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CFTC fines firm, former trading manager over manipulation, false reporting

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The Commodity Futures Trading Commission on Friday fined a Chicago futures brokerage $750,000 for reporting false orders and its former trading manager $200,000 for masterminding a fictitious trading scheme. The CFTC charged Gelber Group, LLC with reporting false orders of the Russell E-Mini 100 futures contracts on the Chicago Mercantile Exchange so it could benefit from the change in opening prices when the exchange opened. The scheme ran between August 2009 and February 2010, the CFTC alleged. The CFTC also charged Martin A. Lorenzen, Gelber's trading manager, with running a wash sale scheme that allowed Gelber to illegally benefit from an IntercontinentalExchange, or ICE, incentive program. The charges reflect a longstanding crackdown on trading schemes that manipulate the markets. The Dodd-Frank Act gave the CFTC additional enforcement authority over trading violations on U.S. markets. CFTC Commissioner Bart Chilton, who has long called for better technology

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