Case Summary

COMPLAINT:

On April 21, 2010, NFA issued a Complaint charging Windsor with failing to list Bobba as a principal of Windsor; allowing equity withdrawals when Windsor's ANC was under the equity withdrawal restriction; failing to calculate net capital properly; failing to maintain required minimum ANC; and failing to maintain current books and records. The Complaint also charged Windsor, Huchko and Campise with providing false information to NFA regarding Bobba's role at Windsor and compensation paid to Bobba; and failing to supervise APs' dealings with customers and the trade recommendations they made to customers to ensure that they did not cause harm to customers and complied with NFA Requirements. In addition, the Complaint charged Windsor, Silverman and Niman with failing to uphold high standards of commercial honor and just and equitable principles of trade by engaging in deceptive trading practices designed to generate commissions for Windsor to the detriment of customers; and engaging in fraudulent trading activity in Windsor's error account. The Complaint further charged Windsor and Huchko with providng false information to NFA regarding customer complaints received by Windsor.

AMENDED DECISION:

On June 21, 2010, Campise was barred from NFA membership and associate membership and from acting as a principal of an NFA Member for seven years. If after expiration of the seven-year membership bar Campise applies for NFA membership or associate membership or becomes a principal of an NFA Member, then in any such event she was ordered to pay a $20,000 fine, due and payable at the same time she applies for NFA membership or associate membership or becomes a principal of an NFA Member. Silverman and Niman were permanently barred from NFA membership and associate membership and from acting as a principal of an NFA Member.

COMPLAINT:

On April 21, 2010, NFA issued a Complaint charging Windsor with failing to list Bobba as a principal of Windsor; allowing equity withdrawals when Windsor's ANC was under the equity withdrawal restriction; failing to calculate net capital properly; failing to maintain required minimum ANC; and failing to maintain current books and records. The Complaint also charged Windsor, Huchko and Campise with providing false information to NFA regarding Bobba's role at Windsor and compensation paid to Bobba; and failing to supervise APs' dealings with customers and the trade recommendations they made to customers to ensure that they did not cause harm to customers and complied with NFA Requirements. In addition, the Complaint charged Windsor, Silverman and Niman with failing to uphold high standards of commercial honor and just and equitable principles of trade by engaging in deceptive trading practices designed to generate commissions for Windsor to the detriment of customers; and engaging in fraudulent trading activity in Windsor's error account. The Complaint further charged Windsor and Huchko with providng false information to NFA regarding customer complaints received by Windsor.

ANSWER:

On May 21, 2010, Huchko filed an Answer to the Complaint in which he denied the material allegations contained therein.

DECISION:

On December 2, 2010, a designated Panel of NFA's Hearing Committed accepted Huchko's settlement offer and issued a Decision. Huchko was ordered not to apply for NFA membership or associate membership or act as a principal of an NFA Member for three years. If, after the three-year membership bar Huchko applies for NFA membership or associate membership or becomes a principal of an NFA Member, then, in any such event, he was ordered to pay a $25,000 fine, due and payable at the time he makes such application. Until such time as he pays the fine in full, no action shall be taken to process his application.

In the event that Huchko again becomes an NFA Member or Associate, he shall tape record, for one year, all conversations between himself and existing or potential customers; retain the tapes for one year from the date they are created; and make the tapes available to NFA upon request. The one-year taping begins on the date Huchko again becomes an NFA Member or Associate and will contine for one year thereafter. Only periods of time when he is registered and actively soliciting customers will be counted.

In the event that Huchko again becomes a principal of an NFA Member, he shall cause all APs of that firm - and any other firm of which he is a principal - to tape record, for one year, all conversations that occur between them and existing or potential customers; retain the tapes for one year from the date they are created; and make the tapes available to NFA upon request. The one-year taping requirement applies to each and every firm of which Huchko becomes a principal and begins on the date he becomes a principal of each firm, respectively. Only periods of time when Huchko is a principal of that particular firm and that firm is actively soliciting customers will be counted. In any and all events, the taping requirements expire on December 31, 2018.

COMPLAINT:

On April 21, 2010, NFA issued a Complaint charging Windsor with failing to list Bobba as a principal of Windsor; allowing equity withdrawals when Windsor's ANC was under the equity withdrawal restriction; failing to calculate net capital properly; failing to maintain required minimum ANC; and failing to maintain current books and records. The Complaint also charged Windsor, Huchko and Campise with providing false information to NFA regarding Bobba's role at Windsor and compensation paid to Bobba; and failing to supervise APs' dealings with customers and the trade recommendations they made to customers to ensure that they did not cause harm to customers and complied with NFA Requirements. In addition, the Complaint charged Windsor, Silverman and Niman with failing to uphold high standards of commercial honor and just and equitable principles of trade by engaging in deceptive trading practices designed to generate commissions for Windsor to the detriment of customers; and engaging in fraudulent trading activity in Windsor's error account. The Complaint further charged Windsor and Huchko with providng false information to NFA regarding customer complaints received by Windsor.

AMENDED DECISION:

On June 21, 2010, Campise was barred from NFA membership and associate membership and from acting as a principal of an NFA Member for seven years. If after expiration of the seven-year membership bar Campise applies for NFA membership or associate membership or becomes a principal of an NFA Member, then in any such event she was ordered to pay a $20,000 fine, due and payable at the same time she applies for NFA membership or associate membership or becomes a principal of an NFA Member. Silverman and Niman were permanently barred from NFA membership and associate membership and from acting as a principal of an NFA Member.

COMPLAINT:

On April 21, 2010, NFA issued a Complaint charging Windsor with failing to list Bobba as a principal of Windsor; allowing equity withdrawals when Windsor's ANC was under the equity withdrawal restriction; failing to calculate net capital properly; failing to maintain required minimum ANC; and failing to maintain current books and records. The Complaint also charged Windsor, Huchko and Campise with providing false information to NFA regarding Bobba's role at Windsor and compensation paid to Bobba; and failing to supervise APs' dealings with customers and the trade recommendations they made to customers to ensure that they did not cause harm to customers and complied with NFA Requirements. In addition, the Complaint charged Windsor, Silverman and Niman with failing to uphold high standards of commercial honor and just and equitable principles of trade by engaging in deceptive trading practices designed to generate commissions for Windsor to the detriment of customers; and engaging in fraudulent trading activity in Windsor's error account. The Complaint further charged Windsor and Huchko with providng false information to NFA regarding customer complaints received by Windsor.

AMENDED DECISION:

On June 21, 2010, Campise was barred from NFA membership and associate membership and from acting as a principal of an NFA Member for seven years. If after expiration of the seven-year membership bar Campise applies for NFA membership or associate membership or becomes a principal of an NFA Member, then in any such event she was ordered to pay a $20,000 fine, due and payable at the same time she applies for NFA membership or associate membership or becomes a principal of an NFA Member. Silverman and Niman were permanently barred from NFA membership and associate membership and from acting as a principal of an NFA Member.

COMPLAINT:

On April 21, 2010, NFA issued a Complaint charging Windsor with failing to list Bobba as a principal of Windsor; allowing equity withdrawals when Windsor's ANC was under the equity withdrawal restriction; failing to calculate net capital properly; failing to maintain required minimum ANC; and failing to maintain current books and records. The Complaint also charged Windsor, Huchko and Campise with providing false information to NFA regarding Bobba's role at Windsor and compensation paid to Bobba; and failing to supervise APs' dealings with customers and the trade recommendations they made to customers to ensure that they did not cause harm to customers and complied with NFA Requirements. In addition, the Complaint charged Windsor, Silverman and Niman with failing to uphold high standards of commercial honor and just and equitable principles of trade by engaging in deceptive trading practices designed to generate commissions for Windsor to the detriment of customers; and engaging in fraudulent trading activity in Windsor's error account. The Complaint further charged Windsor and Huchko with providng false information to NFA regarding customer complaints received by Windsor.

DECISION:

On April 21, 2010, Windsor was ordered to withdraw from NFA membership and was permanently barred from NFA membership and from acting as a principal of an NFA Member.