Goal Three Performance Measures, Analysis and Review
PERFORMANCE MEASURE 3.1.1.1
| Lead Program Office: Division of Enforcement (DOE) Data Source: eLaw System Verification: Internal Review |
|||||
| ACTUAL FY 2011 |
PLAN FY 2011 |
PLAN FY 2012 |
PLAN FY 2013 |
PLAN FY 2014 |
PLAN FY 2015 |
|---|---|---|---|---|---|
| 81% | 65% | 70% | 75% | 75% | 80% |
Performance Analysis & Review
The performance target was exceeded for FY 2011. The number of enforcement investigations opened has risen sharply – from 99 in FY 2007 to an all-time high of over 450 in FY 2011 – due to a combination of factors including the clarification of the Commission's authority over off-exchange traded forex, cooperative enforcement efforts, and the exposure of Ponzi schemes due to the financial downturn. The Commission is also experiencing an uptick in the number of market manipulation and disruptive trading investigations. Investigation of manipulation allegations tends to be complex and resource intensive. Generally, manipulation investigations resulting in charges run far longer than other types of investigations. It is expected that disruptive trading investigations and litigation will also be quite time intensive, particularly those that involve high frequency and algorithmic trading. The Commission's FY 2011 Plan target for this performance measure took into account these factors, as well as historical performance and staffing constraints. Despite these factors and constraints, the Commission exceeded its target for this performance measure, and remains committed to the effective and expeditious disposition of its enforcement investigations.
PERFORMANCE MEASURE 3.2.1.1
| Lead Program Office: Division of Enforcement (DOE) Data Source: eLaw System Verification: Office of Cooperative Enforcement spreadsheet and correspondence with civil and criminal authorities |
|||||
| ACTUAL FY 2011 |
PLAN FY 2011 |
PLAN FY 2012 |
PLAN FY 2013 |
PLAN FY 2014 |
PLAN FY 2015 |
|---|---|---|---|---|---|
| 62% | 60% | 65% | 70% | 75% | 75% |
Performance Analysis & Review
The performance target was exceeded for FY 2011. The CFTC continued to devote considerable efforts to partner with law enforcement agencies at the international, national, regional, and state levels to address and deter conduct that violates the CEA and CFTC Regulations. To further these efforts, the CFTC's Director of Enforcement served as one of the four co-chairs of the President's Financial Fraud Enforcement Task Force. During FY 2011, over 95% of the CFTC's major injunctive fraud cases involved related criminal investigations. During this time, 80 criminal indictments and judgments were filed that were related to CFTC enforcement matters. The Commission also engaged in cooperative enforcement efforts with civil regulatory agencies, and approximately 65% of the major fraud actions involved parallel investigations with federal civil authorities. The Commission also engaged in cooperative enforcement with international authorities in a wide range of matters from retail fraud to market manipulation. During FY 2011, the Commission handled over 530 requests and referrals from international authorities, an approximate 20 percent increase over FY 2010.
The Commission worked to promote coordination of enforcement efforts with other law enforcement agencies to address commodities violations and other related financial wrongdoing. In addition to participating in national and international financial fraud enforcement working groups, the CFTC partnered with 10 regional groups comprised of federal, state, and local civil and criminal authorities.
The Commission provided training to many law enforcement groups and participated in speaker panels and seminars to promote cooperative enforcement efforts on conducting parallel criminal and civil prosecution of commodities market manipulation and fraud. The CFTC also worked with the Department of Justice and the Securities and Exchange Commission (SEC) to conduct cross-agency training, especially training involving the new enforcement powers under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).
Appendix A contains examples of cases that included related actions by other civil and/or criminal authorities in which the CFTC obtained monetary sanctions orders in FY 2011.