CFTC Charges CME Floor Broker and Trader with Violating Live and Feeder Cattle Futures Speculative Position Limits

The CFTC filed an enforcement action against Illinois resident James C. Yadgir, charging him with exceeding the CME's speculative position limits in live cattle futures contracts and feeder cattle futures contracts.The CFTC Complaint alleges that Yadgir, a CME Floor Broker and Trader, violated CEA provisions which prohibit any person from holding futures contract positions or options in such contracts in excess of established CFTC-approved speculative position limits.

According to the Complaint, Yadgir held an open net position in April 2011 live cattle future contracts that exceeded his 550 contracts long spot month spread exemption position limit by 70 contracts. The Complaint further alleges that Yadgir's aggregate futures equivalent net position in May 2012 feeder cattle futures exceeded the speculative position limit of 300 contracts by over 81 contracts.

The Complaint seeks a permanent injunction in addition other remedial relief, including a trading ban and civil monetary penalty.

See: Complaint Against James C. Yadgir; CFTC Press Release.