Arbitration Details

PEREGRINE FINANCIAL GROUP INC NFA ID: 0232217 An NFA Arbitration claim is a futures or forex related dispute involving a customer and an NFA Member (or employee) or Associate. It is not a regulatory action. NFA only discloses information concerning arbitration cases that have been decided by an arbitration panel. NFA does not release the names of parties who have settled their parts in the cases. Furthermore, NFA does not report or release information on cases that closed before January 1, 1990, cases that are still pending, or cases that were settled, withdrawn or rejected. Therefore, the number of NFA Arbitration Decisions reflects the total number of claims filed in NFA Arbitration that were decided by an arbitration panel. These decisions may have been decided in favor of the Claimant or Respondent. Effective January 1, 2000, NFA discloses the names of persons who represent parties in NFA customer arbitration proceedings if the matters were decided by an arbitration panel. As of the same date, customers may no longer ask NFA to keep their identities confidential. Case Summary  Case No. Filed Decision Date Product  96ARB00108 07/01/1996 02/28/1997 Futures (Domestic Exchange) Options (Domestic Exchange) Summary of Parties  Customers Members Representatives • PEDRO MARTINEZ • MARIANA MARTINEZ • JOSEPH MARTY BADIOLA •  CHICAGO TRADING GROUP INC • TIMOTHY MICHAEL MOUTON •  PEREGRINE FINANCIAL GROUP INC • MARK BOYLE • REBECCA WING Proceeding Details  Panel Type Number of Arbitrators Proceeding Type Location (City, State)  NON-MEMBER 3 HEARING LOS ANGELES, CA Summary of Awards and Claims  Type  Claim Amount  Counter Claim  3rd Party Claim  Cross Claim   Compensatory Punitive Treble Interest Attorney Fees Costs  Claim  Award $13,000.00 $1,020.00 $0.00 $0.00 $26,000.00 $0.00 NA $0.00 NA $0.00 NA $0.00  Claim  Award $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NA $0.00 NA $0.00 NA $0.00  Claim  Award $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NA $0.00 NA $0.00 NA $0.00  Claim  Award $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NA $0.00 NA $0.00 NA $0.00 Summary of Issues WHETHER CLAIMANTS' ACCOUNT WAS PROPERLY LIQUIDATED; WHETHER CLAIMANTS FAILED TO MEET MARGIN CALLS; WHETHER RESPONDENTS BREACHED THE CUSTOMER AGREEMENT; WHETHER RESPONDENTS MADE MATERIAL MISREPRESENTATIONS TO CLAIMANTS; WHETHER RESPONDENTS BREACHED THEIR FIDUCIARY DUTY TO CLAIMANTS; WHETHER RESPONDENTS MADE UNAUTHORIZED MONEY TRANSFERS BETWEEN CLAIMANTS' COMMODITY ACCOUNT AND THEIR SECURITIES ACCOUNT; WHETHER RESPONDENT MOUTON INFORMED CLAIMANTS' AGENT, ROBERT GRUNTZ, TO IGNORE MARGIN NOTICES; WHETHER RESPONDENTS GUARANTEED DIRECT ACCESS TO THE FLOOR, AND IF SO, DID THEY FAIL TO PROVIDE SUCH; WHETHER RESPONDENTS GUARANTEED "FLEXIBLE" MARGIN POLICIES, AND IF SO, DID THEY FAIL TO PROVIDE SUCH; WHETHER RESPONDENTS GUARANTEED A MARGIN DEPARTMENT THAT "WORKED WITH" EACH INDIVIDUAL CUSTOMER, AND IF SO, DID THEY FAIL TO PROVIDE SUCH; WHETHER RESPONDENTS GUARANTEED A CLEARING RATE OF $11.50 PER CONTRACT; WHETHER RESPONDENTS CHANGED THEIR MARGIN POLICIES DURING THE TIME PERIOD THE CLAIMANTS' ACCOUNT WAS OPENED; WHETHER CLAIMANTS' ACCOUNT WAS FROZEN; AND WHETHER CLAIMANTS' ACCOUNT WAS RESTRICTED. RESPONDENTS PEREGRINE FINANCIAL GROUP INC, CHICAGO TRADING GROUP INC, TIMOTHY MOUTON AND JOSEPH MARTY BADIOLA ARE JOINTLY AND SEVERALLY LIABLE.