Monday, November 21, 2011

Just How Much Did Corzine Steal?

Seems there's a revised count.

Three weeks after MF Global's collapsed, furious former customers are still fighting for access to billions of dollars as they question why as much as two-thirds of their money is still stuck.

While authorities have touted the fact that they are returning 60 percent of the collateral and cash that had been frozen in the wake of the broker's October 31 bankruptcy, a closer look shows that in fact only about 40 percent of customers' total funds have been authorized for release so far.

The remainder, more than $3 billion, ostensibly remains on hand to cover a shortfall originally estimated by MF Global to regulators at just $600 million.   --Ticker quoting Reuters

So.  Are the Feds providing 5x coverage?  Or is the $600 million the low-end guess?

1 comment:

Tim Morrissey said...

Looks this morning like a billion is the low-end guess.