In April, O'Brien made misleading statements about his trade orders were routed into the exchange, which the firm was then forced to correct a few days later.
O'Brien asserted that the exchange, the country's second largest, gets its price orders directly from broker-dealers. That wasn't true, and under pressure from regulators, the exchange clarified that it gets its them from NASDAQ's SIP feed. By using the slower SIP feed, high-speed traders can use BATS as a forum to get price advantages.
Read more: http://www.businessinsider.com/obrien-leaves-bats-2014-7#ixzz38FAzXQWc