CBOT Bans Trader for Prohibited Wash Trades
The Business Conduct Committee ("BCC") of the Chicago Board of Trade ("CBOT") banned a trader violating rules prohibiting wash trades and committing other trade-related offenses, including:
transferring equity between accounts through the execution of several non-competitive round-turn money pass transactions in the Corn, Soybean and Wheat futures markets; and
entering matching buy and sell orders for different accounts in order to match the orders opposite each other, and ultimately avoid market risk.
The BCC permanently banned the trader and fined him $60,000.
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