Smoking Gun at MF Global
Bloomberg News allegedly has an e-mail from MF Global Treasurer Edith O’Brien demonstrating that days before MF Global’s collapse, Jon Corzine, MF Global’s CEO, gave “direct instructions” to his underlings to transfer $200 million from one customer account to another account in order to meet an overdraft in one of the company’s JPMorgan Chase London accounts. If this is true, it could represent a "smoking gun" tying Corzine to the loss of funds in customer accounts at MF Global. It should be noted that the e-mail is NOT from Mr. Corzine but from another executive at MF Global claiming (in real time) that Mr. Corzine had given him said instructions. It should also be noted that the $200 million is only a fraction of the monies still missing from the MF Global brokerage accounts.
Video below
Source: Bloomberg News
Also see: New Details Emerge on MF Global, but No Smoking Gun in the NY Times and Email Ties Corzine to Missing Funds at the Wall Street Journal.
About Edward Harrison
Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty years of business experience. He is also a regular economic and financial commentator on BBC World News, CNBC Television, Business News Network, CBC, Fox Television and RT Television. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College. Edward also writes a premium financial newsletter. Sign up here for a free trial.
