LME will go ahead with warehouse investigation, enforcement changes

The London Metal Exchange will go ahead with changes to its warehouse agreement and approval policy after a further consultation with shed owners, it said.

The additional consultation closed on December 2, and two companies responded, the exchange said, but added that the points raised are “covered by the LME’s existing proposals, or seek to reopen matters which have already been covered by the consultation”. Specifically, concerns were raised over a new clause of the warehousing policy, numbered 9.3.4, which states that the exchange has “rights of investigation and enforcement in circumstances where warehouses accumulate, or maintain previously-accumulated, queues”. It was argued that the LME already has adequate powers of investigation under clause 9.3.3, and the exchange...


Claire Hack

January 02, 2014

14:42 GMT