Release: #4232-99 (CFTC Docket No. SD 99-1)

For Release: January 28, 1999

CFTC FILES DISQUALIFICATION ACTION AGAINST MICHAEL H. VARNER, A FLOOR BROKER AT THE NEW YORK BOARD OF TRADE

WASHINGTON -- The Commodity Futures Trading Commission (CFTC) announced today that on January 27, 1999, it filed a Notice of Intent to Revoke, Suspend or Restrict Registration (Notice) against Michael H. Varner, of Memphis, Tennessee, a registered floor broker who is a member of the New York Cotton Exchange (NYCE), which is now part of the Board of Trade of New York.

The Notice alleges that between 1987 and 1997, Varner was charged by the NYCE in 35 disciplinary actions, three of which involved serious charges, such as trading ahead, prearranged trading, and accommodation trading. The disciplinary actions resulted in cumulative sanctions of $36,250 in fines, two cease and desists orders, and a 30-day suspension. The Notice alleges that the disciplinary actions, and the facts underlying those actions, constitute good cause under section 8a(3)(M) of the Commodity Exchange Act (CEA) to revoke, suspend or restrict Varner's floor broker registration as authorized under section 8a(4) of the CEA.

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