Skip to comments.How JP Morgan And George Soros Ended Up With MF Global Customer Money
Posted on 01/10/2012 4:47:07 AM PST by Texas Fossil
In recent testimony before a Congressional committee, MF Globals former chief Jon Corzine as well as other MF Global executives said repeatedly the didnt know where the failed brokerage firms $1.2 billion of missing client money was. In fact, MF Global executives knew exactly what happened to the money, as do the regulators who oversaw the firms bankruptcy. The so-called segregated customer funds were repeatedly, and legally (through re-hypothication), used as collateral for MF Global loans for 100:1 leveraged bets on European sovereign debt.
Rehypothication is the 800lb gorilla (Editors note: make that the 2,000 lb gorilla). In 2007 I was with another fund that was the first 2.5bln casualty
A substantial portion of MF Globals commodity clients cleared their transactions through the Chicago Mercantile Exchange and Comex, owned by CME Group (ticker: CME). The question now looming over CMEs stock is whether the company will be liable for customer losses, as the Commodity Customer Coalition, a group that says it represents some 8,000 investorsincluding many hedge fundswith exposure to MF Global are not going down without a fight.
(Excerpt) Read more at clearingandsettlement.com ...
>>But what if you buy a car with no title and its VIN scratched out from someone who hides whenever the cops come by. How liable are you for buying obviously stolen property?
But that’s not what happened in this case is it? MF Global made a bad bet, the valued plummeted, and Goldman (and then Soros) stepped in and *bought* the assets.
No different then you buying a stock that crashes, then you are forced to sell because you got a margin call, and I stepped in to buy it at a discount.
Lets put the blame where it belongs - MF Global and Corizine. They made the bad bet - not Soros.
No, I did not see “Collaberators”, but know that Soros and his father both were.
I like the History channel (some things on it), but watch almost no TV.
I used the word “quisling” because I think Obozo typifies that.
“AS IN ALL the other occupied countries, the Nazi power profited from the support of local sympathisers. During a visit to Hitler in Berlin in the winter of 1939-40, the leader of the national socialist Nasjonal Samling Party, Vidkun Quisling, had pointed out how valuable it would be for Germany to occupy Norway. Immediately after the invasion, on the morning of April 9, 1940, he proclaimed himself the new head of the government and ordered the Norwegian armed forces to stop battling the Germans.”
Not a surprise.
I have seen a few sources claim that JP Morgan Chase contributes to Planned Parenthood, also. Actually, quite a few financial corporations do.
Obama is a Quisling!