BP is now obliged to co-operate with the commission in its ongoing investigation of related matters. The company neither admitted nor denied the CFTC’s findings under the terms of the settlement.
Several other US energy companies have been involved in round-trip trading. Houston-based Reliant Energy Services was penalised in November 2003. The CFTC fined the company a total of $18 million to settle charges of false reporting, attempted manipulation and wash trades.
And in July 2002, Duke Energy admitted it had conducted 23 wash trades on the Atlanta-based IntercontinentalExchange, while Houston-based Dynegy paid the US Securities and Exchange Commission $3 million in September 2002 over charges it inaccurately accounted for a $300 million natural gas transaction and engaged in wash trades.
The week on Risk.net, December 2–8, 2016Receive this by email