This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Platts Energy Podium: Court Ruling On U.S. FERC Enforcement May Need Legislative Fix - Clark

Stocks in this article: MHP





WASHINGTON, March 20, 2013 /PRNewswire/ -- A recent court decision limiting the U.S. Federal Energy Regulatory Commission's (FERC) market enforcement authority is disappointing and highlights an issue that may be ripe for legislative action, FERC Commissioner Tony Clark said Wednesday at a Platts Energy Podium newsmaker event in Washington.

"The unfortunate outcome is that there is less light in an area that deserves it and ultimately the public's interest is harmed when that happens," Clark said. Clark is the newest of the FERC's five commissioners.

Clark was referring to a March 15 decision by the D.C. Circuit Court of Appeals that held that the U.S. Commodity Futures Trading Commission (CFTC) has exclusive jurisdiction over futures trades.

The court tossed out FERC's $30 million penalty against natural gas futures trader Brian Hunter for allegedly manipulating the New York Mercantile Exchange natural gas futures contracts in the spring of 2006. The CFTC is separately prosecuting Hunter for allegedly manipulating those markets.

Clark told the Platts Energy Podium that he wished the court had taken a different path.

"I was disappointed with the decision. I would have hoped that there might have been a way for the court to attempt to harmonize the statutes that were at play in a way that could have I think in the best way protected the public's interest."

The ruling may mean that there is less oversight of cross-market manipulation, he said.

"I don't think that's what Congress intended, so there may be a legislative fix that's needed."

FERC has a number of enforcement proceedings pending, involving alleged market manipulation by companies that traded at a loss in either a financial or physical electricity market in order to gain in the other market.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,387.21 -291.49 -1.65%
S&P 500 2,029.55 -27.54 -1.34%
NASDAQ 4,681.4970 -90.2660 -1.89%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs