Case: 1:15-cv-02881 Document #: 406 Filed: 05/13/22 Page 1 of 8 PageID #:24582

IN THE UNITED STATES DISTRICT COURT 

FOR THE NORTHERN DISTRICT OF ILLINOIS 

EASTERN DIVISION 

U.S. COMMODITY FUTURES 

TRADING COMMISSION, 

Plaintiff, 

v. 

KRAFT FOODS GROUP, INC. and 

MONDELEZ GLOBAL LLC, 

Defendants, 

Civil Action No: 15-2881 

Hon. John Robert Blakey 

CONSENT ORDER 

On April I, 2015, Plaintiff Commodity Futures Trading Commission (the "Commission" 

or "CFTC") filed a Complaint for Injunctive Relief, Civil Monetary Penalties, and Other 

Equitable Relief (Dkt. I) against Defendants Kraft Foods Group, Inc. and Mondelez Global LLC 

(collectively, "Defendants") alleging that Defendants used or attempted to use a manipulative or 

deceptive device in connection with the December 2011 wheat futures contract traded on the 

Chicago Board of Trade (Count !), manipulated or attempted to manipulate the price of the 

December 2011 wheat futures contract and of cash wheat (Count II), unlawfully held December 

2011 wheat futures positions in excess of speculative position limits (Count III), and engaged in 

wash sales or fictitious sales by trading both sides of EFP contracts (Count IV) in violation of 

Sections 4a(b), 4a(e), 4c(a), 6(c)(l), 6(c)(3), and 9(a)(2) of the Commodity Exchange Act 

("CEA"), 7 U.S.C. §§ 6a(b), 6a(e), 6c(a), 9(1), 9(3), 13(a)(2) (2012), and Commission 

Regulations ("Regulations") 1.38, 150.2, 180.1, and 180.2, 17 C.F.R. §§ 1.38, 150.2, 180.1, 

180.2 (2019). 
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Defendants filed their Answer (Dkt. 88) on January 15, 2016, and have denied that they 

(1) used or attempted to use a manipulative or deceptive device in connection with the December 

2011 wheat futures contract traded on the Chicago Board of Trade as alleged by the CFTC in 

Count I of the Complaint; (2) manipulated or attempted to manipulate the price of the December 

2011 wheat futures contract and of cash wheat as alleged by the CFTC in Count II of the 

Complaint; (3) unlawfully held December 2011 wheat futures positions in excess of speculative 

position limits as alleged by the CFTC in Count III of the Complaint; and (4) engaged in wash 

sales or fictitious sales by trading both sides of EFP contracts as alleged by the CFTC in Count 

IV of the Complaint. Defendants denied any violation of Sections 4a(b), 4a(e), 4c(a), 6(c)(l), 

6(c)(3), and 9(a)(2) of the CEA, 7 U.S.C. §§ 6a(b), 6a(e), 6c(a), 9(1), 9(3), 13(a)(2) (2012), and 

Regulations 1.38, 150.2, 180.1, and 180.2, 17 C.F.R. §§ 1.38, 150.2, 180.1, 180.2 (2014). 

The CFTC and Defendants have reached a resolution and are settling this action in 

accordance with the terms arising from the Court's settlement conference on March 22, 2019 and 

as set forth below. 

I. CONSENTS AND AGREEMENTS 

To effect settlement of the matters alleged in the Complaint without a trial on the merits 

or any further judicial proceedings: 

1. The CFTC and Defendants consent to the entry of this Consent Order and agree to 

be bound by its terms; 

2. The Court has jurisdiction over the parties and the subject matter of this action 

pursuant to Section 6c of the Act, 7 U.S.C. § 13a-l (2012); 

3. The CFTC has jurisdiction over the conduct and transactions at issue in this action 

pursuant to the Act, 7 U.S.C. §§ 1-26 (2012); 

4. Venue properly lies with this Court pursuant to Section 6c(e) of the Act, 7 U.S.C. 

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§ 13a-l(e) (2012); 

5. The CFTC and Defendants waive any and all rights of appeal from this action. 

6. The CFTC and Defendants consent to the continued jurisdiction of this Court over 

them for the purpose of implementing and enforcing the terms of this Consent Order. 

7. The CFTC and Defendants do not consent to the use of this Consent Order by any 

party in any other proceeding. 

II. INJUNCTION 

Nothing in this Order reflects an agreement or a legal detem1ination that Defendants have 

or have not violated any provision of the CEA. Defendants agree to, and the Court hereby 

orders, the entry of an injunction prohibiting the Defendants from in the future violating any 

provision of the CEA, 7 U.S.C. §§ 1-26 (2018), and Regulations, 17 C.F.R. Pt. 1-190 (2019). 

III. CIVIL MONET ARY PENAL TY 

Defendants agree to pay, and the Cout1 orders, a monetary penalty according to the terms 

set forth below: 

1. Defendant Mondelez Global shall pay a civil monetary penalty in the amount of 

SIXTEEN MILLION DOLLARS ($16,000,000) ("CMP Obligation") within ninety (90) days of 

the date of entry of this Consent Order. Defendants are jointly and severally liable for the CMP 

Obligation. If the CMP Obligation is not paid in full within ninety days of the date of entry of 

this Consent Order, then post-judgment interest shall accrue on the CMP Obligation beginning 

on the date of entry of this Consent Order and shall be determined by using the Treasury Bill rate 

prevailing on the date of entry of this Consent Order pursuant to 28 U.S.C. § 1961 (2012). 

2. Defendant Mondelez Global shall pay the CMP Obligation and any post-judgment 

interest by electronic funds transfer, U.S. postal money order, certified check, bank cashier's 

check, or bank money order. If payment is to be made other than by electronic funds transfer, 

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Case: 1:15-cv-02881 Document #: 406 Filed: 05/13/22 Page 4 of 8 PageID #:24585

then the payment shall be made payable to the Commodity Futures Trading Commission and 

sent to the address below: 

MMAC/ESC/ AMK326 

Commodity Futures Trading Commission 

6500 S. MacArthur Blvd. 

HQ Room 266 

Oklahoma City, OK 73169 

9-amc-ar-cftc@faa.gov 

If payment by electronic funds transfer is chosen, Defendants shall contact Tonia King or her 

successor at the address above to receive payment instructions and shall fully comply with those 

instructions. Defendants shall accompany payment of the CMP Obligation with a cover letter 

that identifies Defendants and the name and docket number of this proceeding. Defendants shall 

simultaneously transmit copies of the cover letter and the fmm of payment to the Chief Financial 

Officer, Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st Street, 

NW, Washington, D.C. 20581. 

3. Partial Satisfaction: Acceptance by the CFTC of any partial payment of 

Defendants' CMP Obligation shall not be deemed a waiver of their obligation to make further 

payments pursuant to this Consent Order, or a waiver of the CFTC's right to seek to compel 

payment of any remaining balance. 

IV. MISCELLANEOUS PROVISIONS 

4. Notice: All notices required to be given by any provision in this Consent Order 

shall be sent certified mail, return receipt requested, with reference to the name and docket 

number of this action, as follows: 

Notice to the CFTC: 

Robert Howell, Deputy Director 

U.S. Commodity Futures Trading Commission, Division of Enforcement 

77 W. Jackson Blvd. 

Chicago, IL 60661 

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Case: 1:15-cv-02881 Document #: 406 Filed: 05/13/22 Page 5 of 8 PageID #:24586

Notice to Defendants: 

Kraft Foods Group, Inc. and Mondelez Global LLC 

C/O Jenner & Block LLP 

Attn: Dean N. Panos and J. Kevin McCall 

353 N. Clark Street 

Chicago, IL 60654-3456 

5. Change of Address/Phone: Until such time as Defendants satisfy in full their 

CMP Obligation as set forth in this Consent Order, Defendants shall provide written notice to the 

CFTC by certified mail of any change to their telephone number or mailing address within ten 

calendar days of the change 

6. Entire Agreement and Amendments: This Consent Order incorporates all of the 

terms and conditions of the settlement among the parties hereto to date. Nothing shall serve to 

amend or modify this Consent Order in any respect whatsoever, unless: (a) reduced to writing; 

(b) signed by all parties hereto; and (c) approved by order of this Court. 

7. Invalidation: If any provision of this Consent Order or if the application of any 

provision or circumstance is held invalid, then the remainder of this Consent Order and the 

application of the provision to any other person or circumstance shall not be affected by the 

holding. 

8. Waiver: The failure of any party to this Consent Order at any time to require 

performance of any provision of this Consent Order shall in no manner affect the right of the 

party at a later time to enforce the same or any other provision of this Consent Order. No waiver 

in one or more instances of the breach of any provision contained in this Consent Order shall be 

deemed to be or construed as a further or continuing waiver of such breach or waiver of the 

breach of any other provision of this Consent Order. 

9. Continuing Jurisdiction of this Court: Upon entry by the Court of this Consent 

Order all of the claims asserted by the CFTC in the Complaint are dismissed with prejudice. 

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However, this Court shall retain jurisdiction of this action to ensure compliance with this 

Consent Order. 

10. Injunctive Provisions: The injunctive provisions of this Consent Order shall be 

binding upon Defendants, upon any person under their authority or control, and upon any person 

who receives actual notice of this Consent Order insofar as he or she is acting in active conce1t or 

participation with Defendants. 

11. Authority: Undersigned Counsel for Defendants hereby warrants that he is the 

attorney for Defendants Kraft Foods Group, Inc. and Mondelez Global LLC, and that this 

Consent Order has been duly authorized by Defendants Kraft Foods Group, Inc. and Mondelez 

Global LLC, and that he has been duly empowered to sign and submit this Consent Order on 

behalf of Defendants Kraft Foods Group, Inc. and Mondelez Global LLC. 

12. Counterparts and Execution: This Consent Order may be executed in two or more 

counterparts, all of which shall be considered one and the same agreement and shall become 

effective when one or more counterparts have been signed by each of the parties hereto and 

delivered (by hand delivery or certified mail) to the other party, it being understood that all 

parties need not sign the same counterpart. Any counterpart or other signature to this Consent 

Order that is delivered by any means shall be deemed for all purposes as constituting good and 

valid execution and delivery by such party of this Consent Order. 

There being no just reason for delay, the Clerk of the Court is hereby directed to enter 

this Consent Order. 

IT IS SO ORDERED on this 

UNIT 

CONSENTED TO AND APPROVED BY: 

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Case: 1:15-cv-02881 Document #: 406 Filed: 05/13/22 Page 7 of 8 PageID #:24588

Kraft Foods Group, Inc. 

Date: -------~ 

·--·------· •----··-~·-- ----------------- -- . 

Mundclez Global LLC: 

Date: May 10, :1022 

/,· Approved a/to form 

( . ··;" .' lj/ ( ,,•· ,·' ' .,, ,/" 

Dc~ln N. P.inus 

.I. Kevin McCall 

Nicole A. Allen 

Thonrns E. Quinn 

knncr & IJlock LLI' 

.\5,l N. Clark Street 

Chicago, IL C,0(,54-3456 

(312) 222-9350 

d panos(jj.!,i en n c r. com 

Circgory S, Kaufinnn 

Evcrshcds Sutherland 

700 Sis th Street, NW 

Washington. DC 20001-3980 

(20 I) JR'.l-tJ:'25 

grcgkau !hwn(f{?l.'Vl..!rshcds~su ti 1crl:i11d. co111 

Allomeys for Krnl't Foods Group, Inc. and 

Mondclcz Global LLC 

7 

_t/~±_J~/.L 

Robcrl I lowcl I 

Douglas Snodgrass 

Aliomeys for U.S. Commodity Futures 

Trading Commission 

Division or Enforcement 

77 W. Jackson lllvd. 

Chicago, II. c,oc,04 

(312) 5%-0590 (Howell) 

(3 12) 596-066'.l (Snodgrass) 

rho we! l(11)cl'tc .gov 

ds1wdgrnss(,1il,.' nc .gov 
Case: 1:15-cv-02881 Document #: 406 Filed: 05/13/22 Page 8 of 8 PageID #:24589

Kraft Foods Group, Inc. 

Date: 5/1 I /2022 

Mondelez Global LLC 

Date: _______ _ 

Approved as to form: 

Dean N. Panos 

J. Kevin McCall 

Nicole A. Allen 

Thomas E. Quinn 

Jenner & Block LLP 

353 N. Clark Street 

Chicago, IL 60654-3456 

(312) 222-9350 

dpanos@jenner.com 

Gregory S. Kaufman 

Eversheds Sutherland 

700 Sixth Street, NW 

Washington, DC 20001-3980 

(201) 383-0325 

gregkaufman@eversheds-sutherland.com 

Attorneys for Kraft Foods Group, Inc. and 

Mondelez Global LLC 

7 

Robert Howell 

Douglas Snodgrass 

Attorneys for U.S. Commodity Futures 

Trading Commission 

Division of Enforcement 

77 W. Jackson Blvd. 

Chicago, IL 60604 

(312) 596-0590 (Howell) 

(312) 596-0663 (Snodgrass) 

rhowell@cftc.gov 

dsnodgrass@cftc.gov