Member access

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

CFTC - U.S. Commodity Futures Trading Commission : CFTC Charges Ethanol Trader John Aaron Brooks with Fraud for Scheming to Conceal Trading Losses

09/27/2013 | 08:40pm US/Eastern

September 27, 2013

Washington, DC - The U.S. Commodity Futures Trading Commission (CFTC) today filed a civil injunctive enforcement action charging John Aaron Brooks with defrauding an affiliate of a large commercial bank where he then worked by scheming to conceal trading losses from the bank and its affiliate.  As alleged in the CFTC's Complaint, Brooks effectuated his scheme by inflating the value of New York Mercantile Exchange Chicago Ethanol (Platts) Futures contracts to conceal trading losses he was incurring.  The losses concealed ultimately grew to cause the bank and its affiliate to suffer over $40 million in realized losses before Brooks's fraud was detected, leading to his termination, according to the Complaint. Brooks resides in Houston, Texas.

The CFTC's civil complaint, filed September 27, 2013, in the U.S. District Court for the Southern District of New York, alleges that for the majority of the days for nearly eleven months beginning in or about November 2010, and continuing through on or about October 20, 2011, Brooks, then employed as Director in the commodities business of the bank affiliate, knowingly entered false inflated prices into an internal trade booking and valuation computer software system to effectuate his scheme to conceal trading losses.

In its continuing litigation, the CFTC seeks a civil monetary penalty, restitution, trading and registration bans, and a permanent injunction prohibiting further violations of the federal commodities laws, as charged. 

CFTC Division of Enforcement staff responsible for this case includes Janine Gargiulo, Michael Geiser, Trevor Kokal, David Acevedo, Lenel Hickson, Stephen J. Obie, Manal Sultan, and Vincent McGonagle.

Media Contacts
Dennis Holden
202-418-5088

Last Updated: September 27, 2013

distributed by
Latest news
Date Title
1m ago GORDON CREEK ENERGY INC. : Corporate Update
1m ago Better Hearing Institute Issues 5 Habits for Healthier Hearing for People with Diabetes
9m ago GASFRAC ENERGY SERVICES : Third Quarter 2014 Conference Call
17m ago PIMCO INCOME STRATEGY FUND : Income Strategy Fund and : Income Strategy Fund II Announce Final Results of Tender Offers for Auction Rate Preferred Shares
20m ago WRIGHT MEDICAL : INVESTOR ALERT: Faruqi & Faruqi, LLP Announces the Investigation of the Merger Between Wright Medical Group, Inc. (WMGI) and Tornier N.V. (TRNX)
20m ago ESB FINANCIAL : INVESTOR ALERT: Faruqi & Faruqi, LLP Announces the Investigation of ESB Financial Corp. (ESBF) Over the Proposed Sale of the Company to WesBanco, Inc.
20m ago WILLIAMS PARTNERS : INVESTOR ALERT: Faruqi & Faruqi, LLP Announces the Investigation of Williams Partners LP Over the Proposed Sale of the Company to Access Midstream Partners LP
20m ago DIGITAL RIVER : INVESTOR ALERT: Faruqi & Faruqi, LLP Announces the Investigation of Digital River, Inc. (DRIV) Over the Proposed Sale of the Company to Siris Capital Group, LLC
21m ago ECOSOC UNITED NATIONS ECONOMIC AND SOCIAL COUNCI : Security Council Press Statement on Syria
28m ago EXCLUSIVE - U.S. PROBING STANDARD CHARTERED OVER DUBAI BANKING : sources
Latest news
Advertisement
Hot News 
BANCO ESPIRITO SANTO : Angola brings oil firm Sonangol into local BES bank
1SPATIAL : Interim Results for the six month period ended 31 July 2014
ULS TECHNOLOGY : Plunges As Improved Results Still Won't Meet Forecasts
REGIONAL MANAGEMENT : NYSE stocks posting largest percentage decreases
AMBER ROAD : NYSE stocks posting largest volume increases
Most Read News
37m ago NETFLIX : Amazon hits back in on-demand TV war with Netflix: Comedy drama Transparent hailed as internet service's answer to House of Cards
27m ago EXCLUSIVE - U.S. PROBING STANDARD CHARTERED OVER DUBAI BANKING : sources
30m ago Unknown election outcome is stocks' big fear
39m ago PROSPECT CAPITAL : Invests $55.4 Million in 16 Apartment and Self-Storage Real Estate Properties, Bringing Its Total Real Estate Portfolio to 48...
37m ago GAZPROM : Russia Gas supplies to Ukraine could be back next week
Most recommended articles
27m ago EXCLUSIVE - U.S. PROBING STANDARD CHARTERED OVER DUBAI BANKING : sources
30m ago Unknown election outcome is stocks' big fear
47m agoDJCnova Sets IPO Price Range at $12.50 to $14 a Share
1h ago Brazil gives go-ahead to 31 solar parks in push for new energy
1h ago Former Monte Paschi management convicted as crisis mounts
Dynamic quotes  
ON
| OFF