This report summarizes material notices from CME Group and ICE Futures, with a particular focus on energy. It is not intended to be a comprehensive review of each and every notice issued by these Exchanges.
On April 21, 2015, the CFTC announced via press release that charges had been filed against a resident of the United Kingdom (“UK”), Navinder Singh Sarao (“Sarao”), and his company, Nav Sarao Futures Limited PLC, for price manipulation and spoofing. The charges came after a comprehensive investigation of Sarao’s trading activity by the CFTC, which included assistance from the SEC, DOJ, FBI, the CME Group, the UK’s Financial Conduct Authority (“FCA”), and Scotland Yard. The DOJ unsealed its own criminal Complaint charging Sarao with willfully engaging in a scheme to defraud, knowingly manipulating the price of a commodity, and knowingly engaging in trading practices in violation of CME rules. Sarao was arrested by British authorities shortly before the CFTC and DOJ charges were unveiled. (more…)