NOTICE OF DISCIPLINARY ACTION

FILE NO.:

NYMEX 07-19-BC 

FORMER MEMBER:

BRIAN COHEN
 

(LEGACY) NYMEX RULE: 

6.90(B) Trading Card Procedures

(B) All trading cards shall show the Member’s symbol, the date, price differential or premium, quantity, commodity, delivery month or expiration date, the opposite Floor Member, and , for options, the strike price, and whether the transaction involved a put or a call………………
 

EXCHANGE RULE:

8.25 Cease and Desist Order

A violation of a cease and desist order may be determined to be either a major or a minor offense.
 

FINDINGS:

The New York Mercantile Exchange took final disciplinary action against Brian Cohen (also known as "Brian Jay Cohen and broker "DOIT"), a former Member of the NYMEX Division. The subject matter of the disciplinary action concerned allegations that on trade dates April 25 and September 26, 2006, Brian Cohen violated NYMEX Division Rules 6.05(A)(1): Transactions, Bids and Offers on the Trading Floor; 6.61: Pre-arranged Trades are Prohibited; and 6.90(B): Trading Card Procedures - Recordation, and Exchange Rule 8.55(A)(2): Commission of Fraud or Any Act of Bad Faith, a Major Offense, by prearranging and trading Natural Gas futures opposite another NYMEX member's orders non-competitively, without approaching the ring; and for recording trades out of sequence. In so doing, Brian Cohen also violated Exchange Rule 8.25: Major Offense of Violation of Cease and Desist Order. After a hearing on July 23-24, 2008, the Adjudicative Panel found and concluded Brian Cohen failed to properly record trades in sequence in violation of NYMEX division Rule 6.90(B) and that in so doing Brian Cohen violated a lesser but included minor offense under Exchange Rule 8.25: Prior Cease and Desist Order.

PENALTY:

The Adjudicative Panel ordered Brian Cohen to cease and desist from future violations of Rule 6.90(B) and pay a fine in the amount of $5,000 to the Exchange. 
 

EFFECTIVE DATE:

April 19, 2010