Release:#3974-96 (CFTC Docket SD 97-1)
For Release:December 2, 1996
CFTC FILES STATUTORY DISQUALIFICATION ACTION AGAINST
JOHN P. LAROCQUE AND SIMULTANEOUSLY ACCEPTS HIS SETTLEMENT OFFER, WHICH INCLUDES A TWO-YEAR PERIOD OF CONDITIONED REGISTRATION
WASHINGTON -- The Commodity Futures Trading Commission (CFTC) announced today that it has filed a Notice of Intent to Deny or Condition Registration against John P. LaRocque of Hinsdale, Illinois, for registration as a floor trader. At the same time the Notice was filed, the CFTC accepted LaRocque's offer of settlement, which grants LaRocque floor trader registration, subject to conditions, for a two-year period.
Under the terms of the settlement, during the two-year period of conditioned registration, LaRocque must be supervised by a sponsor who will provide close supervision of his trading. LaRocque may not serve on certain self-regulatory committees, including disciplinary committees, arbitration panels, and governing boards.
The CFTC's Notice alleged that LaRocque was the subject of six Chicago Board Options Exchange (CBOE) disciplinary proceedings, which LaRocque settled without admitting or denying the allegations and consenting to findings made against him.
On March 30, 1990, the CBOE found that LaRocque, on five separate occasions in December 1988 and February 1989, exceeded position limits on RJR Nabisco Inc. class of options contracts. On March 1, 1989, the CBOE found that LaRocque on October 20, 1987 traded outside of the trading rotation sequence; and that on October 20, 1987, he failed to report at least three Standard and Poor's 100 Stock Index (OEX) transactions and failed to record an execution time for two OEX transactions.
Furthermore, on March 6, 1987, the CBOE found that on September 15, 1986, and January 16, 1987, LaRocque exceeded position limits on OEX option contracts. On July 11, 1986, the CBOE found that LaRocque on December 20, 1985, exceeded position limits on OEX option contracts. On February 14, 1986, the CBOE found that LaRocque on April 18, 1985, failed to give sufficient notice that he intended to exercise 20 OEX April 170 call option contracts options. On December 16, 1984, the CBOE found that LaRocque on July 5, 1984 failed to exercise thirty OEX July 160 put option contracts after submitting a CBOE Exercise Advice Form to the CBOE.