ICE Futures U.S. has issued a summary fine notice against R.J. O’Brien & Associates Canada Inc.
R.J. O’Brien & Associates Canada Inc. was issued a summary fine of $10,000 for violating Rule 4.02(g)(3) by engaging in cross trading without utilizing a crossing order (CO) or waiting a full five seconds when in receipt of two client orders for different beneficial owners that allowed for price and/or time discretion.
ICE rule 4.02(g)(3) states:
In connection with the placement of any order or execution of any Transaction, it shall be a violation of the Rules for any Person to . . . [e]ngage in cross trading other than in accordance with the following procedures: . . . [a] futures order that allows for price and/or time discretion, if not entered immediately upon receipt, may be knowingly entered opposite a second order received by the same intermediary using a [Crossing Order (“CO”)] which contains both the buy and sell orders; or by entering the second order immediately upon receipt and allowing it to be exposed on the ETS for a minimum of five (5) seconds before entering the opposing order.
The effective date of the notice is November 27, 2024.
