PART 140—ORGANIZATION, FUNCTIONS, AND PROCEDURES OF THE COMMISSION Authority: 7 U.S.C. 2(a)(12), 12a, 13(c), 13(d), 13(e), and 16(b). Link to an amendment published at 91 FR 38269, June 25, 2026. Editorial Note: Nomenclature changes to part 140 appear at 89 FR 71813, Sept. 4, 2024. Subpart A—Organization § 140.1 Headquarters office. (a) General. (b) [Reserved] [48 FR 2734, Jan. 21, 1983, as amended at 60 FR 49335, Sept. 25, 1995] § 140.2 Regional office—Regional Administrator. Each of the Regional offices described herein functions as set forth in this section under the direction of a Regional Administrator who, as a collateral duty, oversees the administration of the office and represents the Commission in negotiations with employee union officials and in interactions with external parties. Each regional office has delegated authority for the enforcement of the Act and administration of the programs of the Commission in the particular regions. (a) The Eastern Regional Office is located at 290 Broadway, 6th Floor, New York, NY 10007 and is responsible for enforcement of the Act and administration of programs of the Commission in the States of Alabama, Connecticut, Delaware, Florida, Georgia, Kentucky, Maine, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, and West Virginia. (b) The Central Regional Office is located at 77 W. Jackson Blvd., Suite 800, Chicago, IL 60604 and is responsible for enforcement of the Act and administration of programs of the Commission in the States of Illinois, Indiana, Michigan, Ohio and Wisconsin. (c) The Southwestern Regional Office is located at 2600 Grand Blvd, Suite 210, Kansas City, MO 64108, and is responsible for enforcement of the Act and administration of the programs of the Commission in the States of Alaska, Arizona, Arkansas, California, Colorado, Hawaii, Idaho, Iowa, Kansas, Louisiana, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Utah, Washington, and Wyoming. [69 FR 41426, July 9, 2004, as amended at 72 FR 16269, Apr. 4, 2007; 89 FR 71813, Sept. 4, 2024] Subpart B—Functions § 140.10 The Commission. The Commission is composed of a Chairman and four other Commissioners, not more than three of whom may be members of the same political party, who are appointed by the President, with the advice and consent of the Senate, for 5-year terms, one term ending each year. The Commission is assisted by a staff, which includes lawyers, economists, accountants, investigators and examiners, as well as administrative and clerical employees. [41 FR 28474, July 12, 1976] § 140.11 Emergency action by the senior Commissioner available. (a) Authority of senior Commissioner. (b) Exercise of authority. Provided, however, (c) Report to the Commission. (d) Review by the Commission. (1) Upon the request of any member of the Commission, any action taken by a Senior Commissioner shall be reviewed by the Commission. (2) In the event action by a Senior Commissioner suspends, denies or revokes or otherwise directly and adversely affects any license, right or privilege of any person, that person may in writing request review by the Commission and shall be entitled to have the action of the Senior Commissioner reviewed by the Commission. (3) The Commission may, in its discretion, review any action taken by a Senior Commissioner upon petition by any other person. (e) Final effect of action by Senior Commissioner. [41 FR 28474, July 12, 1976, as amended at 89 FR 71813, Sept. 4, 2024] Editorial Note: At 89 FR 71813, Sept. 4, 2024, § 140.11 was amended by removing text “General Counsel or his deputy” and adding in its place “General Counsel or their deputy”. However, the amendment could not be incorporated due to an error that misidentified the paragraph number. § 140.12 Disposition of business by seriatim Commission consideration. (a) Whenever the Chairman of the Commission is of the opinion that joint deliberation among the members of the Commission upon any matter is unnecessary in light of the nature of the matter, impracticable, or would impede the orderly disposition of agency business, but is of the view that such matter should be the subject of a vote of the Commission, such matter may be disposed of by circulation of any relevant materials concerning the matter. The relevant materials shall be circulated to each member of the Commission, unless a member is unavailable or has determined not to participate in the matter. A written record of the vote of each participating Commission member shall be reported to the Secretariat who shall retain it in the records of the Commission. (b) Whenever any member of the Commission so requests, any matter circulated for disposition pursuant to paragraph (a) of this section shall be withdrawn from circulation and scheduled instead for a Commission meeting. [43 FR 43452, Sept. 26, 1978] § 140.13 Vacancy in position of Chairman. At any time that a vacancy exists in the position of Chairman of the Commission the remaining members of the Commission shall elect a member to serve as acting Chairman who shall exercise the executive and administrative functions of the Commission that would otherwise be exercised by a Chairman in accordance with section 2(a)(6) of the Commodity Exchange Act, as amended, until a new Chairman has been appointed by the President and confirmed by the Senate: Provided, however, [43 FR 50167, Oct. 27, 1978, 89 FR 71813, Sept. 4, 2024] § 140.14 Delegation of authority to the Secretary of the Commission. After the Commission has formally reached a decision or taken other action on a matter, has agreed upon the language of the document which embodies the Commission decision or other action, including, but not limited to, a rule, regulation or order, and has directed that the document be issued, the Secretary of the Commission (or a person designated in writing by the Secretary) shall sign the document on behalf of the Commission. Signature by the Secretary shall be a ministerial function and shall not be discretionary. The delegation to the Secretary of the authority to sign documents on the Commission's behalf shall not affect any other delegation which the Commission has made, or may make, which authorizes any other officer or employee of the Commission to take action and to sign documents on the Commission's behalf. In addition, the Commission reserves the authority to provide for signature on its behalf by the Chairman or any other member of the Commission in particular circumstances. [44 FR 33677, June 12, 1979] § 140.20 Designation of senior official to oversee Commission use of national security information. (a) The Executive Director is hereby designated to oversee the Commission's program to ensure the safeguarding of national security information received by the Commission from other agencies, to chair a Commission committee composed of members of the staff selected by him with authority to act on all suggestions and complaints with respect to the Commission administration of its information security program, and, in conjunction with the Security Officer of the Commission, to ensure that practices for safeguarding national security information are systematically reviewed and that those practices which are duplicative or unnecessary are eliminated. (b) The Executive Director may submit any matter for which he has been designated under paragraph (a) of this section to the Commission for its consideration. [44 FR 65736, Nov. 15, 1979, as amended at 61 FR 21955, May 13, 1996] § 140.21 Definitions. (a) Classified information. (1) Owned by, produced for or by, or under control of the United States Government, and (2) Determined pursuant to Executive Order 12356 or prior or succeeding orders to require protection against unauthorized disclosure, and (3) So designated. (b) Compromise. (c) Custodians. (d) Classification levels. [48 FR 15464, Apr. 11, 1983] § 140.22 Procedures. (a) Original classification. (b) Derivative classification. (c) Declassification and downgrading. (d) Dissemination. [48 FR 15464, Apr. 11, 1983] § 140.23 General access requirements. (a) Determination of trustworthiness. (b) Determination of need-to-know. [48 FR 15464, Apr. 11, 1983] § 140.24 Control and accountability procedures. Persons entrusted with classified information shall be responsible for providing protection and accountability for such information at all times and for locking classified information in approved security equipment whenever it is not in use or under direct supervision of authorized persons. (a) General safeguards. (2) Employees using classified material shall take every precaution to prevent deliberate or casual inspection of it by unauthorized persons. Classified material shall be kept under constant surveillance and face down or covered when not in use. (3) All copies of classified documents and any informal material such as memoranda, rough drafts, shorthand notes, carbon copies, carbon paper, typewriter ribbons, recording discs, spools and tapes shall be given the same classification and secure handling as the classified information they contain. (4) Commission personnel authorized to use classified materials will obtain them from the Executive Director or their designee on the day required and return them to the Executive Director or their designee before the close of business on the same day. (5) Classified information shall not be revealed in telephone or telecommunications conversations. (6) Any person who has knowledge of the loss or possible compromise of classified information shall immediately report the circumstances either to the Security Officer or to the Executive Director or their designee in consultation with the General Counsel or their designee. The Executive Director or his delegee shall initiate a preliminary inquiry to determine the circumstances surrounding an actual or possible compromise, and to determine what corrective measures and administrative, disciplinary, or legal action is necessary. (b) Reproduction controls. (2) Top Secret documents, except for the controlled initial distribution of information processed or received electrically, shall not be reproduced without the consent of the originator. (3) Unless restricted by the originating agency, Secret and Confidential documents may be reproduced to the extent required by operational needs. (4) Reproduced copies of classified documents shall be subject to the same accountability and controls as the original documents. (5) Classified reproduction shall be controlled by persons with the proper level of security clearance. (6) Records shall be maintained to show the number and distribution of reproduced copies to all Top Secret documents, of all classified documents covered by special access programs distributed outside the originating agency, and of all Secret and Confidential documents which are marked with special dissemination and reproduction limitations. (7) Unauthorized reproduction of classified material will be subject to appropriate disciplinary action. (c) Storage of classified material. (2) In addition, the Commission remains subject to the provisions of 32 CFR part 2001, et seq., [48 FR 15464, Apr. 11, 1983, as amended at 61 FR 21955, May 13, 1996; 89 FR 71813, Sept. 4, 2024] § 140.61 [Reserved] § 140.72 Delegation of authority to disclose confidential information to a registered entity, swap execution facility, swap data repository, registered futures association or self-regulatory organization. (a) Pursuant to the authority granted under sections 2(a)(11), 8a(5) and 8a(6) of the Act, the Commission hereby delegates, until such time as the Commission orders otherwise, to the Executive Director, the Director of the Market Participants Division, the Director of the Division of Clearing and Risk, the Chief Accountant, the General Counsel, the Director of the Division of Market Oversight, the Director of the Division of Data, the Director of the Division of Enforcement, the Chief Economist of the Office of the Chief Economist, the Director of the Office of International Affairs, or such other employee or employees as the General Counsel, Directors, Chief Accountant or Chief Economist each may designate, the authority to disclose to an official of any registered entity, swap execution facility, swap data repository, registered futures association, or self-regulatory organization as defined in section 3(a)(26) of the Securities Exchange Act of 1934, any information necessary or appropriate to effectuate the purposes of the Act, including, but not limited to, the full facts concerning any transaction or market operation, including the names of the parties thereto. This authority to disclose shall be based on a determination that the transaction or market operation disrupts or tends to disrupt any market or is otherwise harmful or against the best interests of producers, consumers, or investors or that disclosure is necessary or appropriate to effectuate the purposes of the Act. (b) Disclosure under this section shall only be made to a registered entity, swap execution facility, swap data repository, registered futures association or self-regulatory organization official who is named in a list filed with the Commission by the chief executive officer of the registered entity, swap execution facility, swap data repository, registered futures association or self-regulatory organization, which sets forth the official's name, business address and telephone number. The chief executive officer shall thereafter notify the Commission of any deletions or additions to the list of officials authorized to receive disclosures under this section. The original list and any supplemental list required by this paragraph shall be filed with the Secretary of the Commission, and a copy thereof shall also be filed with the Regional Administrator for the region in which the registered entity, swap execution facility, or swap data repository is located or in which the registered futures association or self-regulatory organization has its principal office. (c) Notwithstanding the provisions of paragraph (a) of this section, in any case in which a Commission employee delegated authority under this section believes it appropriate, he or she may submit to the Commission for its consideration the question of whether disclosure of information should be made. (d) For purposes of this section, the term “official” shall mean any officer or member of a committee of a registered entity, swap execution facility, swap data repository, registered futures association or self-regulatory organization who is specifically charged with market surveillance or audit or investigative responsibilities, or their duly authorized representative or agent, who is named on the list filed pursuant to paragraph (b) of this section or any supplement thereto. (e) For the purposes of this section, the term “self-regulatory organization” shall mean the same as that defined in section 3(a) (26) of the Securities Exchange Act of 1934. (f) Any registered entity, swap execution facility, swap data repository, registered futures association or self-regulatory organization receiving information from the Commission under these provisions shall not disclose such information except that disclosure may be made in any self-regulatory action or proceeding. [48 FR 22134, May 17, 1983, as amended at 57 FR 20638, May 14, 1992; 61 FR 1709, Jan. 23, 1996; 66 FR 1576, Jan. 9, 2001; 67 FR 62352, Oct. 7, 2002; 73 FR 79609, Dec. 30, 2008; 77 FR 66346, Nov. 2, 2012; 78 FR 21523, Apr. 11, 2013; 78 FR 22419, Apr. 16, 2013; 82 FR 28769, June 26, 2017; 89 FR 71813, Sept. 4, 2024] § 140.73 Delegation of authority to disclose information to United States, States, and foreign government agencies and foreign futures authorities. (a) Pursuant to sections 2(a)(11), 8a(5) and 8(e) of the Act, the Commission hereby delegates, until such time as the Commission orders otherwise, to the General Counsel, the Director of the Division of Enforcement, the Director of the Division of Data, the Director of the Division of Market Oversight, the Director of the Market Participants Division, the Director of the Division of Clearing and Risk, the Chief Economist of the Office of the Chief Economist, the Director of the Office of International Affairs, or such other employee or employees as the General Counsel, Chief Economist or Directors listed in this section each may designate the authority to furnish information in the possession of the Commission obtained in connection with the administration of the Act, upon written request, to: (1) Any department or agency of the United States, including for this purpose an independent regulatory agency, acting within the scope of its jurisdiction; (2) Any department or agency of any State or any political subdivision thereof, acting within the scope of its jurisdiction; or (3) Any foreign futures authority, as defined in section 1a(10) of the Act, or any department or agency of any foreign government or political subdivision thereof, acting within the scope of its jurisdiction, provided that the Commission official making the disclosure is satisfied that the information will not be disclosed except in connection with an adjudicatory action or proceeding brought under the laws of such foreign government or political subdivision to which such foreign government or political subdivision or any department or agency thereof, or foreign futures authority is a party. (b) Any disclosure made pursuant to paragraph (a) of this section shall be made with the concurrence of the Director of the Division of Enforcement or in their absence a Deputy Director of the Division of Enforcement. Provided, however, that no such concurrence is necessary for the Director of Market Oversight or in their absence each Deputy Director of the Division to release information under paragraph (a)(1) of this section concerning current or on-going market transactions or operations. (c) In furnishing information under this delegation pursuant to paragraphs (a)(1) and (2) of this section, the Commission official making the disclosure shall remind the department or agency involved that section 8(e) of the Act prohibits the disclosure by such department or agency of information that would separately disclose the business transactions or market positions of any person and trade secrets or names of customers except in an action or proceeding under the laws of the United States, the State, or a political subdivision thereof to which the department or the agency of either the state or political subdivision, the Commission, or the United States is a party. (d) This delegation shall not affect any other delegation which the Commission has made or may make, which authorizes any other officer or employee of the Commission to furnish information to governmental bodies on the Commission's behalf. (e) Notwithstanding the provisions of paragraph (a) of this section, in any case in which any employee delegated authority therein believes it appropriate the matter may be submitted to the Commission for its consideration. Nothing in this section shall prohibit the Commission from exercising the authority delegated in paragraph (a) of this section. [48 FR 22135, May 17, 1983, as amended at 57 FR 20638, May 14, 1992; 61 FR 1709, Jan. 23, 1996; 66 FR 1576, Jan. 9, 2001; 67 FR 62352, Oct. 7, 2002; 73 FR 79609, Dec. 30, 2008; 78 FR 22419, Apr. 16, 2013; 82 FR 28770, June 26, 2017; 89 FR 71813, Sept. 4, 2024] § 140.74 Delegation of authority to issue special calls for Series 03 Reports. (a) The Commodity Futures Trading Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Enforcement, or such other employee or employees as the Director may designate from time to time, the authority to issue special calls for series 03 reports under § 18.00 of this chapter. (b) The Director of the Division of Enforcement may submit any matter which has been delegated to the Director under this section to the Commission for its consideration. (c) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Enforcement under paragraph (a) of this section. [82 FR 28770, June 26, 2017] § 140.75 Delegation of authority to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division. Pursuant to sections 2(a)(11), 8a(5) and 8(g) of the Act, the Commission hereby delegates to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as either Director may designate, the authority to disclose any registration information contained in the registration applications filed by Commission registrants or any compilation of such information maintained by the Commission to any department or agency of any State or any political subdivision thereof. Disclosure under this section may be made upon reasonable request made to the Commission or without request whenever the Director of the Division of Clearing and Risk, the Director of the Market Participants Division, or any Commission employee designated by either Director to make disclosures under this section determines that such information may be appropriate for use by any department or agency of a State or political subdivision thereof. Notwithstanding the provisions of this section, in any case in which the Director of Division of Clearing and Risk and Division of Swap Dealer and Intermediary Oversight deems it appropriate, or in any case in which the Commission so requests, the Director may submit matter to the Commission for its consideration. [48 FR 22136, May 17, 1983, as amended at 67 FR 62352, Oct. 7, 2002; 78 FR 22419, Apr. 16, 2013] Editorial Note: At 89 FR 71813, Sept. 4, 2024, § 140.75 was amended by removing text “Director of the Division of Clearing and Risk and Division of Swap Dealer and Intermediary Oversight” and adding in its place “Director of the Division of Clearing and Risk or the Director of the Market Participants Division”. However, the amendment could not be incorporated due to an error in the amendatory instruction. § 140.76 Delegation of authority to disclose information in a receivership or bankruptcy proceeding. (a) Pursuant to sections 2(a)(11) and 8(b) of the Act, the Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Enforcement, the Director of the Division of Clearing and Risk, the Director of the Market Participants Division, the General Counsel, or any Commission employee under their direction as they may designate Commission employee under their direction as they may designate, the authority to disclose data and information that would separately disclose the business transactions or market positions of any person and trade secrets or names of customers, when such disclosure is made in any receivership proceeding involving a receiver appointed in a judicial proceeding brought under the Act, or in any bankruptcy proceeding in which the Commission has intervened or in which the Commission has the right to appear and be heard under title 11 of the United States Code. (b) Notwithstanding the provisions of paragraph (a), in any case in which the Director of the Division of Enforcement, the Director of the Division of Clearing and Risk, the Director of the Market Participants Division, the General Counsel, or any employee designated by them to make disclosures pursuant to this section believes it appropriate, the matter may be submitted to the Commission for consideration. In addition, the Commission reserves to itself the authority to determine whether to grant a request for information in any particular case. [49 FR 4464, Feb. 7, 1984, as amended at 67 FR 62352, Oct. 7, 2002; 78 FR 22419, Apr. 16, 2013; 89 FR 71813, Sept. 4, 2024] § 140.77 Delegation of authority to determine that applications for contract market designation, swap execution facility registration, or swap data repository registration are materially incomplete. (a) The Commodity Futures Trading Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Market Oversight or the Director's designees, the authority to determine that an application for contract market designation, swap execution facility registration, or swap data repository registration is materially incomplete under section 6 of the Commodity Exchange Act and to so notify the applicant. (b) The Director of the Division of Market Oversight may submit any matter which has been delegated to the director under paragraph (a) of this section to the Commission for its consideration. (c) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Market Oversight under paragraph (a) of this section. [48 FR 34946, Aug. 2, 1983, as amended at 57 FR 20638, May 14, 1992; 67 FR 62353, Oct. 7, 2002; 77 FR 66347, Nov. 2, 2012] § 140.80 Disclosure of information pursuant to a subpoena or summons. The Commission shall provide notice to any person who has submitted information to the Commission when a summons or subpoena seeking the submitted information is received by the Commission. Notice ordinarily will be provided by mailing a copy of the summons or subpoena to the last known home or business address of the person who submitted the information. However, under circumstances which would make notice by mail unduly burdensome or costly, notice of the existence of the summons or subpoena may be affected by alternative means such as publication in the Federal Register. [49 FR 4464, Feb. 7, 1984] § 140.81 [Reserved] § 140.91 Delegation of authority to the Director of the Division of Clearing and Risk and to the Market Participants Division. (a) The Commission hereby delegates, until such time as the Commission orders otherwise, the following functions to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as they may designate: (1) All functions reserved to the Commission in § 1.10 of this chapter, except for those relating to nonpublic treatment of reports set forth in § 1.10(g) of this chapter; (2) All functions reserved to the Commission in § 1.12 of this chapter; (3) All functions reserved to the Commission in § 1.14 of this chapter; (4) All functions reserved to the Commission in § 1.15 of this chapter; (5) All functions reserved to the Commission in § 1.16 of this chapter; and (6) All functions reserved to the Commission in § 1.17 of this chapter, except for those relating to non-enumerated cover cases set forth in § 1.17(j)(3) of this chapter. (7) All functions reserved to the Commission in § 1.20 of this chapter. (8) All functions reserved to the Commission in § 1.25 of this chapter. (9) All functions reserved to the Commission in § 1.26 of this chapter. (10) All functions reserved to the Commission in § 1.52 of this chapter. (11) All functions reserved to the Commission in § 23.100-106 of this chapter, except for those related to the revocation of a swap dealer's or major swap participant's approval to use internal models to compute capital requirements under § 23.102 of this chapter, those related to the Commission's order under § 23.104 of this chapter, and the issuance of Capital Comparability Determinations under § 23.106 of this chapter. (12) All functions reserved to the Commission in § 30.7 of this chapter. (13) All functions reserved to the Commission in § 41.41 of this chapter. Any action taken pursuant to the delegation of authority under this paragraph (a)(13) shall be made with the concurrence of the General Counsel or, in their absence, a Deputy General Counsel. (b) The Director of the Division of Clearing and Risk and the Director of the Market Participants Division may submit any matter which has been delegated to them under paragraph (a) of this section to the Commission for its consideration. [44 FR 13460, Mar. 12, 1979, as amended at 60 FR 8195, Feb. 13, 1995; 66 FR 43087, Aug. 17, 2001; 66 FR 53523, Oct. 23, 2001; 67 FR 62353, Oct. 7, 2002; 78 FR 22419, Apr. 16, 2013; 78 FR 68655, Nov. 14, 2013; 79 FR 44126, July 30, 2014; 85 FR 57570, Sept. 15, 2020; 89 FR 71813, Sept. 4, 2024] § 140.92 Delegation of authority to grant registrations and renewals thereof. (a) The Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as they may designate, the authority to grant registrations and renewals thereof. (b) The Director of the Division of Clearing and Risk and the Director of the Market Participants Division may submit any matter which has been delegated to them under paragraph (a) of this section to the Commission for its consideration. (c) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division under paragraph (a) of this section. [45 FR 20785, Mar. 31, 1980, as amended at 67 FR 62353, Oct. 7, 2002; 78 FR 22419, Apr. 16, 2013] § 140.93 Delegation of authority to the Director of the Market Participants Division. (a) The Commission hereby delegates, until such time as the Commission orders otherwise, the following functions to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as they may designate: (1) All functions reserved to the Commission in § 4.12(a) of this chapter. (2) All functions reserved to the Commission in § 4.22(g)(3) of this chapter. (3) All functions reserved to the Commission in § 4.20(a) of this chapter. (4) All functions reserved to the Commission in § 4.5(c)(2)(ii) of this chapter. (5) All functions reserved to the Commission in § 4.6(b) of this chapter. (6) All functions reserved to the Commission in §§ 23.150 through 23.161 of this chapter. (b) The Director of the Division of Clearing and Risk and the Director of the Market Participants Division may submit any matter which has been delegated to them under paragraph (a) of this section to the Commission for its consideration. (c) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Clearing and Risk and the Director of the Market Participants Division under paragraph (a) of this section. [46 FR 26023, May 8, 1981, as amended at 46 FR 34311, July 1, 1981; 50 FR 15884, Apr. 23, 1985; 52 FR 41986, Nov. 2, 1987; 67 FR 62353, Oct. 7, 2002; 70 FR 2566, Jan. 14, 2005; 78 FR 22419, Apr. 16, 2013; 81 FR 704, Jan. 6, 2016] § 140.94 Delegation of authority to the Director of the Market Participants Division and to the Director of the Division of Clearing and Risk. (a) The Commission hereby delegates, until such time as the Commission orders otherwise, the following functions to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as they may designate: (1) All functions reserved to the Commission in § 5.7 of this chapter; (2) All function reserved to the Commission in § 5.10 of this chapter; (3) All functions reserved to the Commission in § 5.11 of this chapter; (4) All functions reserved to the Commission in § 5.12 of this chapter, except for those relating to nonpublic treatment of reports set forth in § 5.12(i) of this chapter; and (5) All functions reserved to the Commission in § 5.14 of this chapter. (b) The Director of the Market Participants Division
may submit any matter which has been delegated to him or her under paragraph (a) of this section to the Commission for its consideration. (c) The Commission hereby delegates, until such time as the Commission orders otherwise, the following functions to the Director of the Division of Clearing and Risk and to such members of the Commission's staff actingunder their direction as they may designate: (1) The authority to review applications for registration as a derivatives clearing organization filed with the Commission under § 39.3(a)(1) of this chapter, to determine that an application is materially complete pursuant to § 39.3(a)(2) of this chapter, to request additional information in support of an application pursuant to § 39.3(a)(4) of this chapter, to extend the review period for an application pursuant to § 39.3(a)(7) of this chapter, to stay the running of the 180-day review period if an application is incomplete pursuant to § 39.3(b)(1) of this chapter, to review requests for amendments to orders of registration filed with the Commission under § 39.3(d)(1) of this chapter, to request additional information in support of a request for an amendment to an order of registration pursuant to § 39.3(d)(2) of this chapter, and to request additional information in support of a rule submission pursuant to § 39.3(g)(3) of this chapter; (2) All functions reserved to the Commission in § 39.4(a) of this chapter; (3) All functions reserved to the Commission in § 39.5(b)(2), (b)(3)(ix), (c)(1), and (d)(3) of this chapter; (4) All functions reserved to the Commission in § 39.6 of this chapter, except for the authority to: (i) Grant an exemption under § 39.6(a) of this chapter; (ii) Prescribe conditions to an exemption under § 39.6(b) of this chapter; (iii) Modify or terminate an exemption under § 39.6(f)(4) of this chapter; and (iv) Terminate an exemption under § 39.6(g)(3) of this chapter. (5) All functions reserved to the Commission in § 39.10(c)(4)(iv) of this chapter; (6) All functions reserved to the Commission in § 39.11(b)(1)(v), (b)(2)(ii), (c)(1) and (3), and (f)(1), and (2) of this chapter; (7) All functions reserved to the Commission in § 39.12(a)(5)(iii) of this chapter; (8) All functions reserved to the Commission in § 39.13(g)(8)(ii), (h)(1)(i)(C), (h)(1)(ii), (h)(3)(i) and (ii), and (h)(5)(i)(C) of this chapter; (9) The authority to request additional information in support of a rule submission under §§ 39.13(i)(2) and 39.15(b)(2)(iii) of this chapter; (10) All functions reserved to the Commission in § 39.19(a), (b)(1), (c)(2), (c)(3)(iv), and (c)(5) of this chapter; (11) All functions reserved to the Commission in § 39.20(a)(5) of this chapter; (12) All functions reserved to the Commission in § 39.21(c) of this chapter; (13) All functions reserved to the Commission in § 39.31 of this chapter; and (14) The authority to approve the requests described in §§ 39.34(d) and 39.39(f) of this chapter. (15) All functions reserved to the Commission in § 39.51 of this chapter, except for the authority to: (i) Grant registration under § 39.51(a) of this chapter; (ii) Prescribe conditions to registration under § 39.51(b) of this chapter; and (iii) Modify registration under § 39.51(d)(4) of this chapter. (d) The Director of Clearing and Risk may submit any matter which has been delegated to them under paragraph (c) of this section to the Commission for its consideration. (e) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Market Participants Division under paragraph (a) or to the Director of the Division of Clearing and Risk under paragraph (c) of this section. [78 FR 22420, Apr. 16, 2013, as amended at 78 FR 72514, Dec. 2, 2013; 85 FR 4900, Jan. 27, 2020; 85 FR 67189, Oct. 21, 2020; 86 FR 968, Jan. 7, 2021; 88 FR 53698, Aug. 8, 2023] § 140.95 Delegation of authority with respect to withdrawals from registration. (a) The Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division and to such members of the Commission's staff acting under their direction as they may designate, the authority to review, postpone, condition, deny, or otherwise act upon a request for withdrawal from registration. (b) The Director of the Division of Clearing and Risk and the Director of the Market Participants Division may submit any matter which has been delegated to them under paragraph (a) of this section to the Commission for its consideration. (c) Nothing in this section shall prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Clearing and Risk and to the Director of the Market Participants Division under paragraph (a) of this section. [46 FR 48918, Oct. 5, 1981, as amended at 67 FR 62353, Oct. 7, 2002; 78 FR 22419, Apr. 16, 2013] § 140.96 Delegation of authority to publish in the Federal Register. (a) The Commodity Futures Trading Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Market Oversight or the Director's designee, or the Director of the Division of Data or the Director's designee, with the concurrence of the General Counsel or the General Counsel's designee, the authority to publish in the Federal Register (b) The Commodity Futures Trading Commission hereby delegates, until such time as the Commission orders otherwise, to the Director of the Division of Market Oversight or the Director's designee, and to the Director of the Director of the Market Participants Division or the Director's designee, and to the Director of the Division of Clearing and Risk or the Director's designee, with the concurrence of the General Counsel or the General Counsel's designee, the authority to determine to publish, and to publish, in the Federal Register, (c) The Director of the Division of Market Oversight or the Director of the Market Participants Division or the Director of the Division of Clearing and Risk or the Director of the Division of Data may submit any matter which has been delegated to such Director under paragraphs (a) or (b) of this section to the Commission for its consideration. (d) Nothing in this section may prohibit the Commission, at its election, from exercising the authority delegated to the Director of the Division of Market Oversight or to the Director of the Market Participants Division or to the Director of the Division of Clearing and Risk or to the Director of the Division of Data under paragraphs (a) and (b) of this section. [50 FR 47532, Nov. 19, 1985, as amended at 55 FR 35897, Sept. 4, 1990; 57 FR 20638, May 14, 1992; 67 FR 62353, Oct. 7, 2002; 7 FR 66347, Nov. 2, 2012; 78 FR 22419, Apr. 16, 2013] § 140.97 [Reserved] § 140.98 Publication of no-action, interpretative and exemption letters and other written communications. (a) Except as provided in paragraphs (b) and (c) of this section, and except for applications for orders granting exemptions submitted pursuant to section 4(c) of the Commodity Exchange Act and any written responses thereto, each written response by the Commission or its staff to a letter or other written communication requesting: (1) Interpretative legal advice with respect to the Commodity Exchange Act or any rule, regulation or order issued or adopted by the Commission thereunder; (2) A statement that, on the basis of the facts stated in such letter or other communication, the staff would not recommend that the Commission take any enforcement action; or (3) An exemption, on the basis of the facts stated in such letter or other communication, from the provisions of the Commodity Exchange Act or any rules, or regulations or orders issued or adopted by the Commission thereunder; shall be made available, together with the letter or other written communication making the request, for inspection and copying by any person as soon as practicable after the response has been sent or given to the person requesting it. (b) Any person submitting a letter or other written communication making such a request may also submit therewith a request that the letter or other written communication, as well as any Commission or staff response thereto, be accorded confidential treatment for a specified period of time, not exceeding 120 days from the date of the response thereto, together with a statement setting forth the considerations upon which the request for such treatment is based. If the staff determines that the request is reasonable and appropriate it will be granted and the letter or other written communication as well as the response thereto will not be made available for public inspection or copying until the expiration of the specified period. If it appears to the staff that the request for confidential treatment should be denied, the staff shall so advise the person making the request and such person may withdraw the letter or other written communication within 30 days thereafter. In such case, no response will be sent or given and the letter or other written communication shall remain in the Commission's files but will not be made public pursuant to this section. If such letter or other written communication is not so withdrawn, it shall be deemed to be available for public inspection and copying together with any written response thereto. (c) Notwithstanding the provisions of paragraphs (a) and (b) of this section, no portion of a letter or other written communication received by the Commission or its staff of the type described in paragraph (a) of this section, or any written response thereto, shall be made available for inspection and copying or otherwise published which would separately disclose the business transactions or market positions of any person and trade secrets or names of customers, except in accordance with the provisions of section 8 of the Commodity Exchange Act. [57 FR 61291, Dec. 24, 1992] § 140.99 Requests for exemptive, no-action and interpretative letters. (a) Definitions. (1) Exemptive letter (2) No-action letter (3) Interpretative letter (4) Letter (5) Division (b) General requirements. (2) Each request for a Letter must comply with the requirements of this section. Commission staff may reject or decline to respond to a request that does not comply with the requirements of this section. (3) The request must relate to a proposed transaction or a proposed activity. Absent extraordinary circumstances, Commission staff will not issue a Letter based upon transactions or activities that have been completed or activities that have been conducted prior to the date upon which the request is filed with the Commission. (4) The request must be made by or on behalf of the person whose activities or transactions are the subject of the request. Commission staff will not respond to a request for a Letter that is made by or on behalf of an unidentified person. (5)(i) The request must set forth as completely as possible all material facts and circumstances giving rise to the request. (ii) Commission staff will not respond to a request based on a hypothetical situation. However, a requester may set forth one or more alternative structures or fact situations for a proposed transaction or activity; Provided, (c) Information requirements. (1)(i) A request made by the person on whose behalf the Letter is sought must contain: (A) The name, main business address, main telephone number and, if applicable, the National Futures Association registration identification number of such person; and (B) The name and, if applicable, the National Futures Association registration identification number of each other person for whose benefit the person is seeking the Letter. (ii) When made by a requester other than the person on whose behalf the Letter is sought, the request must contain: (A) The name, main business address and main business telephone number of the requester; (B) The name and, if applicable, the National Futures Association registration identification number of the person on whose behalf the Letter is sought; and (C) The name and, if applicable, the National Futures Association registration identification number of each other person for whose benefit the requester is seeking the Letter. (iii) The request must provide the name, address and telephone number of a contact person from whom Commission staff may obtain additional information if necessary. (2) The section number of the particular provision of the Act and/or Commission rules, regulations or orders to which the request relates must be set forth in the upper right-hand corner of the first page of the request. (3) The request must be accompanied by: (i) A certification by a person with knowledge of the facts that the material facts as represented in the request are true and complete. The following form of certification is sufficient for this purpose: I hereby certify that the material facts set forth in the attached letter dated ____ are true and complete to the best of my knowledge. (name and title) and (ii) An undertaking made by the person on whose behalf the Letter is sought or by that person's authorized representative that, if at any time prior to issuance of a Letter, any material representation made in the request ceases to be true and complete, the person who made the undertaking will ensure that Commission staff is informed promptly in writing of all materially changed facts and circumstances. If a material change in facts or circumstances occurs subsequent to issuance of a Letter, the person on whose behalf the Letter is sought (or that person's authorized representative at the time of the change) must promptly so inform Commission staff. (4) The request must identify the type of relief requested and Letter sought and must clearly state why a Letter is needed. The request must identify all relevant legal and factual issues and discuss the legal and public policy bases supporting issuance of the Letter. (5) The request must contain references to all relevant authorities, including applicable provisions of the Act, Commission rules, regulations and orders, judicial decisions, administrative decisions, relevant statutory interpretations and policy statements. Adverse authority must be cited and discussed. (6) The request must identify prior publicly available Letters issued by Commission staff in response to circumstances similar to those surrounding the request (including adverse Letters), and must identify any conditions imposed by prior Letters as prerequisites for the issuance of those Letters. Citation of a representative sample of prior Letters is sufficient where a comprehensive recitation of prior Letters on a given topic would be repetitious or would not assist the staff in considering the request. (7) Requests may ask that, if the requested exemptive relief, no-action position or interpretative guidance is denied, the staff consider granting alternative relief or adopting an alternative position. (d) Filing requirements. (1) The request must be in writing and signed. (2)(i)(A) A request for a letter relating to the provisions of the Act or the Commission's rules, regulations, or orders issued thereunder governing designated contract markets, registered swap execution facilities, registered swap data repositories, registered foreign boards of trade, the nature of particular transactions and whether they are exempt or excluded from being required to be traded on one of the foregoing entities, made available for trading determinations, position limits, hedging exemptions, the trading of block trades, or position aggregation treatment shall be filed with the Director, Division of Market Oversight, Commodity Futures Trading Commission, at the Commission's Washington, DC headquarters. (B) A request for a letter regarding the form and manner of data reporting, data standards for reporting, or the content of any trade report or form to be submitted to the Commission, under Parts 15-20, 43, 45, 46, or 49, shall be filed with the Director, Division of Data at the Commission's Washington, DC headquarters. (ii) A request for a Letter relating to the provisions of the Act or the Commission's rules, regulations or orders governing or related to derivatives clearing organizations and other central counterparties, the clearing process, the clearing requirement determination, Commission regulation 1.25 jointly with the Director of the Market Participants Division, risk assessment, financial surveillance, the end user exemption, and bankruptcy shall be filed with the Director of the Division of Clearing and Risk at the Commission's Washington, DC headquarters. (iii) A request for a Letter relating to all other provisions of the Act or Commission rules, including Commission regulation 1.25 jointly with the Director of the Division of Clearing and Risk, shall be filed with the Director of the Market Participants Division at the Commission's Washington, DC headquarters. (iv) The requests described in paragraphs (d)(2)(i) through (iii) of this section must be submitted electronically using the email address [email protected] [email protected] [email protected] [email protected] (e) Form of staff response. (f) Withdrawal of requests. (2) Where a request has been submitted by an authorized representative of the person on whose behalf a Letter is sought, the authorized representative may withdraw from representation at any time without explanation, Provided, (g) Failure to pursue a request. Provided, however, (h) Confidential treatment. (i) Applicability to other sections. (1) Notice filings required to be made to claim relief from the Act or from a Commission rule, regulation, or order including, without limitations, §§ 4.5, 4.7(a), 4.7(b), 4.12(b), 4.13(b) and 4.14(a)(8) of this chapter; (2) Requests for exemption pursuant to section 4(c) of the Act; or (3) Requests for exemption pursuant to § 41.33 of this chapter. [63 FR 68181, Dec. 10, 1998, as amended at 65 FR 47859, Aug. 4, 2000; 66 FR 44967, Aug. 27, 2001; 67 FR 62353, Oct. 7, 2002; 69 FR 41426, July 9, 2004; 77 FR 66347, Nov. 2, 2012; 78 FR 22419, Apr. 16, 2013; 80 FR 59578, Oct. 2, 2015; 89 FR 71813, Sept. 4, 2024] Subpart C—Regulation Concerning Conduct of Members and Employees and Former Members and Employees of the Commission Authority: 7 U.S.C. 4a(f) and (j), 12a(5), and 13, as amended by the Commodity Futures Modernization Act of 2000, Appendix E of Pub. L. 106-554, 114 Stat. 2763 (2000). Source: 41 FR 27511, July 2, 1976, unless otherwise noted. § 140.735-1 Authority and purpose. This subpart sets forth specific standards of conduct required of Commission members, employees of the Commission, and special government employees as well as regulations concerning former Commissioners, employees, and special government employees of the Commodity Futures Trading Commission. These rules are separate from and in addition to the Office of Government Ethics' conduct rules, Standards of Ethical Conduct for Employees of the Executive Branch, 5 CFR part 2635. In addition, this subpart contains references to various statutes governing employee conduct in order to aid Commission members, employees of the Commission and others in their understanding of statutory restrictions and requirements. 1 1 [67 FR 5939, Feb. 8, 2002] § 140.735-2 Prohibited transactions. (a) Application. (b) Prohibitions. (1) Participate, directly or indirectly, in any transaction: (i) In swaps; (ii) In commodity futures; (iii) In retail forex transactions, as that term is defined in § 5.1(m) of this chapter; (iv) Involving any commodity that is of the character of or which is commonly known to the trade as an option, privilege, indemnity, bid, offer, put, call, advance guaranty, or decline guaranty; or (v) For the delivery of any commodity under a standardized contract commonly known to the trade as a margin account, margin contract, leverage account, or leverage contract, or under any contract, account, arrangement, scheme, or device that the Commission determines serves the same function or functions as such a standardized contract, or is marketed or managed in substantially the same manner as such a standardized contract; (2) Effect any purchase or sale of a commodity option, futures contract, or swap involving a security or group of securities; (3) Sell a security which he or she does not own or consummate a sale by the delivery of a security borrowed by or for his or her account; (4) Participate, directly or indirectly, in any investment transaction in an actual commodity if: (i) Nonpublic information is used in the investment transaction; (ii) It is prohibited by rule or regulation of the Commission; or (iii) It is effected by means of any instrument regulated by the Commission and is not otherwise permitted by an exception under this section; (5) Purchase or sell any securities of a company which, to his or her knowledge, is involved in any: (i) Pending investigation by the Commission; (ii) Proceeding before the Commission or to which the Commission is a party; (iii) Other matter under consideration by the Commission that could have a direct and predictable effect upon the company; or (6) Recommend or suggest to another person any transaction in which the member or employee is not permitted to participate in any circumstance where the member or employee could reasonably expect to benefit or where the member or employee has or may have control or substantial influence over such person. (c) Exception for farming, ranching, and natural resource operations. 2 3 2 3 (d) Other exceptions. (1) A transaction entered into by any publicly-available pooled investment vehicle (such as a mutual fund or exchange-traded fund) other than one operated by a person who is a commodity pool operator with respect to such entity if the direct or indirect ownership interest of the member or employee neither exercises control nor has the ability to exercise control over the transactions entered into by such vehicle; 4 4 inter alia, (2) The acceptance or exercise of any stock option or similar right granted by an employer as part of a compensation package to a spouse or minor child or other related member of the immediate household of a member or employee, or to the exercise of any stock option or similar right granted to the member or employee by a previous employer prior to commencement of the member's or employee's tenure with the Commission as part of such member's or employee's compensation package from such previous employer; (3) A transaction by any trust or estate of which the member or employee or the spouse, minor child, or other related member of the immediate household of the member or employee is solely a beneficiary, has no power to control, and does not in fact control or advise with respect to the investments of the trust or estate; (4) The exercise of any privilege to convert or exchange securities, of rights accruing unconditionally by virtue of ownership of other securities (as distinguished from a contingent right to acquire securities not subscribed for by others), or of rights in order to round out fractional shares in securities; (5) The acceptance of stock dividends on securities already owned, the reinvestment of cash dividends on a security already owned, or the participation in a periodic investment plan when the original purchase was otherwise consistent with this rule; or (6) Investment in any fund established pursuant to the Federal Employees Retirement System. (e) No prohibition on stocks or funds. (f) Exception applicable to legally separated employees. [67 FR 5939, Feb. 8, 2002, as amended at 77 FR 66347, Nov. 2, 2012] § 140.735-2a Prohibited interests. (a) Application. (b) Prohibitions. (1) Have a financial interest, through ownership of securities or otherwise, in any person 5 6 5 6 7 (c) Exceptions. (1) A financial interest in any publicly-available pooled investment vehicle (such as a mutual fund or exchange-traded fund) other than one operated by a person who is a commodity pool operator with respect to such entity if such vehicle does not have invested, or indicate in its prospectus the intent to invest, ten percent or more of its assets in securities of persons described in paragraph (b) of this section and the member or employee neither exercises control nor has the ability to exercise control over the financial interests held in such vehicle; (2) A financial interest in any corporate parent or affiliate of a person described in paragraph (b)(1) of this section if the operations of such person provide less than ten percent of the gross revenues of the corporate parent or affiliate; 8 8 (3) A financial interest in any trust or estate of which the member or employee is solely a beneficiary, has no power to control, and does not in fact control or advise with respect to the investments of the trust or estate; except that such interest is subject to the provisions of paragraphs (d) and (f) of this section. (d) Retention or passive acquisition of prohibited financial interests. (1) Retaining a financial interest that was permitted to be retained by the member or employee prior to the adoption of this regulation, was obtained prior to the commencement of employment with the Commission, or was acquired by a spouse prior to marriage to the member or employee; or (2) Acquiring, retaining, or controlling an otherwise prohibited financial interest, including but not limited to any security or option on a security (but not a security futures product), where the financial interest was acquired by inheritance, gift, stock split, involuntary stock dividend, merger, acquisition, or other change in corporate ownership, exercise of preemptive right, or otherwise without specific intent to acquire the financial interest, or by a spouse or minor child or other related member of the immediate household of the member or employee as part of an employment compensation package; provided, however, (i) Makes full disclosure of any such interest on his or her annual financial disclosure (Standard Form 278 or Standard Form 450); (ii) Makes full written disclosure to the General Counsel within 30 days of commencing employment or, for incumbents, within twenty days of his or her receipt of actual or constructive notice that the interest has been acquired; 9 9 (iii) Will be disqualified in accordance with 5 CFR part 2635, subpart D, and 18 U.S.C. 208 from participating in any particular matter that will have a direct and predictable effect on the financial interest in question. Any Commission member or employee affected by this section may, pursuant to 18 U.S.C. 208(b)(1) and 5 CFR 2640.301-303, request a waiver of the disqualification requirement. Note: With respect to any financial interest retained under paragraph (c)(3) or (d) of this section, Commission members and employees are reminded of their obligations under 18 U.S.C. 208 and 5 CFR part 2635, subpart D, to disqualify themselves from participating in any particular matter in which they, their spouses or minor children have a financial interest. (e) Exception applicable to legally separated employees. (f) Divestiture. 10 10 See [67 FR 5940, Feb. 8, 2002, as amended at 67 FR 62353, Oct. 7, 2002; 77 FR 66348, Nov. 2, 2012] § 140.735-3 Non-governmental employment and other outside activity. A Commission member or employee shall not accept employment or compensation from any person, exchange, swap execution facility, swap data repository or derivatives clearing organization subject to regulation by the Commission. For purposes of this section, a person subject to regulation by the Commission includes but is not limited to a contract market, swap execution facility, swap data repository or derivatives clearing organization or member thereof, a registered futures commission merchant, any person associated with a futures commission merchant or with any agent of a futures commission merchant, floor broker, commodity trading advisor, commodity pool operator or any person required to be registered in a fashion similar to any of the above or file reports under the Act or pursuant to any rule or regulation promulgated by the Commission. 11 11 [ 77 FR 66348, Nov. 2, 2012] § 140.735-4 Receipt and disposition of foreign gifts and decorations. (a) For purposes of this section only: (1) Commission member employee (2) Foreign government (A) Any unit of foreign governmental authority, including any foreign national, state, local, and municipal government; (B) Any international or multinational organization whose membership is composed of any unit of foreign government described in paragraph (a)(2)(A) of this section; and (C) Any agent or representative of any such unit or such organization, while acting as such. (3) Gift (4) Decoration (5) Minimal value (b) Commission members and employees shall not: (1) Request or otherwise encourage the tender of a gift or decoration; (2) Accept a gift of currency, except that which has an historical or numismatic value; (3) Accept gifts of travel or gifts of expenses for travel, such as transportation, food and lodging, from foreign governments, other than those authorized in paragraph (c)(5) of this section; or (4) Accept any gift or decoration, except as authorized by this section. (c) Gifts which may be accepted: (1) Commission members and employees may accept and retain gifts of minimal value tendered or received as a souvenir or mark of courtesy from a foreign government without further approval. If the value of a gift is uncertain, the recipient shall be responsible for establishing that it is of minimal value, as defined in this section. Documentary evidence may be required in support of the valuation. (2) Commission members and employees may accept, on behalf of the United States, gifts of more than minimal value tendered or received from a foreign government when it appears that to refuse the gift would likely cause offense or embarrassment or otherwise adversely affect the foreign relations of the United States. When a tangible gift of more than minimal value is accepted on behalf of the United States, it becomes the property of the United States. (3) Commission members and employees may accept a gift of more than minimal value where such gift is in the nature of an educational scholarship or medical treatment. (4) Within 60 days after accepting a tangible gift of more than minimal value, other than a gift described in paragraph (c)(5) of this section, a Commission member or employee shall file a statement with the Executive Director of the Commission which shall include the following information: (A) The name and position of the Commission member or employee; (B) A brief description of the gift and the circumstances justify acceptance; (C) The identity, if known, of the foreign government and the name and position of the individual who presented the gift; (D) The date of acceptance of the gift; (E) The estimated value in the United States of the gift at the time of acceptance; and (F) The disposition or current location of the gift. (5) Commission members and employees are authorized to accept from a foreign government gifts of travel or gifts of expenses for travel taking place entirely outside the United States, such as transportation, food and lodging, of more than minimal value if the acceptance is approved by the Executive Director, upon a finding that it is consistent with the interests of the Commission. Either prior to or within 30 days after accepting each gift of travel or gift of travel expenses pursuant to this paragraph, the Commission member or employee concerned shall file a statement with the Executive Director containing the following information: (A) The name and position of the Commission member or employee; (B) A brief description of the gift and the circumstances justifying acceptance; (C) The identity, if known, of the foreign government and the name and position of the individual who presented the gift; and (D) The date of acceptance. (6) Not later than January 31 of each year the Executive Director shall compile a listing of all statements filed during the preceding year by Commission members and employees pursuant to paragraphs (c)(4) and (c)(5) of this section and shall transmit the listing to the Secretary of State. (d) Commission members or employees may accept, retain and wear decorations tendered by a foreign government in recognition of active field service in time of combat operations or awarded for other outstanding or unusually meritorious performance, subject to the approval of the Executive Director. Without this approval, the decoration is deemed to have been accepted on behalf of the United States, shall become the property of the United States, and shall be deposited by the employee, within 60 days of acceptance, with the Executive Director for official use or forwarding to the Administrator of General Services for disposal in accordance with paragraph (g) of this section. Under normal circumstances, it can be expected that a Commission member or employee will be notified of the intent of a foreign government to award him or her or a spouse or dependent a decoration for outstanding or unusually meritorious service sufficiently in advance so that the approval required can be sought prior to its acceptance. A request for the approval of the Executive Director shall be submitted in writing, stating the nature of the decoration and the reason why it is being awarded. Whenever possible, the request should also be accompanied by a statement from the foreign government, preferably in the form of the citation, which shows the basis for the tender of the award, whether it is in recognition of active field service in time of combat operations or for other outstanding or unusually meritorious performance. (e) Within 60 days after acceptance of a tangible gift of more than minimal value or a decoration for which the Executive Director has not given approval, a Commission member or employee shall: (1) Deposit the gift or decoration for disposal with the Executive Director; or (2) Subject to the approval of the Commission, upon the recommendation of the Executive Director, deposit the gift or decoration with the Commission for official use. A gift or decoration may be retained for official use if the Commission determines that it can be properly displayed in an area accessible to employees and members of the public. Within 30 days after termination of the official use of a gift, the Executive Director shall forward the gift to the Administrator of General Services in accordance with paragraph (g) of this section. (f) Whenever possible, gifts and decorations that have been deposited with the Executive Director for disposal shall be returned to the donor. The Executive Director, in coordination with the Office of the General Counsel, shall examine the circumstances surrounding the donation, assessing whether any adverse effect on the foreign relations of the United States might result from the return of the gift or decoration to the donor. The appropriate Department of State officials shall be consulted if a question of adverse effect on United States foreign relations arises. (g) Gifts and decorations that have not been returned to the donor, retained for official use, or for which official use has terminated, shall be forwarded by the Executive Director to the Administrator of General Services for transfer, donation, or other disposal in accordance with the provisions of the Federal Property and Administrative Services Act of 1949, as amended, and 5 U.S.C. 7342. (h) In accordance with 5 U.S.C. 7342(h), the U.S. Attorney General may bring a civil action in any United States district court against any Commission member or employee who knowingly solicits or accepts a gift from a foreign government not consented to by the Congress of the United States in 5 U.S.C. 7342, or who fails to deposit or report such gift as required by 5 U.S.C. 7342. The court may assess a penalty against such Commission member or employee in any amount not exceeding the retail value of the gift improperly solicited or received plus $5,000. (i) A violation of the requirements set forth in this section by a Commission employee may be cause for appropriate disciplinary action which may be in addition to any penalty prescribed by law. (j)(1) The burden of proving minimal value shall be on the recipient. In the event of a dispute over the value of a gift, the Executive Director shall arrange for an outside appraiser to determine whether the gift is of more or less than minimal value. (2) When requested by the Administrator of Government Services, the Executive Director shall arrange for an appraisal of a gift or decoration. (k) No appropriated funds of the Commission may be used to buy any tangible gift of more than minimal value for any foreign individual, unless the gift has been approved by Congress. [47 FR 24115, June 3, 1982. Redesignated at 58 FR 52658, Oct. 12, 1993; 63 FR 32733, June 16, 1998] § 140.735-5 Disclosure of information. A Commission employee or former employee shall not divulge, or cause or allow to be divulged, confidential or non-public commercial, economic or official information to any unauthorized person, or release such information in advance of authorization for its release. 9 10 11 9 10 11 [58 FR 52658, Oct. 12, 1993] § 140.735-6 Practice by former members and employees of the Commission. (a) Personal and substantial participation or nonpublic knowledge of a particular matter. 12 13 12 See cf. 13 (b) Particular matter under an individual's official responsibility. 14 14 As used in paragraph (b) of this section, the term “official responsibility” has the meaning assigned to it in 18 U.S.C. 202(b), namely, the “direct administrative or operating authority, whether intermediate or final, and either exercisable alone or with others, and either personally or through subordinates, to approve, disapprove, or otherwise direct Government action.” (c) Restrictions on former members and senior employees. 15 15 Note that the one year period is measured from the date when the employee ceases to be a senior employee, not from the termination of Government service, unless the two occur simultaneously. This provision prohibits communications to or appearances before the Government and does not prohibit “behind-the-scenes” assistance. The restriction does not require that the former employee have ever been in any way involved in the matter that is the subject of the communication or appearance. The restriction applies with respect to any matter, whether or not involving a specific party. (d) Exceptions. 16 16 (e) Reporting requirement. (f) Definitions. (g) Advisory ruling. (h) Procedures for administrative enforcement of statutory restrictions on post-government employment conflicts of interest 17 Scope. 17 (2) Investigations. (3) Hearings. (4) Sanctions. [58 FR 52658, Oct. 12, 1993; 58 FR 58593, Nov. 2, 1993] § 140.735-7 Statutory violations applicable to conduct of Commission members and employees. A violation of section 2(a)(7), 8 or 9 (c) or (d) of the Commodity Exchange Act, as amended, shall be deemed to be a violation of this subpart as well. [58 FR 52660, Oct. 12, 1993] § 140.735-8 Interpretative and advisory service. (a) Counselor for the Commission. (b) Duties of the Counselor. (1) Coordinate the agency's counseling services and assure that counseling and interpretations on questions of conflict of interests and other matters covered by the regulations in this subpart are available as needed to Regional Deputy Counselors, who shall be appointed by the General Counsel, in coordination with the Chairman of the Commission, for each Regional Office of the Commission; (2) Render authoritative advice and guidance on matters covered by the regulations in this subpart which are presented to him or her by employees in the Washington, DC headquarters office; and (3) Receive information on, and resolve or forward to the Commission for consideration, any conflict of interests or apparent conflict of interests which appears in the annual financial disclosure (Standard Form 278 or Standard Form 450), or is disclosed to the General Counsel by a member or employee pursuant to § 140.735-2a(d) of this part, or otherwise is made known to the General Counsel. (i) A conflict of interests or apparent conflict of interests is considered resolved by the General Counsel when the affected member or employee has executed an ethics agreement pursuant to 5 CFR 2634.801 et seq. resolve (ii) If, after advice and guidance from the General Counsel, a member or employee does not execute an ethics agreement, the conflict of interests is considered unresolved and must be referred to the Commission for resolution or further action consistent with 18 U.S.C. 208 and 28 U.S.C. 535. (iii) Where an unresolved conflict of interests or apparent conflict of interests is to be forwarded to the Commission by the General Counsel, (c) Regional Deputy Counselors. (1) Give advice and guidance as requested to the employees assigned to their respective Regional Offices; and (2) Receive information on and refer to the Director of Human Resources, any conflict of interests or appearance of conflict of interests in Statements of Employment and Financial Interests submitted by employees to whom they are required to give advice and guidance. (d) Confidentiality of communications. 18 18 (e) Furnishing of conduct regulations. (f) Availability of counseling services. [58 FR 52660, Oct. 12, 1993, as amended at 61 FR 21955, May 13, 1996; 62 FR 13302, Mar. 20, 1997; 67 FR 5941, Feb. 8, 2002] Subpart D—XXX Link to an amendment published at 91 FR 38269, June 25, 2026.