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Commodity Futures Trading Commission 

CEA CASES 

NAME: A. E. ALBERT A. E. ALBERT & SONS, INC. 

DOCKET NUMBER: 64 

DATE: 1954 

DOCUMENT TYPE: STIPULATION OF COMPLIANCE 

NOTE: STIPULATION WAS NEVER USED. DECISION AND ORDER REPORTED AT 13 AGRIC. DEC. 

1140 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: A. E. Albert A. E. Albert & Sons, Inc. 

Stipulation of Compliance under the Commodity Exchange Act 

WHEREAS, the Secretary of Agriculture has reason to believe that A. E. Albert 

and A. E. Albert & Sons, Inc. have violated the Commodity Exchange Act (7 U.S.C. 

1-17a) and the rules and regulations thereunder (17 CFR, Part 5) by virtue of 

certain transactions involving the purchase and sale of commodities for future 

delivery on contract market, and 

WHEREAS, no complaint with respect to such violations has been issued, and 

WHEREAS, the said A. E. Albert and A. E. Albert & Sons, Inc. desire to enter 

into a stipulation pursuant to the provisions of section 0.4(a) of the Rules of 

Practice under the Commodity Exchange Act (17 CFR 0.4(a)), 

NOW, THEREFORE, the said A. E. Albert and A. E. Albert & Sons, Inc. hereby 

stipulate and agree that the following facts are true: 

1. A. E. Albert is an individual controlling the trading in commodity futures 

in accounts carried in the name of A. E. Albert & Sons, Inc. and is a member of 

the New York Mercantile Exchange. 

2. At all times material to this stipulation, the New York Mercantile 

Exchange was a board of trade, which is duly designated as a contract market 

under the Commodity Exchange Act. 

3. During the periods indicated the long or short positions of said A. E. 

Albert & Sons, Inc. in individual potato futures on the New York Mercantile 

Exchange ranged in size as follows: 

Period (Dates inclusive) Future Range in Position 

Sept. 10, 1953-Nov. 17, 1953 Mar. 1954 41 to 174 carlots short

Sept. 14, 1953-Nov. 15, 1953 Apr. 1954 28 to 75 carlots short

Dec. 17, 1953-Nov. 31, 1954 Nov. 1954 27 to 80 carlots long

Jan. 8, 1954-Jan. 10, 1954 Apr. 1954 27 carlots short

Jan. 20, 1954-Feb. 16, 1954 Mar. 1954 27 to 37 carlots long

Feb. 17, 1954-Mar. 23, 1954 May. 1954 52 to 60 carlots short

May 13, 1954-May. 16, 1954 Nov. 1954 25 carlots long

July 22, 1954-Aug. 4, 1954 Nov. 1954 25 to 35 carlots long

July 22, 1954-Aug. 12, 1954 Mar. 1954 25 to 68 carlots long

(a) By reason of the fact that such positions in the aforementioned periods 

were equal to or in excess of 25 carlots in one potato future on the New York 

Mercantile Exchange, the said A. E. Albert & Sons, Inc. was in reporting status 

and was required to report to the Commodity Exchange Authority with respect to 

all transactions executed and all open contract positions held in all potato 

futures 
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on all boards of trade during the aforementioned periods as provided in section 

41 of the Commodity Exchange Act (7 U.S.C. 6i) and sections 6.10, 6.11, 6.12, 

and 6.21 of the rules and regulations thereunder (17 CFR 6.10, 6.11, 6.12, 

6.21). 

(b) The said A. E. Albert & Sons, Inc. failed to report to the Commodity 

Exchange Authority with respect to purchases and sales and the resulting open 

contracts in 28 instances during the aforementioned periods and moreover reports 

on Form 603 that were filed in behalf of A. E. Albert & Sons, Inc. during the 

aforementioned periods were inaccurate and incomplete in 36 instances in that 

they did not show all purchases and sales and all resulting open contracts held 

by said A. E. Albert & Sons, Inc. in all potato futures on all boards of trade 

as required in section 6.11 of the regulations. 

4. By letter dated July 17, 1952, the Commodity Exchange Authority informed 

the said A. E. Albert & A. E. Albert & Sons, Inc. of the reporting requirements 

under the Commodity Exchange Act and the regulations. On July 25, 1952, 

September 16, 1952, September 25, 1952, October 9, 1952 and on October 7, 1953, 

officials of the Commodity Exchange Authority found it necessary to communicate 

with the said A. E. Albert and A. E. Albert & Sons, Inc. because of failure to 

submit various reports concerning reportable transactions and positions in 

potato futures on the New York Mercantile Exchange and because of its submission 

of incomplete and inaccurate reports concerning 

reportable transactions and positions. Again on January 12, 1954, it was 

necessary for an official of the Commodity Exchange Authority to communicate 

with the said A. E. Albert because of failure to report and failure to file 

accurate and complete reports of said A. E. Albert & Sons, Inc. In this letter 

the said A. E. Albert was advised that his arrangements made with futures 

commission merchants to file reports covering transactions and positions in 

accordance with reporting requirements were unsatisfactory and that it was the 

responsibility of said A. E. Albert and A. E. Albert & Sons, Inc. to insure the 

submittal of full and complete reports. The said A. E. Albert and A. E. Albert 

& Sons, Inc. was therefore fully informed as to their obligation under the Act 

and the regulations to file complete reports whenever trades and positions by 

said A. E. Albert & Sons, Inc. placed it in reporting status, and the failure to 

file reports as required by the Act and the regulations with respect to 

transactions and positions described in paragraphs 3, 3(a), 3(b) above 

constituted wilful violations of section 4i of the Commodity Exchange Act and 

sections 6.10, 6.11, 6.12 and 6.21 of the rules and regulations thereunder. 

In addition to admitting the foregoing facts, the said A. E. Albert and A. E. 

Albert & Sons, Inc. hereby agree to discontinue all such acts and practices and 

all other acts and practices which are in violation of the Commodity Exchange 

Act or the rules and regulations 

thereunder, and do further specifically agree to promptly file for each day on 

which a report is required by the Commodity Exchange Act and regulations a 

single report on Form 603 including all of the information required by section 

6.11 of the regulations (7 CFR 6.11), and to keep books and records showing 

complete details of all reportable transactions and positions as required by 

section 4i of the Act (7 U.S.C. 5i) and sections 1.31, as amended, and 6.14 of 

the regulations (17 CFR and 1952 Supp. 1.31, 6.14). The said A. E. Albert and 

A. E. Albert & Sons, Inc. further specifically agree that this stipulation shall 

be admissible as evidence of acts and practices in violation of section 4i of 

the Commodity Exchange Act in any subsequent proceeding brought against the said 

A. E. Albert and A. E. Albert & Sons, Inc. under the provisions of the said Act. 
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Done at 

this day , 1954. 

 

A. E. Albert 

Witnessed by: 

 

 

A. E. Albert & Sons, Inc. by: 

 

LOAD-DATE: June 12, 2008 
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