Bloomberg reports that the probe, reported last week by Reuters, was disclosed in a June 14th notice included in the Financial Industry Regulatory Authority BrokerCheck report on Eric Alan Beckwith, a former employee of Bank of America and its Merrill Lynch subsidiary. Bill Halldin, a spokesman for Charlotte, Bank of America, declined to comment.
The U.S. Attorney’s Office for the Western District of North Carolina is examining 'whether it was proper for the swaps desk to execute futures trades prior to the desk’s execution of block future trades on behalf of counterparties,' according to the filing, which cites the bank as the source of the information.
Authorities also are investigating whether Beckwith 'provided accurate information' for a probe into the matter by CME Group’s Chicago Mercantile Exchange. The CFTC is conducting a parallel investigation, according to the filing.
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image: © Alex E. Proimos