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Commodity Futures Trading Commission 

CEA CASES 

NAME: ROBERT E. WILLEY, EARLE M. COMBS III, RICHARD A. FRYMIRE, AND HOWARD S. 

FISHER 

DOCKET NUMBER: 144 

DATE: JANUARY 4, 1967 

DOCUMENT TYPE: COMPLAINT 

DEPARTMENT OF AGRICULTURE 

WASHINGTON, D.C. 20250 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: Robert E. Willey, Earle M. Combs III, Richard A. Frymire, and Howard S. 

Fisher, Respondents 

CEA Docket No. 144 

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

Act 

There is reason to believe that the respondents named herein have violated 

the Commodity Exchange Act (7 U.S.C. 1 et seq.), hereinafter referred to as the 

Act, and the regulations made pursuant thereto (17 CFR, Part I). 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 Chicago Board of Trade is now and was at all times material to this 

complaint a duly designated contract market under the Act. 

II 

Respondent Robert E. Willey, an individual whose business address is Room 

1502, 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 Chicago Board of Trade. 

III 

Respondent Earle M. Combs III, an individual whose business address is Room 

1502, 141 West Jackson Boulevard, Chicago, Illinois, is now and was at all times 

material to this complaint a member of the Chicago Board of Trade. 

IV 

Respondent Richard A. Frymire, an individual whose business address is Room 

1388, 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 Chicago Board of Trade. 

V 

Respondent Howard S. Fisher, an individual whose business address is Room 

1632, 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 Chicago Board of Trade. 

VI 
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The transactions specified in this complaint were in wheat and soybean 

futures and were entered into on or subject to the rules of the Chicago Board of 

Trade. At all times material herein wheat and soybean futures on the Chicago 

Board of Trade were traded in job lot units of 1,000 bushels and in round lot 

units of 5,000 bushels. 

VII 

Respondents Robert E. Willey, Earle M. Combs III and Richard A. Frymire, 

during the period from May 21, 1965, through February 28, 1966, entered into 

transactions as specified in the tabulation below, which transactions were wash 

sales or were of the character of wash sales. In entering into the said 

transactions the said respondents acted pursuant to, and in accordance with, an 

understanding or arrangement that reciprocal and offsetting purchases and sales 

would be made at little or no price advantage or disadvantage to the respondents 

for whose accounts the purchases and sales were made. 

100> >101> 

Purchase 

Respondent for Respondent Acting Commodity Whose Account As Floor Broker Date and Future Purchase was Made or Trader Unit

5/21/65 March soybeans Willey Willey Round 

5/21/65 March soybeans Combs Combs Job 

8/27/65 March wheat Combs Combs Job 

8/27/65 March wheat Willey Willey Round 11/23/65 March wheat Willey Willey Round 

11/23/65 March wheat Combs Combs Job 11/23/65 March wheat Willey Willey Job 

11/23/65 March wheat Combs Combs Round 

12/8/65 May wheat Combs Combs Job 

12/8/65 September wheat Willey Willey Round 

12/8/65 May wheat Willey Willey Job 

12/8/65 September wheat Combs Combs Round 12/8/65 March soybeans Frymire Willey Job 

12/8/65 March soybeans Combs Combs Round 

12/8/65 May soybeans Frymire Willey Job 

12/8/65 May soybeans Combs Combs Job 12/14/65 May wheat Willey Willey Round 

12/14/65 May wheat Combs Combs Job 

12/14/65 September wheat Willey Willey Job 

12/14/65 September wheat Combs Combs Round 

Sale 

Quantity Respondent Acting Respondent for 

(In Thousands As Floor Broker Whose Account 

Date of Bushels) Price or Trader Sale was Made 

5/21/65 195 2.53-1/4 Combs Combs 

5/21/65 195 2.53-1/4 Willey Willey 

8/27/65 195 1.62-1/2 Willey Willey 

8/27/65 195 1.62-1/2 Combs Combs 

11/23/65 175 1.68 Combs Combs 

11/23/65 175 1.68 Willey Willey 
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 Purchase 

Respondent for Respondent Acting 

 Commodity Whose Account As Floor Broker 

Date and Future Purchase was Made or Trader Unit

 11/23/65 175 1.66- 1/2 Combs Combs 

11/23/65 175 1.66-1/2 Willey Willey 

 12/8/65 195 1.66-7/8 Willey Willey 

12/8/65 195 1.60 Combs Combs 

 12/8/65 195 1.67 Combs Combs 

12/8/65 195 1.60 Willey Willey 

 12/8/65 100 2.69-3/4 Combs Combs 

12/8/65 100 2.69-3/4 Willey Frymire 12/8/65 100 2.72 Combs Combs 

12/8/65 100 2.72 Willey Frymire 

 12/14/65 100 1.73 Combs Combs 

12/14/65 100 1.73 Willey Willey 

 12/14/65 195 1.63-1/2 Combs Combs 

12/14/65 195 1.63-1/2 Willey Willey 

100> >101> 

Purchase 

Respondent for Respondent Acting Commodity Whose Account As Floor Broker Date and Future Purchase was Made or Trader Unit 

12/15/65 May wheat Willey Willey Job 

12/15/65 May wheat Combs Combs Round 12/15/65 September wheat Willey Willey Round 

12/15/65 September wheat Willey Willey Round 

12/15/65 September wheat Combs Combs Job 

12/15/65 September wheat Combs Combs Job 

 

1/10/66 March soybeans Combs Combs Round 

1/10/66 March soybeans Willey Willey Job 

 

2/28/66 March wheat Willey Willey Job 

2/28/66 March wheat Combs -- n1 Round 

n1 A person not a respondent herein. 

Sale 

Quantity Respondent Acting Respondent for 

(In Thousands As Floor Broker Whose Account 

Date of Bushels) Price or Trader Sale was Made 

12/15/65 100 1.70 Combs Combs 

12/15/65 100 1.70 Willey Willey 

12/15/65 100 1.62-3/4 Combs Combs 

12/15/65 95 1.62-7/8 Combs Combs 

12/15/65 100 1.62-3/4 Willey Willey 

12/15/65 95 1.62-3/4 Willey Willey 1/10/66 195 2.78 Willey Willey 

1/10/66 195 2.78 Combs Combs 

 2/28/66 195 1.63-1/4 -- n1 Combs 
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 Sale 

Quantity Respondent Acting Respondent for 

(In Thousands As Floor Broker Whose Account 

Date of Bushels) Price or Trader Sale was Made 

2/28/66 195 1.63-1/4 Willey Willey 

n1 A person not a respondent herein. 

VIII 

Respondents Robert E. Willey, Richard A. Frymire and Howard S. Fisher, during 

the period from November 8, 1965, through May 19, 1966, entered into 

transactions as specified in the tabulation below, which transactions were wash 

sales or were of the character of wash sales. In entering into the said 

transactions the said respondents acted pursuant to, and in accordance with, an 

understanding or arrangement that reciprocal and offsetting purchases and sales 

would be made at little or no price advantage or disadvantage to the respondents 

for whose accounts the purchases and sales were made. 

100> >101> 

Purchase Respondent for Respondent Acting Commodity Whose Account As Floor Broker 

Date and Future Purchase was Made or Trader Unit 

11/8/65 May wheat Willey Willey Round 

11/8/65 May wheat Frymire Fisher Job 11/8/65 July wheat Willey Willey Round 

11/8/65 September wheat Frymire Fisher Round 

 11/8/65 May soybeans Willey Willey Job 

11/8/65 May soybeans Frymire Fisher Round 

 5/9/66 May soybeans Willey Willey Round 

5/9/66 May soybeans Frymire Frymire Job 

 5/10/66 May wheat Willey Willey Job 

5/10/66 May wheat Frymire Frymire Round 

 5/19/66 July wheat Frymire Fisher Round 

5/19/66 July wheat Frymire Fisher Round 

5/19/66 September wheat Willey Willey Round 

Sale 

Quantity Respondent Acting Respondent for 

(In Thousands As Floor Broker Whose Account 

Date of Bushels) Price or Trader Sale was Made 

11/8/65 100 1.65-1/2 Fisher Frymire 

11/8/65 100 1.65-1/2 Willey Willey 11/8/65 195 1.53-1/4 Fisher Frymire 

11/8/65 195 1.55 Willey Willey 

11/8/65 100 2.58-1/2 Fisher Frymire 

11/8/65 100 2.58-1/2 Willey Willey 5/9/66 100 3.00 Frymire Frymire 

5/9/66 100 3.00 Willey Willey 5/10/66 100 1.60 Frymire Frymire 

5/10/66 100 1.60 Willey Willey 5/19/66 125 1.62-1/4 Willey Willey 

5/19/66 70 1.62-3/8 Willey Willey 
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 Purchase 

 Respondent for Respondent Acting 

 Commodity Whose Account As Floor Broker 

Date and Future Purchase was Made or Trader Unit 

5/19/66 195 1.64 Fisher Frymire 

IX 

The transactions in wheat and soybean futures specified in [ILLEGIBLE 

TEXT]agraphs VII and VIII hereof, were capable of being used for (1) [ILLEGIBLE 

TEXT]ging a transaction in interstate commerce in wheat or soybeans, [ILLEGIBLE 

TEXT]pectively, or the products or by-products thereof, or (2) deter[ILLEGIBLE 

TEXT]ing the price basis of a transaction in interstate commerce in [ILLEGIBLE 

TEXT]at or soybeans, respectively, or (3) delivering wheat or soybeans, 

[ILLEGIBLE TEXT]pectively, sold, shipped, or received in interstate commerce. 

X 

By reason of the facts alleged in this complaint the respondents: [ILLEGIBLE 

TEXT] entered into transactions which were, or were of the character [ILLEGIBLE 

TEXT] wash sales and fictitious sales, in wilful violation of section of the Act 

(7 U.S.C. 6c); and (2) executed purchases and sales commodities for future 

delivery in a manner which was not open [ILLEGIBLE TEXT] competitive, in wilful 

violation of section 1.38 of the regula[ILLEGIBLE TEXT]ons (17 CFR 1.38). 

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

served upon the said respondents. The respondents [ILLEGIBLE TEXT]ll have 

twenty (20) days after the receipt of this complaint in [ILLEGIBLE TEXT]ch to 

file with the Hearing Clerk, United States Department of [ILLEGIBLE 

TEXT]iculture, Washington, D. C. 20250, an answer with an original five copies, 

fully and completely stating the nature of the [ILLEGIBLE TEXT]se and admitting 

or denying, specifically and in detail, each 

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

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

an admission of all the allegations of this complaint and a waiver of hearing. 

The filing of an answer in which all of the material allegations of fact 

contained in the complaint are admitted likewise shall constitute a waiver of 

hearing unless a hearing is requested. The respondents are hereby notified that 

unless hearing is waived, a hearing will be held at 10:00 a.m., local time, on 

March 7, 1967, in Chicago, Illinois, at a place therein to be specified later, 

before a referee designated to conduct such hearing. At such hearing, the 

respondents will have the right to appear and show cause, if any there be, why 

an order should not be made suspending or revoking the registrations of 

respondents Robert E. Willey, Richard A. Frymire and Howard S. Fisher as floor 

brokers, and directing that all contract markets refuse all trading privileges 

to each respondent for such period of time as may be determined. 

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

the said respondents at least twenty (20) days prior to the date set for 

hearing. 

Done at Washington, D. C. 

January 4, 1967. 

[SEE SIGNATURE IN ORIGINAL] 

Assistant Secretary 

George L. Mehren 

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