UNITED STATES OF AMERICA
Before the
COMMODITY FUTURES TRADING COMMISSION
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In the Matter of : CFTC
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JOSEPH DEFRANCESCO and MARC GREENSTEIN :
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Respondents.
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ORDER MAKING FINDINGS AND IMPOSING SANCTIONS
I.
On March 20, 2002, the Commodity Futures Trading Commission ("Commission") filed
a Complaint and Notice of Hearing ("Complaint") against Joseph Defrancesco, Marc Greenstein,
and two other respondents. The Complaint charges that Defrancesco violated Sections 4b(a)(i),
(iii) and (iv), 4c(a)(1), and 4g of the Commodity Exchange Act, as amended (the "Act"), 7 U.S.C.
§§ 6b(a)(i), (iii) and (iv), 6c(a)(1) and 6g (1994), and Sections 1.35(d) and 1.38 of the
regulations promulgated thereunder (the "Regulations"), 17 C.F.R. §§ 1.35(d) and 1.38 (2001).
The Complaint charges that Greenstein violated Section 4c(a)(1) of the Act, 7 U.S.C. § 6c(a)(1)
(1994), and Section 1.38 of the Regulations, 17 C.F.R. § 1.38 (2001).
II.
In order to dispose of the allegations and issues raised in the Complaint as to them,
Defrancesco and Greenstein each has submitted an Offer of Settlement ("Offer"), which the
Commission has determined to accept. Without admitting or denying any of the allegations of
the Complaint or the findings herein, Defrancesco and Greenstein acknowledge service of this
Order Making Findings and Imposing Remedial Sanctions ("Order"). Defrancesco and
Greenstein consent to the use of their Offers, this Order, and the findings contained in this Order
in this proceeding and in any other proceeding brought by the Commission or to which the
Commission is a party.1
1 Defrancesco and Greenstein do not consent to the use of their Offers, this Order, or the findings
consented to in their Offers, as the sole basis for any other proceeding brought by the Commission,
proceeding brought to enforce the terms of this Order. Defrancesco and Greenstein also do not
their Offers, this Order, or the findings in the Order by any other person or entity in this or in
SNIPPETS:
On March 20, 2002, the Commodity Futures Trading Commission filed a Complaint and Notice of
The Complaint charges that Defrancesco violated Sections 4b, and, 4c, and 4g of the Commodity
Without admitting or denying any of the allegations of the Complaint or the findings herein,
Defrancesco and Greenstein consent to the use of their Offers, this Order, and the findings
The findings made in the Order are not binding on any other person or entity named as a
From February 8, 2000 through November 17, 2000, Defrancesco fraudulently executed trades in
Defrancesco also fraudulently executed customer orders in the coffee futures ring on the CSCE
In addition, Greenstein and Defrancesco each entered into wash sales to accommodate
Defrancesco also failed to record required trading information on trading cards in violation
JOSEPH DEFRANCESCO, who resides at 40 Curly Street, Long Beach, New York 11561, is now, and
Defrancesco executed orders for Integrity customers and traded for his personal account,
The customer order was then filled on the next line at a price that was worse than the price
Defrancesco noncompetitively executed customer orders for coffee futures to engage in
From February 8, 2000 through November 17, 2000, Greenstein and Defrancesco also engaged in
From February 8, 2000 through November 17, 2000, Defrancesco routinely omitted the date, hour
In re Murphy, [1984-1986 Transfer Binder] Comm.
United States v. Ashman, 979 F.2d 469, 478 (7th Cir.
L. Rep. (CCH) ¶ 22,798 at 31,151 (CFTC Sept. 25, 1985)
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