Market Overview

MF Global Misplaces $700 Million

Following a story by Louis Bedigian that we published yesterday which reported the fact that MF Global (NYSE: MF) has field for bankruptcy, news has emerged on Tuesday morning that the company has lost $700 million of customer money.

According to CNN Money, the money is missing from MF's books and it is that discrepancy that cost the company a deal with Interactive Brokers and forced it into bankruptcy.

Presumably, CEO Jon Corzine has checked his pockets and between the sofa cushions, but he could not locate the missing money before the news went public.

A joint statement issued on Monday by the Commodity Futures Trading Commission and the Securities and Exchange Commission said, “"MF Global informed the regulators that the transaction had not been agreed to and reported possible deficiencies in customer futures segregated accounts held at the firm."

MF Global has so far refused to comment about the missing money. Perhaps they are all hoping that it'll turn up in the coffee kitty container.

Posted-In: News Legal Best of Benzinga

 

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