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Commodity Futures Trading Commission 

CEA CASES 

NAME: CARGILL, INCORPORATED, AND ERWIN E. KELM 

DOCKET NUMBER: 58 

DOCUMENT TYPE: WAIVER OF HEARING, CONSENT TO ENTRY OF ORDER AND STIPULATION 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: Cargill, Incorporated, and Erwin E. Kelm, Respondents 

C.E.A. Docket No. 58 

Waiver of Hearing, Consent to Entry of Order, and Stipulation by Cargill, 

Incorporated 

Cargill, Incorporated, having heretofore filed its answer to the complaint in 

this proceeding, submits this stipulation for filing in the record, in 

accordance with the provisions of section 0.4(b) of the rules of practice under 

the Commodity Exchange Act (17 CFR 0.4(b)). 

1. Cargill, Incorporated, admits that it is a corporation organised under the 

laws of the State of Delaware with its principal office and place of business in 

Minneapolis, Minnesota, and branch offices throughout the United States; that it 

conducts various commercial enterprises throughout the United States, including 

the business of grain importing and merchandising, and that it was so engaged 

during 1961 and 1962, the period covered by this complaint; that it was, during 

the said period, and has been continuously since that time, registered as a 

futures commission merchant under the Commodity Exchange Act, and the holder of 

membership trading privileges on various boards of trade designated as contract 

markets under the Commodity Exchange Act; that it did during the said period, 

engage in futures trading for its own account on boards of trade in the United 

States and Canada, and that futures trades for its account were executed by 

others on the Board of Trade of the City of 

Chicago, a contract market. This Waiver and Consent is filed solely for the 

purpose of disposing of this proceeding without hearing. 

2. Cargill, Incorporated waives hearing on the charges in the complaint and 

consents to the entry of an order directing all contract markets to refuse all 

trading privileges in oats futures to Cargill, Incorporated, for its own 

account, for the period beginning on the tenth day after issuance of the order, 

and ending December 31, 1954. Cargill, Incorporated, hereby stipulates and 

agrees that such refusal of trading privileges in oats futures on all contract 

markets shall apply to trading done and positions hold by Cargill, Incorporated, 

directly, and also to trading done and positions held indirectly by or through 

any person, as defined by the Commodity Exchange Act, owned wholly or in 

substantial part or otherwise directly or indirectly controlled by, or under a 

common control with, Cargill, Incorporated, or by any other means: Provided, 

that any position in May 1964 oats futures on any contract market held by 

Cargill, Incorporated, on the effective date of the order herein may be 

liquidated by means of futures transactions or deliveries at any time prior to 

the expiration of trading in such May 1964 oats futures and provided that, the 

order herein shall not be construed to prohibit the execution of bona fide 

orders received by Cargill, Incorporated, or any person, as defined in the 

Commodity Exchange Act, owned wholly or in substantial part or otherwise 

directly or indirectly controlled by, or under a common control with Cargill, 
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Incorporated, from its or their customers in its or their capacities as 

registered futures commission merchants under the Commodity Exchange Act. 

3. Cargill, Incorporated, hereby further stipulates and agrees that in all 

future reports to the Commodity Exchange Authority it will refrain from using 

contracts or agreements with or commitments to any person, as defined by the 

Commodity Exchange Act, owned wholly or in substantial part or otherwise 

directly or indirectly controlled by, or under a common control with, Cargill, 

Incorporated, as a basis for classifying transactions or positions in commodity 

futures as hedging; and that in submitting such reports and in complying with 

the orders issued by the Commodity Exchange Commission under section 4a of the 

Commodity Exchange Act, it will treat all commodity transactions and positions 

of any such person as the transactions and positions of Cargill, Incorporated. 

4. Cargill, Incorporated further stipulates and represents that it has not, 

since February 16, 1954, engaged in any transactions in oats futures on contract 

markets in the United States for its own account except for transactions 

necessary to transfer positions in March 1954 oats futures to May 1954 oats 

futures and except for transactions and deliveries in liquidation of its March 

1954 short oats futures positions and transactions in partial liquidation of its 

May 1954 short oats futures positions. 

Cargill, Incorporated 

By /s/ Fred M. Seed 

Vice President 

LOAD-DATE: June 16, 2008 
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