{
  "id": "97-84",
  "type": "CRS Report",
  "typeId": "REPORT",
  "number": "97-84",
  "active": false,
  "source": "University of North Texas Libraries Government Documents Department",
  "versions": [
    {
      "source": "University of North Texas Libraries Government Documents Department",
      "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc819553/",
      "id": "97-84_1997Oct17",
      "date": "1997-10-17",
      "retrieved": "2016-03-19T13:57:26",
      "title": "conversations with Division staff. By your correspondence, you request relief on behalf of \u201cX\u201d, a registered commodity pool operator (\u201cCPO\u201d) and commodity trading advisor (\u201cCTA\u201d), with regard to the \u201cFund,\u201d a commodity pool operated by \u201cX.\u201d You request confirmation that \u201cX\u201d may 1  continue to claim relief under Rule 4.7(a) with respect to the Fund notwithstanding investment in the Fund by a person who is not a qualified eligible participant (\u201cQEP\u201d). Based upon the representations contained in your letter, as supplemented, we understand the relevant facts to be as follows. On September 15, 1997, \u201cX\u201d filed a Notice of Claim for Exemption pursuant to Rule 4.7 on behalf of the Fund. Pursuant to this exemption, interests in the Fund may be sold only to QEPs. However, \u201cX\u201d would like to admit \u201cA,\u201d a non-QEP, into the Fund. In support of your request, you state that \u201cA\u201d is the father of \u201cB,\u201d the president, sole shareholder, and sole director of \u201cX.\u201d \u201cA\u201d has more than 30 years of investment experience. From the mid1950\u2019s until the late 1960\u2019s, \u201cA\u201d served as the director and vice-president of finance for a Fortune 500 mining and manufacturing concern. One of \u201cA\u2019s\u201d responsibilities at this company was to supervise the investments of the company\u2019s large pension funds. Since his retirement in 1975, \u201cA\u201d has supported himself not only by income from his pension but also from the returns generated by an investment portfolio which he actively manages. Based upon your representations, it appears that granting the requested relief would not be contrary to the public interest and the purpose of Rule 4.7. Accordingly the Division will not recommend that the Commission take any enforcement action against \u201cX\u201d for failure to comply with Rule 4.7(a) if it continues to claim relief pursuant to Rule 4.7, notwithstanding investment by \u201cA\u201d in the Fund. This relief is subject to the condition that \u201cA\u201d consent in writing to being treated as a QEP. You should be aware that the relief granted to \u201cX\u201d does not excuse \u201cX\u201d from compliance with any otherwise applicable requirements contained in the Commodity Exchange Act (the \u201cAct\u201d) or in the Commission\u2019s regulations thereunder. For example, \u201cX\u201d remains subject to Section 4o of the",
      "summary": null,
      "type": "CRS Report",
      "typeId": "REPORT",
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}