Call Now For a Free Consultation:
(614) 532-4576
Nationwide Representation

Retiring CFTC Judge Exposes Colleague as Biased and Corrupt

Just before he retired, former Commodity Futures Trading Commission judge George H. Painter issued a notice to the Commission that exposed his colleague, Judge Bruce Levine, as a biased and corrupt judge, according to an Oct. 19 Washington Post article. In his notice, Painter claimed that Levine told him almost twenty years ago that he had promised then-Chairwoman of the Commission Wendy Gramm that he would stand in the way of investor complaints and never rule in an investor's favor. Congress created the Commodity Futures Trading Commission in 1974. Its mission is to regulate the commodities market and "protect market users and the public from fraud, manipulation, and abusive practices related to the sale of commodity and financial futures and options." Painter's claims of bias and misconduct imply that Levine and Gramm failed to uphold the Commission's responsibilities. Painter and Levine worked together at the Commission for almost twenty years. As the Commission's two administrative law judges, it was their duty to preside over investor complaints that alleged misconduct by trading professionals or financial firms involved in the commodities market. According to the article, Painter wrote that he could not "in good conscience" turn his seven pending cases over to Levine and asked the Commission to enlist another federal administrative judge to take them. "Judge Levine, in the cynical guise of enforcing the rules, forces pro se complainants to run a hostile procedural gauntlet until they lose hope, and either withdraw their complaint or settle for a pittance, regardless of the merits of the case," wrote Painter. To back up his claims, he appealed to Levine's record. "A review of his rulings will confirm that he fulfilled his vow."According to the article, in addition to Painter's claims, Gramm has been criticized by some politicians in Congress for her apparent role in assisting Goldman Sachs and Enron gain increased influence over the commodities market. The fact that she joined Enron's board after leaving the Commission lends weight to the criticisms. This is not the first time Levine has been the subject of scrutiny for his CFTC record. Ten years ago, the Wall Street Journal published an article that claimed Levine almost never ruled in favor of an investor. In the few cases where he did rule for the complainant, his hand was forced by defunct firms that were unable to put together a defense.While the CFTC has released Painter's notice, the Commission has declined to issue a formal comment on the matter.

The information contained in The Firm’s posts on its blog, fraud alerts, investigations or elsewhere on the site is based upon information obtained from other sources including, but not limited to, news outlets and federal, state, and regulatory agency filings. All suspects and subjects of postings herein are presumed innocent until proven guilty in a court of law or administrative action and any and all crimes are alleged until a court or regulatory agency finds otherwise .

Share This Story
If you found the information provided by this article useful, consider sharing to your social media channels to help others in their search for reliable resources.
Consult with Our Legal Team
There is never a cost associated with a consultation
Atlanta Office

945 East Paces Ferry Road, Suite 2275
Atlanta, GA 30326
Columbus Office

614-224-6000
305 W. Nationwide Blvd
Columbus, OH 43215
Meyer Wilson
New Orleans Office

900 Camp Street 
Suite 337
New Orleans, LA 70130
Los Angeles Office

310-905-8688
2029 Century Park East,
Suite 400N
Los Angeles, CA 90067
Cleveland Office

216-600-1355
4781 Richmond Rd.
Suite 400
Warrensville Heights, OH 44128
Bloomfield Hills Office

248-817-8214
41000 Woodward Ave.,
Suite 350
Bloomfield Hills, MI 48304
Quick Links
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter. No recipients of content from this site, clients or otherwise, should act or refrain from acting on the basis of any content included in the site without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient's state. Read More
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.
Read More
chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram