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Commodity Futures Trading Commission 

CEA CASES 

NAME: JOHN E. CRITTENTON 

DOCKET NUMBER: STIPULATION 41 

DATE: SEPTEMBER 8, 1959 

DOCUMENT TYPE: STIPULATION OF COMPLIANCE 

Stipulation of Compliance under the Commodity Exchange Act 

The undersigned John E. Crittenton, a member of the Chicago Board of Trade 

and a registered floor broker under the Commodity Exchange Act, has been advised 

by the Commodity Exchange Authority of an investigation of certain transactions 

in rye futures made by him on the Chicago Board of Trade on February 16, 17, 18, 

20, 24, 25, 26, 27, 1959, and March 2, 3, 4, 5, 9, 10, 11, 12, 13, 16, 17, 18, 

19, 20, 1959. The facts concerning those transactions are at follows: 

The said John E. Crittenton on each of the above dates executed one or more 

trades between his several personal accounts carried with different clearing 

members of the Chicago Board of Trade. In total, on the above-named dates there 

were 59 such trades involving 420,000 bushels of rye in the March, May, July, 

and September 1959 futures. 

The attached schedule given the detail of the trades. 

The undersigned carried accounts with several clearing members, and all such 

accounts were in a deficit status. When time was available, either during or 

after market hours, he would transfer trades between clearing firms for the 

purpose of evening up those positions he did not wish to carry overnight, or to 

establish spread positions. In no instance did he indicate on his cards or to 

the clearing members the nature of these transactions. 

At times transfers were made at prices different from those of the trades 

then open in his account and thus debit balances with certain 

 

 

clearing members were reduced. Necessarily, offsetting losses were established 

with other clearing members. In other instances the trades themselves 

established a profit on one clearing member's books and an offsetting loss with 

another clearing member. 

The Commodity Exchange Authority has advised the undersigned that in its 

opinion the transactions above-described are in violation of certain provisions 

of the Commodity Exchange Act and the rules and regulations promulgated 

thereunder, particularly that portion of the set relating to fictitious trades. 

During the investigation it was learned that the undersigned in connection 

with trades made pursuant to orders received from various clearing members had 

rewritten his trading cards before submitting them to the clearing members 

concerned and had failed to retain the original trading cards for the period 

specified in the act and regulations. The Commodity Exchange Authority has 

advised him that in its opinion failure to retain the original trading cards for 

a period of five years constitutes a violation of the Commodity Exchange Act and 

the rules and regulations promulgated thereunder. 

No complaint with respect to such violations has been issued and the said 

John E. Crittenton is desirous of disposing of this matter by entering into a 

stipulation, as authorized by the Rules of Practice under the Commodity Exchange 

Act (17 CFR, 0.0-0.28). 

 
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Section 0.4(a) of the Rules of Practice provides that at any time prior to 

the issuance of a complaint in any proceeding, the Secretary of Agriculture may, 

in his discretion, enter into a stipulation with a prospective respondent 

whereby the latter admits the material facts and agrees to discontinue the acts 

or practices which are intended to be set up as violative of the act. 

John E. Crittenton stipulates that the above statements regarding his trading 

are true, and he agrees to desist from all such practices in the future and to 

comply fully with the requirements of the act and the regulations of the 

secretary of Agriculture, and specifically to refrain from executing fictitious 

trades, and to retain records as required by the act and regulations. 

The undersigned has been informed that the Commodity Exchange Authority plans 

to publicize the facts contained in this document in order that floor brokers, 

futures commission merchants, and all other users of the futures markets may be 

advised of the views of the Commodity Exchange Authority relating to matters of 

the type covered herein. 

/s/ John E. Crittenton 

John E. Crittenton 

Date: September 8, 1959 

 

Witness: G. Edward Piala 

 

Witness: Samuel F. Gordon 

 

Schedule of Rye Futures Trades Carded by John E. Crittenton to Adjust 

Positions in his Personal Accounts 

Date Purchased for Sold for 

Crittenton's Crittenton's 

1959 Quantity Future Price Account at: Account at: 

(000) Feb. 16 5 July 120 3/4 Becker Brokerage Co. E. M. Combs & Son 

" 17 10 March 137 1/4 H. Corman & Co. E. M. Combs & Son 

" 17 5 May 133 1/2 Baggot & Morrison Becker Brokerage Co. 

" 17 10 May 133 1/2 H. Corman & Co. Becker Brokerage Co. 

" 18 5 May 133 7/8 E. M. Combs & Son H. Corman & Co. 

" 20 10 March 137 1/4 H. Corman & Co. Becker Brokerage Co. 

" 20 5 May 132 3/4 E. M. Combs & Son H. Corman & Co. 

" 24 10 May 132 E. M. Combs & Son H. Corman & Co. 

" 24 5 July 118 H. Corman & Co. E. M. Combs & Son 

" 25 10 March 138 1/2 Baggot & Morrison H. Corman & Co. 

" 25 5 March 138 5/8 H. Corman & Co. E. M. Combs & Son 

" 25 5 July 118 Baggot & Morrison H. Corman & Co. 

" 26 15 March 139 H. Corman & Co. Baggot & Morrison 

" 26 10 July 118 H. Corman & Co. E. M. Combs & Son 

" 27 20 May 135 3/4 H. Corman & Co. Becker Brokerage Co. 

" 27 5 May 119 1/4 Becker Brokerage Co. H. Corman & Co. 

" 27 20 Sept. 117 1/2 Becker Brokerage Co. H. Corman & Co. 

Mar. 2 5 March 139 3/4 E. M. Combs & Son H. Corman & Co. 

" 2 5 March 140 1/4 H. Corman & Co. E. M. Combs & Son 

" 2 10 May 136 Becker Brokerage Co. E. M. Combs & Son 

" 2 5 July 118 3/4 Becker Brokerage Co. H. Corman & Co. 

" 2 5 Sept. 118 1/8 H. Corman & Co. E. M. Combs & Son 

" 3 10 May 135 1/4 Becker Brokerage Co. H. Corman & Co. 

" 4 5 May 135 7/8 Baggot & Morrison Hagerty Grain Co. 

" 4 5 July 119 1/8 H. Corman & Co. E. M. Combs & Son 

" 5 10 May 135 7/8 E. M. Combs & Son Baggot & Morrison 

" 5 5 May 135 7/8 M. Corman & Co. Baggot & Morrison 

" 5 5 May 136 Baggot & Morrison Hagerty Grain Co. 

" 9 5 March 140 1/2 E. M. Combs & Son H. Corman & Co. 

" 9 5 May 137 H. Corman & Co. E. M. Combs & Son 
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Date Purchased for Sold for 

 Crittenton's Crittenton's 

1959 Quantity Future Price Account at: Account at: 

 (000) 

" 9 15 July 120 1/4 Baggot & Morrison H. Corman & Co. 

" 10 5 July 120 1/2 E. M. Combs & Son H. Corman & Co. 

" 10 5 July 120 5/8 H. Corman & Co. Baggot & Morrison 

" 11 5 May 136 7/8 E. M. Combs & Son H. Corman & Co. 

" 11 5 July 120 1/4 E. M. Combs & Son Baggot & Morrison 

" 11 5 July 120 1/2 Baggot & Morrison H. Corman & Co. 

" 11 5 July 120 1/2 Becker Brokerage Co. H. Corman & Co. 

 

See original document-page 4 

Date Purchased for Sold for 

Crittenton's Crittenton's 

1959 Quantity Future Price Account at: Account at: 

(000) Mar. 12 5 May 137 l/4 Baggot & Morrison Becker Brokerage Co. 

" 12 5 May 137 3/4 H. Corman & Co. Becker Brokerage Co. 

" 12 10 July 120 5/8 E. M. Combs & Son H. Corman & Co. 

" 12 15 July 120 7/8 H. Corman & Co. Baggott & Morrison 

" 13 10 March 143 Hagerty Grain Co. Becker Brokerage Co. 

" 13 5 March 143 1/2 Becker Brokerage Co. Baggot & Morrison 

" 13 5 Sept. 117 1/2 Becker Brokerage Co. H. Corman & Co. 

" 16 5 May 138 3/4 E. M. Combs & Son H. Corman & Co. 

" 16 5 May 139 1/2 Becker Brokerage Co. H. Corman & Co. 

" 16 5 July 122 5//8 Hagerty Grain Co. H. Corman & Co. 

" 16 10 July 123 1/2 E. M. Combs & Son H. Corman & Co. 

" 16 5 July 123 3/4 Baggot & Morrison H. Corman & Co. 

" 17 5 March 144 1/2 Baggot & Morrison H. Corman & Co. 

" 17 5 July 123 E. H. Combs & Son Becker Brokerage Co. 

" 18 5 May 139 1/2 H. Corman & Co. Baggot & Morrison 

" 18 5 May 139 1/2 H. Corman & Co. Becker Brokerage Co. 

" 19 10 March 145 1/4 Baggot & Morrison H. Corman & Co. 

" 19 5 March 138 1/4 Baggot & Morrison H. Corman & Co. 

" 19 5 Sept. 119 1/4 H. Corman & Co. Baggot & Morrison 

" 20 5 May 139 H. Corman & Co. Becker Brokerage Co. 

" 20 5 Bay 139 1/2 H. Corman & Co. Becker Brokerage Co. 

" 20 5 Sept. 119 3/8 Baggot & Morrison E. M. Combs & Son 

 

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