USDOJ Archives - The Industry Spread

USDOJ Charges Precious Metals Scheme as Criminal Enterprise

November 22, 2019

The US Department of Justice is calling a recent trading scheme a criminal enterprise. RICO is a statute enacted on October 15, 1970, providing enhanced sentencing for any crimes committed which are deemed under RICO, as in furtherance of an ongoing criminal enterprise.

USDOJ Unravels Trading Scheme

November 8, 2019

From approximately March 2012 until December 2013, three traders who were members of a single trading team at Tower engaged in a scheme to defraud other participants in the markets for E-Mini S&P 500, E-Mini NASDAQ 100 and E-Mini Dow futures contracts (collectively, E‑Mini futures contracts). The S&P 500 and NASDAQ 100 future contracts were traded on the Chicago Mercantile Exchange, while the Dow futures contracts were traded on the Chicago Board of Trade.

An Australian Trader Pled Guilty to Spoofing

February 1, 2019

Jiongsheng (‘Jim’) Zhao, 31, of Sydney, Australia, pleaded guilty before U.S. District Judge John J. Tharp Jr. of the Northern District of Illinois to one count of spoofing.  Zhao was extradited to the United States on Nov. 16 and made his first court appearance on Nov. 19.  Sentencing is scheduled for July 19, 2019, before Judge Tharp.