CME Group fines Eagle Energy Brokers for alleged rule violations
International derivatives marketplace CME Group has posted a notice of disciplinary action against Eagle Energy Brokers, LLC.
Pursuant to an offer of settlement in which Eagle Energy Brokers, LLC neither admitted nor denied the Rule violations or factual findings upon which the penalty is based, on December 13, 2022, a Panel of the NYMEX Business Conduct Committee (BCC Panel) found that during the months of December 2021 and February 2022, Eagle Energy Brokers submitted block trades with inaccurate execution times for multiple block trades in various Crude Oil and Refined Products futures, options and spread contracts.
Eagle Energy Brokers also failed to properly advise and train its brokers as to relevant Exchange rules and Market Regulation Advisory Notices (MRANs) in a manner sufficient to ensure compliance with the Exchange’s block trade reporting rules.
The Panel found that as a result of the foregoing, Eagle Energy Brokers violated NYMEX Rules 526 and 432.W.
In accordance with the settlement offer, the BCC Panel ordered Eagle Energy Brokers to pay a $40,000 fine.