Action against Defendant, a commodity pool operator, for alleged failure to supervise its employees’ handling of customer accounts and failure to preserve complete records.  According to the CFTC, Defendant failed to maintain written policies or procedures concerning the post-execution allocation of bunched orders and did not train its staff regarding their obligations related to the handling of bunched orders.  The CFTC further alleges that Defendant’s policies and procedures regarding compliance with regulatory actions were insufficient because a client who had been banned from trading by the National Futures Administration was able to allocate trades to a new account in the name of the client’s spouse.  Defendant has agreed to pay a civil penalty of $150,000.

CFTC Order