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Commodity Futures Trading Commission 

CEA CASES 

NAME: SECRETARY OF AGRICULTURE V. ALEXANDER K. RUXTON 

DOCKET NUMBER: 26 

DATE: FEBRUARY 19, 1941 

DOCUMENT TYPE: COMPLAINT 

UNITED STATES OF AMERICA 

BEFORE THE SECRETARY OF AGRICULTURE 

CE-A DOCKET NO. 26 

Secretary of Agriculture, Complainant, v. Alexander K. Ruxton, Respondent. 

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

Act. 

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

Exchange Act (7 U.S.C., 1934 ed., and Supp. V, § 1-17a) and the rules and 

regulations promulgated pursuant thereto, in the following manner: 

1. 

Alexander K. Ruxton is an individual trading and doing business at Chicago, 

Illinois. 

2. 

The respondent, at the times mentioned in the complaint, was 

a member of the Board of Trade of the City of Chicago, a contract market 

designated by the Secretary of Agriculture pursuant to the provisions of the 

Commodity Exchange Act. 

3. 

The respondent, at the times mentioned in the complaint, was registered as a 

floor broker with the Secretary of Agriculture under the Commodity Exchange Act 

and is so registered for the calendar year 1941. 

4. 

The respondent, while engaged as a floor broker on the Board of Trade of the 

City of Chicago, executed orders for the purchase and sale of wheat futures 

contracts on said exchange for Uhlmann Grain Company, which orders were for the 

account of customers of Uhlmann Grain Company as set out in detail below: 

Item Date Quantity Clearing Member Trading

No. 1940 (Thousands Wheat Opposite Card 

of bushels No. 

Bought Sold Future Price 

1 Jan. 2 5 May 106 3/4 Uhlmann Grain Co. 98

2 8 25 " 103 1/4 J. J. Bittel & Co. 19

3 9 5 " 103 3/8 Uhlmann Grain Co. 14

4 10 10 " 101 3/4 " " " 84

5 11 10 " 102 " " " 20 

See original document-page 2 

Item Date Quantity Clearing Member Trading
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No. 1940 (Thousands Wheat Opposite Card 

of bushels) No. 

Bought Sold Future Price 6 Jan. 16 10 May 100 1/2 Uhlmann Grain Co. 8

7 22 10 " 101 1/4 " " " 14

8 26 10 " 98 " " " 25

9 30 10 " 96 3/8 J.J. Bittel & Co. 3

9A 30 5 " 96 3/8 " " " 3

10 Feb. 5 5 " 96 3/8 " " " 14

11 8 15 July 95 3/8 Uhlmann Grain Co. 34

12 8 10 " 95 1/4 " " " 34

13 8 5 " 95 5/8 " " " 35

14 16 5 May 100 1/8 J.J. Bittel & Co. 48

15 16 15 " 100 1/2 " " " 48

16 16 10 " 100 1/2 " " " 48

17 16 10 " 100 1/2 " " " 48

18 20 25 " 102 1/2 Uhlmann Grain Co. 17

19 20 25 " 104 1/4 " " " 91

20 23 10 " 107 " " " 23

20A 23 15 " 107 " " " 23

20B 23 5 " 107 " " " 25

5. 

The respondent made purchases and sales of wheat futures contracts on the 

Board of Trade of the City of Chicago for his own account, which transactions 

were cleared for the account of the respondent on the records of Uhlmann Grain 

Company and J. J. Bittel & Company, clearing members of said exchange, as set 

out in detail below: 

100> >101> 

Item Date Clearing Member Quantity 

No. 1940 Carrying Account (Thousands 

of bushels) 

Bought Sold

1 Jan. 2 Uhlmann Grain Co. 5 2 8 J. J. Bittel & Co. 25

3 9 Uhlmann Grain Co. 5

4 10 " " " 10 5 11 " " " 10 6 16 " " " 10 

7 22 " " " 10 

8 26 " " " 10 

9 30 J. J. Bittel & Co. (10 

9A 30 " " " (5 10 Feb. 5 " " " 5 

11 8 Uhlmann Grain Co. 15

12 8 " " " 10

13 8 " " " 5

14 16 J. J. Bittel & Co. 5 

15 16 " " " (15 16 16 " " " (10 

17 16 " " " 10 

18 20 Uhlmann Grain Co. 25 19 20 " " " 25 

20 23 " " " (10 20A 23 " " " (15 

20B 23 " " " (5 

Item Clearing Member Trading

No. Wheat Opposite Card 

No. 

Future Price 
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Item Date Clearing Member Quantity 

No. 1940 Carrying Account (Thousands 

 of bushels) Bought Sold

1 May 106 3/4 Uhlmann Grain Co. 99

2 " 103 1/4 " " " 6

3 " 103 3/8 " " " 62

4 " 101 3/4 " " " 96

5 " 102 " " " 30

6 " 100 1/2 " " " 27

7 " 101 1/4 " " " 11

8 " 98 " " " 26)5M

32)5M

9 " 96 3/8 " " " 23

9A " 96 3/8 " " " 23

10 " 96 3/8 " " " 8

11 July 95 3/8 " " " 57

12 " 95 1/4 " " " 57

13 " 95 5/8 " " " 57

14 May 100 1/8 " " " 41

15 " 100 1/2 " " " 41

16 " 100 1/2 " " " 41

17 " 100 1/2 " " " 41

18 " 102 1/2 " " " 23

19 " 104 1/4 " " " 90)20M

92)5M

20 " 107 " " " 37

20A " 107 " " " 37

20B " 107 " " " 37

6. 

The items appearing in paragraphs 4 and 5, bearing corresponding item 

numbers, represent opposite ends of the same transactions; 

for example, the sale of five thousand bushels of May wheat futures, shown as 

item No. 1 in paragraph 4, and the purchase of five thousand bushels of May 

wheat futures, shown as item No. 1 in paragraph 5, represent opposite ends of 

the same transactions, the respondent becoming the buyer of the futures 

contracts, which he sold for the account of customers, and the seller of futures 

contracts, which he bought for the account of customers. 

7. 

The respondent became the seller, in connection with purchases executed for 

Uhlmann Grain Company, and the purchaser in connection with sales executed for 

Uhlmann Grain Company in all the transactions appearing in paragraphs 4 and 5, 

without obtaining the prior consent of the customer for whom the purchases and 

sales were made, in violation of Section 4b (D) of the Commodity Exchange Act. 

THEREFORE, the respondent is hereby notified to be and appear before a 

referee to be appointed by the Secretary of Agriculture at a hearing to be held 

at 10 o'clock a. m., on 

March 4, 1941, in Room 1026, at 332 South LaSalle Street, Chicago, Illinois, or 

at such other times and places as may be determined by the referee, and then and 

there show cause, if any there be, why an order should not be made revoking the 

registration of the respondent as a floor broker and directing that all contract 

markets, until further notice of the Secretary of Agriculture, refuse all 

trading privileges to the respondent. 
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IT IS ORDERED that this complaint and notice of hearing be served on the 

named respondent by delivery of a true and correct copy hereof to the 

respondent, by an employee of the Department of Agriculture or by registered 

mail, at least ten days prior to the date herein set for the hearing. 

IT IS FURTHER ORDERED that the respondent shall file with the hearing clerk, 

Office of the Solicitor, Department of Agriculture at Washington, D. C., within 

ten days after the receipt of the complaint, an answer signed by the respondent, 

fully and completely stating the nature of any affirmative defense and admitting 

or denying specifically, in detail, each material and relevant allegation of the 

complaint. The failure to file such answer within 

said ten day period may be deemed an admission of the truth of the allegations 

of the complaint for the purpose of this proceeding. 

(SEAL) 

Done at Washington, D. C., this 19th day of February, 1941. Witness my hand 

and the seal of the Department of Agriculture. 

/s/ Grover B. Hill 

Assistant Secretary of Agriculture. 

LOAD-DATE: June 11, 2008 
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