CFTC Staff Letter 14-70: Extension of No-Action Relief for Yieldbroker Pty Limited

U.S. COMMODITY FUTURES TRADING COMMISSION
Three Lafayette Centre
1155 21st Street, NW, Washington, DC 20581
Telephone: (202) 418-5260
Facsimile: (202) 418-5527
Division of
Market Oversight
CFTC Letter No. 14-70
No-Action
May 14, 2014
Division of Market Oversight
Richard Swift
Chief Executive Officer
Yieldbroker Pty Limited
Level 12, 130 Pitt Street
Sydney, NSW 2000, Australia
Re: Conditional Time-Limited No-Action Relief with Regard to Section 5h(a)(1) of the Commodity Exchange Act and Commission Regulation 37.3(a)(1) Dear Mr. Swift:
On December 20, 2013, the Division of Market Oversight (“DMO” or “Division”) of the Commodity Futures Trading Commission (“Commission”) issued CFTC No-Action Letter No. 13-76 (“December 2013 Letter”) 1 granting time-limited conditional relief to Yieldbroker Pty Limited (“Yieldbroker”). Pursuant to the December 2013 Letter, DMO would not recommend to the Commission that it commence an enforcement action against Yieldbroker for violation of
section 5h(a)(1) of the Commodity Exchange Act (the “Act”) 2
or Commission Regulation
37.3(a)(1), 3 or against any other market participant that uses or has other relationships with Yieldbroker, based on Yieldbroker’s failure to register as a SEF. This no-action relief will expire on the earlier of (1) May 15, 2014, or (2) the date upon which Yieldbroker achieves SEF registration status. In order to ensure that Yieldbroker’s business activities continue not to be unduly disrupted, the Division believes it is appropriate to extend conditional no-action relief to Yieldbroker with regard to Section 5h(a)(1) of the Commodity Exchange Act and Commission Regulation 37.3(a)(1) until August 15, 2014. Such no-action relief shall remain contingent on Yieldbroker’s satisfaction of the six conditions listed in the December 2013 Letter throughout