Supreme Court rejects appeals by ex-Deutsche Bank traders convicted of 'spoofing' https://www.msn.com/en-us/news/crim...ank-traders-convicted-of-spoofing/ar-AA16EGSF (Reuters) - The U.S. Supreme Court on Monday turned away appeals by two former Deutsche Bank AG commodities traders convicted of manipulating precious metals prices by placing "spoof" orders. The court denied petitions by James Vorley and Cedric Chanu, who were each sentenced to just over a year in prison after being found guilty of wire fraud for spoofing, or placing orders with the intent to cancel them before trades are executed. The pair were convicted in 2020 for carrying out what prosecutors said was a yearslong spoofing scheme between 2008 and 2013. Their trades created a false sense of supply and demand, and induced other traders to make trades they would otherwise not have made, prosecutors said. On appeal, Vorley and Chanu argued they had not made the kind of explicit false statements targeted by wire-fraud law. The 7th U.S. Circuit Court of Appeals in Chicago upheld the convictions last July, saying that "spoofing of this kind falls under the wire fraud prohibition." The Biden administration had asked the justices to reject the appeals. Lawyers for Vorley and Chanu did not immediately respond to requests for comment.
That's maybe the final nail into the coffin of the HFT market manipulators at big institutions HFT is dead, is dying... Good, well done!
%% Article noted their conviction...... explicit false statements targeted in the wire fraud law. Wire fraud may not be limited only to telephone wire; free speech is not limited only to audible sound..........................
What the heck? I pretty routinely, if I want to sell something, put in a big limit buy order a bit below the bid to make sure it doesn't fill but make it look like there is interest there. Then as soon as my sell goes through I cancel the buy. What were these guys doing that was different?
Wat what? You are spoofing, as defined by the CME business conduct committee or market regulation dept. or whatever it is called. Just read the CME rulebook, man! Every regulated exchange has a rule like this.