Anyone pulling money out of MF Global?

As I recall, China arrested 23 Walmart employees because one of their suppliers provided non-organic beef in organic beef packages.

If this happened in China, ...


I feel shook up by this event even though I have my account elsewhere.

I hope justice will be served.

Was glad to here some of the clients will get 60% of their cash.
 
What we do without these rating agencies? We never would have been able to figure out MFG's credit was junk w/o Fitch.

Quote from southall:

MF Global Holdings Ltd.'s challenges mounted Thursday as Fitch Ratings downgraded the broker-dealer's credit to junk status and, according to people familiar with the matter, at least one major broker ceased some trading activities with the firm.

:eek:

http://online.wsj.com/article/SB10001424052970203687504577002243108150400.html
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Quote from the1:

What we do without these rating agencies? We never would have been able to figure out MFG's credit was junk w/o Fitch.
More...

I heard they were about to issue major downgrades for Refco and Solomon Bros. as well...
 
Quote from Cdntrader:

Investigators have now zeroed in on the suspect borrowing at the commodities and derivatives brokerage firm, which at the time of its collapse was run by Jon S. Corzine, these people said. At least some of the borrowed customer cash was used to pay off bad bets made by MF Global, regulators suspect, meaning the money is not simply missing. It is gone.

http://dealbook.nytimes.com/2011/11/17/mf-global-is-said-to-use-customer-cash-improperly/
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So we'll eventually get all but the missing 11% then we become creditors on the MF parent company side of the bankrupsy?
 
Quote from dangerkitty:

So we'll eventually get all but the missing 11% then we become creditors on the MF parent company side of the bankrupsy?
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My belief, based on available information, is that MF clients will eventually receive approximately 88% of their funds, with the remaining 12% to be pursued through either distributions from CME Group/Regulators/etc. and lawsuits.

Those executives responsible for committing theft of client funds (doesn't matter that it wasn't embezzled, but rather used to support prop positions) will be held to account, charged criminally, tried and hopefully convicted & sentenced.

Moreover, laws regulating the segregation of cust fund will be improved.

*60% is to be distributed before Thanksgiving.
 
November 21, 2011 – New York, New York – James W. Giddens, Trustee for the liquidation of MF Global Inc., today reported that his <b>current plan to distribute 60%</b> of what should have been segregated in US depositories for all former customers with US futures positions <b>will total nearly all of the assets currently under his control.</b>

...The Trustee expects this transfer to occur in <b>early December</b>...

http://www.donmillereducation.com/MFGlobal112111Release.pdf
 
Quote from benwm:

November 21, 2011 � New York, New York � James W. Giddens, Trustee for the liquidation of MF Global Inc., today reported that his <b>current plan to distribute 60%</b> of what should have been segregated in US depositories for all former customers with US futures positions <b>will total nearly all of the assets currently under his control.</b>

http://www.donmillereducation.com/MFGlobal112111Release.pdf
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It sounds like about $600 mil is in foreign banks and may take a while to get back. That's why the CME has to step in. The money is coming back eventually, and the CME looks worst every day they drag their feet.
 
My understanding of the distribution process is as follows:

1. (Last two weeks) Distributed 60% of the collateral on open positions only

2. (Happening now) Distributing 60% of the account value of those accounts that were flat on Oct 31st

3. (Possibly early Dec) Make everyone's account up to 60% of the original balance

Is that correct?
 
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