Four individuals formerly associated with JP Morgan and indicated for purported spoofing activities on the Commodity Exchange, Inc and the New York Mercantile Exchange, Inc. from March 2008 through August 2016 moved to dismiss their 14-count indictment on the grounds that their alleged misconduct does not constitute fraud, and thus did not constitute a racketeering conspiracy or fraud as alleged by the government. This is because, said the defendants, their orders were “real, executable, open-market orders, and the indictment does not allege that they involved any misrepresentation (express or implied) or omission.” Moreover, in connection with a bank fraud charge, the indictment does not allege that defendants had the specific intent to defraud a financial institution. The four individuals are Christopher Jordan, Michael Nowak, Jeffrey Ruffo and Gregg Smith. The defendants’ criminal case is being heard before a federal court in Chicago. (Click here for background on the original indictment against three of the defendants in the article “Three Metals Traders Indicted for Racketeering and Other Offenses for Alleged Spoofing Activities; CFTC Files Parallel Civil Charges” in the September 23, 2019 edition of Bridging the Week.)