Case Summary

STEVEN MCMANE NYME 13-9498-BC STEVEN MCMANE NFA ID: 0479625

 Respondent/Effective Date Summary 
 NFA IDRespondentEffective Date
 0479625MCMANE, STEVEN08/15/2014
 Rule Summary 
 NFA IDRespondentRule Type
 0479625MCMANE, STEVEN• 534 - WASH TRADES PROHIBITED
  • 432.W. - General Offenses - Failure to Supervise
 Committee Summary 
 NFA IDRespondentCommittee
 0479625MCMANE, STEVEN• BUSINESS CONDUCT COMMITTEE
 Action Summary 
 NFA IDRespondentAction Types
 0479625MCMANE, STEVEN• TRADE PRACTICE
 Penalty/Event Summary 
 NFA IDRespondentPenalty/EventEvent Date
 0479625MCMANE, STEVEN• FINE PAID $1500008/21/2014
  • COMPLETE TRADING AND ACCESS BAN 5 BDAY08/13/2014
 Narrative Summary 
Narrative for 0479625 - MCMANE, STEVEN
Pursuant to an offer of settlement Steven McMane (“McMane”) presented at a hearing August 13, 2014, in which McMane neither admitted nor denied the rule violations upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“BCC Panel”) found that McMane was subject to the jurisdiction of the Exchange pursuant to Rules 402 and 418 and that during the time period August 2012 to November 2012, McMane executed trades in the Crude Oil Futures contract between three accounts with the same beneficial owner in order to offset positions in the expiring contract. Furthermore, McMane directed other traders to execute trades opposite each other in order to offset positions between these commonly owned accounts. The Panel found that McMane failed to diligently supervise these traders in that he was not familiar with Exchange rules and directed them to engage in wash trades, in violation of Exchange rules. The Panel also found that in each of these instances, McMane was the sole decision maker for both the buy and sell side of the trade.

The BCC Panel found that as a result, McMane violated NYMEX Rules 432.W and 534.

In accordance with the settlement offer, the BCC Panel ordered McMane to pay a fine to the Exchange in the amount of $15,000. The Panel also suspended McMane from all direct or indirect access to any trading floor or electronic trading or clearing platform owned or operated by CME Group Inc., including Globex, for a period of 5 business days. The suspension will run from August 15, 2014 to August 21, 2014, inclusive.

This action became final on August 13, 2014 and effective August 15, 2014.