UNITED STATES OF AMERICA

Before the

COMMODITY FUTURES TRADING COMMISSION

_____________________________________________________
)
In the Matter of: ) CFTC Docket No: 00-26
)
Joseph Lawrence Fraites )
41 Hemlock Ridge )
Weston, CT 06883, )
)
Michael Richard Martin ) ORDER INSTITUTING PROCEEDINGS
23 Alexis Lane ) PURSUANT TO SECTIONS 6(c)
Edison, NJ 08820, ) AND 6(d) OF THE COMMODITY
) EXCHANGE ACT, MAKING FINDINGS
Mark Hugo Mueller ) AND IMPOSING REMEDIAL
10 Western Avenue ) SANCTIONS

Morristown, NJ 07960,

)
)
-and- )
)
Alfred John Zamojcin )
110 Charles Street )
Floral Park, NY 11001, )
)

Respondents.

)
_____________________________________________________ )

I.

The Commodity Futures Trading Commission ("Commission") has reason to believe that Joseph L. Fraites ("Fraites"), Michael R. Martin ("Martin"), Mark H. Mueller ("Mueller"), and Alfred J. Zamojcin ("Zamojcin") (collectively, "Respondents") aided and abetted, pursuant to Section 13(a) of the Act, 7U.S.C. 13c(a) (1994), violations by a registered futures commission merchant ("FCM") of Section 4g of the Commodity Exchange Act, as amended ("Act"), 7 U.S.C. 6g (1994), and Commission Regulation ("Regulation") 1.35(a-1)(1), 17 C.F.R. 1.35(a-1)(1) (1999). Therefore, the Commission deems it appropriate and in the public interest that public administrative proceedings be, and they hereby are, instituted to determine whether Respondents engaged in the violations set forth herein, and to determine whether any order should be issued imposing remedial sanctions.

II.

In anticipation of the institution of an administrative proceeding, each of the Respondents has submitted an Offer of Settlement ("Offer") which the Commission has determined to accept. Without admitting or denying any of the findings of fact in this Order, each of the Respondents acknowledges service of this Order Instituting Proceedings Pursuant to Sections 6(c) and 6(d) of the Commodity Exchange Act, Making Findings and Imposing Remedial Sanctions ("Order"). Each of the Respondents consents to the use of the findings in this Order in this proceeding and in any other proceeding brought by the Commission or to which the Commission is a party.1

III.

The Commission finds the following:

A. SUMMARY

From at least June 1995 through February 1997, Fraites, Martin, Mueller, and Zamojcin were all employed by a futures commission merchant ("FCM") as associated persons ("APs"). During that period, the Respondents received and accepted orders for certain customer accounts of the FCM and did not obtain account identification at the time many of those orders were received. Respondents knew that, under Commission regulations, specific account identification was required to be recorded immediately upon receipt of a customer order.

Respondents aided and abetted the FCM's violation of Section 4g of the Act and Regulation 1.35(a-1)(1) by failing to obtain and record account identification on office order tickets at the time orders were received, by recording account identification on office order tickets after the order was already received and executed without such identification, and by preparing order tickets for trades that had already been executed. 2

B. RESPONDENTS

Joseph Lawrence Fraites, who resides at 41 Hemlock Ridge, Weston, Connecticut 06883, was registered as an AP of an FCM from February 1982 until April 1997. He has been registered as an AP of various introducing brokers ("IB") since May 1997 and has been a principal of an IB since December 1999.

Michael Richard Martin, who resides at 23 Alexis Lane, Edison, New Jersey, 08820, was registered as an AP of an FCM from September 1990 through April 1997. Since May 1997 he has been registered as an AP of various IBs.

Mark Hugo Mueller, who resides at 10 Western Avenue, Morristown, New Jersey, 07960, has been registered as an AP of an FCM since August 7, 1986.

Alfred John Zamojcin, who resides at 110 Charles Street, Floral Park, New York, 11001, has been registered as an AP of an FCM since May 16, 1981.

C. FACTS

From at least June 1995 through February 1997, the Respondents worked as APs at an FCM's New York office. They worked on the FCM's "coffee desk" where they principally handled institutional clients who traded coffee futures contracts and options on futures contracts.

Among the accounts handled by the Respondents were two corporate accounts and two individual accounts, for all of which the owner of one of the individual accounts ("the trader") placed the orders. Fraites, who ran the 'coffee desk,' Martin and Mueller accepted the orders from the trader. The trader frequently failed to provide account identification at the time he placed orders with them, and Fraites, Martin and Mueller frequently accepted orders from the trader without obtaining account identification at the time the orders were received.

After receiving each order, Fraites, Martin and Mueller prepared a written record of the order ("office order ticket"), and frequently failed to record the account identification on the office order ticket immediately upon receipt of such order. Instead, upon receipt of the order, they indicated on the office order ticket that the order had been placed by the trader. They did not indicate the specific customer account for which the order had been placed. Some time after the order was filled, and oftentimes after the close of trading, the trader provided the account identification for the executed trades to one of the Respondents, generally Zamojcin, who then recorded the account identification on the partially prepared office order ticket.

On occasion, one of the Respondents, generally Zamojcin, split a trade into two accounts by reducing the number of contracts on the original office order ticket and preparing a second office order ticket to reflect the number of contracts from the original office order ticket that were allocated to another account.

Respondents knew that account identification was required to be placed immediately on all order tickets before the orders could be executed. Nevertheless, the trader frequently did not give, and Fraites, Martin and Mueller frequently did not immediately obtain, account identification for the orders placed by the trader. Although Zamojcin did not himself routinely accept orders from the trader, he knew that Fraites, Martin and Mueller had accepted orders from the trader without obtaining the account identification and he frequently added the account identifications after the orders were executed.

D. LEGAL DISCUSSION

Aiding and abetting record-keeping violations

Section 4g of the Act requires that FCMs, among others, make and produce records relating to their customers' transactions and positions as required by the Commission. Regulation 1.35(a-1)(1) requires FCMs, among others, to prepare a written record of a customer order immediately upon receipt, including the customer account identification and order number. Although these recordkeeping duties are imposed directly on FCMs, "APs. . . play a vital day-to-day role in the recordkeeping systems maintained by FCMs. Indeed, APs . . . are often delegated their employing FCM's responsibility for preparing the 'written record' of customers orders required by Rule 1.35(a-1). Such delegation does not impose a direct regulatory obligation on the AP. It does, however, create an opportunity for APs . . to aid and abet an FCM's failure to meet its regulatory responsibilities." In re Shahrokh Nikkhah, 2000 WL 622872 at *10 (CFTC May 12, 2000).

Liability as an aider and abettor requires proof that (1) the Act was violated, (2) the named respondent had knowledge of the wrongdoing underlying the violation, and (3) the named respondent intentionally assisted the primary wrongdoer. Id.

Respondents, as Commission registrants and as FCM employees, did not properly and completely prepare the written records of customer orders required of an FCM by Regulation 1.35(a-1)(1). Respondents each knew that specific account identification was required to be recorded on an office order ticket immediately upon receipt of the order from the customer. Fraites, Martin, and Mueller, however, frequently accepted orders from the trader without obtaining account identification. Zamojcin, and occasionally one or more of the other Respondents, received the account identification for executed trades from the trader at the end of the day and added the account identification to the office order tickets. Zamojcin also prepared office order tickets afterwards to reflect trades which had already been executed without account identification. As a result of the Respondents' conduct as the FCM's employees, the FCM violated Section 4g of the Act and Regulation 1.35(a-1)(1). The Respondents thus aided and abetted the FCM's violations.

IV.

OFFERS OF SETTLEMENT

Each of the Respondents has submitted an Offer of Settlement in which he neither admits nor denies the findings in this Order. Subject to the foregoing, each Respondent: acknowledges service of this Order and admits the jurisdiction of the Commission with respect to the matters set forth herein; waives: (1) the service and filing of a complaint and notice of hearing; (2) a hearing and all post-hearing procedures; (3) judicial review by any court; (4) any objection to the staff's participation in the Commission's consideration of the Offers; (5) all claims which they may possess under the Equal Access to Justice Act, 5U.S.C. 504 (1994) and 28 U.S.C. 2412 (1994), as amended by Pub. L. No. 104-121, 231-32, 110 Stat. 862-63, and Part 148 of the Regulations, 17 C.F.R. 148.1, et seq., relating to or arising from this proceeding; and (6) any claim of Double Jeopardy based upon the institution of this proceeding or the entry in this proceeding of any order imposing a civil monetary penalty or any other relief.

Each of the Respondents stipulates that the record basis on which this Order is entered consists of the Order and the findings to which he has consented in his Offer, which are incorporated in this Order. Each of the Respondents consents to the Commission's issuance of this Order, which makes findings as set forth herein, and orders each Respondent to cease and desist from violating the provisions of the Act and the Regulations he is found to have violated; orders that Fraites pay a civil monetary penalty of $15,000, that Martin pay a civil monetary penalty of $10,000 and that Mueller and Zamojcin each pay a civil monetary penalty of $5,000; orders the Respondents to comply with their respective undertakings as set forth in the Offers and this Order; and places conditions on Fraites activities for a period of two years, and Martin, Mueller and Zamojcin for a period of one year, following the entry of this Order.

V.

FINDINGS OF VIOLATIONS

Solely on the basis of the consents evidenced by the Offers, and prior to any adjudication on the merits, the Commission finds that each of the Respondents aided and abetted violations of Section 4g of the Act and Regulation 1.35(a-1)(1) pursuant to Section 13(a) of the Act.

VI.

ORDER

Accordingly, IT IS HEREBY ORDERED THAT:

A. Each Respondent shall cease and desist from violating Section 4g of the Act and Regulation 1.35(a-1)(1);

B. Fraites shall pay a civil monetary penalty in the amount of fifteen thousand dollars ($15,000) within ten (10) days of the date of this Order. Martin shall pay a civil monetary penalty in the amount of ten thousand dollars ($10,000) within ten (10) days of the date of this Order. Mueller and Zamojcin each shall pay a civil monetary penalty in the amount of five thousand dollars ($5,000) within ten (10) days of the date of this Order. Each Respondent shall make such payment by U.S. postal money order, certified check, bank cashier's check, or bank money order, made payable to the Commodity Futures Trading Commission, and addressed to Dennese Posey, Division of Trading and Markets, Commodity Futures Trading Commission, 1155 21st Street, NW, Washington D.C. 20581 under cover of a letter that identifies the Respondent and the name and docket number of the proceeding. A copy of the cover letter and the form of payment shall be simultaneously transmitted to Director, Division of Enforcement, Commodity Futures Trading Commission at the following address: 1155 21st Street, NW, Washington D.C. 20581. In accordance with Section 6(e)(2) of the Act, 7 U.S.C. 9a(2) (1994), if any Respondent fails to pay the full amount of this penalty within fifteen (15) days of the due date, he shall be automatically prohibited from trading on all contract markets and, if he or she is registered with the Commission, such registration shall be automatically suspended until he shows to the satisfaction of the Commission that payment of the full amount of the penalty imposed against him with interest thereon to the date of payment has been made;

C. Each Respondent shall comply with his undertakings, as set forth in his Offer:

1. Not to take any action or make any public statement denying, directly or indirectly, any finding in this Order, or creating, or tending to create, the impression that this Order is without a factual basis; provided, however, that nothing in this provision affects his: (i) testimonial obligations; or (ii) right to take legal positions in other proceedings to which the Commission is not a party;

2. Fraites, for the two year period beginning on the date of the entry of this Order, and Martin, Mueller and Zamojcin, each for the one year period beginning on the date of the entry of this Order, will not:

a. serve on any disciplinary committee, arbitration panel, oversight panel or governing board of any self-regulatory organization registered or subject to regulation by the Commission;

b. directly or indirectly act as a principal, partner, officer, or branch office manager of any entity registered or required to be registered with the Commission;

c. directly or indirectly act in any supervisory capacity over anyone registered or required to be registered with the Commission or over any person, whether required to be registered with the Commission or not, involved in the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for the Respondents' own accounts; and

d. act in any capacity, whether registration with the Commission is required or not, which involves the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for the Respondents' own accounts, unless these activities are subject to a Supplemental Sponsor Certification Statement in the form attached hereto, executed and submitted to the Commission by a qualified sponsor. Immediately upon the sponsor's ceasing to act as Respondent's sponsor, Respondent shall cease acting as an associated person and shall stop acting in any capacity which involves the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for the Respondent's own account, until he once again obtains a Supplemental Sponsor Certification Statement in the form attached hereto, executed and submitted to the Commission by a qualified sponsor.

D. Respondents Mueller and Zamojcin shall comply with their undertaking, as set forth in their Offers, to cooperate fully with the Division of Enforcement ("Division") in this proceeding by, among other things: 1) responding promptly, completely, and truthfully to any inquiries or requests for information; 2) providing authentication of documents; 3) testifying completely and truthfully; and 4) not asserting privileges under the Fifth Amendment of the United States Constitution.

The provisions of this Order shall be effective on this date.

By the Commission.
Dated: August 7, 2000 ______________________
Edward W. Colbert
Deputy Secretary of the Commission

Commodity Futures Trading Commission

Attachments: Supplemental Sponsor Certification Statements-


NOTES:

1 Each of the Respondents does not consent to the use of his Offer or this Order, or the findings to which he has consented in his Offer, as the sole basis for any other proceeding brought by the Commission other than a proceeding brought to enforce the terms of this Order. Each of the Respondents also does not consent to the use of the Offer or this Order, or the findings to which he has consented in his offer, by any other person or entity in this or any other proceeding. The findings to which they have consented in the Offers, as contained in this Order, are not binding on any other person or entity named as a respondent or defendant in this or in any other proceeding.

2 The FCM discovered Respondents' activities and informed the Commission.


Supplemental Sponsor Certification Statement

On Behalf of Joseph Fraites

I, _____________________ [name] ("Supervisor"), _____________________ [title] of _________________________ ( "Sponsor"), which is the employer of Joseph Fraites ("Fraites"), am registered with the Commodity Futures Trading Commission ("Commission") as ______________________ and agree to supervise Fraites in connection with his activities as follows:

1) I will assume primary responsibility for supervision of Fraites' activities and compliance with the conditions or restrictions imposed on him by the Commission in its Order issued in In the Matter of Joseph L. Fraites, et al., CFTC Docket No. _______, and dated ____________________, 2000 (the "Commission's Order").

2) When Fraites is involved in the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, whether he is acting in a capacity requiring registration with the Commission or not, I will review all trading and audit trail records prepared either in whole or in part by Fraites, including trading cards, order tickets, and any other trading or customer-related records at least on a weekly basis.

3) If Fraites is acting in any capacity, whether it requires registration with the Commission or not, which involves the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, I will observe him during his performance of these activities at random times at least on a weekly basis.

4) I will keep a log of all reviews and observations required and made in accordance with this sponsorship agreement. I will make such logs available immediately upon request to any representative of the Commission, National Futures Association ("NFA") or any exchange where Fraites works or has trading privileges.

5) I will promptly investigate any act or failure to act by Fraites which may violate the Commodity Exchange Act, as amended ("Act"), Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, including but not limited to, violations of trading practice and record-keeping requirements.

6) I will bring to Fraites' attention any act or failure to act by him which appears to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions.

7) I will keep a record of all communications to Fraites under the preceding paragraph of this statement, and will keep a detailed record of the time, place, and content of each such communication with him, including what was communicated, who received or witnessed the communication, and what he said and did in relation to such communication. I will, immediately upon request, make this record available to any representative of the Commission, NFA or any exchange on which Fraites has trading privileges.

8) I will promptly bring all acts or failures to act by Fraites which appear to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, to the attention of the Commission and the Sponsor's designated self-regulatory organization.

9) I will fully cooperate with any investigation or inquiry relating to Fraites conducted by the Commission, NFA, or exchange where Fraites has trading privileges.

10) I may cease acting as Fraites' supervisor at any time by notifying Fraites, the Chief Operating Officer of the exchange where Fraites has floor trading privileges, NFA, and the Director of the Division of Trading and Markets of the Commission in writing, sent certified mail, postage prepaid. Such written communication that I will cease acting as Fraites' supervisor shall fully set out the reasons which caused me to terminate such supervision. In any event, this agreement to supervise shall become effective on the date of the Commission's Order and shall terminate no later than two (2) years from that date. At the time this agreement is terminated, Sponsor's obligations as a sponsor will also cease.

11) I certify that there is no adjudicatory proceeding pending against me pursuant to the provisions of Sections 6(c), 6(d), 6c, 6d, 8a, or 9 of the Act and that I am not barred from service on self-regulatory organizations governing boards or committees based on disciplinary history in accordance with Section 1.63 of the Commission's Regulations, 17 C.F.R. 1.63 (1999).

12) I acknowledge that this Supplemental Sponsor Certification Statement shall be a public document and may be made available to the following, including but not limited to, all contract markets, the NFA, self-regulatory organizations, and state and federal government entities.

13) I acknowledge that my failure to fulfill the terms set forth in this Supplemental Sponsor Certification Statement and to diligently supervise Fraites shall be deemed a violation of Regulation 3.60(l).

Dated:___________________ ________________________________________________

Signature of Supervisor

________________________________________________

Name of Supervisor

Dated:___________________ ________________________________________________

Signature of Sponsor's duly authorized representative

________________________________________________

Name and title of Sponsor's duly authorized representative

Signed and sworn before me this

_____ day of _________________, ____.

___________________________________

Notary Public


Supplemental Sponsor Certification Statement

On Behalf of Michael Martin

I, _____________________ [name] ("Supervisor"), _____________________ [title] of _________________________ ("Sponsor), which is the employer of Michael Martin ("Martin"), am registered with the Commodity Futures Trading Commission ("Commission") as ______________________ and agree to supervise Martin in connection with his activities as follows:

14) I will assume primary responsibility for supervision of Martin's activities and compliance with the conditions or restrictions imposed on him by the Commission in its Order issued in In the Matter of Joseph L. Fraites, et al., CFTC Docket No. _______, and dated ____________________, 2000 (the "Commission's Order").

15) When Martin is involved in the writing, receipt, or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, whether he is acting in a capacity requiring registration with the Commission or not, I will review all trading and audit trail records prepared either in whole or in part by Martin, including trading cards, order tickets, and any other trading or customer-related records at least on a weekly basis.

16) If Martin is acting in any capacity, whether it requires registration with the Commission or not, which involves the writing, receipt, or transmission of order, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, I will observe him during his performance of these activities at random times at least on a weekly basis.

17) I will keep a log of all reviews and observations required and made in accordance with this sponsorship agreement. I will make such logs available immediately upon request to any representative of the Commission, National Futures Association ("NFA") or any exchange where Martin works or has trading privileges.

18) I will promptly investigate any act or failure to act by Martin which may violate the Commodity Exchange Act, as amended ("Act"), Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, including but not limited to, violations of trading practice and record-keeping requirements.

19) I will bring to Martin's attention any act or failure to act by him which appears to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions.

20) I will keep a record of all communications to Martin under the preceding paragraph of this statement, and will keep a detailed record of the time, place, and content of each such communication with him, including what was communicated, who received or witnessed the communication, and what he said and did in relation to such communication. I will, immediately upon request, make this record available to any representative of the Commission, NFA or any exchange on which Martin has trading privileges.

21) I will promptly bring all acts or failures to act by Martin which appear to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, to the attention of the Commission and the Sponsor's designated self-regulatory organization.

22) I will fully cooperate with any investigation or inquiry relating to Martin conducted by the Commission, NFA, or exchange where Martin has trading privileges.

23) I may cease acting as Martin's supervisor at any time by notifying Martin, the Chief Operating Officer of the exchange where Martin has floor trading privileges, NFA, and the Director of the Division of Trading and Markets of the Commission in writing, sent certified mail, postage prepaid. Such written communication that I will cease acting as Martin's supervisor shall fully set out the reasons which caused me to terminate such supervision. In any event, this agreement to supervise shall become effective on the date of the Commission's Order and shall terminate no later than one (1) year from that date. At the time this agreement is terminated, Sponsor's obligations as a sponsor will also cease.

24) I certify that there is no adjudicatory proceeding pending against me pursuant to the provisions of Sections 6(c), 6(d), 6c, 6d, 8a, or 9 of the Act and that I am not barred from service on self-regulatory organizations governing boards or committees based on disciplinary history in accordance with Section 1.63 of the Commission's Regulations, 17 C.F.R. 1.63 (1999).

25) I acknowledge that this Supplemental Sponsor Certification Statement shall be a public document and may be made available to the following, including but not limited to, all contract markets, the NFA, self-regulatory organizations, and state and federal government entities.

26) I acknowledge that my failure to fulfill the terms set forth in this Supplemental Sponsor Certification Statement and to diligently supervise Martin shall be deemed a violation of Regulation 3.60(l).

Dated:___________________ ________________________________________________

Signature of Supervisor

________________________________________________

Name of Supervisor

Dated:___________________ ________________________________________________

Signature of Sponsor's duly authorized representative

________________________________________________

Name and title of Sponsor's duly authorized representative

Signed and sworn before me this

_____ day of _________________, ____.

___________________________________

Notary Public


Supplemental Sponsor Certification Statement

On Behalf of Mark Mueller

I, Michel Rittenberg ("Supervisor"), First Vice President of Prudential Securities, Incorporated ("PSI" or "Sponsor"), which is the employer of Mark Mueller ("Mueller"), am registered with the Commodity Futures Trading Commission ("Commission") as an Associated Person and agree to supervise Mueller in connection with his activities as follows:

27) I will assume primary responsibility for supervision of Mueller's activities and compliance with the conditions or restrictions imposed on him by the Commission in its Order issued in In the Matter of Joseph L. Fraites, et al., CFTC Docket No. _______, and dated ____________________, 2000 (the "Commission's Order"). A delegate will be used in those situations when I am not in the office; however, upon my return I will date and initial my review of the delegate's supervision.

28) When Mueller is involved in the writing, receipt or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, whether he is acting in a capacity requiring registration with the Commission or not, I will review all trading and audit trail records prepared either in whole or in part by Mueller, including order tickets and check out sheets, on a daily basis.

29) If Mueller is acting in any capacity, whether it requires registration with the Commission or not, which involves the writing, receipt or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, I will observe him during his performance of these activities at random times on a daily basis.

30) I will keep a log of all reviews and observations required and made in accordance with this sponsorship agreement. PSI will make such logs available immediately upon request to any representative of the Commission or National Futures Association ("NFA").

31) I will promptly investigate any act or failure to act by Mueller which I become aware of and which may violate the Commodity Exchange Act, as amended ("Act"), Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, as they relate to record keeping.

32) I will bring to Mueller's attention any act or failure to act by him which I become aware of and which appears to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, as they relate to record keeping.

33) I will keep a record of all communications to Mueller under the preceding paragraph of this statement, and will keep a detailed record of the time, place, and content of each such communication with him, including what was communicated, who received or witnessed the communication, and what he said and did in relation to such communication. PSI will, immediately upon request, make this record available to any representative of the Commission or NFA.

34) PSI will promptly bring all acts or failures to act by Mueller which appear to violate the Act, Commission regulations or the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, to the attention of the Commission and the Sponsor's designated self-regulatory organization.

35) I will fully cooperate with any investigation or inquiry relating to Mueller conducted by the Commission or NFA.

36) I may cease acting as Mueller's supervisor at any time by notifying Mueller, NFA, and the Director of the Division of Trading and Markets of the Commission in writing, sent certified mail, postage prepaid. Such written communication that I will cease acting as Mueller's supervisor shall fully set out the reasons which caused me to terminate such supervision. In any event, this agreement to supervise shall become effective on the date of the Commission's Order and shall terminate no later than one (1) year from that date. At the time this agreement is terminated, Sponsor's obligations as a sponsor will also cease.

37) I certify that there is no adjudicatory proceeding pending against me pursuant to the provisions of Sections 6(c), 6(d), 6c, 6d, 8a, or 9 of the Act and that I am not barred from service on self-regulatory organizations' governing boards or committees based on disciplinary history in accordance with Section 1.63 of the Commission's Regulations, 17 C.F.R. 1.63 (1999).

38) I acknowledge that this Supplemental Sponsor Certification Statement shall be a public document and may be made available to the following, including but not limited to, all contract markets, the NFA, self-regulatory organizations, and state and federal government entities.

39) I acknowledge that my failure to fulfill the terms set forth in this Supplemental Sponsor Certification Statement and diligently to supervise Mueller shall be deemed a violation of Regulation 3.60(l).

Dated:___________________ ________________________________________________

Signature of Supervisor: Michel Rittenberg

Dated:___________________ ________________________________________________

Signature of Sponsor's duly authorized representative:

Michel Rittenberg- First Vice President,

Prudential Securities, Incorporated

Signed and sworn before me this

_____ day of _________________, ____.

___________________________________

Notary Public


Supplemental Sponsor Certification Statement

On Behalf of Alfred Zamojcin

I, Michel Rittenberg ("Supervisor"), First Vice President of Prudential Securities, Incorporated ("PSI" or "Sponsor"), which is the employer of Alfred Zamojcin ("Zamojcin"), am registered with the Commodity Futures Trading Commission ("Commission") as an Associated Person and agree to supervise Zamojcin in connection with his activities as follows:

40) I will assume primary responsibility for supervision of Zamojcin's activities and compliance with the conditions or restrictions imposed on him by the Commission in its Order issued in In the Matter of Joseph L. Fraites, et al., CFTC Docket No. _______, and dated ____________________, 2000 (the "Commission's Order"). A delegate will be used in those situations when I am not in the office; however, upon my return I will date and initial my review of the delegate's supervision.

41) When Zamojcin is involved in the writing, receipt or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, whether he is acting in a capacity requiring registration with the Commission or not, I will review all trading and audit trail records prepared either in whole or in part by Zamojcin, including order tickets and check out sheets, on a daily basis.

42) If Zamojcin is acting in any capacity, whether it requires registration with the Commission or not, which involves the writing, receipt or transmission of orders, and/or the completion or processing of order tickets, for futures contracts or options on futures contracts, other than for his own account, I will observe him during his performance of these activities at random times on a daily basis.

43) I will keep a log of all reviews and observations required and made in accordance with this sponsorship agreement. PSI will make such logs available immediately upon request to any representative of the Commission or National Futures Association ("NFA").

44) I will promptly investigate any act or failure to act by Zamojcin which I become aware of and which may violate the Commodity Exchange Act, as amended ("Act"), Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, as they relate to record keeping.

45) I will bring to Zamojcin's attention any act or failure to act by him which I become aware of and which appears to violate the Act, Commission regulations, the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, as they relate to record keeping.

46) I will keep a record of all communications to Zamojcin under the preceding paragraph of this statement, and will keep a detailed record of the time, place, and content of each such communication with him, including what was communicated, who received or witnessed the communication, and what he said and did in relation to such communication. PSI will, immediately upon request, make this record available to any representative of the Commission or NFA.

47) PSI will promptly bring all acts or failures to act by Zamojcin which appear to violate the Act, Commission regulations or the Commission's Order, or exchange by-laws, rules, regulations, or resolutions, to the attention of the Commission and the Sponsor's designated self-regulatory organization.

48) I will fully cooperate with any investigation or inquiry relating to Zamojcin conducted by the Commission or NFA.

49) I may cease acting as Zamojcin's supervisor at any time by notifying Zamojcin, NFA, and the Director of the Division of Trading and Markets of the Commission in writing, sent certified mail, postage prepaid. Such written communication that I will cease acting as Zamojcin's supervisor shall fully set out the reasons which caused me to terminate such supervision. In any event, this agreement to supervise shall become effective on the date of the Commission's Order and shall terminate no later than one (1) year from that date. At the time this agreement is terminated, Sponsor's obligations as a sponsor will also cease.

50) I certify that there is no adjudicatory proceeding pending against me pursuant to the provisions of Sections 6(c), 6(d), 6c, 6d, 8a, or 9 of the Act and that I am not barred from service on self-regulatory organizations' governing boards or committees based on disciplinary history in accordance with Section 1.63 of the Commission's Regulations, 17 C.F.R. 1.63 (1999).

51) I acknowledge that this Supplemental Sponsor Certification Statement shall be a public document and may be made available to the following, including but not limited to, all contract markets, the NFA, self-regulatory organizations, and state and federal government entities.

52) I acknowledge that my failure to fulfill the terms set forth in this Supplemental Sponsor Certification Statement and diligently to supervise Zamojcin shall be deemed a violation of Regulation 3.60(l).

Dated:___________________ ________________________________________________

Signature of Supervisor: Michel Rittenberg

Dated:___________________ ________________________________________________

Signature of Sponsor's duly authorized representative:

Michel Rittenberg- First Vice President,

Prudential Securities, Incorporated

Signed and sworn before me this

_____ day of _________________, ____.

___________________________________

Notary Public