Runs 2 minutes. Update from about an hour ago. Comments from the CME and CFTC.
Regulators Investigating MF Global For $700 Million In Missing Client Funds - Was It Stolen By Management?
This is not looking good for former New Jersey Senator and Governor, and previously Goldman Sachs CEO Jon Corzine. More than $700 million of supposedly safeguarded client funds have gone missing from MF Global. If it was stolen from client accounts to support MF Global's trading positions, Jon Corzine should go to prison. And if it was stolen, and Corzine escapes without a Federal ID number and associated orange jumpsuit due to fundraising ties with Obama and Eric Holder, then the game is over. The rule of law is dead.
After Scott Olsen, a two-tour Iraq war veteran, suffered a skull fracture Tuesday when police shot Occupy Oakland protestors with rubber bullets and threw flash bang and tear gas grenades at them, you might think that the Justice Department would investigate.
After all, the Justice Department has the power and responsibility to investigate state and local police violations of Americans’ constitutional rights.
Sorry, Scott Olsen. Sorry, Occupy. No such luck.
More detail inside.
It doesn’t get any more immoral than this. As the Securities and Exchange Commission civil complaint noted, in 2007, Citigroup exercised “significant influence” over choosing $500 million of the $1 billion worth of assets in the deal, and the global bank deliberately chose collateralized debt obligations, or C.D.O.’s, built from mortgage loans almost sure to fail. According to The Wall Street Journal, the S.E.C. complaint quoted one unnamed C.D.O. trader outside Citigroup as describing the portfolio as resembling something your dog leaves on your neighbor’s lawn. “The deal became largely worthless within months of its creation,” The Journal added. “As a result, about 15 hedge funds, investment managers and other firms that invested in the deal lost hundreds of millions of dollars, while Citigroup made $160 million in fees and trading profits.”
Watch the entire clip.
Outstanding interview recorded yesterday.