Bank of America (NYSE:BAC)
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6 Mois : De Avr 2019 à Oct 2019
By Stephen Nakrosis
The U.S. Department of Justice on Tuesday said Merrill Lynch Commodities Inc. will pay $25 million to resolve a government investigation looking into a "multiyear scheme by MLCI precious metals traders to mislead the market for precious metals futures contracts traded on the Commodity Exchange Inc."
The Justice Department said between 2008 and 2014 some Merrill Lynch precious metals traders placed fraudulent orders to "manipulate the market by creating the false impression of increased supply or demand." The traders then sold futures contracts to other market participants "at quantities, prices and times that they otherwise likely would not have done so," the department said.
Merrill Lynch Commodities entered a nonprosecution agreement and, along with parent company Bank of America Corp. (BAC), will cooperate with the government's ongoing investigation, the department said. The companies will also enhance existing compliance programs and internal controls, the department said.
The Commodity Futures Trading Commission on Tuesday announced a separate settlement with Merrill Lynch Commodities that will see the company pay a civil monetary penalty of $11.5 million, and carry out other remedial and cooperation obligations in connection with any related CFTC investigation.
A spokesman for Merrill Lynch Commodities said, "We're disappointed by the conduct of the former Merrill Lynch Commodities employees named in this matter, and have cooperated with the investigations."
--Write to Stephen Nakrosis at firstname.lastname@example.org
(END) Dow Jones Newswires
June 25, 2019 17:34 ET (21:34 GMT)
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