The Commodity Futures Trading Commission has fined MF Global $10m fine after concluding that the futures and options brokerage was guilty of “severe supervision violations”.
The US futures regulator imposed the penalty for four separate risk supervision failures.
One relates to the $141m loss the brokerage made in February 2008, when an “associated person”, believed to be Evan Dooley, a retail trader in Memphis, was able to exceed trading limits.
The CFTC concluded that: “MF Global further failed to provide appropriate supervisory training to the branch...