ICE Futures U.S. has announced a settlement of charges against StoneX Financial Inc.

A subcommittee of the Exchange’s Business Conduct Committee determined that in numerous instances between February 2019 and May 2020, StoneX Financial Inc, formerly INTL FCStone Financial Inc., may have violated Exchange Rule 6.15(a) by failing to submit to the Exchange daily large trader reports on reportable customer positions and Exchange Rule 4.01(a) by failing to have proper processes for reporting large trader positions.

The products involved are Henry LD1 Fixed Price Futures and Henry Penultimate Fixed Price Futures.

In particular, the rules that StoneX allegedly violated are:

• Rule 6.15(a) – Reportable Positions and Daily Reports

Clearing Members, Carrying Members and foreign brokers which hold, control, or carry for any Customer a reportable position, as such term is defined by the Act and the Regulations thereunder, shall submit to the Exchange daily reports with respect to such positions containing the information that is required to be reported to the Commission in the same form as prescribed by the Commission, unless otherwise specified by the Exchange.

• Rule 4.01(a) – Duty to Supervise

Every Person shall diligently supervise the Exchange-related activities of such Person’s employees and agents. For purposes of this Rule, the term “agent” includes any Exchange-related activities associated with automated trading systems that generate, submit and/or cancel messages without human intervention. Every Person shall also be responsible for the acts and omissions of such employees and agents.

In accordance with the terms of settlement, in which StoneX neither admitted nor denied the alleged rule violations, StoneX agreed to pay a monetary penalty of $75,000.