CFTC imposes penalties against Alaron Trading

NEW YORK, April 21 (Reuters) - The U.S. Commodity Futures Trading Commission said on Monday it imposed civil penalties on Alaron Trading Corp, a Chicago-based futures commission merchant, for failure to diligently supervise its employees.

Alaron, which settled the charges, was ordered to pay a civil penalty and restitution totaling $299,000 and strengthen its supervisory controls, CFTC said in a release.

The CFTC order, entered on April 18, found Alaron's failure occurred from at least July 2004 until February 2006.

CFTC said Alaron failed to diligently supervise its employees in handling certain accounts managed by an unregistered commodity trading advisor, as well as certain other accounts in which they allowed unauthorized trading of customer accounts by an introducing broker. (Reporting by Gene Ramos; Editing by Walter Bagley)