Corzine to Blame for Missing MF Global Funds
For the 38,000 customers of MF Global, many of whom are farmers, ranchers and other main street investors, the last 13 months have been a series of shocks, one after another, followed by even bigger shocks. Most have had to watch as their assets, real assets like gold and silver, have simply gone missing. And, according to MF Global CEO Jon Corzine, he doesn’t know where the money is.
Dan Roth, president of the National Futures Association (NFA), a primary front line regulator for the futures industry characterized the actions leading to missing MF Global funds as theft.
On November 14, the GOP members of the U.S. House of Representatives Financial Services Subcommittee on Oversight and Investigations released a report about Corzine’s responsibility for the collapse of MF Global, a once prominent broker.
MF Global Bankruptcy Recap
On October 31, 2011, MF Global, while under the leadership of former Goldman Sachs executive and former New Jersey Governor Jon Corzine, filed for bankruptcy. Precipitated by a loss of confidence in the company’s investing practices and concern over its new big bet on debt-ridden Eurozone countries, JP Morgan pulled funding from MF Global, leaving it without the resources needed to ride out a temporary loss in value Corzine’s Italian bond bet. Shortly after the company filed for
Despite a recent fact-finding report from members of the U.S. House, it is still unclear whether any criminal charges will be filed against Corzine or other executives from MF Global.