CFTC v. Classic Energy LLC and Mathew D. Webb (block trade information misuse, 2021)
Settled
Checked against the primary document on October 2, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, with sampled and disputed records read a second time. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.
In June 2021, the CFTC settled charges against former introducing broker Classic Energy LLC and its owner Mathew D. Webb for misusing confidential block trade order information, facilitating non-arm's-length "fictitious" block trades, paying kickbacks and making false statements to ICE Futures US.
The record
| Agency | CFTC |
|---|---|
| Release number | 8396-21 |
| Date filed | 2021-06-15 |
| Date resolved | 2021-06-15 |
| Status | settled |
| Asset class | futures |
| Venue | ICE |
| Criminal parallel | Yes: guilty plea (Mathew D. Webb) |
| Defendants | Classic Energy LLC ; Mathew D. Webb |
| Also named elsewhere | Classic Energy LLC |
| Cited as charged or alleged | 18 U.S.C. 1343 (wire fraud) ; 18 U.S.C. 1348 (securities fraud) |
| Techniques |
What was ordered
- Civil penalty
- —
- Disgorgement
- $585k
- Prejudgment interest
- —
- Total relief
- $585k
- Alleged gain
- —
What is alleged to have happened
The Commodity Futures Trading Commission announced this matter on June 15, 2021 as release 8396-21. The respondents named are Classic Energy LLC and Mathew D. Webb (1 individual, 1 entity).
The order finds that Webb passed customers' confidential block order information to a trader who used it to arrange non-arm's-length block trades with the customer, at prices that let the trader profit on offsetting trades and share those profits with Webb. Webb and Classic also paid kickbacks to certain customer traders and continued the conduct for four more years after a 2019 CFTC action.
This library applies no technique tag to the matter. The conduct is misappropriation of customer order information and collusive block trades. The trades were between different parties, so this is not wash trading, and no other technique page fits.
Webb and Classic agreed to disgorge $585,000 and to undertakings. The order offsets part of any criminal forfeiture, and Webb pleaded guilty in a parallel Department of Justice case.
Webb and Classic admitted the facts in the order.
Timeline
- 2021-06-15 CFTC release published
Primary documents
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