The International Derivatives Market The CME Group has issued a notice of disciplinary action against GH Financials, LLC.
According to a settlement offer in which GH Financials, LLC neither admitted nor denied the alleged rule violations, a Chicago Mercantile Exchange (CME) Business Conduct Committee panel found that from at least March 2019 through March 2021, GHF , a clearing member firm, maintained a general customer account through which foreign Introducing Broker customers were cleared.
During this period, GHF repeatedly failed to obtain and provide the identity of individuals or groups assigned to operator IDs within the designated omnibus account promptly upon request by Market Regulation. These failures prevented Market Regulation’s ability to properly monitor the messaging and trading activity of Introducing Broker clients in Australian Dollar, British Pound, Canadian Dollar, Swiss Franc, Mexican Peso, New Zealand Dollar, Japanese Yen, Euro FX and E -mini S&P 500 Futures.
The panel concluded that GHF violated Rules 432.Q. and 576.
Under the settlement offer, the commission ordered GHF to pay a $150,000 fine.