2023-07028

[Federal Register Volume 88, Number 65 (Wednesday, April 5, 2023)]
[Notices]
[Pages 20141-20144]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07028]


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COMMODITY FUTURES TRADING COMMISSION


Privacy Act of 1974; System of Records

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice of a modified system of records.

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SUMMARY: This system includes records relevant to investigations 
conducted by the Office of the Inspector General (OIG), including but 
not limited to information regarding individuals who are part of an 
investigation or allegation pertaining to fraud and abuse concerning 
Commodity Futures Trading Commission (CFTC or Commission) programs and 
operations, internal staff memoranda, copies of all subpoenas issued 
during the investigation, affidavits, witness statements, and 
transcripts of testimony.

DATES: Comments must be received on or before May 5, 2023. New routine 
uses will go into effect on May 5, 2023.

ADDRESSES: You may submit comments identified as pertaining to ``Office 
of the Inspector General Investigative Files'' by any of the following 
methods:

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     CFTC Comments Portal: https://comments.cftc.gov. Select 
the ``Submit Comments'' link for this notice and follow the 
instructions on the Public Comment Form.
     Mail: Send to Christopher Kirkpatrick, Secretary of the 
Commission, Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW, Washington, DC 20581.
     Hand Delivery/Courier: Follow the same instructions as for 
Mail, above. Please submit your comments using only one of these 
methods. Submissions through the CFTC Comments Portal are encouraged.
    All comments must be submitted in English, or if not, be 
accompanied by an English translation. Comments will be posted as 
received to comments.cftc.gov. You should submit only information that 
you wish to make available publicly.
    The Commission reserves the right, but shall have no obligation, to 
review, pre-screen, filter, redact, refuse, or remove any or all of a 
submission from comments.cftc.gov that it may deem to be inappropriate 
for publication, such as obscene language. All submissions that have 
been redacted or removed that contain comments on the merits of this 
notice will be retained in the comment file and will be considered as 
required under all applicable laws, and may be accessible under the 
Freedom of Information Act.

FOR FURTHER INFORMATION CONTACT: Marcela Souaya, (202) 418-5137, 
[email protected], Office of the General Counsel, Commodity Futures 
Trading Commission, Three Lafayette Centre, 1155 21st Street NW, 
Washington, DC 20581.

SUPPLEMENTARY INFORMATION: This modification updates the routine uses 
for this system, rescinding the inheritance of the Commission's 
``blanket routine uses'' last published on March 14, 2001 at 76 FR 5973 
and incorporates the routine uses that apply to the records maintained 
in CFTC-32. This modification updates and clarifies the Privacy Act 
exemptions promulgated for this system, and also makes conforming 
changes to align with format requirements in OMB Circular A-108, 
Federal Agency Responsibilities for Review, Reporting, and Publication 
under the Privacy Act.

SYSTEM NAME AND NUMBER:
    Office of the Inspector General Investigative Files; CFTC-32.

SECURITY CLASSIFICATION:
    Unclassified.

SYSTEM LOCATION:
    Office of the Inspector General, Commodity Futures Trading 
Commission, Three Lafayette Centre, 1155 21st Street NW, Washington, DC 
20581. The system will be hosted on a cloud and data center computing 
infrastructure. Duplicate versions of some or all system information 
may be at satellite locations where the CFTC has granted direct access 
to support CFTC operations, system backup, emergency preparedness, and/
or continuity of operations.

SYSTEM MANAGER(S):
    Inspector General, Office of the Inspector General, Commodity 
Futures Trading Commission, Three Lafayette Centre, 1155 21st Street 
NW, Washington, DC 20581, [email protected].

AUTHORITY FOR MAINTENANCE OF THE SYSTEM:
    Commodity Exchange Act, 7 U.S.C. 1 et seq., and regulations, rules 
or orders issued thereunder; Public Law 95-452, as amended, 5 U.S.C. 
app. 3.

PURPOSE(S) OF THE SYSTEM:
    The purpose of this system is to enable the Office of the Inspector 
General to effectively and efficiently intake allegations and conduct 
investigations relating to the programs and operations of the CFTC.

CATEGORIES OF INDIVIDUALS COVERED BY THE SYSTEM:
    Individuals who are part of an allegation or investigation of fraud 
and abuse concerning Commission programs or operations.

CATEGORIES OF RECORDS IN THE SYSTEM:
    This system includes all allegations, all correspondence relevant 
to the investigation; all internal staff memoranda, copies of all 
subpoenas issued during the investigation, affidavits, statement from 
witnesses, transcripts of testimony taken in the investigation and 
accompanying exhibits; documents and records or copies obtained during 
the investigation; incoming allegations and allegation development, 
opening reports, progress reports and closing reports; records 
documenting allegation and investigation file status.

RECORD SOURCE CATEGORIES:
    Information in these records is supplied by: Individuals including, 
where practicable, those to whom the information relates; witnesses, 
corporations and other entities; records of individuals and of the 
Commission; records of other entities; Federal, foreign, State or local 
bodies and law enforcement agencies; documents, correspondence relating 
to litigation, and transcripts of testimony; miscellaneous other 
sources including other nongovernmental sources and open source 
intelligence, including web-based communities, user-generated content, 
social-networking sites, wikis, blogs and news sources maintained on 
the Surface, Deep, and Dark web. The Surface Web is what users access 
in their regular day-to-day activity. It is available to the general 
public using standard search engines and can be accessed using standard 
web browsers that do not require any special configuration. The Deep 
Web is the portion of the web that is not indexed or searchable by 
ordinary search engines. The Dark Web is a less accessible subset of 
the Deep Web that relies on connections made between trusted peers and 
requires specialized software, tools, or equipment to access.

ROUTINE USES OF RECORDS MAINTAINED IN THE SYSTEM, INCLUDING CATEGORIES 
OF USERS AND THE PURPOSES OF SUCH USES:
    These records and information in these records may be disclosed:
    1. The information may be given or shown to any person or entity 
during the course of an Office of the Inspector General (OIG) audit or 
audit activity (audit) if there is reason to believe that disclosure to 
the person or entity will further the audit.
    2. To the Department of Justice or other federal entity, the Merit 
Systems Protection Board, the Office of Special Counsel, or in a 
proceeding before a court, adjudicative body, or other administrative 
body before which the agency is authorized to appear, or in the course 
of civil discovery, litigation, or settlement negotiations, in actions 
authorized under the Commodity Exchange Act and otherwise authorized, 
when:
    a. The agency, or any component thereof; or
    b. Any employee of the agency in his or her official capacity; or
    c. Any employee of the agency in his or her personal capacity where 
the Department of Justice or the agency has agreed to represent the 
employee; or
    d. The United States, when the litigation is likely to affect the 
CFTC or any of its components; is a party to litigation or has an 
interest in such litigation, and the use of such records by the 
Department of Justice or the agency is deemed to be relevant and 
necessary to the litigation.
    3. To a federal, state, local, tribal, foreign, or international 
agency in response to its request for information concerning the hiring 
or retention of an employee; the issuance of a security

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clearance; the reporting of an investigation of an employee; the 
letting of a contract; or the issuance of a license, or other benefit 
by the requesting agency, to the extent that the information is 
relevant and necessary to the requesting agency's decision on the 
matter.
    4. To a federal, state, local, tribal, foreign, or international 
agency, if necessary to obtain information relevant to the CFTC's 
decision concerning the hiring or retention of an employee; the 
issuance of a security clearance; the letting of a contract; or the 
issuance of a license, or other benefit.
    5. In any case in which records in the system, either alone or in 
conjunction with other information, indicates a violation or potential 
violation of law, whether civil, criminal or regulatory in nature, 
whether arising by general statute or particular program statute, or by 
regulation, rule or order issued pursuant thereto, the relevant records 
may be referred to the appropriate agency, whether Federal, foreign, 
State or local, charged with enforcing or implementing the statute, 
regulation, rule or order. This includes a state or federal bar 
association, state accountancy board, or other federal, state, local, 
or foreign licensing or oversight authority; or professional 
association or self-regulatory authority to the extent that it performs 
similar functions (including the Public Company Accounting Oversight 
Board) for investigations or possible disciplinary action, including 
suspension and debarment.
    6. To contractors, performing or working on a contract for the 
Federal government when necessary to accomplish an agency function.
    7. To the Office of Government Ethics to comply with agency 
reporting requirements under the law, including 5 CFR part 2638, 
subpart F.
    8. To a grand jury agent pursuant either to a Federal or State 
grand jury subpoena, or to a prosecution request that such record be 
released for the purpose of its introduction to a grand jury, provided 
that the grand jury channels its request through the cognizant U.S. 
Attorney, that the U.S. Attorney has been delegated the authority to 
make such requests by the Attorney General, and that the U.S. Attorney 
actually signs the letter specifying both the information sought and 
the law enforcement purpose served. In the case of a State grand jury 
subpoena, the State equivalent of the U.S. Attorney and Attorney 
General shall be substituted.
    9. To a Federal agency in response to a subpoena issued by the 
Federal agency having the power to subpoena records of other Federal 
agencies, provided the subpoena is channeled through the head of the 
issuing agency, if the OIG determines that: (a) The head of the issuing 
agency signed the subpoena; (b) the subpoena specifies the information 
sought and the law enforcement purpose served; (c) the records are both 
relevant and necessary to the proceeding; and (d) such release is 
compatible with the purpose for which the records were collected.
    10. To the Department of Justice for the purpose of obtaining its 
advice on an OIG investigation, or other related inquiry, including 
Freedom of Information or Privacy Act matters relating to information 
in this record system.
    11. To the extent authorized or required by law, information 
contained in this system of records may be disclosed to complainants, 
witnesses, victims, and/or individuals with relevant information 
(including experts), to the extent that it will not interfere with the 
investigation.
    12. To any official charged with the responsibility to conduct 
investigations, qualitative assessment reviews, or peer reviews of 
investigative operations within the Office of the Inspector General. 
This disclosure category includes members of the Council of the 
Inspectors General on Integrity and Efficiency or any successor entity 
and officials, designees, and administrative staff within their chain 
of command, as well as authorized officials of the Department of 
Justice and the Federal Bureau of Investigation.
    13. To the news media and general public where there exists a 
legitimate public interest, e.g., to assist in the location of 
fugitives, to provide notification of arrests, where necessary for 
protection from imminent threat of life or property, or in accordance 
with guidelines set out by the Department of Justice.
    14. To the Department of Justice as required by law pertaining to 
government-wide, uniform crime reporting.
    15. To appropriate agencies, entities, and persons when (1) the 
Commission suspects or has confirmed that there has been a breach of 
the system of records, (2) the Commission has determined that as a 
result of the suspected or confirmed breach there is a risk of harm to 
individuals, the Commission (including its information systems, 
programs, and operations), the Federal Government, or national 
security; and (3) the disclosure made to such agencies, entities, and 
persons is reasonably necessary to assist in connection with the 
Commission's efforts to respond to the suspected or confirmed breach or 
to prevent, minimize, or remedy such harm.
    16. To another Federal agency or Federal entity, when the 
Commission determines that information from this system of records is 
reasonably necessary to assist the recipient agency or entity in (1) 
responding to a suspected or confirmed breach or (2) preventing, 
minimizing, or remedying the risk of harm to Individuals, the recipient 
agency or entity (including its information systems, programs, and 
operations), the Federal Government, or national security, resulting 
from a suspected or confirmed breach.
    17. Information may be disclosed to the National Archives and 
Records Administration to the extent necessary to fulfill its 
responsibilities under the law relating to these records.

POLICIES AND PRACTICES FOR STORAGE OF RECORDS:
    Records are stored in this system electronically or on paper in 
secure facilities.

POLICIES AND PRACTICES FOR RETRIEVAL OF RECORDS:
    Investigative files are retrieved by the subject matter of the 
investigation, individual investigated, or by case file number.

POLICIES AND PRACTICES FOR RETENTION AND DISPOSAL OF RECORDS:
    The Office of the Inspector General temporary Investigative Files 
and the index to the files are destroyed 10 years after the case is 
closed. Investigations that involve, as subjects, the Chairman, 
Commissioners, Division Directors, or Office Heads; or result in 
substantive changes in agency policy; or draw significant public 
interest as reflected in widespread news media attention, Congressional 
interest, and/or market participant inquiries are considered permanent 
records and forwarded to the National Archives 15 years after the case 
is closed.

ADMINISTRATIVE, TECHNICAL, AND PHYSICAL SAFEGUARDS:
    Administrative safeguards include restricting access to the OIG 
work area, and restricting relevant investigative tasks to only those 
competent or qualified to perform the work. In addition, all users take 
annual security and privacy, and records management training. Technical 
security measures within CFTC include restrictions on computer access 
to authorized individuals who have a legitimate need to know the 
information; required use of strong passwords; multi-factor 
authentication for access to some CFTC

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network components; use of encryption for certain data types and 
transfers; firewalls and intrusion detection applications; and regular 
review of security procedures and best practices to enhance security. 
Physical safeguards include restrictions on building access to 
authorized individuals, 24-hour security guard service, and maintenance 
of records in lockable offices and filing cabinets.

RECORD ACCESS PROCEDURES:
    Individuals seeking to determine whether this system of records 
contains information about themselves or seeking access to records 
about themselves in this system of records should address written 
inquiries to the Office of the General Counsel, Commodity Futures 
Trading Commission, Three Lafayette Centre, 1155 21st Street NW, 
Washington, DC 20581. See 17 CFR 146.3 for full details on what to 
include in a Privacy Act access request.

CONTESTING RECORD PROCEDURES:
    Individuals contesting the content of records about themselves 
contained in this system of records should address written inquiries to 
the Office of the General Counsel, Commodity Futures Trading 
Commission, Three Lafayette Centre, 1155 21st Street NW, Washington, DC 
20581. See 17 CFR 146.8 for full details on what to include in a 
Privacy Act amendment request.

NOTIFICATION PROCEDURES:
    Individuals seeking notification of any records about themselves 
contained in this system of records should address written inquiries to 
the Office of the General Counsel, Commodity Futures Trading 
Commission, Three Lafayette Centre, 1155 21st Street NW, Washington, DC 
20581. See 17 CFR 146.3 for full details on what to include in a 
Privacy Act notification request.

EXEMPTIONS PROMULGATED FOR THE SYSTEM:
    Under 5 U.S.C. 552a(j)(2), this system of records is exempted from 
5 U.S.C. 522a except subsections (b); (c)(1), and (2); (e)(4)(A) 
through (F); (e)(6), (7), (9), (10), and (11); and (i) to the extent 
the system of records pertains to the enforcement of criminal laws; and 
under 5 U.S.C. 552a(k)(2) is exempted from 5 U.S.C. 552a(c)(3); (d); 
(e)(1); (e)(4)(G), (H), and (I); and (f) to the extent the system of 
records consists of investigatory material compiled for law enforcement 
purposes, other than material within the scope of the exemption at 5 
U.S.C. 552a(j)(2); provided, however, that if any individual is denied 
any right, privilege, or benefit that he would otherwise be entitled by 
Federal law, or for which he would otherwise be eligible, as a result 
of the maintenance of such material, such material shall be provided to 
such individual, except to the extent that the disclosure of such 
material would reveal the identity of a source who furnished 
information to the Government under an express promise that the 
identity of the source would be held in confidence, or, prior to the 
effective date of this section, under an implied promise that the 
identity of the source would be held in confidence. Moreover, these 
exemptions apply only to the extent that information in this system is 
subject to exemption pursuant to 5 U.S.C. 552a (j)(2) or (k)(2). Where 
compliance would not appear to interfere with or adversely affect the 
law enforcement process, and/or where it may be appropriate to permit 
individuals to contest the accuracy of the information collected, e.g., 
public source materials, the applicable exemption may be waived, either 
partially or totally, by the Office of the Inspector General (OIG). 
These exemptions are contained at 17 CFR 146.13.

HISTORY:
    76 FR 5973.

    Issued in Washington, DC, on March 30, 2023, by the Commission.
Christopher Kirkpatrick,
Secretary of the Commission.
[FR Doc. 2023-07028 Filed 4-4-23; 8:45 am]
BILLING CODE 6351-01-P