Oil Brokerage to pay $185,000 fine for alleged ICE rule violations
ICE Futures U.S. has published a notice of settlement of charges against Oil Brokerage Limited.
On November 2, 2023, a subcommittee of the Exchange’s Business Conduct Committee determined that in numerous instances between September 2021 and January 2022, Oil Brokerage Limited may have violated the following Exchange Rules for certain block trades:
- 4.07(c) by misreporting execution time and submitting trades beyond the 15-minute reporting window;
- 4.07(a)(ii)(A) by failing to comply with private negotiation requirements;
- legacy 6.08(b)(i) by failing to comply with order ticket requirements; and
- 6.07(a)(iii) by failing to comply with general recordkeeping requirements.
The Committee further determined that, during the Relevant Period, Oil Brokerage may have additionally violated Rule 4.01(a) by failing to diligently supervise the block trade activities of its employees and Rule 4.01(b) by failing to establish, administer, and enforce supervisory systems, policies and procedures, which are reasonably designed to achieve compliance with Exchange Rules.
In accordance with the terms of settlement, in which Oil Brokerage neither admitted nor denied the alleged rule violations, Oil Brokerage agreed to pay a monetary penalty of $185,000.