COMMODITY FUTURES TRADING COMMISSION

SEMIANNUAL REPORT 

OF THE 

OFFICE OF THE 

INSPECTOR GENERAL

FOR THE PERIOD ENDING September 30, 2013
Office of the 

Inspector General 

TO: 

FROM: 

U.S. COMMODITY FUTURES TRADING COMMISSION 

Three Lafayette Centre 

11 55 21st Street, NW, Washington, DC 20581 

Telephone: (202) 418-51 1 0 

Facsimile: (202) 418-5522 

www.cftc.gov 

November 1, 20 13 

The Commission 

A. Roy Lavik J1f2. i<:J(_ 

Inspector General 

SUBJECT: Semiannual Report of the Offi ce of the Inspector General 

Attached is the Office of the Inspector General's Semiannual Report for the period from 

Aprill , 201 3 tlu·ough September 30, 2013. This report is submitted to you in accordance with 

the requirements of Section 5 of the Inspector General Act of 1978, as amended. 5 USC App. 3 

sec. 5 and 8G. The statutory deadline for this report was October 31; due to the October 2013 

government shutdown and competing prioriti es, we are one day late. 

Under section 5(b) of the IG Act, the SAR shall be transmitted to the appropriate 

committees or subcommittees of the Congress within thirty days after receipt of the Semiannual 

repo11, together with a report by the head of the establishment conforn1ing to the requirements of 

section 5(b) ofthe IG Act. 

I appreciate your continuing support of this office. 

Recipients: 

Gary Gensler 

Chairman 

Mark P. Wetj en 

Commissioner 

Attachment: 

Semiannual Report for the CFTC OIG 

Bart Chilton 

Commissioner 

Scott D. O'Malia 

Conunissioner 
i

OFFICE OF THE INSPECTOR GENERAL

COMMODITY FUTURES TRADING COMMISSION

SEMIANNUAL REPORT

FOR THE PERIOD FROM

April 1, 2013 THROUGH September 30, 2013

EXECUTIVE SUMMARY

This semiannual report is issued by the Office of the Inspector General (OIG) for the 

Commodity Futures Trading Commission (CFTC) pursuant to the Inspector General Act of 

1978, as amended. It summarizes OIG’s activities and accomplishments for the period April 1, 

2013, through September 30, 2013. During this period OIG completed one audit, completed one 

review, began one review, and began work on six audits. OIG reviewed proposed enforcement 

actions and rules proposed by CFTC and by regulated entities, participated in training, visited 

CFTC field offices, and participated in Government-wide OIG professional and cooperative 

meetings and training. No investigations were opened or closed during this reporting period. 

One preliminary investigation pending at the close of the prior reporting period was converted to 

a review during this reporting period. No significant problems, abuses or deficiencies regarding 

CFTC programs and operations were identified during this reporting period. 

Highlights of OIG’s completed and ongoing audit, inspection, review, investigative and 

other projects include: 

• CFTC completed its review of CFTC’s oversight and regulation of MF Global, Inc. MF 

Global is now subject to a liquidation proceeding initiated by the Securities Investor 

Protection Corporation. As requested by Senator Richard C. Shelby, our review examined 

the CFTC’s actions in the events leading up to the MF Global bankruptcy. We concluded 

that no violations of law occurred, but raised concerns regarding a number of events, 

including: a failure to alter telework policies for senior management with oversight 

responsibility for MF Global during MF Global’s final days; the Chairman’s abrupt decision 

on November 3, 2011, to refrain from participating in matters pertaining to MF Global after

personally taking a leadership role in CFTC’s dealings and communications with MF Global 

leading up to MF Global’s bankruptcy filing and, indeed, right up to November 3, 2011; the 

Chairman’s use of personal email to perform official business; the fact that CFTC’s 

examination processes for MF Global at the time were not written down, were not required to 

conform to audit standards or other standards, and were not subject to peer review or other 

internal review or examination; and that MF Global was unable to satisfy document requests 

during its final week sufficient to permit CFTC to obtain an accurate picture of MF Global’s 

customer fund balances as MF Global experienced a “run” on the firm during its final days. 

• In conjunction with the Council of Inspectors General on Financial Oversight (CIGFO), OIG 

completed its participation in a CIGFO Working Group to examine the rules, procedures, and 
ii

practices established by Financial Stability Oversight Counsel and its member agencies to 

designate financial market utilities (FMU) as systemically important and therefore subject to 

certain requirements of Title VIII of the Dodd-Frank Act. OIG completed an audit of 

CFTC’s process to designate financial market utilities as systemically important, and 

submitted this data for analysis by the Working Group and inclusion in the CIGFO report, 

CIGFO Audit of the Financial Stability Oversight Council's Designation of Financial Market 

Utilities, issued in July 2013. 

• In accordance with the Accountability of Tax Dollars Act of 20021

, OIG contracted for and 

began monitoring the required fiscal year (FY) 2013 audit of the CFTC financial statements. 

• In accordance with the Dodd-Frank Act,

2 OIG contracted for and began monitoring the 

required FY 2013 audit of the CFTC Customer Protection Fund. 

• OIG contracted for and began monitoring an audit of CFTC’s FY 2013 implementation of the 

Federal Information Security Management Act (FISMA).

• OIG began a review of the CFTC’s leased space at its Kansas City field office, and other 

offices, to evaluate whether leased space is being used efficiently.

• OIG contracted for and began monitoring an audit that will assess the review process 

employed by CFTC examination staff in the Division of Swap Dealer and Intermediary 

Oversight to evaluate financial information received from Futures Commission Merchants 

and Retail Foreign Exchange Dealers in compliance with CFTC regulatory requirements 

including CEA section 1.16 and 1.17. The audit may also evaluate policies and procedures 

CFTC employs to ensure that registrants holding customer funds remain in compliance with 

CFTC requirements. 

• OIG contracted for and began monitoring a survey audit of CFTC’s resource allocation on 

information technology for achieving its strategic regulatory goals of ensuring sound 

markets, mitigating systemic risk, and monitoring intermediaries.

• OIG contracted for and began monitoring an audit of the CFTC Consumer Outreach 

Program’s efforts for enhancing awareness of regulatory resources and protections available 

to commodity market users against fraud.

• During the prior reporting period, OIG opened a preliminary investigation into allegations of 

misuse of confidential information by economists in the Office of Chief Economist. During 

the reporting period, OIG converted this preliminary investigation into a review. At the end 

of this reporting period, work on this project was ongoing. 

 

 1 P.L. 107-298, 116 Stat. 2049 (2002). 2 Dodd-Frank Wall Street Reform and Consumer Protection Act, P.L. 111-208, 124 Stat. 1376 (2010). 
iii

TABLE OF CONTENTS

EXECUTIVE SUMMARY .............................................................................................................I

INDEX OF IG ACT REPORTING REQUIREMENTS ............................................................... V

INTRODUCTION .......................................................................................................................... 1

CFTC PROGRAMS AND OPERATIONS ........................................................................................... 1

OIG RESPONSIBILITIES ................................................................................................................ 1

OIG RESOURCES.......................................................................................................................... 2

COMPLETED AUDITS, INSPECTIONS, EVALUATIONS, REVIEWS AND OTHER 

PROJECTS ..................................................................................................................................... 3

COMPLETED AUDITS .................................................................................................................... 3

Audit of the CFTC’s Participation in the Financial Stability Oversight Council’s Process to 

Designate Systemically Important Financial Market Utilities............................................... 3

Audit of CFTC Customer Protection Fund Financial Statement for Fiscal Year 2013 ......... 4

COMPLETED INSPECTIONS, SURVEYS EVALUATIONS, REVIEWS AND OTHER PROJECTS ............... 4

Review of the Commodity Futures Trading Commission’s Oversight and Regulation of MF 

Global, Inc. ............................................................................................................................. 4

IN-PROCESS AUDITS, INSPECTIONS, EVALUATIONS, REVIEWS AND OTHER 

PROJECTS ..................................................................................................................................... 7

IN-PROCESS AUDITS .................................................................................................................... 7

Audit of CFTC’s Financial Statement for Fiscal Year 2013 .................................................. 7

Audit of CFTC’s FY2013 Implementation of the Federal Information Security Management 

Act of 2002 .............................................................................................................................. 8

Audit of CFTC’s Processes to Review Financial Information Submitted by FCM and RFED

................................................................................................................................................. 9

Audit of CFTC’s Resource Allocation on Information Technology for Achieving its Strategic 

Regulatory Goals of Ensuring Sound Markets, Mitigating Systemic Risk, and Monitoring 

Intermediaries......................................................................................................................... 9

Audit of the CFTC Consumer Outreach Program’s Efforts for Enhancing Awareness of 

Regulatory Resources and Protections Available to Commodity Market Users Against 

Fraud..................................................................................................................................... 10

IN-PROCESS INSPECTIONS, SURVEYS, EVALUATIONS, REVIEWS AND OTHER PROJECTS............. 10

Review of Research and Publication Processes in CFTC’s Office of Chief Economist....... 10

Review of CFTC’s Use of Leased Space in Kansas City, Headquarters, and New York Field 

Offices................................................................................................................................... 11

AUDIT REPORTS AND REVIEWS OVER SIX MONTHS OLD............................................. 11

CORRECTIVE ACTION NOT COMPLETED ..................................................................................... 11

CORRECTIVE ACTION COMPLETED ............................................................................................ 11

MANAGEMENT DECISION NOT MADE......................................................................................... 11

INVESTIGATIONS ..................................................................................................................... 12
iv

COMPLETED INVESTIGATIONS.................................................................................................... 12

ONGOING INVESTIGATIONS........................................................................................................ 12

SUMMARY OF MATTERS REFERRED TO PROSECUTORIAL AUTHORITIES ............... 12

CONGRESSIONAL INQUIRIES ................................................................................................ 12

LEGISLATIVE, REGULATORY AND RULE REVIEWS........................................................ 13

INTRODUCTION AND SUMMARY ................................................................................................. 13

RULE REVIEWS INITIATED IN PREVIOUS REPORTING PERIODS ................................................... 13

RULE REVIEWS INITIATED THIS REPORTING PERIOD.................................................................. 13

LEGISLATIVE ACTIVITIES........................................................................................................... 13

OTHER REVIEWS ...................................................................................................................... 14

OTHER REVIEWS AND ACTIVITIES. ............................................................................................ 15

SUMMARY OF EACH REPORT MADE TO THE AGENCY HEAD CONCERNING 

REQUESTS FOR INFORMATION OR ASSISTANCE............................................................. 15

REVISED MANAGEMENT DECISIONS.................................................................................. 15

INSPECTOR GENERAL DISAGREEMENT............................................................................. 15

GAO LIAISON............................................................................................................................. 15

STRATEGIC PLAN FOR THE OFFICE OF THE INSPECTOR GENERAL .......................... 16

INVESTIGATIVE AGENDA ........................................................................................................... 16

LEGISLATIVE AND REGULATORY REVIEW AGENDA................................................................... 16

AUDIT, INSPECTION, SURVEY, EVALUATION AND REVIEW AGENDA.......................................... 17

Introduction........................................................................................................................... 17

Annual Audits........................................................................................................................ 17

Annual Review and Evaluation............................................................................................. 18

Other Audits, Inspections, Surveys, Evaluations, Reviews and Projects.............................. 18

RESOURCES REQUIRED .............................................................................................................. 19

CONTACTING THE OFFICE OF THE INSPECTOR GENERAL............................................ 19

TABLE 1 – REPORTS ISSUED WITH QUESTIONED COSTS............................................... 20

TABLE 2 – REPORTS ISSUED WITH RECOMMENDATIONS............................................. 21
v

INDEX OF IG ACT REPORTING

REQUIREMENTS

Section 4(a)(2) ....................Review of legislation and regulations......................................13

Section 5(a)(1) ................... Significant problems, abuses and deficiencies.............................i

Section 5(a)(2) ................... Recommendations with respect to significant problems..................i

Section 5(a)(3) ...................Significant recommendations that have not been completed..........11

Section 5(a)(4) ....................Matters referred to prosecutorial authorities............................12

Section 5(a)(5) ................... Summary of instances where information was refused.................15

Section 5(a)(6) ...................Completed audit, inspection and evaluation reports......................3

Section 5(a)(7) ....................Significant reports...............................................................i

Section 5(a)(8) ....................Statistical Table—Questioned Costs.....................................20

Section 5(a)(9) ................... Statistical Table—Funds Recommended for Better Use...............21

Section 5(a)(10) ..................Audit, inspection and evaluation reports lacking..........................

 management decision.......................................................11

Section 5(a)(11) ................. Significant revised management decisions...............................15

Section 5(a)(12) .................Significant management decisions where the IG disagrees............15

Section 5(a)(13) ................. Information described under the Federal Financial Management.......

 Improvement Act of 1996............................................................8

Section 6(b)(2) ....................Summary of reports to Chairman where assistance was refused.....15
OFFICE OF THE INSPECTOR GENERAL

COMMODITY FUTURES TRADING COMMISSION

SEMIANNUAL REPORT

FOR THE PERIOD FROM

April 1, 2013 – September 30, 2013

1

INTRODUCTION

1. CFTC Programs and Operations

Congress created the Commodity Futures Trading Commission in 1974 as an 

independent agency with the mandate to regulate commodity futures and options markets in the 

United States. The Commission’s mandate was renewed and/or expanded in 1978, 1982, 1986, 

1992 and 1995. In December 2000, the Commission was reauthorized by Congress and the 

President through Fiscal Year 2005 with the passage of the Commodity Futures Modernization 

Act of 2000 (CFMA). In May of 2008, Congress reauthorized the CFTC through Fiscal Year 

2013. On July 21, 2010, the President signed into law the Dodd-Frank Wall Street Reform and 

Consumer Protection Act (Dodd-Frank Act), P.L. 111-203, which expanded the CFTC’s 

jurisdiction and authorities. 

The CFTC is responsible for fostering the economic utility of futures markets by 

encouraging their competitiveness and efficiency, ensuring their integrity and protecting market 

participants against manipulation, abusive trade practices and fraud. Through effective oversight 

regulation, the CFTC enables the commodity futures markets better to serve their vital function 

in the nation’s economy–providing a mechanism for price discovery and a means of offsetting 

price risks. The Dodd-Frank Act authorizes the CFTC to regulate swap dealers, increase 

transparency and improve pricing in the derivatives marketplace, and lower risk to the American 

public. 

The CFTC operating divisions are: Office of the Chairman, Office of the Executive 

Director, Office of General Counsel, Office of the Chief Economist, Division of Clearing and 

Risk, Division of Data and Technology, Division of Enforcement, Office of International Affairs, 

Division of Market Oversight, and Division of Swap Dealer and Intermediary Oversight. In 

addition to its headquarters office in Washington, DC, the CFTC maintains offices in Chicago, 

Illinois; Kansas City, Missouri; and New York, New York. 

2. OIG Responsibilities

The CFTC OIG was created in 1989 in accordance with the 1988 amendments to the 

Inspector General Act of 1978 (P.L. 95-452). OIG was established as an independent unit to: 

• Promote economy, efficiency and effectiveness in the administration of CFTC programs and 

operations and detect and prevent fraud, waste and abuse in such programs and operations; 

• Conduct and supervise audits, inspections, evaluations, reviews, projects and, where 

necessary, investigations relating to the administration of CFTC programs and operations; 
2

• Review existing and proposed legislation, regulations and exchange rules and make 

recommendations concerning their impact on the economy and efficiency of CFTC programs 

and operations or the prevention and detection of fraud and abuse; and 

• Keep the Chairman and Congress fully informed about any problems or deficiencies in the 

administration of CFTC programs and operations and provide recommendations for 

correction of these problems or deficiencies. 

It is the duty and responsibility of the OIG to conduct, supervise and coordinate audits 

relating to CFTC programs and operations in accordance with generally accepted government 

auditing standards. OIG is also charged with the duty and responsibility to recommend changes 

to existing and proposed CFTC programs and operations to promote economy, efficiency and 

effectiveness and to prevent and detect fraud and abuse. 

The purpose of OIG audits, inspections, evaluations, reviews and projects generally is to 

ensure that:

• Funds have been expended in a manner consistent with related laws, regulations and policies; 

• Resources have been managed effectively and efficiently; 

• Stipulated program objectives have been achieved; 

• Agency operations have not been subject to improper influence or corruption; and 

• Resources have been safeguarded. 

OIG operates independent of the Agency and has not experienced any interference from 

the CFTC Chairman in connection with the conduct of any investigation, audit, inspection, 

evaluation, review or project, and our investigations have been pursued regardless of the rank or 

party affiliation of the target. In some instances, OIG has recommended improvement to futures 

regulation efforts. 

CFTC is a designated Federal entity (DFE) under the IG Act of 1978, as amended, 5 USC 

App. 3 sec. 8G(a)(2). The Dodd-Frank Wall Street Reform and Consumer Protection Act altered 

the relationship between the DFE Inspectors General and the agency head by clarifying that 

“head” of a DFE means “the board or commission of the designated Federal entity.” P.L. 111-

203, Title IX, Subtitle I, sec. 989B, 124 Stat. 1945 (codified at 5 USC App. 3 sec. 8G(a)(4)). 

The effective date of this provision was July 22, 2010. The OIG has not experienced any 

interference from the head of the CFTC in the conduct of its official duties. 

3. OIG Resources

OIG consists of the Inspector General, an Acting Assistant Inspector General for Audit, a 

full-time Senior Auditor, two Attorney-Advisors, and a secretary. The Inspector General 

assumed his position on October 7, 1990. The Acting Assistant Inspector General for Audit 
3

joined the office in March 2011, the full-time Senior Auditor joined the office in 1999, and the 

Attorney-Advisors joined in 2007 and 2013, respectively. 

COMPLETED AUDITS, INSPECTIONS, EVALUATIONS,

REVIEWS and OTHER PROJECTS

1. Completed Audits

a. Audit of the CFTC’s Participation in the Financial Stability Oversight Council’s 

Process to Designate Systemically Important Financial Market Utilities

Background

The Council of Inspectors General on Financial Oversight (CIGFO) was established 

under the Dodd-Frank Act to facilitate information sharing among its IG members, provide a 

forum for discussion of IG member work as it relates to the broader financial sector, and evaluate 

the effectiveness and internal operations of the Financial Stability Oversight Council (FSOC). 

During the reporting period, the CIGFO established an IG working group to examine the rules, 

procedures, and practices established by FSOC and its member agencies to designate financial 

market utilities (FMU) as systemically important and therefore be subject to the requirements of 

Title VIII of the Dodd-Frank Act. In furtherance of this group objective, in February 2013, OIG 

began an Audit of the CFTC’s Participation in the Financial Stability Oversight Council’s 

Process to Designate Systemically Important Financial Market Utilities. 

Audit Objective

The objective of this audit was to determine how CFTC management contributed to 

FSOC establishing its initial universe of FMUs. In addition, OIG reviewed CFTC management’s 

processes going forward to help FSOC monitor FMU activity in order for FSOC to designate 

additional FMUs as systemically important and, when appropriate, to rescind an FMU 

designation. 

Status

CFTC OIG completed its field work in March 2013 and during this reporting period 

submitted its work for inclusion with the final report issued by the CIGFO working group. 

CFTC OIG’s assistance completed with publication of the final report, CIGFO Audit of the 

Financial Stability Oversight Council's Designation of Financial Market Utilities, in July 2013.1

 1 Available here: 

http://www.treasury.gov/about/organizational-structure/ig/OIG%20Sorter/CIGFO_AUDIT_71713.pdf
4

b. Audit of CFTC Customer Protection Fund Financial Statement for Fiscal Year 2013

Background

Section 745(g)(5)(I) of the Dodd-Frank2 Act requires the Agency to submit to Congress a 

yearly report on the Commission’s whistleblower award program that includes a complete set of 

audited financial statements, including a balance sheet, income statement, and cash flow 

analysis. The OIG is undertaking this required audit. 

Audit Objective

The objective of this audit is to render an opinion on the CFTC’s Customer Protection 

Fund’s financial statements and report on the Customer Protection Fund’s internal controls over 

financial reporting and compliance with laws and regulations. As part of this audit, the OIG will 

also review the agency’s report to designated Congressional committees on activities of the 

Customer Protection Fund during the previous year.

Status

During this reporting period CFTC OIG contracted with an independent public 

accounting firm to perform this audit, and the audit was in process at the close of the reporting 

period. The audit report was issued on October 30, 2013.

2. Completed Inspections, Surveys Evaluations, Reviews and Other Projects

Review of the Commodity Futures Trading Commission’s Oversight and Regulation

of MF Global, Inc.

Background.

On November 30, 2011, Senator Richard Shelby requested that OIG perform a “review of 

the oversight and regulation by the Commodity Futures Trading Commission of MF Global,

Inc.” (MF Global). On October 31, 2011, MF Global Holdings, Ltd. and MF Global Finance 

USA, Inc. filed for bankruptcy protection in the Southern District of New York under Chapter 11 

of the Bankruptcy Code. On the same day, the United States District Court for the Southern 

District of New York entered an order granting the application of the Securities Investor 

Protection Corporation (“SIPC”) for issuance of a Protective Decree adjudicating that the 

customers of MF Global were in need of protection afforded by Securities Investor Protection 

Act, and appointing a Trustee to oversee the liquidation. The Trustee eventually reported that 

MF Global suffered a shortfall in segregated property available to return to customers (“customer 

segregated funds”) totaling “approximately $900 million in domestic accounts (both 

 2 Dodd-Frank Wall Street Reform and Consumer Protection Act, P.L. 111-208, 124 Stat. 1376 (2010). 
5

commodities and securities), plus an additional approximately $700 million related to trading by 

customers on foreign exchanges.”3

 The Senator requested the following:

• A detailed account of the CFTC’s role in overseeing and regulating MF Global, 

including an assessment of whether its oversight and regulation of MF Global

differed in any material way from its oversight and regulation of other futures 

commission merchants;

• A detailed account of how the CFTC coordinated with the Chicago Mercantile 

Exchange (“CME”), the designated self-regulatory organization for MF Global, in 

overseeing MF Global’s customer segregated funds;

• A summary of relevant examination manuals or other guidance for staff involved in 

overseeing and regulating MF Global or monitoring the CME’s oversight of MF 

Global;

• An analysis of whether and how the CFTC’s oversight of MF Global changed after 

the CFTC’s enforcement actions against MF Global in December 2007 and December 

2009;

• An analysis of the CFTC’s role in the determination that caused MF Global to 

increase its net capital in August 2011;

• An analysis of the CFTC’s activities with respect to MF Global in the week prior to 

the liquidation;

• An analysis of whether CFTC Chairman Gary Gensler’s decision to recuse himself 

from matters relating to the MF Global investigation is consistent with the CFTC’s 

official recusal policy; and

• An analysis of whether and how a decision by CFTC Chairman Gary Gensler to 

recuse himself from previous matters relating to MF Global would have been 

consistent with the CFTC’s official recusal policy.

 3 Report of Trustee’s Investigation and Recommendations (“Trustee’s Report”), page 2, filed June 4, 2012, In re MF 

Global, Inc., Case No. 11-2790 (MG) SIPA, US Bankruptcy Court, Southern District of New York. A link to the 

Trustee’s Report is available here: http://dm.epiq11.com/MFG/Project. 
6

Status

CFTC OIG issued its report on May 16, 2013.4

 In order to complete the report, CFTC 

OIG interviewed more than 30 individuals, including market professionals, current and former 

CFTC employees, and others. In addition, CFTC OIG reviewed document production by the 

Agency and by representatives for the MF Global Trustee. We noted that, in the aftermath of 

MF Global, a number of regulatory and industry initiatives were implemented to increase the 

safety of customer funds, including increased reporting requirements, notification requirements 

for large transfers of customer funds out of protected accounts, changes to permissible 

investments that may be made with customer segregated funds, and a prohibition against internal 

transactions among affiliates with customer funds.5

 These regulatory adjustments addressed the 

more obvious issues that arose in connection with MF Global’s collapse. 

Our report noted additional concerns, including: 

• FCM oversight processes in place in October 2011 at the CFTC. These concerns may 

be generally addressed in connection with an ongoing audit titled, “CFTC’s Processes 

to Review Financial Information Submitted by FCM and RFED.”6

• CFTC staff were not able to obtain same day access to all documentation for MF 

Global’s cap, seg, and secured statement for the final Wednesday of operations 

(October 27, 2011). With CFTC’s higher ranking supervisory auditor in Chicago 

teleworking on both Thursday and Friday of MF Global’s final week, we wonder if 

the request was not taken as seriously as it might have been had she been on site with 

staff, both by virtue of her position and because she took a leadership role in the MF 

Global Chicago Office during its final days. 

• During the final days of MF Global, it appears that multiple regulators were making 

duplicative requests for status and information from MF Global, and from each other. 

We were concerned that the lack of coordination wasted both time and effort by all 

involved. Specifically we noted the lack of communication between CFTC and 

CME, and between CFTC and SIPC. 

• We were concerned with the Chairman’s use of personal email to conduct official 

business. Our review of the Chairman’s personal email was limited to MF Globalrelated communications as necessary to address the issues raised by Senator Shelby. 

• We were concerned with the Chairman’s determination to withdraw from 

participation. Because OGE regulations as interpreted by the General Counsel and 

 4 The report is available here: 

http://www.cftc.gov/ucm/groups/public/@aboutcftc/documents/file/oigregulationmfglobal.pdf (redacted) (MF 

Global Report). 

5 The regulatory response is detailed in our MF Global report at page 58, n.224. 

6 See discussion of this audit at page 8. 
7

Designated Agency Ethics Official did not require a recusal in this situation,7 whether 

to refrain voluntarily from participation in order to avoid improper appearances 

involved a significant judgment call. While seeking guidance at the outset would 

have been preferable, we agree with the General Counsel and Designated Agency 

Ethics Official that the Chairman violated no OGE regulation by requesting ethics 

advice while participating. Nevertheless, seeking ethics advice only when the matter 

became a public sensation – after both leading the Agency’s response to the ongoing 

crisis and voting to authorize the Enforcement investigation – was not the most 

desirable course. It is the extent of his participation prior to requesting advice that is 

troubling. After requesting advice, the Chairman’s actions in withdrawing from 

participation ran counter to the advice he received. The decision to withdraw from 

participation disadvantaged the Commissioner who was not as involved as the 

Chairman in the intricacies of the MF Global situation. 

Following issuance of this report, the Chairman of the House Committee on Government 

Oversight and Reform requested access to the Chairman’s personal email used to conduct 

official business (involving MF Global and all other matters), culminating in a hearing to address 

the use of personal email to conduct official business by the Chairman and other government 

officials.

8

 

IN-PROCESS AUDITS, INSPECTIONS, EVALUATIONS,

REVIEWS and OTHER PROJECTS

1. In-Process Audits

a. Audit of CFTC’s Financial Statement for Fiscal Year 2013

Background

In 2002, Congress passed the Accountability of Tax Dollars Act.9 The Act requires the 

CFTC, along with numerous other Federal entities, to obtain an independent financial statement 

audit each year. During the reporting period, the Inspector General selected an independent 

public accountant (IPA) to render an opinion on the agency’s financial statements for Fiscal Year 

 7 The OGC’s advice may be accessed here: 

http://www.cftc.gov/ucm/groups/public/@freedomofinformationact/documents/file/participationmattersmfg.pdf. 

Please see pages 15 (approving the Chairman’s participation prior to November 3) and fn. 188 and accompanying 

text (stating the General Counsel and Designated Agency Ethics Official on November 3 advised the Chairman that 

recusal was not required at that time). 

8 House Committee on Government Oversight and Reform, Preventing Violations of Federal Transparency Laws, 

Hearing before the Full Committee on Government Oversight and Reform, 113th Cong., 1st sess., September 10, 

2013. Testimony of all witnesses available here: http://oversight.house.gov/hearing/preventing-violations-offederal-transparency-laws/. 9 P.L. 107-298, 116 Stat. 2049 (2002). 
8

2013 in accordance with generally accepted auditing standards, Government Auditing Standards,

Office of Management and Budget (OMB) Bulletin 01-02 and OMB Circular A-136.

Audit Objective

The objective of this audit is to render an opinion on the CFTC’s financial statement and 

report on internal controls and compliance with laws and regulations. 

Status

 

The Fiscal Year 2013 audit began during this reporting period with an entrance 

conference with senior agency managers, the OIG and representatives from the IPA. Further 

meetings and reviews have taken place throughout this reporting period while work on the audit 

is ongoing. Due to the October 2013 Government shutdown, OMB changed the due date to 

December 16, 2013. The IPA will deliver the final audit report to the Office of the Inspector 

General in December 2013.

10 

b. Audit of CFTC’s FY2013 Implementation of the Federal Information Security 

Management Act of 2002

Background

The Federal Information Security Management Act of 2002 (FISMA)11 outlines the 

information security management requirements for agencies, and includes an annual independent 

evaluation of an agency’s information security program and practices to determine their 

effectiveness. FISMA requires the annual evaluation to be performed by the agency’s Office of 

the Inspector General (OIG). The objective of this audit is to perform an independent evaluation 

of the CFTC’s FY 2013 implementation of FISMA. As part of this audit, the OIG will also 

assess the CFTC’s privacy program and privacy impact assessment processes as described in the 

Agency’s FISMA package. 

Status

CFTC OIG contracted with an independent public accounting firm to conduct the audit. 

Work on this audit was ongoing at the close of the reporting period. The planned completion 

date is November 12, 2013.

 10 The IG Act and the Federal Financial Management Improvement Act of 1996 (FFMIA) require the Inspectors 

General of certain agencies to report “instances and reasons” when the Agency has not met intermediate target dates 

established in a remediation plan to bring the Agency’s financial management system into substantial compliance 

with the FFMIA. CFTC is not subject to the FFMIA; however, it voluntarily seeks to comply with its 

requirements. During this reporting period, there were no events giving rise to a duty to report under FFMIA.

11 Public Law 107-347
9

c. Audit of CFTC’s Processes to Review Financial Information Submitted by FCM and 

RFED

Background

In May of this year, CFTC OIG issued its Review of CFTC’s Oversight and Regulation 

of MF Global, Inc.12 Among other concerns, we noted that the examination processes for 

Futures Commission Merchants (FCM) at the time had no manuals, were not performed in 

accordance with generally accepted audit standards, and that the teams assigned to perform FCM 

reviews had no peer review or other internal review requirement. In addition, we voiced concern 

with staff documentation requests to assure the safety of customer funds. This audit will assess 

the process CFTC examination staff, in the Division of Swap Dealer and Intermediary Oversight, 

undertake in their review of financial information submitted by FCM and Retail Foreign 

Exchange Dealers in compliance with CFTC regulatory requirements, including CEA sections

1.16 and 1.17. The audit may also evaluate policies and procedures CFTC employs to ensure 

that registrants holding customer funds remain in compliance with CFTC requirements. 

Concerns expressed regarding MF Global may be addressed in a broader context. 

Status

CFTC OIG contracted with an independent public accounting firm to conduct the audit. 

Fieldwork for this audit was ongoing at the close of the reporting period. The planned 

completion date is March 10, 2014. 

d. Audit of CFTC’s Resource Allocation on Information Technology for Achieving its 

Strategic Regulatory Goals of Ensuring Sound Markets, Mitigating Systemic Risk, 

and Monitoring Intermediaries

Background

Since FY 2011, Congress has set aside specific funding levels to encourage the 

Commission to focus on technology as a key component of its surveillance and oversight 

program. CFTC OIG will audit CFTC’s resource allocation on information technology for 

achieving its strategic regulatory goals of ensuring sound markets, mitigating systemic risk, and 

monitoring intermediaries. 

Status

CFTC OIG contracted with an independent public accounting firm to conduct the audit. 

Fieldwork for this audit was ongoing at the close of the reporting period. The planned 

completion date is March 10, 2014. 

 12 See fn. 4.
10

e. Audit of the CFTC Consumer Outreach Program’s Efforts for Enhancing 

Awareness of Regulatory Resources and Protections Available to Commodity 

Market Users Against Fraud

Background

The CFTC website states: “CFTC’s Office of Consumer Outreach continually strives to 

provide effective information and tools to help consumers avoid fraud.”13 CFTC OIG is 

conducting an audit of the CFTC Consumer Outreach Program’s efforts for enhancing awareness 

of regulatory resources and protections available to commodity market users against fraud. 

Status

CFTC OIG contracted with an independent public accounting firm to conduct the audit. 

This audit was ongoing at the close of the reporting period. The planned completion date is 

March 10, 2014. 

2. In-Process Inspections, Evaluations, Reviews and Other Projects

a. Review of Research and Publication Processes in CFTC’s Office of Chief Economist

Background

During the previous reporting period, OIG opened a preliminary investigation into 

allegations of misuse of confidential information by CFTC contract employees in the Office of 

Chief Economist; this preliminary investigation was ongoing at the close of the last reporting 

period. In the absence of evidence of specific instances of violations of federal statutes or 

regulations,14 during this reporting period CFTC OIG determined to convert this project to a 

review of the research and publication processes in the CFTC’s Office of the Chief Economist. 

Status

Our review was ongoing at the end of the reporting period. To date we have interviewed 

over 30 individuals in the Office of the Chief Economist; the Office of General Counsel; the 

Office of Data Technology; the Office of Security and Emergency Management (within the 

Office of Logistics and Operations); and, within the Office of the Executive Director, employees 

in the Office of Human Resources, in the Procurement sub-office of the Office of Financial 

Management. We have reviewed papers proposed for publication and papers previously 

published by individuals working in the Office of the Chief Economist. We have researched 

applicable statutes and regulations. We are in the drafting phase of the process. 

 13 http://www.cftc.gov/ConsumerProtection/Resources/index.htm. 14 On April 4, 2013, CFTC publicly revealed that it “had not confirmed specific incidents of improper or 

unauthorized data disclosure, but review is ongoing.” Lynch, S. (2013, April 24). CME Group Sparked Shutdown 

of CFTC's Academic Research Program. Reuters (available at: http://www.reuters.com/article/2013/04/24/cftccme-research-idUSL2N0D91IT20130424). 
11

b. Review of CFTC’s Use of Leased Space in Kansas City, Headquarters, and New 

York Field Offices

Background

CFTC OIG issued a review of small purchases in 2012.15 Our field work for this review

drew our attention to the fact that the Kansas City Office currently is not staffed at capacity; we 

viewed at least 30 empty workspaces (offices and cubicles) during our interviews there. The 

new offices in Kansas City at the time were less than a year old and we realized some staffing 

increases might be anticipated; however, since our report issued the Kansas City Board of Trade 

building has been sold, with all trading moved to Chicago. In our review of small purchases, and 

in our previous Seminannual Report,16 we noted the issue and advised that if space is not being 

used, we believe steps should be taken to reduce associated costs, perhaps through subleasing. 

Our review will analyze unused leased space at CFTC, and make recommendations as 

warranted. 

Status

Field work for this review, including document review and interviews, was ongoing at 

the close of the reporting period. 

AUDIT REPORTS and REVIEWS OVER SIX MONTHS OLD

1. Corrective Action not Completed

There were no instances of audit reports over six months old where corrective action had 

not been completed. 

2. Corrective Action Completed

There were no instances of reports issued before the commencement of the reporting 

period for which corrective action had been completed by the end of the reporting period. 

3. Management Decision not Made

There were no instances of a report issued before the commencement of the reporting 

period for which a management decision had not been made by the end of the reporting period. 

 15 Our final report issued on December 21, 2012. Available here: 

http://www.cftc.gov/ucm/groups/public/@aboutcftc/documents/file/oig_finalreview122112.pdf. 16 CFTC OIG Semiannual Report for the Period Ending March 31, 2013, page 9. Available here: 

http://www.cftc.gov/ucm/groups/public/@aboutcftc/documents/file/oigsar033113.pdf. 
12

INVESTIGATIONS

1. Completed Investigations

The Inspector General Act of 1978, as amended, provides that the Inspector General may 

receive and investigate complaints or information from Commission employees and other 

sources concerning the possible existence of an activity constituting a violation of law, rules or 

regulations, or mismanagement, abuse of authority, or gross waste of funds, or a substantial and 

specific danger to the public health and safety. No investigations were pending as of the 

beginning of this reporting period. No investigations were opened during this period. 

2. Ongoing Investigations

The CFTC OIG does not comment on all ongoing investigations and may not disclose the 

existence of all investigations. Ongoing investigations that have become public, through the 

press or otherwise, will be discussed in semi-annual reports, absent exigent circumstances. At 

the close of the reporting period, there were no ongoing investigations. As previously stated, 17

the preliminary investigation opened during the prior reporting period was converted to a review 

of research and publication practices in the Office of the Chief Economist.

SUMMARY OF MATTERS REFERRED TO 

PROSECUTORIAL AUTHORITIES

No matters were referred to prosecutorial authorities during this reporting period. 

CONGRESSIONAL INQUIRIES

The Inspector General continues to be involved in legislative activities pertaining to both 

the CFTC and the IG community. The IG serves on the legislation committee for the Council of 

Inspectors General on Integrity and Efficiency, which discusses and provides guidance on 

pending legislation affecting the IG community. 

During the reporting period OIG fielded requests for assistance from members of 

Congress and staff. 

 17 See page 10. 
13

LEGISLATIVE, REGULATORY AND RULE REVIEWS

1. Introduction and Summary

As specified in Section 4(a)(2) of the Inspector General Act of 1978, OIG reviews the 

impact of existing and proposed legislation and regulations on CFTC programs and operations 

and makes recommendations regarding more effective or efficient alternatives or protections 

against fraud and abuse. OIG also reviews exchange rule proposals circulated to senior staff at 

CFTC. 

OIG notifies the responsible Divisions as to any concerns with draft and final documents 

relating to legislation, rules (including exchange rules) or investigations. Initial discussions are 

usually informal. The OIG actively monitors the proposed rules and regulations under 

development as a result of Dodd-Frank Act. Formal comments were not submitted to the 

Commission during this reporting period.

2. Rule Reviews Initiated in Previous Reporting Periods

There were no rule reviews initiated in previous reporting periods which were continued 

into this reporting period. 

3. Rule Reviews Initiated this Reporting Period

No rule reviews were initiated during this reporting period.

4. Legislative Activities

OIG tracked legislation impacting programs and operations of the CFTC and of the 

Office of Inspector General, and made contact with Congressional staff concerning various 

agency and IG issues as appropriate. The IG served on the legislation committee for the Council 

of Inspectors General on Integrity and Efficiency, which comments on proposed amendments to 

the IG Act and other legislation affecting the IG community. 
14

OTHER REVIEWS

An important function in each Agency OIG is the peer review process. The Inspector 

General community’s annual report, A Progress Report to the President, Fiscal Year 2007,

18

described the processes for audits and investigative peer reviews as follows:

Government Auditing Standards require that audit organizations conducting audits 

of Federal agencies undergo peer reviews every 3 years. The IG community has 

implemented a process to meet this requirement. The purpose of the peer review 

is to determine whether the reviewed audit organization’s internal quality control 

systems are adequate and provide reasonable assurance that applicable auditing 

standards, policies and procedures are met.

Similarly, investigative peer reviews are conducted to ensure compliance with the 

requirements of the Quality Standards for Investigations and determine whether 

adequate internal safeguards and management procedures exist to ensure that law 

enforcement powers are properly exercised.19

Section 989C of the Dodd-Frank Act implemented a requirement to include in each OIG 

semiannual report an appendix containing 

• The results of any peer review conducted by another Office of Inspector General during 

the reporting period; or if no peer review was conducted within that reporting period, a 

statement identifying the date of the last peer review conducted by another Office of 

Inspector General;

• A list of any outstanding recommendations from any peer review conducted by another 

Office of Inspector General that have not been fully implemented, including a statement 

describing the status of the implementation and why implementation is not complete; and

• A list of any peer reviews conducted by the Inspector General of another Office of the 

Inspector General during the reporting period, including a list of any outstanding 

recommendations made from any previous peer review (including any peer review 

conducted before the reporting period) that remain outstanding or have not been fully 

implemented.

In accordance with Section 989C of the Dodd-Frank Wall Street Reform and Consumer 

Protection Act (“Dodd-Frank Act”), Pub. L. 111-203, 124 Stat. 1376 (2010), please be advised 

that no peer review was conducted by the CFTC OIG during this reporting period, and no peer 

reviews were performed of CFTC OIG operations. There currently remain no outstanding 

recommendations from peer reviews previously conducted by or of CFTC OIG. The last peer 

review of the audit function conducted by another Office of Inspector General was completed on 

 18 http://www.ignet.gov/randp/fy07apr.pdf. 19 Id. at p.19. 
15

March 31, 2011. The last peer review of the investigative function conducted by another Office 

of Inspector General was completed on March 27, 2013.

2. Other Reviews and Activities

No other review activity took place during this reporting period. 

SUMMARY OF EACH REPORT MADE TO

THE AGENCY HEAD CONCERNING REQUESTS FOR 

INFORMATION OR ASSISTANCE

No reports were made to the Agency head under section 6(b)(2) concerning information 

or assistance unreasonably refused or not provided (mandated under section 5(a)(5) of the Act).

REVISED MANAGEMENT DECISIONS

No management decisions were revised during this reporting period.

INSPECTOR GENERAL DISAGREEMENT

The Inspector General did not disagree with any management decisions on OIG 

recommendations during this reporting period. In 2006, the CFTC OIG issued a report titled 

“Review of the Need for a Western Regional Office in Los Angeles.” That report recommended, 

among other things, that the Commission review the feasibility of reestablishing the former Los 

Angeles field office. That recommendation was not carried out largely due to budget constraints. 

In January 2008, partially in response to a Congressional inquiry, CFTC OIG updated its analysis 

and on March 12, 2008, issued a follow-up report which reiterated the earlier recommendation. 

In January 2009, the Acting Chairman issued a decision declining to implement the 

recommendation generally due to cost considerations, but required the Agency on a yearly basis 

to provide to OIG an analysis of regional case filing statistics and costs associated with cases in 

various regions of the country. The Division of Enforcement submitted their yearly analysis to 

OIG during the Acting Chairman’s remaining time in office. In light of current funding stresses 

at CFTC, we realize the practicalities of the situation will not permit expansion at this time. We 

advise the Agency to retain westward expansion as a long term goal. 

GAO LIAISON

OIG is charged with providing policy direction for, and conducting, supervising, and 

coordinating audits and investigations relating to CFTC programs and operations. In addition, 

OIG is required to recommend policies for, and conduct, supervise, and coordinate with other 
16

Federal agencies, state and local governmental agencies, and nongovernmental entities, audits, 

investigations, reviews and evaluations regarding the economy, efficiency, and effectiveness of 

CFTC programs and operations. 

GAO also conducts audits of CFTC activities, and OIG plans its audits so as not to 

duplicate GAO's efforts. Moreover, OIG in its audit, review and inspection activities identifies 

the goals of each endeavor and the methods of reaching the goals so as to minimize the 

requirements placed on CFTC resources. 

STRATEGIC PLAN FOR THE 

OFFICE OF THE INSPECTOR GENERAL

1. Investigative Agenda

The Inspector General Act of 1978, as amended, provides that the Inspector General may 

receive and investigate complaints or information from the Commission's employees concerning 

the possible existence of an activity constituting a violation of law, rules or regulations, or 

mismanagement, gross waste of funds, abuse of authority or a substantial and specific danger to 

the public health and safety.

OIG has to date conducted only a reactive investigative program chiefly relying on 

unsolicited employee complaints as the source of investigative leads. However, allegations and 

complaints are also received from the general public and Congress. This reactive program has 

resulted in only a handful of investigations per year. This strategy was followed because OIG 

believed that an independent regulatory agency such as the CFTC, without grant money or 

substantial contracts to award, was not likely to generate a substantial investigative workload.

To insure that employee complaints could easily reach OIG, a 24-hour hotline was 

established in February 1993 to receive complaints. The hotline phone number is (202)418-

5510.

Because of the necessarily reactive nature of OIG's investigative program, no 

investigative agenda has been established.

2. Legislative and Regulatory Review Agenda

Because of the importance of this activity in a financial and economic regulatory agency, 

OIG reviews proposed and final CFTC regulations, legislation and selected exchange rules using 

six basic criteria, to wit, whether the agency: (1) has identified specifically the problem(s) to be 

addressed by the proposal; (2) has defined through case study or data analysis a clear link 

between the proposed solution and the identified problem(s); (3) has specified clearly the means 

to effectively and efficiently enforce the proposal; (4) has assessed the likely efficiency and 

effectiveness of alternative solutions; (5) can reasonably document that the proposal will yield 
17

positive net benefits over the long term; and (6) has met the requirements of the Regulatory 

Flexibility Act and the Paperwork Reduction Act.

The Regulatory Flexibility Act requires the agency to evaluate the impact of its 

regulations on small entities. The Paperwork Reduction Act requires the agency to manage 

effectively and efficiently its information collections so that they are the least burdensome 

necessary to achieve the stipulated objectives.

Because OIG does not initiate legislation or, generally, regulations, OIG legislative and 

regulatory review program is reactive to the legislative and regulatory proposals developed by 

others. Accordingly, no independent legislative and regulatory review agenda has been 

established. 

3. Audit, Inspection, Survey, Evaluation and Review Agenda

a. Introduction

The primary objectives of the OIG audit, inspection, evaluation and review agenda is to 

promote long-term efficiency and effectiveness in the administration and operation of the 

Commission and to protect against fraud and abuse. The audit, review, evaluation, and 

inspection agenda and priorities for OIG are determined based on the following factors:

• Adequacy of internal control systems as indicated by vulnerability assessments and 

internal control reviews recommended by OMB Circular A-123;

• Changes in the program conditions or particular vulnerability of the organization, 

program, activity, or function to problems or deficiencies;

• Current and potential dollar magnitude and likely benefits of a review on the 

efficiency or effectiveness of CFTC programs and operations;

• Management priorities and improvements that may be possible;

• Results of audits of CFTC programs and operations by other Federal agencies; and

• Availability of audit resources and the potential opportunity costs to the agency.

b. Annual Audits

The following required audits are performed on an annual basis.

Audit of CFTC Financial Statements

In FY 2002, Congress passed the Accountability of Tax Dollars Act. The Act requires 

the CFTC, along with numerous other Federal entities, to have its financial statements audited 
18

annually. To this end, OIG has engaged a contractor to provide the audit effort required to 

enable the contractor to render an opinion on the agency’s financial statements for each fiscal 

year in accordance with generally accepted auditing standards, Government Auditing Standards 

and OMB Bulletin 07-04.

Audit of the CFTC Customer Protection Fund

Section 745(g)(5)(I) of the Dodd-Frank Act requires the CFTC to submit to Congress a 

yearly report on the Commission’s whistleblower award program that includes a complete set of 

audited financial statements, including a balance sheet, income statement, and cash flow 

analysis. The OIG is undertaking this required audit.

c. Annual Reviews and Evaluations

We will perform the following review and evaluation on an annual basis:

Review of Compliance with the Federal Managers Financial Integrity Act, FMFIA

In support of OMB Circular A-123 (Revised), the Inspector General will evaluate, 

provide technical assistance and advise the agency head as to whether the agency's review and 

evaluation process was conducted in accordance with the circular's requirements.

Evaluation of the CFTC Compliance with the Federal Information Security Management Act, 

FISMA

The Federal Information Security Management Act requires the Inspector General or his 

designee to perform annual independent evaluations of the information security program and 

practices of the agency. This compliance may also be performed through an audit. 

Review of Agency Compliance with the Improper Payments Elimination and Recovery Act

On July 22, 2010, President Obama signed into law the Improper Payments Elimination 

and Recovery Act. IPERA directs each agency’s Inspector General to review agency improper 

payment reporting in the agency’s Annual Financial Report. The Office of the Inspector General 

will annually review the agency compliance with IPERA. 

At the discretion of the Inspector General, the projects described above periodically may 

be performed as audits. 

d. Other Audits, Inspections, Surveys, Evaluations, Reviews and Projects

Looking to the long term, the OIG intends to focus the balance of its resources on the 

review of the management and operation of the agency and compliance with Congressional 

mandates. OIG plans to concentrate its efforts in reviewing activities relating to the most serious 

management challenges facing the CFTC. 
19

In addition, OIG is aware of the immense regulatory undertaking required under the 

Dodd-Frank Act. OIG will seek to identify issues and to conduct inspections, reviews, 

investigations and other activities relating to these management and regulatory challenges. 

Finally, OIG will stand ready to respond to issues and requests as they are received from 

Congress, the Agency and members of the public or any other source. 

e. Resources Required

OIG estimates that approximately one staff year of effort will be devoted over each of the 

next five years to the annual audit, the annual review, and the annual evaluation described above. 

However, OIG is updating its audit universe in view of CFTC’s increased responsibilities under 

the Dodd-Frank Act and will reevaluate its staffing needs once the update is complete. Revision 

of the CFTC OIG audit procedures and other remediation-related tasks, and all other 

investigations, inspections, evaluations, review and other projects will consume up to two and a 

half staff years. Because OIG resources can be diverted at any time to an investigation, audit, 

inspection, survey, evaluation, review, or other project that responds to current concerns or 

allegations, and must be completed in a timely fashion in order to be of assistance to the Agency 

or Congress, it is impossible to forecast with complete accuracy how resources will be utilized 

from year to year. In FY 2014 we anticipate hiring one additional full time staff. Due to staff 

size, we will continue to utilize outside independent auditors to perform OIG audits as necessary. 

CONTACTING THE OFFICE OF THE 

INSPECTOR GENERAL

OIG is located at 1155 21st Street, N.W., Washington, D.C. 20581. Regular business 

hours are between 8:30 AM and 5:00 PM, Monday through Friday, except Federal holidays. The 

telephone number is (202)418-5110. The facsimile number is (202)418-5522. The hotline 

number is (202)418-5510. The OIG web page is located at: 

http://www.cftc.gov/About/OfficeoftheInspectorGeneral/index.htm. 
20

Table 1

Reports Issued with Questioned Costs

(April 1, 2013 – September 30, 2013)

Dollar Value

Thousands

Number Questioned Unsupported

A. For which no management decision has 

been made by the commencement of the

reporting period 0 0 0

B. Which were issued during the reporting 

period 0 0 0

Subtotals (A + B) 0 0 0

C. For which a management decision was 

made during the reporting period 0 0 0

( I ) dollar value of 

disallowed costs 0 0 0

( ii ) dollar value of costs not 

disallowed 0 0 0

D. For which no management decision

has been made by the end of the

reporting period 0 0 0
21

Table 2

Reports Issued with Recommendations

That Funds be Put to Better Use

(April 1, 2013 – September 30, 2013)

Dollar Value

Number Thousands

A. For which no management decision has 

been made by the commencement of the

reporting period 0 0

B. Which were issued during the reporting 

period 0 0

Subtotals (A + B) 0 0

C. For which a management decision was 

made during the reporting period 0 0

( i ) dollar value of 

recommendations that

were agreed to by management

0 0

( ii ) dollar value of 

recommendations that

were not agreed to by

management 0 0

D. For which no management decision

has been made by the end of the

reporting period 0 0
Report FRAUD, WASTE or ABUSE

in connection with

CFTC Programs and Operations

to the Office of the

INSPECTOR GENERAL.

You may report ANONYMOUSLY.

(202) 418-5510 

HOTLINE 

THE INSPECTOR GENERAL

NEEDS YOUR HELP TO ASSURE 

THE INTEGRITY OF CFTC’S 

PROGRAMS AND OPERATIONS.

 

 

 

 

Office of the Inspector General 

Commodity Futures Trading Commission 

1155 21ST Street, N.W. 

Washington, D.C. 20581