International derivatives marketplace CME Group has posted a notice of disciplinary action against Vitol Inc.

Pursuant to an offer of settlement in which Vitol Inc. neither admitted nor denied the rule violation or factual findings upon which the penalty is based, a Panel of the Chicago Mercantile Exchange (CME) Business Conduct Committee found that at the close of trading on December 5, 2022, Vitol held a long position of 771 contracts in December 2022 Live Cattle futures, which was 171 contracts (28.5%) over the spot month position limit.

Upon the market opening on December 6, Vitol promptly liquidated its overage to bring its position into compliance, which resulted in a profit of $1,570.

The Panel concluded that Vitol thereby violated CME Rule 562.

In accordance with the settlement offer, the Panel ordered Vitol to pay a $45,000 fine and to disgorge profits in the amount of $1,570.