By John Kruzel
(Reuters) – The U.S. Supreme Court on Monday dismissed appeals from two former Deutsche Bank AG commodities traders convicted of manipulating precious metals prices by placing “false” orders.
The court denied the motions of James Vorley and Cedric Chanu, who were each sentenced to just over a year in prison after being found guilty of wire fraud for impersonating or placing orders with intent to cancel them before the execution of the transactions.
The pair were convicted in 2020 for carrying out what prosecutors said was an identity theft scheme between 2008 and 2013. Their trades created a false sense of supply and demand and prompted other traders to make transactions they otherwise would not have done, prosecutors said.
On appeal, Vorley and Chanu argued that they had not made the kind of explicit misrepresentations targeted by the Wire Fraud Act.
The 7th Court of Appeals for the United States Circuit in Chicago upheld the convictions last July, saying that “identity theft of this type falls within the prohibition against wire fraud.”
The Biden administration had asked judges to dismiss the appeals.
Attorneys for Vorley and Chanu did not immediately respond to requests for comment.
(Reporting by John Kruzel; editing by Jonathan Oatis)