Skip to main content

Brian Hunter Gets FERC’dFederal Regulators level $291 million fine against energy trader and hedge fund

  • Author:
  • Updated:

This has not been a good week to be Brian Hunter. Yesterday the world’s most famous energy trader got slapped with a lawsuit by the Commodity Futures Trading Commission for allegedly manipulating the markets in natural gas futures. This morning, the Federal Energy Regulatory Commission announced that it would seek penalties amounting to $291 million from Brian Hunter, Amaranth Advisors and another trader formerly with the hedge fund.
FERC seeks $30 million from Brian personally. It has assessed penalties of $200 million against Amaranth Advisors, plus $59 million in unjust profits. The Federal Energy Regulatory Commission this morning laid boot into various Amaranth entities, along with natural gas traders Brian Hunter and Matthew Donohue, seeking “penalties of $200 million for Amaranth, $30 million for Hunter and $2 million for Donohoe. The commission also proposes that Amaranth disgorge more than $59 million in unjust profits, plus interest.
Things could get even worse for Hunter. This morning , for instance, Gary Weiss wonders whether or not Hunter might face jail time. "Hey, I have a question: isn't market manipulation against the law? Don't people go to prison for that? Just wondering. After all, it seems to me that what these guys are talking about is a lot worse than insider trading," Weiss writes.

FERC wants Amaranth, Hunter to pay $291M for manipulation
[Market Watch]
Another Regulator Piles on Brian Hunter [Gary Weiss]