[Code of Federal Regulations]
[Title 17, Volume 1]
[Revised as of April 1, 2006]
From the U.S. Government Printing Office via GPO Access
[CITE: 17CFR8.17]

[Page 217]
 
              TITLE 17--COMMODITY AND SECURITIES EXCHANGES
 
             CHAPTER I--COMMODITY FUTURES TRADING COMMISSION
 
PART 8_EXCHANGE PROCEDURES FOR DISCIPLINARY, SUMMARY, AND MEMBERSHIP 
DENIAL ACTIONS--Table of Contents
 
                    Subpart B_Disciplinary Procedure
 
Sec.  8.17  Hearing.

    (a) The following minimum requirements shall apply to any hearing 
required by this subpart:
    (1) The hearing shall be fair and shall be conducted before members 
of the disciplinary committee. The hearing may be conducted before all 
of the members of the disciplinary committee or a panel thereof, but no 
member of the disciplinary committee may serve on the committee or panel 
if he or any person or firm with which he is affiliated has a financial, 
personal, or other direct interest in the matter under consideration.
    (2) The respondent shall be entitled in advance of the hearing to 
examine all books, documents, or other tangible evidence in the 
possession or under the control of the exchange which are to be relied 
upon by the enforcement staff in presenting the charges contained in the 
notice of charges or which are relevant to those charges.
    (3) The hearing shall be promptly convened after reasonable notice 
to the respondent.
    (4) The formal rules of evidence need not apply; nevertheless, the 
procedures for the hearing may not be so informal as to deny a fair 
hearing.
    (5) The enforcement staff shall be a party to the hearing and shall 
present its case on those charges and penalties which are the subject of 
the hearing.
    (6) The respondent shall be entitled to appear personally at the 
hearing.
    (7) The respondent shall be entitled to cross-examine any persons 
appearing as witnesses at the hearing.
    (8) The respondent shall be entitled to call witnesses and to 
present such evidence as may be relevant to the charges.
    (9) The exchange shall require persons within its jurisdiction who 
are called as witnesses to appear at the hearing and to produce 
evidence. It shall make reasonable efforts to secure the presence of all 
other persons called as witnesses whose testimony would be relevant.
    (10) If the respondent has requested a hearing, a substantially 
verbatim record of the hearing shall be made and shall become a part of 
the record of the proceeding. The record must be one that is capable of 
being accurately transcribed; however, it need not be transcribed unless 
the transcript is requested by Commission staff or the respondent, the 
decision is appealed under Sec.  8.19, or is reviewed by the Commission 
pursuant to section 8c of the Act or part 9 of this chapter. In all 
other instances a summary record of a hearing is permitted.
    (i) The rules of an exchange may provide that the cost of 
transcribing the record of the hearing shall be borne by a respondent 
who requests the transcript, appeals the decision pursuant to Sec.  
8.19, or whose application for Commission review of the disciplinary 
action has been granted under part 9 of this chapter. In all other 
instances, the cost of transcribing the record shall be borne by the 
exchange.
    (b) The rules of an exchange may provide that a penalty may be 
summarily imposed upon any person within its jurisdiction whose actions 
impede the progress of a hearing.

(Approved by the Office of Management and Budget under control number 
3038-0022)

[43 FR 41950, Sept. 19, 1978, as amended at 46 FR 63036, Dec. 30, 1981]