Release: 4733-03
For Release: January 7, 2003

CFTC REVOKES MICHIGAN COMMODITY TRADING ADVISOR’S REGISTRATIONS

WASHINGTON, D.C. -- The U.S. Commodity Futures Trading Commission (CFTC) announced today that on January 7, 2003, it simultaneously filed a Notice of Intent to Suspend, Revoke, or Restrict John F. O’Herron’s Registrations as a Commodity Trading Advisor and as an Associated Person and accepted an offer of settlement from John F. O’Herron of Manistee, Michigan, who agreed to the revocation of his registrations.

Specifically, according to the Notice, on December 14, 2000, the Commission filed a complaint in an injunctive action in the U.S. District Court for the Western District of Michigan against O’Herron, individually, and O’Herron Asset Management, Inc., a Michigan corporation (see CFTC News Release 4482-00, December 22, 2000). On October 9, 2002, the court entered a Consent Order of Permanent Injunction and Other Equitable Relief Against Defendants John O’Herron and O’Herron Asset Management, Inc. (Consent Order) (see CFTC News Release 4713-02, October 16, 2002). Among other things, the Consent Order:

1. permanently enjoined O’Herron from violating the anti-fraud and other sections of the Commodity Exchange Act (CEA) and CFTC regulations;
2. ordered O’Herron to pay $1.4 million in restitution to investors;
3. prohibited O’Herron from participating in the futures industry in any registered or exempt capacity; and
4. prohibited O’Herron from trading on or subject to any registered entity and from engaging in, controlling or directing the trading of any futures or options accounts for or on behalf of any other person or entity.

The CFTC found that this injunctive order entered against O’Herron, and the facts underlying it, constituted good cause under the CEA to revoke O’Herron’s commodity trading advisor and associated person registrations.

O’Herron consented to the entry of the CFTC order finding that his registrations are subject to revocation, suspension or restriction and revoking his registrations as a commodity trading advisor and associated person.

The following CFTC Division of Enforcement staff were responsible for this case: Rosemary Hollinger, Scott Williamson, Robert Greenwald, Mark Bretscher, Donald Nash, and Mary Beth Spear.

A copy of the Commission’s Order and the CFTC Notice of Intent to Suspend, Revoke, or Restrict John F. O’Herron’s Registrations as a Commodity Trading Advisor and as an Associated Person may be obtained at www.cftc.gov.

Media Case Enforcement Contact:
Rosemary Hollinger
Regional Counsel, CFTC Central Regional Office
CFTC Division of Enforcement (312) 596-0520

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