Posted on 11/22/2011 6:08:18 AM PST by cuban leaf
This was forwarded to me by a colleague…Great letter
To: James W. Giddens, Trustee, SIPA Liquidation of MF Global, Inc. and Martin Glenn, United States Bankruptcy Judge
From: Cathy Cuthbert
RE: MF Global Heist
I am a lucky, former MF Global client. Unfortunately, I’m not a multi-billionaire who got the memo. I had a modest account that was supplying me with a modest livelihood, when suddenly one Monday afternoon, my account was frozen, my livelihood was essentially gone and four years worth of trading profits vanished into cyber space. You might be interested to know that sitting on my desk as I write is an application for a part-time, seasonal position stocking shelves at the local Rite-Aid. Then again, maybe not…
Let’s try a thought experiment. Suppose I worked at a little bank in Anywhere, USA and it just so happened that I had a few peccadilloes I needed to clean up. So I borrowed just a tad of money from a few clients’ accounts without it showing on their statements or anything – don’t want to alarm the little tykes – intending all along to of course return the money ‘cause ya know, I’m good for it, but somehow I just couldn’t come up with the bucks fast enough and somebody found out. Do you suppose I could just resign, go home and suck a sore paw while someone else looked high and low, under my desk, in my filing cabinet, maybe pieced together my shredded docs hoping to find out where, oh where the money went?
Don’t be ridiculous. Not only would I immediately be tased, hand cuffed and thrown into the slammer, hard evidence or no, but the money would be very quickly found since there is not one thin dime that passes between accounts in all of the entire USA that isn’t thoroughly and incessantly tracked anywhere and everywhere it goes. Not one thin dime. You fellas know it, I know it, but worse for you, the whole world knows it and I don’t have to tell you they are all watching.
Should I remind you that the key factor in any financial market is the belief of all the participants that the market is mostly fair? Oh, please, don’t call me naïve. I am well aware that futures trading is a negative sum game, and that there are plenty of shenanigans going on with bad fills, running stops and the like. That’s ok, though, since it is petty theft and we can figure out ways to stay in the game regardless. But what everybody needs to know is that nobody is going to clean out our accounts. We need to be assured that flagrant grand theft is simply out of the question. If the idea were to become credible that anyone’s account – or, as in this case, everyone’s accounts – can be stolen with impunity and with no recourse for the aggrieved, nobody in his right mind would be in the futures market.
You can obfuscate with legal mumbo jumbo about how depositing money into a futures account makes me an unsecured creditor, but I can assure you that you don’t want to go in that direction. Here’s why. If you use that excuse to pay off the Big Boys by letting them cut ahead of us clients in bankruptcy due to our status as unsecured creditors, what does that mean for my account at the friendly, neighborhood Bank of America? Steal from us MF Global clients, and the hoi polloi, who are already slowly but surely waking up to the banking scam, just might figure out that they, too, are unsecured creditors every time they deposit their paychecks.
Yes, Jimmy and Marty, you are staring in the face of not just a run on the futures markets, but a run on the banks.
Let’s stop pretending that you don’t know where the money is. Corzine got a margin call from the Big Boys and paid it. So claw it back. Yes, it’s that simple. A mere $600 million is not going to solve their multi-billion dollar problems, anyway. While you’re waiting for the clawback, you can make all the clients’ accounts whole with funds from SIPC if you have to. Forget this pathetic 60% recovery of collateral. Nothing less than 100% will do. And don’t forget to order Corzine his orange jump suit. Either he bunks with Madoff or no one will believe that this can’t happen again.
So here’s the deal. You can be the heroes or you can be the goats. You can take the high ground, convince the Big Boys that they have gone too far for their own good and return the futures markets to some semblance of reliability, or you could be the ones to kick the last prop out from under the vestiges of capitalism and send the world spiraling at an ever accelerating pace into a fascist future.
Sounds like a no-brainer to me.
Imagine your "insured" "protected" "highly regulated" "regularly audited" bank account was suddenly frozen, with a good chance you'd take a 40% haircut if and when the murky powers-that-be unfroze it.
And imagine the bank manager - a name brand fellow with top political ties - was still walking around free.
That is what we're looking at.
“First they came to rob the commodities speculators, but I didn’t speak up because I wasn’t a commodities speculator.”
still walking around free.
Makes my blood boil.
Celente had his money stolen too. He was trading gold with a company MF global had bought and didn’t know MF owned.
Not “too big to fail”, but “too connected to get caught”!
That is very much how Celente described it this morning.
It is how I look at the robo-signing the banks did.
Caught but not nailed.
As for the robo-signers, I couldn't agree more. All those clowns deserve quality time, face down in the day room at Leavenworth.
—Not “too big to fail”, but “too connected to get caught”!—
Sounds like the old phrase, “Everyone is equal, but some are more equal than others.”
This country has no ruling class (supposedly) and is governed by laws, not men. If certain parties are not, at the very least, walking around because they’ve made bale, this is a full frontal attack on our government that is of, by and for the people.
Will we stand by and just watch them take us over even when they are this overt? For crying out loud, this happened in front of God and everybody!
bale = bail
But you knew that. :-)
As long as the Trustee does his job, this is what in fact should happen.
SO WHERE IS THE MISSING MF GLOBAL MONIES? Time to connect the dots
<><> Corzine is a well-rounded operator. As Governor, he left the state of NJ $8 billion in debt. $8 billion went missing from one state agency....other agencies like UI and the Transporation Trust Fund went bankrupt with no explanation why. The $82 Billion state pension fund lost about 25%.
<><> Right before Corzio's reelection, Obama sent $17.5 Billion stimulus to NJ---which promptly vanished.
<><> Gov Corzine made several highly suspicious trips to Israel when he had no political reason to be there. Israel is the only place in the world where you can take a suitcase full of money to a bank---and noboody asks where it came from. Isreal also has many businsses in NJ funded with NJ state "grants" as well as an Israeli Chamber of Commerce.
<><> MF Global principal Brad Abelow was Corzine's appointee as NJ Treasury Secy----controlling ALL NJ assets. Gov and Secy started an investment business----but the two "financial geniuses" said did not know this was illegal.
<><> MF Global principal Chris Flowers handled Sen/Gov Corzine's "blind assets" ......Flowers led the taskeover of a Japanerse bank for Corzine----Sen Corzine passed a bill giving the bank a US tax break......said he did not know the bill benefitted him.
<><> Corzine registered three corporations in super-secret financial haven----Delaware----BEFORE taking office.
<><> All three of the above-named MF Global principals were G/S cronies.
<><> Ponzi king Bernie Madoff made a generous contribution to Corzine's campaign.
Let's posit for the moment that Corzine stole the money, and that some, but not all of it, is recovered, and many investors suffered losses.
Corzine faced a criminal trial, is convicted, and sentenced, as it is proven that he directly ordered the funds moved.
Can he be sued personally for the lost $$?..civil suit...or can the feds force him to make restitution in return for leniency?..he's reported to be worth several hundfed million.
Nope, they came for the Chrysler and GM secured bondholders years ago.
I have waited weeks to see someone say this.
Instead of claiming to receive a letter...
...how about crediting the source directly - including the sites of publication.
=8-)
—I have waited weeks to see someone say this.—
There are a few “the emperor has no clothes” statements in that email. :-)
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