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Commodity Futures Trading Commission 

CEA CASES 

NAME: LAIRD, BISSELL & MEEDS INC. 

DOCKET NUMBER: 207 

DATE: FEBRUARY 1, 1973 

DOCUMENT TYPE: COMPLAINT 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: Laird, Bissell & Meeds, Inc., Respondent 

CEA Docket No. 207 

Complaint and Notice of Hearing Under the Commodity Exchange Act 

There is reason to believe that the respondent has violated the Commodity 

Exchange Act (7 U.S.C. Chapter 1), and the regulations made pursuant thereto, 

and this complaint and notice of hearing is issued alleging the following: 

I 

Laird, Bissell & Meeds, Inc., a Delaware corporation, with its principal 

office and place of business at the Dupont Building, Wilmington, Delaware 19899, 

is now and was at all times material herein, a registered futures commission 

merchant under the Commodity Exchange Act. 

II 

At all times material herein the respondent, Laird, Bissell & Meeds, Inc., 

was obligated to prepare and maintain a daily computation and record setting 

forth the amount of money, securities, and property of its customers required to 

be held, and held in segregated accounts in accordance with the requirements of 

section 4d(2) of the Commodity Exchange Act (7 U.S.C. 6d) and section 1.32 of 

the regulations issued thereunder (17 CFR 1.32). 

III 

On July 31, 1972, the daily computation and record which was prepared and 

kept by the respondent, Laird, Bissell & Meeds, Inc., to meet the requirements 

of section 4d(2) of the Commodity Exchange Act (7 U.S.C. 6d) and section 1.32 of 

the regulations (7 CFR 1.32) contained numerous errors which resulted in a 

material misstatement of the amount of customers' money required to be held, and 

held, in segregation. On the said date, the computation of the amount of 

customers' money, securities, and property required to be held in segregated 

accounts was understated by approximately $ 80,000 and the amount of such money, 

securities and property held in segregated accounts was understated by 

approximately $ 91,000. Similar deficiencies in the records of the respondent, 

Laird, Bissell & Meeds, Inc., were called to the respondent's attention in 

writing by representatives of the Commodity Exchange Authority on January 4, 

March 31, and June 14, 1972. 

IV 

Examination of the records of the respondent, Laird, Bissell & Meeds, Inc., 

revealed that as of July 31, 1972, the respondent had failed to apply offsetting 

purchases and sales against previously held short or long speculative positions 

in the accounts of certain customers. The particular accounts involved were 

numbered: Account Nos. 41-2010; 41-2011; 41-3278; 41-3279; 41-6061; 41-6062; 41-

1300; 41-1301; 41-2010; 41-2011; 41-3278; and 41-3279. 
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A similar failure to close out offsetting long and short speculative 

positions in the account of a customer was called to the attention of the 

respondent in writing by representatives of the Commodity Exchange Authority on 

January 4, 1972. 

V 

By reason of the facts alleged in this complaint, the respondent, Laird, 

Bissell & Meeds, Inc., violated section 4d(2) of the Commodity Exchange Act (7 

U.S.C. 6d) and sections 1.32,1.35 and 1.46 of the regulations thereunder (17 CFR 

1.32, 1.35, 1.46). 

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

served upon the respondent and this proceeding shall be governed by sections 

0.1, 0.2, 0.4(b), 0.5 through 0.22 and 0.28 of the rules of practice under the 

Commodity Exchange Act (17 CFR 0.1, 0.2, 0.4(b), 0.5 through 0.22, 0.28). 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 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 

respondent is hereby notified that unless hearing is waived, a hearing will be 

held in New York, New York, at a place therein and date 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 

appropriate order should not be issued in accordance with the Commodity Exchange 

Act directing that the respondent shall cease and desist from violating the Act 

and regulations in the manner alleged herein. 

Done at Washington, D. C. 

February 1, 1973. 

[SEE SIGNATURE IN ORIGINAL] 

CLAYTON YEUTTER 

Assistant Secretary 

LOAD-DATE: June 16, 2008 
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