Optiver Charged With Manipulating Crude Oil Market

Optiver has been charged in the first case brought forth in a widening scandal concering crude oil price manipulation. Optiver Holding BV, which is located in the Netherlands, as well as two of its units and three employees have been charged with manipulation and attempted manipulation of energy markets.

This is the first such case brought forward by the Commodity Futures Trading Commission (CFTC), in the face of heightening pressure concerning manipulation in the energy markets. Energy prices have been sky high and have been cited as the primary cause for food shortages and worsening inflation.

"Optiver traders amassed large trading positions, then conducted trades in such a way to bully and hammer the markets," said CFTC Acting Chairman Walt Lukken at a press conference. "These charges go to the heart of the CFTC's core mission of detecting and rooting out illegal manipulation of the markets."

The company is being charged with making about $1 million through illegal means. So far Optiver has not responded to the complaints. The company allegedly used a custom trading program called Hammer to drive home trades in the NyMEX.

This video describes charges against Optiver