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Mondelez Fined $16 Million by CFTC Over Wheat Market Scheme (1)

Aug. 15, 2019, 4:42 PMUpdated: Aug. 15, 2019, 5:55 PM

Mondelez International Inc. will pay $16 million to resolve Commodity Futures Trading Commission claims stemming from a scheme to manipulate wheat markets in 2011, according to an order filed in federal court in Illinois.

In response to high cash wheat prices in late summer of 2011, the company -- which was a unit of Kraft Foods at the time -- bought futures contracts to send the market a false signal that it had demand for wheat later that year that far exceeded its actual need, the CFTC said in a statement Aug. 15.

The true goal was to narrow a ...