Like its predecessors, the bankrupt brokerage formerly run by Jon Corzine took advantage of an accounting maneuver to keep certain financial obligations off its books, making the firm look less indebted and thus less a risk than it really was.
On Thursday, Mary Schapiro, chairman of the Securities and Exchange Commission, told a committee of Congress the SEC was investigating the accounting treatment that helped mask MF Global's exposure to risky foreign sovereign debt.
MF Global Accounting, EU Bank State Aid, U.K. Loans: Compliance
ReplyDeleteDecember 02, 2011, 12:59 AM EST,
By Carla Main
Dec. 2 (Bloomberg) -- An accounting technique used by MF Global Inc., the failed broker-dealer, is being reviewed by the U.S. Securities and Exchange Commission, agency Chairman Mary Schapiro said.
http://www.businessweek.com/news/2011-12-02/mf-global-accounting-eu-bank-state-aid-u-k-loans-compliance.html
See the congressional committee hearings
ReplyDeletehttp://www.c-spanvideo.org/program/FGl
1.2 billion USD gone missing from the fund. Where are they?
ReplyDeleteFormer New Jersey Governor and Chief Executive Jon Corzine testified about the bankruptcy of the financial firm MF Global and a dispute over $1.2 billion in missing funds.
ReplyDeletehttp://www.c-spanvideo.org/program/MFGl
DECEMBER 15, 2011, 9:54 PMLEGAL/REGULATORY
ReplyDeleteCorzine Denies Knowing That MF Global Was Tapping Client Funds
http://dealbook.nytimes.com/2011/12/15/corzine-denies-knowing-mf-global-was-tapping-client-funds/?ref=business
The latest update as of December 23, 2011
ReplyDeleteMF Global trustees in clash over funds
http://www.ft.com/intl/cms/s/0/6b0bbe94-2d76-11e1-b985-00144feabdc0.html#axzz1hOeCu3i0
Update:
ReplyDeleteDECEMBER 28, 2011, 9:04 PM INVESTMENT BANKING | LEGAL/REGULATORY
MF Global Scrutinized on Money Move
http://dealbook.nytimes.com/2011/12/28/mf-global-scrutinized-on-moving-of-money/?ref=business
January 6, 2012
ReplyDeleteChicago Breaking Business
MF Global inquiry turns to CME, its primary regulator
http://www.chicagotribune.com/business/breaking/chi-mf-global-inquiry-turns-to-cme-its-primary-regulator-20120106,0,6218113.story
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ReplyDeleteIn MF Global, JPMorgan again at center of a financial failure
ReplyDeleteBy Carrick Mollenkamp, Lauren Tara LaCapra and Matthew Goldstein
Thu Jan 19, 2012 10:18am EST
(Reuters) - In late October, as MF Global Holdings Ltd teetered toward bankruptcy, Jon Corzine phoned his close-knit circle of Wall Street friends for help.
His firm, facing demands from customers and other firms for cash, needed to sell billions of dollars in securities to raise the money. As the week progressed, MF Global executives came to believe that JPMorgan Chase & Co., one of MF Global's primary bankers and a middleman moving that cash, was dragging its feet in forwarding the funds.
Source:http://www.reuters.com/article/2012/01/19/us-mfglobal-jpmorgan-idUSTRE80I02520120119
MF Global: Uncertain futures
ReplyDeleteJanuary 26, 2012 7:17 pm
The question is how can regulation now be tightened.
"Ultimately, a quick fix looks unlikely. “Trust has been completely shaken and it’ll be a long, slow, hard climb back,” says the futures broker’s head. “When farmers and small-town banks don’t trust us, we need to take a long look in the mirror.”
Source: http://www.ft.com/intl/cms/s/0/02ec3d4e-475b-11e1-b646-00144feabdc0.html#axzz1kdwm7bP8
Building Chaos at MF Global
ReplyDeletehttp://blogs.wsj.com/deals/2012/03/01/building-chaos-at-mf-global/?mod=google_news_blog
March 2, 2012
MF Global's Collapse: 30 Shocking Numbers
ReplyDeleteIf you haven't read the series, the 30 numbers below sum up one of the most extraordinary episodes in the history of the financial markets:
http://www.fool.com/investing/general/2012/02/29/mf-globals-collapse-30-shocking-numbers.aspx