Release: #4260-99 (CFTC Docket No. SD 99-5)
For Release: May 3, 1999
CFTC FINDS THAT EARL A. PEDERSEN, A FLOOR BROKER AT THE COFFEE SUGAR COCOA EXCHANGE, IS SUBJECT TO STATUTORY DISQUALIFICATION AND ISSUES CONSENT ORDER RESTRICTING PEDERSEN'S REGISTRATION
WASHINGTON - The Commodity Futures Trading Commission (CFTC) announced today that on April 16, 1999, it filed a Notice of Intent to Suspend, Revoke or Restrict Registration (Notice) against Earl A. Pedersen, of Mountain Lakes, New Jersey, a registered floor broker who is a member of the Coffee Sugar Cocoa Exchange (CSCE), and simultaneously accepted Pedersen's offer of settlement.
The CFTC's Notice alleges that Pedersen was charged by the CSCE in 11 disciplinary actions, two of which alleged the serious violations of trading ahead of an active customer sell order and misallocating a customer order. The two serious violations resulted in total fines of $7,500. The Notice alleges that the disciplinary proceedings and the misconduct underlying those actions constitute a basis by which Pedersen's floor broker registration may be conditioned, suspended, revoked, or restricted under section 8a(4) of the Commodity Exchange Act.
Pedersen, without admitting or denying the charges in the Notice, consented to the entry of a Commission order which restricts his registration for two years, during which time, among other things, he will be prohibited from directly or indirectly trading on behalf of customers and be required to have a sponsor.
# # #