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Commodity Futures Trading Commission 

CEA CASES 

NAME: RICHARD D. KOHN, MARSHALL J. STEIN, THOMAS CURTEAN, AND BRIAN H. MCGUIRE 

CITATION: 31 Agric. Dec. 1253 

DOCKET NUMBER: 199 

DATE: OCTOBER 25, 1972 

DOCUMENT TYPE: DECISION AND ORDER 

(No. 14,810) 

In re RICHARD D. KOHN, MARSHALL J. STEIN, THOMAS CURTEAN, and BRIAN H. McGUIRE. 

CEA Docket No. 199. Decided October 25, 1972. 

Floor broker -- Purchases and sales not open and competitive -- Stipulation -

- Brian H. McGuire -- Suspension 

Where respondent Brian H. McGuire's stipulation is accepted, this order is 

issued as to respondent Brian H. McGuire and said respondent is suspended as a 

floor broker under the Act for 15 days. 

Richard W. Davis, Jr., for complainant. 

Harry H. Fortes, Chicago, Illinois, for respondent McGuire. 

Decision by Allen B. Chronister, Acting Judicial Officer

DECISION AND ORDER

PRELIMINARY STATEMENT

This is an administrative proceeding under the Commodity Exchange Act (7 

U.S.C. Chap. 1), instituted by a complaint and notice of hearing issued on 

September 1, 1972, under section 6(b) and (c) of the said Act (7 U.S.C. 9 and 

13b). The respondents are charged with willfully violating section 1.38 of the 

regulations issued under the said Act (17 CFR 1.38). 

No hearing has been held in this proceeding as to respondent Brian H. 

McGuire. On October 17, 1972, this respondent filed a stipulation under section 

0.4(b) of the rules of practice (17 CFR 0.4(b)), in which he (1) admits the 

facts hereinafter set forth in paragraphs 1 and 2 of the Findings of Fact, (2) 

admits, for the purposes of this proceeding and for such purposes only, the 

remaining facts set forth in the Findings of Fact, and (3) waives oral hearing 

on the charges in the complaint and the report of the referee and consents to 

the entry, without further proceedings, of the order contained herein. 

FINDINGS OF FACT

1. Respondent Brian H. McGuire is now, and was at all times material herein, 

a registered floor broker under the Commodity 

Exchange Act and a member of the Chicago Mercantile Exchange, a duly designated 

contract market under the said Act. 

2. The transactions specified herein were in live cattle futures and were 

entered into on or subject to the rules of the Chicago Mercantile Exchange. 

Such transactions could have been used for hedging transactions in interstate 

commerce in cattle or the products or by-products thereof, or for determining 

the price basis of transactions in interstate commerce in cattle, or for 

delivering cattle sold, shipped, or received in interstate commerce. 
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3. On August 21, 1969, and March 24, 1970, the respondents entered into 

transactions as specified in the tabulation below. In entering into such 

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

understanding or arrangement (1) that on August 21, 1969, respodent Stein would 

enter into a spread transaction with respondent McGuire and that respondent Kohn 

would enter into a reciprocal spread transaction with respondent Curtean, (2) 

that on March 24, 1970, respondent Stein would enter into a spread transaction 

with respondent McGuire offsetting that entered into between them on August 21, 

1969, and that respondent Kohn would enter into a spread transaction with 

respondent Curtean offsetting that entered into on August 21, 1969. 

100> >101> 

Purchase 

Respondent for Respondent Whose Account Acting as Quantity 

Commodity Purchase Was Floor Broker (No. of 

Date and Future Made or Trader Contracts) 

8/21/69 October Cattle Stein Stein 100 

8/21/69 December Cattle McGuire McGuire 100 

8/21/69 October Cattle Curtean Curtean 100 

8/21/69 December Cattle Kohn Kohn 100 

3/24/70 October Cattle McGuire McGuire 100 

3/24/70 December Cattle Stein Kohn 100 

8/24/70 October Cattle Kohn Stein 100 

3/24/70 December Cattle Curtean Curtean 100 

Sale Respondent Respondent for 

Acting as Whose Account 

Commodity Price Floor Broker Sale Was 

Date and Future (Per Cwt.) or Trader Made 

8/21/69 October Cattle 26.00 McGuire McGuire 

8/21/69 December Cattle 26.00 Stein Stein 

8/21/69 October Cattle 26.00 Kohn Kohn 

8/21/69 December Cattle 26.00 Curtean Curtean 

3/24/70 October Cattle 30.55 Kohn Stein 

3/24/70 December Cattle 30.55 McGuire McGuire 

8/24/70 October Cattle 30.55 Curtean Curtean 

3/24/70 December Cattle 80.55 Stein Kohn 

CONCLUSIONS

By reason of the facts set forth in the Findings of Fact, it is concluded 

that respondent Brian H. McGuire, as charged in this complaint, executed 

purchases and sales of commodities for future delivery in a manner that was not 

open and competitive, in willful violation of section 1.38 of the regulations 

under the Commodity Exchange Act (17 CFR 1.38). 

The complainant states that the administrative officials of the Commodity 

Exchange Authority have carefully considered the stipulation and the terms of 

the proposed order and they believe that the entry of such an order without 

further proceedings would constitute a satisfactory disposition of this case as 

to Brian H. McGuire, serve the public interest and effectuate the purposes of 

the Commodity Exchange Act. The complainant, therefore, recommends that the 

stipulation be accepted and the proposed orders issued, terminating this 

proceeding as to respondent Brian H. McGuire. 

It is concluded that the complainant's recommendation should be adopted. 

ORDER

1. Effective upon the date of service of this order upon respondent Brian H. 

McGuire, he shall cease and desist from executing any futures transaction 

subject to the Commodity Exchange Act if such transaction is not executed openly 
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and competitively in accordance with section 1.38 of the regulations issued 

under the Commodity Exchange Act (17 CFR 1.38). 

2. Effective on the thirtieth day after the date of entry of this order, (1) 

the respondent is prohibited from trading on or subject to the rules of any 

contract market for a period of 15 days, and all contract markets shall refuse 

all trading privileges to the respondent during this period, such prohibition 

and refusal to apply to all trading done and all positions held by the 

respondent directly or indirectly, and (2) the registration of the respondent as 

floor broker under the Commodity Exchange Act is suspended for a period of 15 

days. 

A copy of this Decision and Order shall be served on each of the parties and 

on each contract market. 

LOAD-DATE: December 15, 2008 
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