In a no-action letter dated December 28, 2012, the Commodity Futures Trading Commission ("CFTC") extended temporary registration relief for associated persons of a futures commission merchant ("FCM"), introducing broker ("IB"), commodity pool operator ("CPO"), or commodity trading adviser ("CTA") and who are required to register with the CFTC as such solely because of involvement with swaps or the transition of certain contracts by the Intercontinental Exchange, Inc. and the New York Mercantile Exchange to clearing as commodity futures and options transactions.
This relief extends the original relief granted by way of a no-action letter dated October 11, 2012, wherein the CFTC originally stated that the Division of Swap Dealer and Intermediary Oversight (the "Division") would not recommend that the CFTC commence enforcement action against such persons for failure to register under the Commodity Exchange Act ("CEA") by October 12, 2012.
The present relief is subject to two conditions:
1. On or before March 31, 2013, the FCM, IB, CPO or CTA must complete and file a registration application with the National Futures Association for the associated person; and
2. On and after March 31, 2013, the person is subject to and makes a good faith effort to comply with the CEA and the CFTC's regulations applicable to its activities as an associated person of a FCM, IB, CPO or CTA as if the person was in fact registered in such capacity.
The no-action relief will terminate on the date on which the National Futures Association provides notice as required by the CFTC or under the CEA. The relief provided is strictly limited to extending the date under which registration is required, is subject to the conditions above, and does not excuse otherwise complying with the CEA and any applicable CFTC regulations.
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