CFTC fines Barclays for swap reporting violations
Under CFTC transaction reporting regulations, OTC derivative transactions must be reported to trade repositories on ASTP basis. ASTP stands for “As soon as technologically possible”.
Firms which are obligated to report transactions must ensure that the reports are complete, accurate and are submitted on timely manner. Non-reporting, over-reporting and under-reporting attracts penalty.
On October 1, 2024, CFTC levied a penalty of $4 million on Barclays for its failure to report about 5 million transactions from 2018 through 2023.
The below is an extract of the penalty press release by CFTC.
From 2018 through 2023, Barclays failed to correctly report, or failed to timely report, millions of swap transactions in violation of the CEA and CFTC regulations. The reporting failures during the relevant period included misreporting due to the use of a duplicate swap identifier; incorrect reporting of primary economic terms; misreported time stamps; errors in connection with continuation data reporting; and late reporting. In total, aggregating, all the categories of conduct, Barclays either did not correctly report, or did not timely report, more than five million swap transactions throughout 2018 to 2023.