OTC Asia Commodities PTE Ltd has agreed to pay a fine of $100,000 to settle ICE Futures U.S. charges.
On April 17, 2024, a subcommittee of the Exchange’s Business Conduct Committee (BCC) determined that in numerous instances from May 2022 and August 2022 (Relevant Period), OTC Asia Commodities PTE Ltd may have violated the following Exchange Rules for certain block trades: 4.07(c) by misreporting execution time and submitting trades beyond the 15-minute reporting window; 4.07(a)(ii)(A) by failing to comply with private negotiation requirements; 6.07(a)(ii) by failing to keep full, complete, and systematic records; 6.07(a)(iii) by failing to comply with general recordkeeping requirements; and legacy 6.08(b)(i) by failing to comply with order ticket requirements.
The BCC further determined that, during the Relevant Period, OTC Asia may have additionally violated Rule 4.01(a) by failing to diligently supervise the block trade activities of its employees and Rule 4.01(b) by failing to establish, administer, and enforce supervisory systems, policies and procedures, which are reasonably designed to achieve compliance with Exchange Rules.
Lastly, the BCC determined that OTC Asia may have violated Rule 21.04 by failing to respond to Exchange inquiries in a timely manner.
The products affected are various Energy Contracts.
In accordance with the terms of settlement, OTC Asia neither admitted nor denied the alleged rule violations.
