No. 03-99
January 22, 1999


Weekly Advisory

Commodity Futures Trading Commission Three Lafayette Centre 1155 21st Street, NW Washington, DC 20581 Telephone: (202) 418-5080 Facsimile: (202) 418-5525
Home Page:
http://www.cftc.gov
Antoinette B. McCoy, Editor

 


Events

On Thursday, January 21, 1999, Commissioner David D. Spears spoke to undergraduate and graduate students at the College of Agriculture, Kansas State University, concerning risk management and his role as a Commissioner at the CFTC.

On January 28, 1999, Chairperson Brooksley Born will speak at the Fordham University School of Law 1999 Derivatives & Risk Management Symposium in New York.

Commission Meetings

On January 15, 1999, the Commission held a closed meeting to discuss surveillance matters.

On January 22, 1999, the Commission will hold a closed meeting to discuss surveillance matters.

On January 25, 1999, the Commission will hold a closed meeting to discuss adjudicatory matters.

On January 27, 1999, the Commission will hold a closed meeting to discuss enforcement matters.

CFTC News Releases

Release:                  #4231-99
For Release:            January 19, 1999


Chairperson Brooksley Born Announces Her Intention Not to Seek Reappointment to a Second Term

Washington -- Chairperson Brooksley Born of the Commodity Futures Trading Commission today announced her intention not to seek reappointment to a second term but instead to resign at the end of her term in April or shortly thereafter. In announcing her intention, Chairperson Born stated: "I am extremely proud of the Commission's accomplishments over the last two and a half years. The Commission has undertaken a comprehensive regulatory reform program and has addressed a number of difficult issues facing the industry. The Commission is well prepared to move into the new millennium of financial regulation."

A copy of Chairperson Born's letter to President Clinton conveying her intentions is attached.


January 19, 1999

The Honorable William J. Clinton
President of the United States
The White House
Washington, D.C. 20500

Dear Mr. President:

The Office of Presidential Personnel has asked whether I would like to be nominated for a second term as Chairperson of the Commodity Futures Trading Commission. After careful consideration, I have decided that I would prefer to return to the private practice of law. Therefore, I plan to resign at the end of my term in April or shortly thereafter.

I greatly appreciate the opportunity you have provided me to make a contribution by performing government service. Your continuing confidence and support have meant a great deal to me, and it has been an honor to serve during your Administration.

Sincerely yours,

Brooksley Born

cc: Mr. Robert J. Nash
Assistant to the President and Director
Office of Presidential Personnel


Opinions Updates

No updates were issued during this period.

Seriatim Actions

On January 14, 1999, the Commission authorized the Division of Enforcement to file a second amended complaint for permanent injunction and other equitable relief in CFTC v. Midland Rare Coin Exchange, et al., No. 97-7422-Highsmith (S.D. Fla. 1997).

Federal Register Notices

No CFTC Federal Register Notices were published during this period.

Comment Periods

NOTE:

All Comment Letters must be received by the Commission no later than the closing date specified in the applicable Federal Register release. Any requests for an extension of the comment period must be made in writing - - before the expiration of the comment period - - to the Commission's Office of the Secretariat.


Comment period concerning the Kansas City Board of Trade's application to trade futures and options on Internet Stock Price Index "ISDEX®" ends, January 25, 1999.

Comment period concerning the Chicago Board of Trade's proposed amendments to its soybean oil futures contract ends, February 10, 1999.

Comment period concerning the New York Mercantile Exchange COMEX Division's application to trade futures and options on aluminum ends, February 10, 1999.

Comment period concerning the Commission's proposed amendments to its rules 30.5 and 30.6 ends, March 12, 1999.

Initial Decisions

Barbara A. Cunningham and Richard W. Cunningham v. Daniel Jay Parker. Filed January 14, 1999. After a careful review of the parties' submissions, it was concluded that the preponderance of the evidence supported the conclusion that Daniel Jay Parker had violated section 4o(1) of the CEAct and Commission rule 4.30 causing $20,000 in damages. Accordingly, Daniel Jay Parker was ordered to pay to Barbara A. Cunningham and Richard W. Cunningham reparations of $20,000, plus $50 in costs for the filing fee. Philip V. McGuire, Judgment Officer. CFTC Docket No. 98-R149.

Majid Danesh v. Index Futures Group, Inc. (d/b/a "Jack Carl/312 Futures"). Filed January 19, 1999. The parties settled this matter and mutually released each other from any additional claims. Accordingly, this proceeding was dismissed. Joel R. Maillie, Judgment Officer. CFTC Docket No. 98-R086.

 

Opinions and Orders

 

Curtis Dearing v. First American Discount Corp., et al. Filed January 14, 1999. Curtis Dearing, an introducing broker, appealed an ALJ's March 25, 1998, order which dismissed his reparations complaint against First American Discount Corp., and two of its principals for failure to state a claim. Dearing argued that the ALJ had erred in dismissing the entire complaint. Based upon a review of the record, the Commission found that the ALJ's order of dismissal had not addressed the second of Dearing's claims - namely, that the respondents had unlawfully liquidated his proprietary account - and had not disposed of respondents' counterclaim for damages. Accordingly, the Commission vacated the March 25, 1998, order of dismissal and remanded the matter to the ALJ for a decision on all the claims and issues raised in this action. Complainant will be permitted to file an answer to respondents' counterclaim within 30 days of the date of this order. CFTC Docket No. 98-R042.

CFTC Letters

 

No CFTC Letters were issued during this period.