By John McCrank and Ann Saphir and Tom Polansek
July 31 (Reuters) - Craig Donohue, former chief executive
officer for CME Group Inc, is in talks to become
executive chairman of OCC, the world's largest clearing
organization for options, a source with direct knowledge of the
matter said on Wednesday.
The move would put Donohue back on top of a Chicago-based
financial firm after he resigned from CME last year following 23
years with the world's largest futures exchange operator,
including eight years as CEO.
Donohue did not immediately respond to requests for comment.
An OCC spokesman said the company is searching for a chairman
and declined to comment on Donohue.
OCC, formerly known as Options Clearing Corp., has nearly
120 clearing members that include the biggest U.S.
broker-dealers, futures commission merchants and non-U.S.
The company on Monday said Chairman and CEO Wayne
Luthringshausen will retire at the end of the year and it will
separate his roles. Michael Cahill, OCC's president, chief
operating officer and treasurer, will become the next CEO,
according to the company.
Cahill will report to the executive chairman and be
responsible for day-to-day operations. The chairman will be
responsible for "control functions of OCC, including enterprise
risk management, internal audit and compliance, as well as for
external affairs," according to the company.
Bloomberg first reported on OCC's negotiations with Donohue
Under his retirement agreement with CME, Donohue is barred
from competing with the company until the end of the year. CME
paid Donohue $6.1 million in 2012, making him the company's
highest-paid executive even though he held the CEO post for only
the first four months of the year, according to a regulatory
As chief of CME, Donohue had little interaction with market
regulators at the Securities and Exchange Commission, which is
OCC's main regulator. CME's main regulator is the Commodity
Futures Trading Commission.