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Commodity Futures Trading Commission 

CEA CASES 

NAME: GEORGE S. CASHMAN 

DOCKET NUMBER: 114 

DATE: DECEMBER 9, 1963 

DOCUMENT TYPE: COMPLAINT 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: George S. Cashman, Respondent 

CEA Docket No. 114 

Complaint and Notice of Hearing Under Section 6(b) of the Commodity Exchange 

Act 

There is reason to believe that the respondent, George S. Cashman, has 

violated the provisions of the Commodity Exchange Act (7 U.S.C. § 1 et seq.), 

hereinafter referred to as the Act, and the rules and regulations issued 

pursuant to its requirements (17 CFR, Chapter 1). In accordance with the 

provisions of section 6(b) of the Act (7 U.S.C. § 9), this complaint and notice 

of hearing is issued stating the charges in that respect as follows: 

I 

The respondent, George S. Cashman, an individual whose address is 141 West 

Jackson Boulevard, Chicago, Illinois, is now and was at all times material to 

this complaint a registered floor broker under the Act and a member of the Board 

of Trade of the City of Chicago, hereinafter referred to as the Chicago Board of 

Trade. 

II 

The Chicago Board of Trade is now and was at all times material to this 

complaint a duly designated contract market under the Act. 

III 

On September 20, 1963, the respondent made the following speculative 

purchases and sales of rye futures on the Chicago Board of Trade. 

Future Bushels 

Purchases Sales 

December 1963 410,000 402,000

March 1964 96,000 63,000

May 1964 39,000 24,000

July 1964 8,000 13,000

Total 553,000 502,000

IV 

On August 15, 1962, the respondent entered into a stipulation pursuant to 

section 0.4(a) of the rules of practice governing administrative proceedings 

under the Act (17 CFR 0.4(a)), in which stipulation the respondent admitted that 

on July 18, 1962, he made speculative purchases of rye futures on the Chicago 

Board of Trade which were in excess of the maximum permissible quantity of 

500,000 bushels, in violation of section 4a of the Act (7 U.S.C. § 6a), and the 

order of the Commodity Exchange Commission establishing limits on position and 

daily trading in rye for future delivery (17 CFR § 150.3). The respondent, in 

such stipulation, agreed to cease and desist from the acts set forth therein in 
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the future, and agreed that such stipulation would be admissible as evidence of 

such acts in any subsequent proceeding against the respondent before the 

Secretary of Agriculture. 

V 

By reason of the facts alleged in paragraphs III and IV of this complaint, 

the respondent wilfully violated section 4a of the Act (7 U.S.C. 6a), and the 

order of the Commodity Exchange Commission establishing limits on position and 

daily trading in rye for future delivery (17 CFR 150.3). 

WHEREFORE, it is hereby ordered that this complaint and notice of hearing be 

served upon the respondent. The respondent will have twenty (20) days after the 

receipt of this Complaint in which to file with the Hearing Clerk, United States 

Department of Agriculture, Washington, D.C. 20250, an answer with an original 

and three copies fully and completely stating the nature of the defense and 

admitting or denying, specifically and in detail, each material and relevant 

allegation of this complaint. Allegations not answered will be deemed admitted 

for the purpose of this proceeding. Failure to file an answer will constitute 

an admission of all the material allegations of this complaint and a waiver of 

hearing. The respondent is hereby notified that unless hearing is waived, 

either expressly or by failure to file an answer and request a hearing, a 

hearing will be held at 10:00 a.m., local time, on January 14, 1964, in Chicago, 

Illinois, at a place therein to be specified later, before a referee designated 

to conduct such hearing. At such hearing the respondent will have the right to 

appear and show cause, if any there be, why an order should not be made 

suspending 

or revoking the registration of the respondent as a floor broker, and directing 

that all contract markets refuse all trading privileges to the respondent for 

such period of time as may be determined. 

It is ordered that this complaint and notice of hearing be served on the 

respondent at least twenty (20) days prior to the date set for hearing. 

Done at Washington, D. C. 

December 9, 1963 

George L. Mehren 

Assistant Secretary 

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