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Commodity Futures Trading Commission 

CEA CASES 

NAME: THOMAS JORDAN 

DOCKET NUMBER: 124 

DATE: JANUARY 22, 1965 

DOCUMENT TYPE: COMPLAINT 

UNITED STATES DEPARTMENT OF AGRICULTURE 

BEFORE THE SECRETARY OF AGRICULTURE 

In re: Thomas Jordan, Respondent 

CEA Docket No. 124 

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

Act 

There is reason to believe that the respondent, Thomas Jordan, has violated 

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

and regulations made pursuant thereto (17 CFR, Part 1), and in accordance with 

the provisions of section 6(b) of the said act (7 U.S.C. 9), this complaint and 

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

I 

Respondent, Thomas Jordan, is an individual whose business address is 800 

Whitney Building, New Orleans, Louisiana. At all times material to this 

complaint he was 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 herein a duly 

designated contract market under the Commodity Exchange Act. 

III 

During the period February 20 through May 25, 1964, the respondent made 

trades in wheat futures on the Chicago Board of Trade in accounts carried in the 

names of Thomas Jordan, Thomas Jordan, Inc., and Ingersoll Jordan, All 

transactions in such accounts during such period belonged to or were controlled 

by the respondent. 

IV 

On each day during the periods February 20 through March 10, 1964, and April 

24 through May 25, 1964, the respondent held or controlled total speculative net 

short open contract positions in all wheat futures combined on the Chicago Board 

of Trade in the above named accounts, which positions were in excess of 

2,000,000 bushels. Such positions ranged from 2,005,000 bushels to 2,315,000 

bushels. By reason thereof, the respondent traded in wheat for future delivery 

on a contract market in amounts which resulted in positions in excess of the 

maximum permissible quantity of 2,000,000 bushels in all wheat futures combined, 

in willful violation of section 4a of the Commodity Exchange Act (7 U.S.C. 6a), 

and the order of the Commodity Exchange Commission establishing limits on 

positions and trading in wheat for future delivery (17 CFR 150.1). 

V 
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On March 25 and 26, 1964, the respondent held or controlled a speculative net 

long open contract position in the May 1964 wheat future and a speculative net 

short open contract position in the September 1964 wheat future on the Chicago 

Board of Trade in the above-named accounts, each of which positions amounted to 

2,100,000 bushels. By reason thereof, the respondent traded in wheat for future 

delivery on a contract market in amounts which resulted in positions in excess 

of the maximum permissible quantity of 2,000,000 bushels in a single future, in 

willful violation of section 4a of the Commodity Exchange Act (7 U.S.C. 6a), and 

the order of the Commodity Exchange Commission establishing limits on positions 

and trading in wheat for future delivery (17 CFR 150.1). 

VI 

On each day during the periods specified in paragraphs IV and V hereof, the 

respondent held or controlled net short or net long open contract positions in 

wheat futures on the Chicago Board of Trade in the above-named accounts, which 

positions exceeded 200,000 bushels in a single future. The respondent was, 

therefore, in reporting status during such periods and was required to report to 

the Commodity Exchange Authority with respect to all transactions executed and 

all positions held or controlled by him, in all wheat futures on all contract 

markets during such periods and with respect to all transactions 

by reason of which the respondent's positions were reduced below reporting 

levels, as provided in section 4i of the Commodity Exchange Act (7 U.S.C, 6i), 

and sections 15.01, 15.02, 15.03, 18.00, 18.01 and 18.03 of the regulations 

thereunder (17 CFR. 15.01, 15.02, 15.03, 18.00, 18.01, 18.03). On February 20 

and 24, 1964, March 5 and 26, 1964, and May 15, 1964, the respondent executed 

wheat futures transactions in one or more of the above-named accounts, but the 

respondent filed no reports with respect to such transactions and his positions 

on such dates. By reason of such facts, the respondent willfully violated the 

foregoing provisions of the Commodity Exchange Act and regulations. 

VII 

The respondent filed reports with the Commodity Exchange Authority with 

respect to trading and positions in wheat futures on the Chicago Board of Trade 

in the accounts carried in his name and in the name of Thomas Jordan, Inc., on 

March 9, 10 and 25, 1964, April 24 and 28, 1964, and May 5, 6, 22 and 25, 1964. 

However, the respondent failed to include in such reports the trading and 

positions in the account carried in the name of Ingersoll Jordan, which belonged 

to or were controlled by the respondent. By reason of such facts the respondent 

filed false reports in willful violation of section 4i of the Commodity Exchange 

Act and sections 15.01, 15.02, 15.03, 18.00, 18.01 and 18.03 of the regulations 

thereunder (17 CFR 15.01, 15.02, 15.03, 18.00, 18.01, 18.03). 

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

served upon the said 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 

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 March 17, 1965, in New 

Orleans, Louisiana, 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 directing that all contract markets refuse all trading privileges to the 

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

January 22 1965 

[SEE SIGNATURE IN ORIGINAL] 

George L. Mehren 

Assistant Secretary 

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