CFTC ACTION: Cadent Financial Services LLC

Cadent failed to diligently supervise its APs to ensure that third-party funds were  not commingled with the funds already in an existing customer’s account. The CFTC order imposes a $120,000 civil monetary penalty on Cadent. The order also requires Cadent to strengthen its supervisory system for overseeing its APs, employees’ and agents’ sales solicitations and maintenance of customer accounts.

About The Author

Felix Shipkevich

Felix Shipkevich is a Manhattan-based attorney and general counsel for Shipkevich Law Firm. He has extensive experience working with the CFTC and NFA on registration, compliance, and enforcement issues for CPOs, CTAs, FCMs, IBs, and RFEDs. Felix also practices intellectual property and corporate governance law.