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Well -- -- may vote as soon as today on the democratic plan to curb oil speculation many in congress thinks speculators.
Are behind a recent runup in oil prices and the Commodity Futures Trading Commission -- clamping down on the matter leveling charges against.
Opted -- holding yesterday.
That if he would -- he says the -- trading company profited more than a million dollars.
By manipulating the New York Mercantile Exchange and the crude oil gas and heating oil markets.
For a closer look at how Washington is putting speculators on the run we welcome Bart Chilton -- of the commissioners of the US Commodity Futures Trading Commission.
Good morning -- More -- they -- I'm great so.
Out some more information you know I I know you made this announcement yesterday at about this one trading company called opt -- That in essence they were using a practice called banging -- -- at the close.
Explain to -- what exactly that means.
What it means -- Lexus it is right before the settlement window which is the last two minutes of trading.
What -- -- would do is they would start either buying or selling depending upon their scheme for the day.
And expect sort of a snowball.
Impact and try to make money and like you say they made a million dollars in nineteen different tries they did end up manipulating the market.
Five out of those nineteen -- tries and were finally glad that we got up.
I -- let me come.
Play the devil's advocate mark as you know what's happening on Wall Street and main street in what everybody's talking about today everything luck left the like reality check gut check here.
Gore rate that you found this one group that was manipulating price is.
But for them to make a profit of a million dollars they were a very small group.
Is that really that cause or are they are a lot more people like them out there that are having a real impact on oil prices.
Well do -- there's a lot of people that we are looking at -- -- at anyone time get this between 750.
And 1000 individuals or companies were looking at.
So sort of 24/7 365 were looking for folks.
This is part of something you've covered before Alexis and that's a nationwide crude oil investigation that we announced in May.
And there will be other things will be announced in the future but we're we're happy did get this one out there and put a stop to what really was not just manipulation but attempted manipulation and they also lied about it.
Are you know -- you and I both know let you know somebody named senator Cantwell.
Who is pretty unhappy with what she believes -- the FTC is -- in fact yesterday she said the consequences.
She did they drop the ball in essence the CFTC the consequences -- the American people.
Are paying hand over fist for our inability Iranian oil traders.
And properly do oversight I know that she could only oversee 13 of what's treating this commodity -- many that much of it is trading overseas.
But how do you respond.
To you what her what she's saying what congress is saying about your ability to regulate the markets have -- done enough.
While senator Cantwell who has dedicated public servant has been very active on on these issues and we -- thank her first for that and -- spoken with her many times and I think she's got some.
Some good points but you like you say -- this week we can only see about a third of the market there's overseas markets and then there's the over the counter markets that are also.
Dark and we we don't see -- -- those the legislation which is on Capitol Hill for a vote in the senate today.
And then hopefully in the house representatives next week.
Would give us and I into the window of those trades and give us authority and do something about it if we saw that they were having an impact on the prices that people -- paying.
BL -- -- one of the is that the FT CU right now is doing is they're investigating naked short selling and they're prohibiting naked short selling in many of the most important financial institutions.
Is there not something that you could do on a regulatory basis in the oil markets to protect against.
Banging -- marking up of the commodity at the end of the into the debt.
Well that's why I think it's important that we let people know that we're watching this all the time and but here's an example Lexus where we actually caught them doing -- deeds.
The nymex first uncovered this thing came to us and we know we're pleased that we're actually get people for this and I said.
We're looking at people all the time 750 to a thousand individuals or companies we've had nearly sixty enforcement actions in the last year and here's another thing.
In the last five years we've collected over or.
With the least assessed over 500 million dollars in restitution and penalties.
We could essentially pay for ourself.
Not a lot agencies can say that.
RA commissioner thank you so much for joining us and not bringing us up to date on the story --
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