He is definitely a scapegoat. However, CFTC deems futures spoofing as illegal, and thus it has enforcement grounds. Btw, SEC does not deem the same for equities. He did violate the rules, and from what I have read, he was being asked to stop by CME and refused.
Exactly, and so he should be fined. Instead, they want to put him away....just to make an example so that it won't happen again. Scapegoat-maximus. I really have no respect for the CME or their chairman Duffy. To me he looks like a mafioso-like thug.
First, there is nothing to negotiate. He is a scapegoat and he can't give up anything else (he was a one man shop anyway), thus he has no leverage on his side, being innocent (of the crash) not withstanding. Second, he can still TRY to run, and it could be his imagination, connection or luck, if he makes it. But if I am facing heavy (not to mention bullshit) sentences you can be sure, at least I am trying to run. At least I can go down fighting and not like a lamb to the slaughterhouse. And don't over estimate the British, this is not James Bond stuff. It is possible to stay low, one needs resources or friends. Also, I assume he can get technically charged by 2 different countries, the Brits might try him for tax evasion or something similar. If he tries the legal ways he is an idiot and will get fucked royally. Just look at the Silk Road guy who ended up with what like 40-60 years...(they made an example out of him) Now if the longest sentence he could face was in the 5-7 years category, I say fight it in the courts, but when you can get 20 years, where are my Nike running shoes???
Yeah I really do think this guy should be fined and have his exchange access penalized for some period of time. This talk of 20+ year sentences and the like is absolute fucking madness!
I'm with Pekelo and i960 on this. There are powerful people involved in this like Duffy, that extradition lawyer from the US, and that British judge. There is absolutely no possibility of a reasonable negotiation.
I as far as i know CFTC has authority to bring felony charges. Can anyone who has legal background comment if spoofing in futures markets can be deemed as felony.
Interesting related news: 3 guys get fines over spoofing trades http://www.thetimes.co.uk/tto/business/markets/article4525752.ece "Three foreign traders have been ordered to hand over millions of pounds after the City watchdog won its first lifetime ban against a company for market abuse. The Hungary-based gang were told by the High Court yesterday to pay £7.6 million in fines and frozen trading profits to the Financial Conduct Authority four years after they were accused of using sophisticated computer trading programmes to move prices on the London Stock Exchange." It is a paid site, so here are more from a non-subscription site: http://hungarytoday.hu/news/hungari...unds-manipulating-london-stock-exchange-42098 "In the court ruling, handed out on Wednesday, the three-member Hungarian group were ordered to pay a total of GBP 7.6million in fines, as well as the frozen profit resulting of their trading activity, to the British financial monitoring authority. The three men are accused of deploying a string of illegal trading techniques to manipulate prices on the stock exchange, depending on whether they wanted to buy or sell shares. In addition to the three Hungarian traders, the court also ruled against the Swiss-based management firm Da Vinci Invest." I wonder where they are?: "None of the three Hungarians were present at the trial, "
This guy only got a 150K fine for spoofing in the USA and a 1 month suspension from trading, so maybe Sarao shouldn't worry that much unless the crash thingy sticks: http://blogs.wsj.com/moneybeat/2015/06/09/thats-no-spoof-a-125000-fine-for-detrimental-trading/ That is one bad spoofer: "The ICE fine also notes that Mr. Oystacher’s trading “resulted in no financial gain” but “such activity may have disrupted the marketplace.”" I guess the biggest for Sarao question is: Just what are the exact charges and how much penalty they are come with? The problem with the government's approach that they can always throw in some bullshit extra charge if they think the client is getting a too easy deal...
Nice work Pekelo....now if only Nav had a lawyer that would pick-up on these facts. The stench from the B.S. in his case is really getting strong.
http://www.elitetrader.com/et/index...has-severe-case-of-aspergers-syndrome.293577/ Guys - it appears that Nav is out of jail !!!!! I asked the moderator to move that thread to this one. What a turn of events !!!