For Release: August 24, 2006
U.S. Commodity Futures Trading Commission Charges Telephone Clerk for a Floor Brokerage Operation at the NYMEX with Scheme to Defraud
Fraud Involving Natural Gas Contracts by Defendant Matthew Doyle Cost his Employer Millions of Dollars in Losses
Washington, D.C.— The U.S. Commodity Futures Trading Commission (CFTC) today announced the filing of an enforcement action in the U.S. District Court for the Southern District of New York against Matthew Doyle of Lynbrook, New York. The CFTC charges that Doyle, a telephone clerk for a floor brokerage operation, engaged in a scheme to defraud certain customers and his employer, a registered floor broker.
Specifically the complaint charges that, during the week of April 18, 2005, Doyle willfully prepared or caused to be prepared order tickets for hundreds of natural gas futures contracts containing false customer account identification to be executed by his employer on the New York Mercantile Exchange (NYMEX). Through this scheme, the complaint alleges, Doyle attempted to assign losing trades to the accounts of certain customers, and when that failed, he caused these losing trades to be assigned to his employer’s account. According to the complaint, as a result of this scheme, Doyle’s employer suffered millions of dollars in losses through the losing trades.
The CFTC complaint seeks a trading and registration ban, repayment of funds to his defrauded employer, the imposition of a civil monetary penalty, and other remedial relief.
The CFTC wishes to thank the New York Mercantile Exchange Compliance staff for their cooperation in this matter.
The following CFTC Division of Enforcement members were responsible for the case: Elizabeth Brennan, Nancy Gogel, Sheila Marhamati, John Cipriani, Eliud Ramirez, Steven Ringer, Manal Sultan, Lenel Hickson, Stephen J. Obie, and Richard Wagner.
Last Updated: April 8, 2007