MF Global - WTF! Customer money gone missing?

Discussion in 'Wall St. News' started by benwm, Oct 31, 2011.

  1. achilles28

    achilles28


    Good find. Obvious criminality, afoot. In cases like this, there must be at least a handful of executives (CFO, CEO) that collude. The idea that one guy cooks the books and unilaterally signs off on thousands of trades/accounts/dummy accounts/shell corporations is impossible. But apparently not for that super-genius, Madoff. Fox guarding the henhouse...
     
    #11     Nov 1, 2011
  2. southall

    southall

    Did MFG stop paying out customer withdrawal requests yesterday after going in to BK?

    Or can they continue to pay out from segregated accounts. I presume there is still some money in the segregated accounts. I presume the missing 700 million didn't wipe out all the money owed to clients, they still have much more segregated .

    Or will customers now have to wait for the courts to decide if they should get paid ahead of everyone else who is owed money?
     
    #12     Nov 1, 2011
  3. The money is frozen, probably for a lengthy period of time now that an investigation is under way, or until somebody buys the brokerage, or if it goes into liquidation proceedings. That really sucks, feel bad for those customers.
     
    #13     Nov 1, 2011
  4. DT-waw

    DT-waw

    sadly, won't happen.
    society loves to support crooks and oppressors.
    see bush, rumsfeld, etc.

    the more you steal, the more society wants you to have.
     
    #14     Nov 1, 2011
  5. That leaves Interactive Brokers as the biggest independent futures broker in town. 2nd Place RCG.
     
    #15     Nov 1, 2011
  6. This is REFCO part deux.
     
    #16     Nov 1, 2011
  7. stanage

    stanage

    Presumably this is less likely to happen with a broker that doesn't have a prop business as well.

    Maybe there's a lesson here...
     
    #17     Nov 1, 2011
  8. AC3

    AC3

    What do you expect when you assume all the slugs from Refco into a new company.

    New dress on the old whore.
     
    #18     Nov 1, 2011
  9. I know of a CTA and a retail client with MFG that sent wire-out requests by 9am yesterday morning and neither has been received.
     
    #19     Nov 1, 2011
  10. AC3

    AC3

    Thanks for playing.......
     
    #20     Nov 1, 2011