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Commodity Futures Trading Commission 

CEA CASES 

NAME: OTTO F. REHDERS 

DOCKET NUMBER: STIPULATION 48 

DATE: DECEMBER 22, 1959 

DOCUMENT TYPE: STIPULATION OF COMPLIANCE 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: Otto F. Rehdars 

Stipulation of Compliance under the Commodity Exchange Act No. 48 

The Secretary of Agriculture has reason to believe that Otto F. Rehders has 

violated the provisions of the Commodity Exchange Act (17 CFR, Chapter 1) and 

the rules and regulations of the Secretary of Agriculture promulgated thereunder 

by virtue of certain transactions in cottonseed oil futures as set forth below. 

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

Otto F. Rehdars is desirous of disposing of the matter by entering into a 

stipulation of compliance, as authorized by section 0.4(a) of the Rules of 

Practice under the Commodity Exchange Act (17 CFR, 0.0-0.28). 

Therefore, the said Otto F. Rehders stipulates that the following facts are 

true: 

1. Otto F. Rehders is an individual whose address is 72 Wall Street, New York 

4, New York. He is a member of the New York Produce Exchange and a registered 

floor broker under the Commodity Exchange Act. 

2. On December 5, 1958, Michael J. Corrigan, a floor trader on the New York 

Produce Exchange, entered the trading ring and advised Otto R. Rehders and other 

floor traders that a customer had a position in cottonseed oil futures that he 

wished to liquidate and then reinstate. 

3. Otto F. Rehdars participated in the liquidation and reinstatement of the 

position by entering into a so-called "switch" trade with Corrigan as set forth 

in the table below. 

Rehders Bought Rehders Sold 

2 May cottonseed oil @ 1312 2 March cottonseed oil @ 1310 

2 March cottonseed oil @ 1310 2 May cottonseed oil @ 1313 

The trades made by Otto F. Rehdars were for his personal account. 

The Commodity Exchange Authority has advised Otto F. Rehders that in its 

opinion the transactions above described are in violation of the Commodity 

Exchange Act and the regulations thereunder, particularly those provisions 

relating to "accommodation trades" and the requirement that all trading be done 

openly and competitively. 

Otto F. Rehders agrees to desist from such practices in the future and to 

comply fully with the requirements of the Commodity Exchange Act and the 

regulations of the Secretary of Agriculture thereunder; and specifically to 

refrain from entering into accommodation trades or executing orders otherwise 

than by open and competitive means. He further understands and agrees that this 

stipulation shall be admissible of acts and practices in violation of the 

Commodity Exchange Act in any proceeding based upon transactions in addition to 

those referred to herein which 
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may hereafter be brought by the Secretary of Agriculture against the said Otto 

F. Rehders under the provisions of the said act. 

Done at New York, New York, this 22nd day of December 1959. 

/s/ Otto F. Rehders 

Otto F. Rehders 

Witnessed by: 

/s/ Roy Tipton 

/s/ Hugh A. Collins 

LOAD-DATE: June 16, 2008 
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