration month. The Exchange shall promptly publish such information separately from the reports of transactions in the regular market.

FINDINGS:

Pursuant to an offer of settlement in which AS Kit Finance Europe (“Kit”) neither admitted nor denied the rule violation upon which the penalty is based, on February 27, 2014, a Panel of the CME Business Conduct Committee (“Panel”) found that Kit voluntarily submitted itself to the jurisdiction of the BCC for purposes of settling this matter, and between May 25, 2012, and June 18, 2012, Kit, through its employees, executed several block trades for customers in the September 2015 Russian Ruble Futures contract, and did not report the trades to the Exchange within the applicable time limit following execution. The Panel concluded that Kit thereby violated CME Rule 526.F.

PENALTY:

In accordance with the settlement offer, the Panel ordered Kit to pay a fine of $35,000.

EFFECTIVE DATE:

March 3, 2014