Commerzbank A.G. and the CFTC have agreed to settle allegations that the German bank failed to properly supervise its swap dealer activities, and then made misleading statements and material omissions to the CFTC about swap operations and compliance with key laws and regulations. A recently issued CFTC order compels Commerzbank, provisionally registered with the regulator… Read More >>
Mizuho Capital Markets Fined for Alleged NFA Violations
Swap dealer Mizuho Capital Markets has paid a $900,000 fine for allegedly violating National Futures Association (NFA) requirements for margin collection, model monitoring and reporting related to uncleared swaps. In fact, NFA officials alleged that the New York-based firm did not satisfy requirements for initial and variation margin collection and did not properly supervise the… Read More >>
Giancarlo Wants to Overhaul Cross-Border Swaps Rules
While making clear that he supports swaps reforms for the U.S., J. Christopher Giancarlo, CFTC chairman, is pushing for an overhaul of the regulator’s “flawed approach” of trying to export its rules across borders and jurisdictions. “I have been a constant supporter of the swaps market reforms passed by the U.S. Congress … and the… Read More >>
TFS-ICAP Faces CFTC’s Charges after NYAG Convictions
The CFTC has charged an English interdealer broker TFS-ICAP Ltd. and its American branch TFS-ICAP LLC with fraud and supervisory failures, and is alleging that a board chairman, CEO and senior manager affiliated with the company were responsible for fraudulent conduct. The regulator’s case follows guilty pleas entered by the U.K. firm and its U.S…. Read More >>
BofA Pays $30M Penalty to Settle ISDAFIX Case
The U.S. CFTC has imposed a $30 million penalty against Bank of America, N.A. for alleged attempted manipulation and false reporting of the U.S. dollar ISDAFIX benchmark. The CFTC’s order, which both files and settles the charges against BofA, alleges that, beginning in January 2007 and continuing through December 2012, the bank “made false reports… Read More >>
BlackRock & Thomson Reuters Partner to Launch ESG Fund
BlackRock’s ETF Will Follow a New Thomson Reuters Index BlackRock, considered the world’s largest asset manager, and Thomson Reuters, a provider of market data, trading systems and news, have combined forces on an exchange traded fund (ETF) that helps investors support environmental, social and governance (ESG) targets via companies in developed and emerging markets. The… Read More >>
CFTC Alleges Mizuho Trader Tested Strategies via Spoofing
Tokyo-based Mizuho Bank, Ltd. has settled with the CFTC over allegations that it was involved in “multiple acts of spoofing in a variety of futures contracts” as a means of testing market reactions to certain types of orders. The charges are about instruments based upon U.S. Treasury notes and Eurodollars and transacted via the Chicago… Read More >>
ICAP Capital Markets Penalized $50M in ISDAFIX Case
CFTC officials have settled a benchmark manipulation case against ICAP Capital Markets (ICAP) via an order that requires the firm, now known as Intercapital Capital Markets, to pay a $50 million civil monetary penalty, officials say The regulator is alleging that the firm, a NEX subsidiary company, used certain brokers to help facilitate attempts by… Read More >>
SocGen May Pay $1.27B Penalty via Sanctions Case
Société Générale officials report that they are working with seven major American authorities to resolve a U.S. sanctions investigation, and that an ultimate settlement may cost the French banking giant $1.27 billion (€1.1 billion), which adds to the bank’s list of sanctions and regulatory compliance woes. “ … Société Générale has entered into a phase… Read More >>
Regulators Extend Comment Deadline for New Volcker Rule
Five Regulators Move Volcker Rule Deadline to Oct. 17 Securities industry participants will get more time to weigh in on the very controversial Dodd-Frank Era “Volcker Rule,” which in its initial form prohibits proprietary trading and banks from owning hedge funds or private equity funds. Five federal financial regulatory agencies have agreed to extend until… Read More >>
