Citigroup to pay $900,000 high-quality for alleged violations of ICE guidelines

ICE Futures U.S. has posted a discover of settlement with Citigroup International Markets Inc.

On November 2, 2023, a subcommittee of the Trade’s Enterprise Conduct Committee (BCC) decided that, from roughly 2015 via the start of November 2022, Citigroup could have violated Trade Guidelines 2.12 and 6.15(a) by misreporting open curiosity and huge dealer positions, respectively, due to a defective programming logic in Citigroup’s futures reporting system.

In October 2022, Citigroup self-reported to the Trade the reporting program defect and the potential for reporting discrepancies going again a number of years. The errors appeared to have occurred in quite a few cases in several Trade contracts and weren’t readily obvious to the Trade throughout the time interval because of the approach that Citigroup reported the info.

The BCC individually decided that Citigroup could have violated Trade Rule 4.01(a) by failing to diligently supervise the Trade-related actions of its workers and 4.01(b) by failing to ascertain, administer, and implement supervisory techniques, insurance policies, and procedures which might be fairly designed to make sure compliance with Trade Guidelines.

In accordance with the phrases of settlement, during which Citigroup neither admitted nor denied the alleged rule violations, Citigroup agreed to pay a financial penalty of $900,000.