Posted on 11/01/2011 7:56:47 AM PDT by NoLibZone
NEW YORK — Hundreds of millions of dollars of customer's money has gone missing from the brokerage firm run by former New Jersey governor Jon Corzine, sources told The New York Times.
The New York-based company, MF Global, filed for bankruptcy Monday following bad bets on euro zone debt.
The discovery of the missing millions stopped a last-minute deal to sell a major part of MF Global to another brokerage firm from going ahead, The New York Times reported.
Corzine, 64, who once ran Goldman Sachs before becoming a U.S. senator and then governor of New Jersey, had been trying to turn the more than 200-year-old MF Global into a mini Goldman by taking on more risky trades.
But once regulators forced it to fully disclose the bets on debt issued by countries including Italy, Portugal and Spain, it rapidly unraveled with no buyers willing to step in.
MF Global's meltdown in less than a week made it the biggest U.S. casualty of Europe's debt crisis, and the seventh-largest bankruptcy by assets in U.S. history.
MF Global files for bankruptcy protectionThe Times, citing "people briefed on the matter," said it was initially thought some $950 million was missing, but this figure dropped to less than $700 million.
(Excerpt) Read more at msnbc.msn.com ...
I see. Another one of those “smartest guys in the room” who make dreadful investments; and now his firm has lost 600-million-dollars in client funds.
Another nightmare of greed and stupidity going hand in hand.
He’s perfect for Treasury under the Obama administration.
Strange, it doesn’t mention if he is a democrat or a republican. Just on oversight, I am sure.
perp walk.
“missing” is not the same thing as “lost” - as in “trading losses.” So which is it? I’m betting it’s the latter.
Ther can be a big difference beween “missing” and “lost.” “Lost” implies money was lost on trades or in the course of ordinary good-faith business transactions gone bad. “Missing,” OTOH, implies that a Bernine Madoff-type individual absconded with the money. Which is it???
Corzine is (was) on the list to replace Geithner if he left!
WOW!!!!
Occupy DNC.
Customers funds were commingled with the firm’s $$ to meet margin accounts. Somebody BIG had to give the orders..no cler will do this on his own..it means JAIL..maybe for Corzine..
Customers funds were commingled with the firm’s $$ to meet margin accounts. Somebody BIG had to give the orders..no clerk will do this on his own..it means JAIL..maybe for Corzine..
Customers funds were commingled with the firm’s $$ to meet margin accounts. Somebody BIG had to give the orders..no clerk will do this on his own..it means JAIL..maybe for Corzine..
Yes, this could get interesting.
New York Times Headline: "Corzine improves company performance by 30%!"
Washington Post Headline: "You're in good hands with Corzine!"
Shall we continue?
the “customer” was probably the Treasury.
Wonder if Baraq and MooseChelle have their 401ks there?
He is a smart guy. He made sure he gets paid 12M when the firm is sold. Too bad the deal fell through.
No..these were private and institutional customers separate faccounts......
NEW YORK (CBS 2) – Former New Jersey governor Jon Corzine may be looking at a new job in Washington.
He’s reportedly being eyed as a possible replacement for Treasury Secretary Timothy Geithner.
That’s if Geithner leaves before the end of President Obama’s first term.
http://newyork.cbslocal.com/2011/08/05/reports-corzine-being-eyed-as-possible-replacement-for-geithner/
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