Opinion ID: 2996486
Heading Depth: 2
Heading Rank: 1

Heading: Liability Determination

Text: Petitioners’ first claim in this appeal is that there was insufficient evidence presented by the Division to support the entry of summary disposition against them as to liability under Sections 8b and 13(a) of the Act. They devote a significant portion of their briefs to arguing that liability must be supported by more than “suspicious circumstances suggesting the mere possibility of knowing wrongdoing” and that “suspicion, imagination, guess work, speculation, and conjecture cannot do the duty of proof.” (Pet. Br. at 9-10.) No one disagrees with that proposition. The problem for Brenner and Weisner is that the Division has alleged more than just suspicious circumstances, speculation, or conjecture—the record indicates that the Division has offered 10 No. 02-3722 evidence sufficient to support the Commission’s findings of liability at the summary disposition stage. We first note that Brenner admits to violating Section 8b of the Act with respect to the Boylan account. See Pet. Br. at 10 n.3 (“Brenner’s admission regarding that account warrants a summary disposition on that account. . . .”). That admission by itself is sufficient to support the Commission’s finding of liability as to Brenner. As for the Spike Account, the Division presented sufficient evidence to support the determination that Brenner traded on domestic markets using that account. The Division’s evidence established that in April 1997, an account was opened at Spike Trading in Weisner’s name, with her signature on account documents. The Division presented trading records which established that this account was used to trade on domestic markets regulated by the Commission. Finally, the Division offered the testimony of two Spike employees who tied Brenner to the Spike Account. We believe that this evidence was sufficient to support the Commission’s finding that Brenner traded on domestic markets through this account. With respect to the LFG Account, the Division offered uncontroverted evidence that an account at LFG was opened in Weisner’s name in May 1995, and that the account was used to trade on domestic futures markets. The Division offered the testimony of LFG employee Luigi Auriemma, who testified that he believed Brenner traded on this account. The Commission found that this evidence, considered in combination with petitioners’ refusal to respond to the evidence by asserting various privileges, was sufficient to establish liability. Once again, neither Brenner nor Weisner have pointed to any factual issue with respect to this evidence. The evidence was also sufficient to establish that Weisner knew that Brenner was prohibited from trading on ComNo. 02-3722 11 mission-regulated futures markets and yet still assisted her husband in trading in violation of that prohibition. Specifically, the Commission presented the testimony of LFG employee Auriemma, who stated that, based on his contacts with both Brenner and Weisner, he believed Weisner was aware that Brenner was trading on her account. Once the Division had presented evidence to establish liability, the burden fell to the petitioners to come forward with their own evidence creating some factual dispute. “The party opposing summary disposition may not rely on mere allegations, or some metaphysical doubt as to the material facts, but must come forward with sufficient evidence to demonstrate a genuine dispute of material fact.” See In re Staryk, CFTC Docket No. 95-5, 1997 CFTC LEXIS 294, at  (CFTC, Dec. 18, 1997) (citations and quotations omitted) (emphasis added). The petitioners have failed to offer any evidence that would create an issue as to the validity of the Division’s case. Their response amounts to little more than calling attention to potential weak points in the Division’s proof, coupled with their own speculation as to why it should not be believed or what innocent explanation it could support. But a party opposing summary judgment must do more than simply point to weaknesses in the movant’s case or raise some “metaphysical doubt” as to the evidence offered—the non-movant must affirmatively raise an issue of material fact. Though we take the evidence in a light most favorable to the petitioners, we believe that the evidence offered by the Division, combined with the petitioners’ failure to respond to that evidence by invoking various privileges, see Daniels v. Pipefitters’ Ass’n Local Union No. 597, 983 F.2d 800, 802 (7th Cir. 1993) (“ ‘[T]he Fifth Amendment does not forbid inferences against parties to civil actions when they refuse to testify in response to probative evidence offered against them.” (quoting Baxter v. Palmigiano, 425 U.S. 308, 318 12 No. 02-3722 (1976))), is sufficient to support the findings of liability made by the Commission. The petitioners failed to raise any issue of material fact with respect to this evidence; therefore, summary disposition on the issue of liability was appropriate.