{"id":10182,"date":"2011-11-18T05:52:53","date_gmt":"2011-11-18T10:52:53","guid":{"rendered":"http:\/\/www.rightwinggranny.com\/?p=10182"},"modified":"2011-11-18T05:52:53","modified_gmt":"2011-11-18T10:52:53","slug":"jon-corzine-and-mf-global","status":"publish","type":"post","link":"https:\/\/www.rightwinggranny.com\/?p=10182","title":{"rendered":"Jon Corzine And MF Global"},"content":{"rendered":"

Today’s Wall Street Journal<\/a>\u00a0(this is a subscriber only article) is reporting that\u00a0MF Global Holdings Ltd. shifted hundreds of millions of dollars in customer funds to its own brokerage accounts in the days before its bankruptcy filing. That is illegal.<\/p>\n

The article reports:<\/p>\n

“If they used client moneys to meet house margin calls, that’s a misuse of client funds,” said Ronald Filler, a law professor at the New York Law School.<\/strong><\/p>\n

According to the Commodity Exchange Act, customer funds at futures commission merchants “shall not be commingled with the funds of such commission merchant or be used to margin or guarantee the trades or contracts\u2026of any customer or person other than the one for whom the same are held.”<\/strong><\/p>\n

Commodity Futures Trading Commissioner Scott O’Malia said earlier this week that it “appears that MF Global failed this fundamental responsibility.”\u00a0<\/strong><\/p>\n

The New York Post<\/a>\u00a0posted a story yesterday with the title, “These guys want Corzine in prison.” The writer of the article talks about the impact of what was done at MF Global on four\u00a0commodities traders he refers to as Eeny, Meeny, Miney, and Moe.<\/p>\n

The article reports:<\/p>\n

\n

All of them were stung hard \u2014 not only because their money at MF disappeared overnight but also because they couldn\u2019t even get on the floor of the exchange to conduct business.<\/strong><\/p>\n

Their IDs had been revoked.<\/strong><\/p>\n

Up to 30,000 of MF\u2019s customers worldwide are said to be unable to access money they had in so-called \u201csegregated\u201d accounts at the company. And with the bankruptcy court and a trustee now involved, that money could be locked up for a long time.<\/strong><\/p>\n

\u201cI want to see jail. I want to see one of these guys go to prison,\u201d Moe said, with Eeny, Meeny and Miney nodding in agreement. \u201cThey destroyed lives because they wanted to make money. No more fines and Club Fed. People need to pay\u201d with jail time.<\/strong><\/p>\n

Corzine, who took over the sleepy brokerage firm after being defeated for a second term in the statehouse, is the one they hold most responsible.<\/strong><\/p>\n

I think it’s time to take a good look at the way we treat ordinary people who break the law and extremely wealthy people who break the law. I am sure we will be hearing more of this story in the future.<\/p>\n

 <\/p>\n<\/div>\n

\"Enhanced<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"

Today’s Wall Street Journal\u00a0(this is a subscriber only article) is reporting that\u00a0MF Global Holdings Ltd. shifted hundreds of millions of dollars in customer funds to its own brokerage accounts in the days before its bankruptcy filing. That is illegal. The … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[1272,1271,1270,657,238],"class_list":["post-10182","post","type-post","status-publish","format-standard","hentry","category-uncategorized","tag-commodity-exchange-act","tag-jon-corzine","tag-mf-global","tag-new-york-post","tag-wall-street-journal"],"_links":{"self":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/10182","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10182"}],"version-history":[{"count":1,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/10182\/revisions"}],"predecessor-version":[{"id":10184,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=\/wp\/v2\/posts\/10182\/revisions\/10184"}],"wp:attachment":[{"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10182"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10182"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.rightwinggranny.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10182"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}