Glencore secured illegal competitive advantages in trading physical oil products and related derivatives. Its corrupt, deceptive, manipulative trading practices harmed the integrity of the global physical and derivatives oil markets, according to the CFTC.
In anticipation of the CFTC’s administrative proceeding, Glencore decided to settle without admitting or denying any of the allegations against it by the Commission.
CFTC Chairman Rostin Behnam said, When individuals and entities seek to disrupt the reliability of benchmarks, they interfere with the proper functioning of the markets that directly impact consumers. Without question, manipulating oil markets can drive up the cost Americans pay at the pump or to heat their homes
Behnam added that the Commission “will continue to pursue even the slightest hint of manipulative, corrupt, or fraudulent behavior.”
On the other hand, Acting Director of Enforcement Gretchen Lowe said the CFTC “will impose substantial and robust sanctions” against entities involved in such unlawful conduct.
