CFTC Issues Staff Advisory and No-Action Relief Regarding CCO Annual Report (CFTC Letters 14-153 and 14-154)

The CFTC Division of Swap Dealer and Intermediary Oversight ("DSIO") issued a staff advisory for the chief compliance officers ("CCOs") of futures commission merchants, swap dealers and major swap participants ("Registrants"). The advisory provides guidance on the requirements to prepare an annual report on the state of the Registrants' compliance program under CFTC Rule 3.3(e).

In connection with the advisory, DSIO also issued time-limited no-action relief to certain Registrants concerning the timing of the filing of the CCO annual report. CFTC Rule 3.3(f) requires the CCO annual report to be furnished with the CFTC within 60 days after the end of the Registrant's fiscal year.

To Registrants with a fiscal year ending on or before January 31, 2015, the no-action relief grants an additional 30 days to furnish the CFTC with annual reports. If it is still unable to comply with the requirement to furnish the annual report by the end of the 90-day period, a Registrant may furnish the report to the CFTC no later than 120 days after the end of its fiscal year, provided that no later than 90 days after the end of its fiscal year, the Registrant informs the CFTC of any material noncompliance events that occurred during the fiscal year that is the subject of the annual report.

See: CFTC Staff Advisory 14-153; CFTC No-Action Letter 14-154; CFTC Press Release.