NorthWest Biotherapeutics Inc (NWBO)

[hoffmann6383]

Poor Man,

Thank you for sharing your opinion that the SEC, DOJ, CFTC, etc. does not take spoofing seriously.

I wholeheartedly disagree. Let me explain why.

First, the comparison of NWBO’s civil case to SEC enforcement action is misguided. Second, the governmental commissions and departments have spent countless resources to counter spoofing.

1. NWBO’s case is a civil matter.
This is distinct and separate from any enforcement action the SEC, or other governmental organizations, might take. This comparison is misguided. There is no further explanation needed for this point.

2. The SEC, DOJ, CFTC and other governmental organizations are taking spoofing seriously.

(a) Let’s look at the criminal JPMorgan precious metal spoofing case to see how many resources various departments committed to this case and the results of said resources expended.

(b)Then we will look at the enforcement action(s) taken by governmental organizations surrounding the JPMorgan spoofing claims.

(a) JPMorgan criminal case: USA v. Smith et al, No. 1:19-cr-00669

Resources Committed, i.e. attorneys assigned to the case:

Melissa Chiang, Commodity Futures Trading Commission
https://www.linkedin.com/in/melissa-chiang-aa89b56/
Lead Attorney

Jon J Kramer, U.S. Commodity Futures Trading Commission

Robert A. Schwartz, U.S. Commodity Futures Trading Commission

Christopher Richard Fenton, United States Department of Justice
https://www.linkedin.com/in/chfenton/
Lead Attorney

Lucy Beth Jennings, U.S. Department of Justice, Criminal Division, Fraud Section

Matthew Francis Sullivan, U.S. Department of Justice Criminal Division, Fraud Section
https://www.linkedin.com/in/matthew-sullivan-44533413/
Lead Attorney

Scott Armstrong, United States Department of Justice, Criminal Division, Fraud Section
Lead Attorney

AUSA - Chicago, United States Attorney's Office (NDIL - Chicago)

Avi Perry, U.S. Department of Justice, Criminal Division, Fraud Section

Elise Bernanke, U.S. Department of Justice

John Francis Scanlon, U.S. Department of Justice

Leslie Salba Garthwaite, Criminal Division-Fraud Section, Trial Attorney

Verdict:

MINUTE entry before the Honorable Edmond E. Chang: Jury deliberations held. Jury reaches a verdict on the three trial Defendants and on all the charges. [A.] Defendant Smith found not guilty on Counts 1 (RICO conspiracy) and 2 (371 conspiracy); guilty on Count 3 (attempted price manipulation); guilty on Counts 5 through 12 (wire fraud); guilty on Count 24 (commodities fraud); and guilty on Count 26 (spoofing). [B.] Defendant Nowak found not guilty on Counts 1 (RICO conspiracy) and 2 (371 conspiracy); guilty on Count 4 (attempted price manipulation); guilty on Counts 13 through 22 (wire fraud); guilty on Count 25 (commodities fraud); and guilty on Count 27 (spoofing). [C.] Defendant Ruffo found not guilty on Counts 1 (RICO conspiracy) and 2 (371 conspiracy). Defendant Ruffo is discharged and dismissed from this case and release conditions are vacated. Pretrial Services shall return Defendant Ruffo's passport. [D.] Rule 29 and 33 motions are due on 09/21/2022. The government's combined response is due on 10/26/2022. The defense replies are due on 11/16/2022. [E.] The courtroom deputy will contact the lawyers about sentencing dates in 2023. The case is referred to the Probation Office for PSR preparation. Emailed notice (eec) (Entered: 08/10/2022)

Takeaway from criminal spoofing case:
The government expended multiple high level resources to prosecute spoofing claims.

(b) Next, lets look at the related Commodity Futures Trading Commission’s enforcement actions against JPMorgan’s spoofing and the results of those actions.

Staff responsible:
Mark A. Picard, David C. Newman, Trevor Kokal, Patrick Marquardt, Jordon Grimm, Steven I. Ringer, Lenel Hickson, Jr., and Manal Sultan.

Results:

https://www.cftc.gov/PressRoom/PressReleases/8260-20

September 29, 2020
Washington, D.C. — The Commodity Futures Trading Commission today issued an order filing and settling charges against JPMorgan Chase & Company (JPMC & Co.) and its subsidiaries, JPMorgan Chase Bank, N.A., and J.P. Morgan Securities LLC (JPMS) (collectively, JPM), for manipulative and deceptive conduct and spoofing that spanned at least eight years and involved hundreds of thousands of spoof orders in precious metals and U.S. Treasury futures contracts on the Commodity Exchange, Inc., the New York Mercantile Exchange, and the Chicago Board of Trade. This case is brought in connection with the Division of Enforcement’s Spoofing Task Force.
The order finds that JPM’s illegal trading significantly benefited JPM and harmed other market participants. JPM is required to pay a total of $920.2 million—the largest amount of monetary relief ever imposed by the CFTC—including the highest restitution ($311,737,008), disgorgement ($172,034,790), and civil monetary penalty ($436,431,811) amounts in any spoofing case.

In the words of the CFTC Chairman Heath P. Tarbert:

Spoofing is illegal—pure and simple. This record-setting enforcement action demonstrates the CFTC’s commitment to being tough on those who intentionally break our rules, no matter who they are. Attempts to manipulate our markets won’t be tolerated. The CFTC will take all steps necessary to investigate and prosecute illegal activities that could ultimately undermine the integrity of the American free enterprise system

Further, James McDonald, Division of Enforcement Director at the CFTC stated:

This action sends the important message that if you engage in manipulative and deceptive trade practices you will be caught, punished, and forced to give up your ill-gotten gains. The CFTC is committed to working with our law enforcement and regulatory partners to eradicate this unlawful activity and to hold those responsible fully accountable.

Takeaway from the government's enforcement actions:
Governmental organizations have expended countless resources to fight spoofing, including the formation of a Spoofing Task Force. The results speak for themselves. A record setting enforcement action.

Conclusions:

1. Spoofing is illegal.
2. Governmental departments and organizations are directing significant resources to stop this illegal practice.
3. The results speak for themselves - multiple criminal convictions of high level traders and nearly $1b settlement from just 1 case.

^^ All imo