[20080707]RS22912_安然的漏洞.pdf

1 This exemptive authority is in Section 4(c) of the Commodity Exchange Act.Order Code RS22912July 7, 2008The Enron LoopholeMark JicklingSpecialist in Financial EconomicsGovernment and Finance DivisionSummaryThe Commodity Exchange Act exempts certain energy derivatives contracts fromregulation by the Commodity Futures Trading Commission (CFTC). These exemptionsare popularly known as the “Enron loophole.” Soaring energy prices have raisedconcerns about whether the CFTC has enough information about these unregulatedmarkets to monitor energy trading in a comprehensive manner. The Farm Bill (P.L.110-234) established a more stringent regulatory regime for electronic trading facilitiesthat offer contracts that play a significant role in setting energy prices. A number ofother bills in the 110th Congress would impose new reporting or regulatory requirementson the bilateral energy swaps market, which was not addressed by the Farm Bill. Thisreport will be updated as legislative developments warrant.BackgroundIn 2000, Congress passed the Commodity Futures Modernization Act (CFMA, P.L.106-554), whose central purpose was to set out the conditions under which derivativefinancial contracts instr