A proprietary trading firm, Geneva Trading USA, LLC
("Geneva Trading"), agreed to pay $1.5 million to settle CFTC
charges of spoofing with respect to a variety of agricultural,
energy and precious metals futures contracts traded on the Chicago
Mercantile Exchange.
According to the CFTC Order, three traders employed by the firm
placed small orders on one side of the market at or near the best
price while placing larger orders on the opposite side of the
market to induce other market participants to transact on the
smaller order. The CFTC recognized the efforts of the Geneva
Trading in resolving the matter by reducing the civil monetary
penalty.
Geneva Trading neither admitted nor denied the CFTC
findings.
