Report: Missing MF Global Funds Probably Gone for Good
- Posted on December 7, 2011 at 8:28am by
Becket Adams
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Much like Fast and Furious, the failed Department of Energy loans, and Congressional insider trading accusations, the MF Global scandal is getting worse and worse with each passing day
“Investigators looking into the disappearance of customer funds during the implosion of MF Global last month are coming to the conclusion that the money is likely gone for good,” sources with direct knowledge of the matter told the FOX Business Network.
And while many analysts are confident that the money is gone for good, nobody is currently aware of just how much is missing.
However, this may change Friday, when bankruptcy trustee James Giddens gives his updated report on the missing funds.
But before MF Global customers learn just how much cash is missing from Giddens’ report, the House Agriculture Committee is scheduled on Thursday to hear testimony from several MF Global witnesses.
As reported earlier on The Blaze, one of the witnesses called to give testimony is none other than MF Global’s former chief executive and former New Jersey governor, senator, and Obama fundraiser Jon Corzine who was subpoenaed earlier this month.
“It was Corzine who changed MF Global’s business model from a simple brokerage firm of commodities to a risk-taking outfit not unlike a hedge fund that ultimately led to its sudden downfall last month,” reports FOX Business
It’s been predicted that when he goes before the committee, Corzine will plead the fifth. However, people close to Corzine disagree with this prediction and maintain that he will testify, but keep his testimony to the bare minimum.
“It’s just too embarrassing for a former U.S. Senator and someone close to the president to take the Fifth,” said one person who knows Corzine.
Undoubtedly, the missing funds will be the focal point of the hearings. One can only imagine what we will learn Thursday if Corzine does in fact decide to testify.
“Meanwhile, Giddens, the bankruptcy trustee for the brokerage firm, is preparing to meet a request from judge Martin Glenn, who is overseeing the case, on disclosing an update on the amount of money still missing,” reports FOX Business. “While the bankruptcy hearing won’t contain the same drama as Thursday’s Congressional hearing, for customers of MF Global its importance looms large.”
Currently, as much as $1.2 billion of customer money is feared missing. Many analysts believe that it disappeared when MF Global executives mixed customer funds with those used to run MF Global’s operations. Needless to say, this is highly illegal and against SEC regulations.
What’s worse is that investigators believe that even if the missing funds are recovered, they can’t be returned to investors when the investigation is complete, according to people with direct knowledge of the matter.
If investigators recover the lost funds, they won’t be able to return them to customers? How does that work?
Here’s the disturbing reality of the situation: even if the missing funds are located and it turns out they were used to pay off legitimate claims of creditors, those creditors are still legally entitled to the money.
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Larry E
Posted on December 7, 2011 at 6:00pmCorzine and the other execs at MF Global all need to disappear into some nice max security federal penitentiary. They’re every bit as bad as Bernie Mahdoff, and need the same treatment. Want to bet what’ll happen to them? Nothing – since they’re buddies of Ozero and his administration and the bigshot Demorat crooks in it.
Report Post »moreteaplease
Posted on December 7, 2011 at 4:06pm“Investigators looking into the disappearance of customer funds during the implosion of MF Global last month are coming to the conclusion that the money is likely gone for good,” sources with direct knowledge of the matter told the FOX Business Network.”
Can’t get anything passed these guys.
Report Post »RVSisters
Posted on December 7, 2011 at 3:46pmIn re: MF Global and John Corzine: One has to think of the old saying “Birds of a feather” which in addition to flocking, get JAILED TOGETHER!! Oh, did I mention Mr. Corzine is a close friend of Mr. Obama????
Report Post »imahappy123
Posted on December 7, 2011 at 7:51pmLet’s put Former President Clinton in the cell with these guys, since he has ties to this debacle too.
Report Post »Hollywood
Posted on December 7, 2011 at 3:01pmSeems Corzine will be joining Obamas’ buddy Tony Rezko,who just got a decade + in the clink. How does that saying go again? Oh yes,you can tell a persons’ character by their friends.
Report Post »TEARS FOR AMERICA
Posted on December 7, 2011 at 2:53pmIt is robbery, gangsta style, prevalent even in our Congress in my opinion.
Report Post »lovemynation
Posted on December 7, 2011 at 2:05pmFast and Furious, Solyndria, MF Global, this company, that company….no matter what company, it seems that in the flurry of greed and questionable tactics, money or guns, when it involves our gov’t of late, some form of crime happens and then is swept away. The money is gone. Once again, like the Wall St. greed caused “tsunami”, the consumers lose. One way or the other, the crooks come out ahead of the game. And like Holder did to Congress, and the CEO’s of Solyndria, Corzine will take the 5th. They know what they did was wrong, immoral and unethical, but then when you consider what they have done with insider trading on the Hill, this is just another case of the people being ripped off by the same ones who promise they’ll take good care of your money. And they do…they take great care in spending or losing it and then excuse it away. Like the taxes not paid by congressional members or Obama’s admin members. They made a mistake,“ unintentionally”, and are sorry but….same excuse, different person,different day. Just another example of what is wrong in our nation today, and our gov’t. They think they are above the laws that we must pay heed to or be jailed. It seems that no shame resides in the leaders of today. Or ethics. So once again, the people will lose. And Corzine will skate scotfree.
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