An Australian commodities trader pleaded guilty Wednesday in federal court in Chicago to manipulating market prices by placing orders in the millions of dollars, then cancelling them within milliseconds so that he could sell smaller orders at a profit.
Jiongsheng "Jim" Zhao pleaded guilty to one count of spoofing in a deal with prosecutors, who say that from 2012 to 2016, the 31-year-old executed trades on the Chicago Mercantile Exchange online from Sydney.
Spoofing carries a maximum 10-year prison term, but Zhao's lawyer, Theodore Poulos, told US District Judge John Tharp during Wednesday's hearing that he and prosecutors planned to recommend a one-year sentence.
With time served in Australia awaiting extradition to the US, that means Zhao could only serve a few more months behind bars.
Zhao is due to be sentenced July 19. In the meantime, he will be allowed to return to Australia.