CFTC Fines New York Trader $200,000 for Treasury Futures Spoofing in 2019

The Commodity Futures Trading Commission fined New York-based trader Sidney Lebental $200,000 after finding he engaged in spoofing activity in US Treasury futures markets between January and September 2019. The regulator also imposed a one-month trading ban on commodity interests.

According to the CFTC order, Lebental placed genuine orders intended for execution on one side of the market while simultaneously placing opposite-side orders in correlated Treasury futures contracts designed to be canceled before completion. The spoofing activity occurred on approximately 50 occasions, primarily involving Ultra U.S. Treasury Bond futures contracts listed on the Chicago Board of Trade. Once legitimate orders were executed, the spoof orders were removed from the market.