Gain Global Markets Bermuda Ltd. It is a fully owned by Stonex Group, by the New York Mercantile Exchang (NYMEX), and it has been revealed this week.
The fine is for the violations of the Block Trade Regulations, according to the disciplinary notification published by the CME group. In addition to the fine, Gain Global has been requested to rid 449,910 dollars in profits.
The penalties stem from the results of the NYMEX Business Committee, which concluded that the company participating in the prohibited hedge activity on multiple occasions between April and August 2022, as well as in April 2024.
Violations are said to include trading in crude oil contracts, New York Harbor, ULSD, RBob, and Platinum future contracts.
According to what was reported, the committee found that a company affiliated to the company stonex went to the opposite parties to engage in the bloc deals with Gain Global, but it failed to provide the necessary disclosures about its main role.
The CME group claims that in many cases, the global hedge transactions that have been implemented on the CME Globerx platform before completing the mass trades with those corresponding parties, and thus benefit from subsequent prices.
Under CME rules, this proactive hedge prohibits unless the commercial party clearly reveals its main role in advance to avoid creating an implicit agency.
The settlement was reached without obtaining global acceptance or rejection of al -Qaeda violations.