Jim Willie: JPM Crashed MF Global to avert COMEX failure!

[DMac]

JP Morgan Crashed MF Global to avert COMEX failure, European Derivatives Implosion (http://silverdoctors.blogspot.com/2011/12/jim-willie-jp-morgan-crashed-mf-global.html)

Must read! There is also the full radio interview linked at the bottom of the article.


WOW!!!

:o :mad:

[General of Darkness]

Apparently Jim is all out of bubble gum.


http://www.youtube.com/watch?v=OImKPh6N_Lw

[DMac]

Related thread:

MF Global and the great Wall St re-hypothecation scandal (http://gold-silver.us/forum/showthread.php?56677-MF-Global-and-the-great-Wall-St-re-hypothecation-scandal)

[DMac]

HSBC Sues MF Global Brokerage Over $850,000 Worth of Gold (http://www.businessweek.com/news/2011-12-09/hsbc-sues-mf-global-brokerage-over-850-000-worth-of-gold.html)

intro


Dec. 9 (Bloomberg) -- HSBC Holdings Plc sued the MF Global Inc. brokerage trustee to establish whether he or another person is the rightful owner of gold bars worth about $850,000 and silver bars underlying contracts between the brokerage and a client.

[DMac]

Zerohedge's take on the above article (post 4)

The Gold "Rehypothecation" Unwind Begins: HSBC Sues MF Global Over Disputed Ownership Of Physical Gold (http://www.zerohedge.com/news/gold-rehypotecation-unwind-begins-hsbc-sues-mf-global-over-disputed-ownership-physical-gold)

[DMac]

I'm surprised this MF Global gold scandal isn't getting more traction on the web. This is COMEX default-lite!

[DMac]

Kyle Bass:

Skip to minute 41-ish for the good stuff:


http://www.youtube.com/watch?v=5V3kpKzd-Yw

"What happens if 4% of the people want delivery?" heh.

[gunDriller]

i'm wondering if one of the reasons they're having such a trouble telling us what's going on with MFG is that one of the participants has protected-citizen status.

Israel for example.

[DMac]

i'm wondering if one of the reasons they're having such a trouble telling us what's going on with MFG is that one of the participants has protected-citizen status.

Israel for example.

Izzy....I think the FED.

JPM (IMO) is the main operational arm of the FED in the USD stability/Gold manipulation scheme. JPM stole some gold. Titanic is going down and folks are waking up to a serious shortage of rafts.

[osoab]

Kyle Bass:

Skip to minute 41-ish for the good stuff:


http://www.youtube.com/watch?v=5V3kpKzd-Yw

"What happens if 4% of the people want delivery?" heh.


That was an excellent part of the interview. "That will never happen." HA!.

What was the number on the gold? 2.1 billion of deliverables to 80+ billion in claims? He took 1 billion of deliverables.

The thing that irks me is that he is still holding his bullion in another bank. Same with his nickels.

I really liked his reflection on his meeting with Barney Frank. "Hell Barney why not 3 Trillion!"

related thread.

http://gold-silver.us/forum/showthread.php?56452-Kyle-Bass-Explains-The-New-World-Order-Panel-Presentation&highlight=kyle+bass

[osoab]

Another article by Bruce Krasting on MF.

On Corzine - MFG in the fog of war (http://www.zerohedge.com/contributed/corzine-mfg-fog-war)



I recently had a conversation with an individual (we'll call him Bob) who had three MFG accounts. He, like many other customers, smelled a rat with MFG as the stock price plunged and the FINRA issues with the Euro bond positions became known.

Bob voted with his feet. He closed off all open positions. He got back to cash. Then he requested a wire transfer for the balance(s). He left a small operating balance in the accounts in order to keep them open. This fellow was small potatoes. Two of the accounts were under $20k. The other was $215k.
Wire transfers to a bank were requested.

According to Bob, the wires went out on Wednesday, October 26 (four days before BK). All three wire transfers were received on Thursday October 27.
But on Friday, October 28, the bank that had received the funds reversed the wire transfer for the larger amount. The transfers for the two smaller amounts were not reversed.

This is highly unusual. It is extremely difficult to reverse a wire transfer. Wire transfers are considered to be Immediately Available Funds or “Good Funds”. Absent a court order, the only way to reverse a wire transfer is when the remitting bank provides a letter of indemnity ("LOI") to the receiving bank. I’ve written these letters. They would look something like this:
To: ABC Bank


From: XYZ Bank

Reference:Wire Transfer #123456 (http://search.twitter.com/search?q=%23123456) date 10/26/2011 for $215,000 for further credit to "Bob", Account #AB3355 (http://search.twitter.com/search?q=%23AB3355)



We hereby request that you immediately debt the account of (Bob) for the full amount of the transfer and return the funds to us.



If you comply with this request we hereby agree to hold you free and harmless of any consequences that may arise as a result of this request.


XYZ Bank
Basically XYZ has to give ABC a blanket guarantee that they will not get hurt by the request.

Here’s the rub. I’m told that in the matter at hand, the "XYZ" bank operating on behalf of MFG was JPM.

If I’m right that a LOI was required to claw back a wire transfer, then - assuming my information is correct, and I think it is - it had to have been JPM that wrote the indemnity letter. (No one would have acted on a LOI from MFG on 10/28).

I'm speculating quite a bit. But it’s still worth considering. At this point, anything is worth considering. We are six weeks past the BK. As Corzine and all the others said today, they have no clue where the missing money is. There has been any army of forensic accountants (FBI & KPMG) toiling night and day. No one has found the money. That's crazy to me.

A possible daisy chain:

(1) MFG orders XYZ Bank to make a money transfer.
(2) XYZ makes the transfer.
(3) After the transfer has been made (or during the same day) XYZ issues a letter of indemnity (“LOI”) and obtains a refund of the transfer.
(4) The initial wire transfer is accounted for (correctly) at MFG as a reduction of the customer account liabilities (Segregated account).
(5) When the money comes back into XYZ (pursuant to the LOI) it is not credited back to the Seg./customer account. (The fog of war factor? Deliberate?)
(6) After the money has been returned to XYZ bank, it appears to be "unrestricted funds" of MFG. It gets commingled. Someone grabs the money to offset a claim. The Chinese Wall between the Seg. account and MFG corporate account has been broached. Once the money is commingled, it is impossible to figure out who owes what to whom.

A question for any of those many MFG account holders: Did any of you have a similar experience with wire transfers? If so, could you let me know? I’d love to get to the bottom of this mystery.
Bkrasting@gmail.com

Note: I'm aware that in the final days, MFG issued checks to customers that bounced. This is similar to the wire transfer issue I describe. But it is also a different kettle of legal fish. There are many reasons for a check to bounce. Checks, unlike wire transfers are not "good funds". To claw-back a wire transfer requires significant human intervention. Banks do not write LOIs without carefully considering the consequences. There's always a signature on an LOI......

[osoab]

http://www.youtube.com/watch?v=tPZ6KHLys5E


http://www.youtube.com/watch?v=tPZ6KHLys5E

[General of Darkness]

http://www.youtube.com/watch?v=tPZ6KHLys5E


http://www.youtube.com/watch?v=tPZ6KHLys5E

WOW. Bump

[Horn]

Pile all the bad dogs into one hole, and bury them.

Jon Corzine the Teflon CEO: He doesn't know where the 1.2 billion dollars is


“I simply do not know where the money is, or why the accounts have not been reconciled to date. I do not know which accounts are unreconciled or whether the unreconciled accounts were or were not subject to the segregation rules.”

http://communities.washingtontimes.com/neighborhood/middle-class-guy/2011/dec/9/john-corzine-teflon-ceo/

[DMac]

RT

Excellent clip!

[gunDriller]

Izzy....I think the FED.

JPM (IMO) is the main operational arm of the FED in the USD stability/Gold manipulation scheme. JPM stole some gold. Titanic is going down and folks are waking up to a serious shortage of rafts.

JPM, yeah - they have protected citizen status too.


So, the basic idea is, the orders for December delivery that MFGlobal would have filled - they were enough to crash the Crimex - so they decided to implode one of the commodities brokerages, to prevent people from taking delivery ... of metal that's not there to take delivery of.

Did I sort of get it right ?


So what will the tactic be in January/ February 2012 ?

[DMac]

JPM, yeah - they have protected citizen status too.


So, the basic idea is, the orders for December delivery that MFGlobal would have filled - they were enough to crash the Crimex - so they decided to implode one of the commodities brokerages, to prevent people from taking delivery ... of metal that's not there to take delivery of.

Did I sort of get it right ?


So what will the tactic be in January/ February 2012 ?

That seems to be the going thesis.

Check this out, something most of us would have assumed but now we can see it in plain sight:

If you have an account with a brokerage, and use margin, your money is being used for their own purposes. I did some searching through various contract agreement pdfs and found this to be 100% true.

E*Trade, Scottrade, Fidelity Fine Print: "All of My Securities May Be Repledged & Hypothecated & Rehypothecated" (http://silverdoctors.blogspot.com/2011/12/etrade-scottrade-fidelity-fine-print.html)

I looked up those 3 plus Schwab. It's true.

All your monies are belong to us.

[DMac]

Jim Sinclair talks about Europe, MF Global bankruptcy on King World News.

http://www.kingworldnews.com/kingworldnews/Broadcast/Entries/2011/12/9_Jim_Sinclair.html

[Dick_Stabber]

http://www.youtube.com/watch?v=RAKsMnAM8vk


MFers

[ximmy]

I got out of paper in 09... at this point, you have to wonder if peeps who still trust the system deserve to lose. Government to peeps: You are not too big to fail.

[osoab]

Max one ups Willie!


Max Keiser: JPMorgan Ordered Corzine to Pillage Personal Accounts at MF Global! 1/4



http://www.youtube.com/watch?v=WoXooThB-_o&feature=player_embedded


http://www.youtube.com/watch?v=WoXooThB-_o&feature=player_embedded

Max also said that Jaime Dimon gave Corzine an ultimatum.

[gunDriller]

i listened to the Willie interview.

it's GOOD. Willie is not exactly the accomplished public speaker - but neither am i ... he presents what must be for now, a conspiracy theory.

that MF Global was set up as a patsy, to fail at the right time, to stonewall physical delivery, simultaneously enriching the counterparties who end up with the skewered customer funds.

my personal guess is that the counterparties belong to one of those especially privileged clubs, that is protected for national security reasons. this is an indicator of an Israeli tie, or a tie to groups that were involved with 9-11 - e.g. the same groups that were involved with 9-11 insider trading - NY & London Jew banksters.

[Horn]

This story doesn't have much traction in the MSM outside of the coverage of Presidential Elections that started about 2 years ago.

[osoab]

Good article on ZH yesterday. Nothing in this about Jon Corzine getting the do or die ultimatum.

Must Read: Presenting The MF Global Black Box: A Minute By Minute Breakdown Of The Doomed Broker's Last Week On Earth (http://www.zerohedge.com/news/must-read-presenting-mf-global-black-box-minute-minute-breakdown-doomed-brokers-last-week-alive)



Tyler posted in the second comment in this post. I have yet to get a chance to run through the two pieces below. This could be some good weekend reading.

Tyler Durden (http://www.zerohedge.com/users/tyler-durden) http://www.zerohedge.com/sites/default/files/pictures/picture-5.jpg (http://www.zerohedge.com/users/tyler-durden)

Read this to understand why JPMorgan, due to being one of only two tri-party repo clearers, effectively can do anything it wants in the capital markets:
A Rare Glimpse Into The Fed's Discount Window Courtesy Of The Brewing Lehman-Barclays Scandal (http://www.zerohedge.com/article/rare-glimpse-feds-discount-window-courtesy-brewing-lehman-barclays-scandal)
And then read this:
Tri-Party Repo Infrastructure Reform (http://www.newyorkfed.org/banking/nyfrb_triparty_whitepaper.pdf)
...And then everything will start falling into place.

[osoab]

This seems like the best thread to keep MF Global stuff together.


More Details on How MF Global Customers Got Thrown Under the Bus (http://www.zerohedge.com/contributed/more-details-how-mf-global-customers-got-thrown-under-bus)

...........


Last week we witnessed lawyers dueling in the bankruptcy court on the details of exactly what code of law supports customer priority in liquidation of the parts of MF Global Holdings, and gosh!….is the Holdings is even a broker? Why are lawyers debating these questions at this late date?

First we’ll cover what started the fight and then move onto the genesis of why it has come to this so far into the proceedings. Do stick with the story as it might sound like legal minutiae, but does have everything to do with recovery of customer funds.

It started with the Sapere Wealth Management, LLC (https://www.sapere.com/HomeS.html) assertions (among others) that the MF Global estate must be administered under 17 C.F.R paragraph 190. Remember paragraph 190 as
you will hear more about this in the next weeks. Applying this clause of the bankruptcy code to the liquidation of MF Global Holdings would assure customer priority in the liquidation of MFGH, which is also claimed to have taken customer assets out of
MFGI, the commodity brokerage unit of the Holdings company, MFGH — before and after the bankruptcy.

That all customer property as defined in paragraph 190 of the code, must be returned to commodity customers free and clear of other claims is also supported by others parties, including the CFTC. The CFTC, however, also asserts that existing principles of law are available to ensure this, but first the court needs to make “antecedent determinations.” In other words, the CFTC legal team is playing the adult and indicating that we already have the laws on the books to deal with this once the court figures out what laws it wants to use.

So why is the question if MFGH is even a broker so important? Again, the key paragraph 190, which legally secures customer priority and distributions can only be applied to a brokerage Chapter 7 bankruptcy, which is used for brokerage bankruptcies, but was not used for MFGH, which is the holding company of MFGI. MFGH was filed as a Chapter 11 bankruptcy. This Bankruptcy Code is used for non-broker entities, seeking re-organization.

Also, and to use the words of the Sapere plea to the court, “A decision by the court that 17 C.F.R §190 applied to MFGH’s estate can, among other things, obviate the need for titan law firms representing MFGH and MFGI, respectively, to engage in battles with one another funded by “other people’s money,” i.e., at substantial costs to the estates of MFGH and MFGI.”

The ability to use many millions of customer funds locked in the estate to pay trustees and their “titan” law firms representing MFGH and MFGI is possible because the bankruptcy was filed as a Chapter 11 for the Holdings and Chapter 11 SIPC filing for MFGI, the commodity brokerage, and not under Chapter 7 for both.

As regular readers know, from the start of this sorry saga, MFGFacts.com has focused on the questions around why a Chapter 11 SIPC bankruptcy with almost non-existent securities accounts when neither SIPC nor Chapter 11 address brokerage liquidations. Additionally, Chapter 11 is the choice when a restructuring is planed, which is not so with MFGH.

A Breaking Investigative Report

Fortunately, these question are now receiving greater scrutiny in the industry press as we read in this investigation published last week by Mark Melin of Opalesque Futures Intelligence (http://www.opalesque.com/Alternative-Market-Briefing.html) who contacted MFGFacts.com while conducting his investigation, Sold Out: How A Private Meeting Between Regulators Gave Away MF Global Investor Protections (http://www.opalesque.com/640306/Sold_Out_How_A_Private_Meeting_Between030.html). In short, as Melin reports, “Deciding upon a Securities industry SIPA liquidation process for an FCM over the Commodity Exchange Act (CEA) liquidation and section 7 of the US Bankruptcy Code was a legal maneuver with far reaching consequences for customers with segregated funds and property with custodial banks. The selected SIPA liquidation does not recognize fund segregation or futures industry account regulations. The process considerably favors creditors.”

In other words, when the SEC threw the liquidation process to SIPC under for a Chapter 11 securities liquidation, and with the CFTC’s immediate agreement (under the conflicted Chairman Gensler who had not yet to recuse himself from MF Global issues), a framework of law was chosen where customers were — for the very first time ever — made creditors and their assets thrown into the entire MF Global estate. Many say what! And the industry is now asking how?

According to the report, the speculation is this: Robert Cook, SEC Director of Division and Trading and Markets is said to have been the lead regulator at the key meeting, the details of which are still not public. “Before joining the SEC, Mr. Cook was a partner at the powerful Washington D.C. law firm of Cleary Gottlieb Steen & Hamilton LLP, which represents JP Morgan, among other clients,” Melin reported. We all know that JP Morgan is the largest creditor to MF Global Holdings. Readers may reach their own conclusions about that. Yet, making the liquidation of MF Global Holdings and its parts a Chapter 11 and SIPC bankruptcy, set the stage for expensive dueling among lawyers over the fact if MF Global is even a broker or not. This also and — most importantly — tremendously enhanced the recovery position for non-customer creditors over all customers.

The CFTC Warned in the 1980s of Potential for Abuse and Problems when Bankruptcy Codes Conflict with a Duel Registered Entity

As Melin shares, that the CFTC – to the agency’s great credit — recognized and dealt with this problem: Citing the exemplary record in the futures industry in the event of bankruptcies, former CFTC Director of the CFTC Division of Trading, Andrea Corcoran writes in a January 1993 issue of Futures International Law Letter (http://mfgfacts.com/wp-content/uploads/2012/01/Article-Bankruptcy-Pitfalls-for-Dually-Licensed-Brokerage-Firms-1.pdf) “As early as 1980, however, concerns were expressed about the ability to retain this record in the event of the bankruptcy of a dually-licensed firm – that is, a firm registered as both a futures commission merchant (FCM) and a securities broker-dealer.”

To rectify this, the CFTC then drafted rules we find under then now famous Part 190 where Corcoran writes, “In the final rules, the Commission noted that Section 7(b) of SIPA (read Securities Investors Protection Act) …proved that a trustee in a SIPA liquidation shall be subject to the same duties as a trustee in a commodity broker bankruptcy under Subchapter IV of Chapter 7 of the Code.”

The CFTC was well prepared for a MF Global-like event. Against this background, and as Melin also reports, the choice of a Chapter 11 SIPC bankruptcy code for the liquidation of a futures broker, makes Chairman’s Genslers “give away” even more baffling. We’d call it a throw away and ask if Chairman Gensler invited a single CFTC attorney into that early hour meeting before agreeing to file MFGI under MFGH as a Chapter 11 SIPC bankruptcy? Regardless, with that decision the fate was sealed. And not only were customers and the industry severely damaged, but there was a complete disregard of the decades of work, preparation and public service by the many professionals in the CFTC to which Chairman Gensler was entrusted.

And now we have the spectacle of “titanic” lawyers in one of the largest bankruptcies ever arguing if an entity is a broker or not.

* * *

[gunDriller]

this whole thing is fascinating to me.

people's reaction when i tell them is generally, "so what ?"

my response - "this might have a bearing on how your own savings or 401K will be treated in a "crunch" situation. in 2008/ 2009 we got a close look at what a crunch situation is, in the financial world."

the typical response, "don't want to hear about it."

i'm not going to "over-talk" about the subject - if they don't want to know, so it goes.


MFG customers were robbed in broad daylight, Perp #1 was a big Obama supporter (big Bush Clinton supporter too). he is free to interview for a new job.

it's like, people are on the Titanic, and as you're putting on your wet-suit and flippers and stuffing 10 pounds of granolar bars in your wetsuit, you say, "hey, the boat's sinking !"

and they say something like, "why are you so full of bad news ?" (my older brother actually said that to me. he is an exec with a Fortune 500 company and he doesn't want to know about the 'bad' news, even though he has a fiduciary responsibility to protect shareholders from financial tidal waves.)


i think i am about done with finding these responses puzzling, and moving towards finding them literally, Funny !

MFG was like a telegram to every thinking investor worldwide & especially in America ... "a tidal wave of dishonesty is about to wipe out your savings - unless you move to higher ground."

but ... people just don't want to hear about it.

[chad]

i'm involved with a charitable foundation (i'm on the board). they have about 4 million in funds. i mentioned that **maybe** we should move something like 25% to hard assets (baby steps). the rep from wells fargo unleashed on me (but you're almost back to where you were in 2007!) and everyone looked at me like i was insane. i'm now on the short list to be "off the board" from what i hear.

[osoab]

i'm involved with a charitable foundation (i'm on the board). they have about 4 million in funds. i mentioned that **maybe** we should move something like 25% to hard assets (baby steps). the rep from wells fargo unleashed on me (but you're almost back to where you were in 2007!) and everyone looked at me like i was insane. i'm now on the short list to be "off the board" from what i hear.

time to rack up your expense account. ;D

edit.

You should have brought up that nominally the account may be almost back to 2007 levels, but in real purchasing power has decreased significantly.

[gunDriller]

i'm involved with a charitable foundation (i'm on the board). they have about 4 million in funds. i mentioned that **maybe** we should move something like 25% to hard assets (baby steps). the rep from wells fargo unleashed on me (but you're almost back to where you were in 2007!) and everyone looked at me like i was insane. i'm now on the short list to be "off the board" from what i hear.

sounds like the Wells Fargo person's blood pressure went up.

SAY IT AGAIN.

perhaps this chart will help -

http://www.kitco.com/lfgif/au1825lf_ma.gif

spring it on them when they have just made a big speech explaining why Gold is Bad and Wells Fargo products are Good.

[Half Sense]

I'm getting a nice runaround from Wells Fargo. This is regarding changes to the Arbitration Agreement. It was sent out out a week after the MF Global bankruptcy and goes into effect Feb 15.

Basically, it says if you have a dispute with the bank:

You agree to binding arbitration. You and the bank split the costs of arbitration. If you don't agree to arbitration, you bear all the costs of arbitration.

You waive the right to a jury trial or a trial before a judge. You waive the right to join a class-action suit.

You agree that the dispute involves intrastate commerce.

So basically, State banking laws would not apply. Federal banking laws wouldn't apply either, since you would need to go to a court to enforce them.

I talked to one of their execs on Monday. He claimed he had never heard of this change in terms, but he would refer it to his legal department and get back to me Tuesday via phone or email.

Tuesday came and went. So I went back to the bank Wednesday. The same guy saw me waiting outside his office and stayed hiding in there the whole time (he wasn't with a client). I could see him calling one of the other account execs, saw him dial, heard it ring in the office near me, watched them both talking as they looked at me from both offices, watched them both hang up at the same time, then she came over to talk to me. She said these things are full of lawyer talk and I probably didn't understand it. I said let's go through it line by line and I will translate for you. So we did. We both agreed that it said what it said. Then she asked me if I was suing the bank. I said no. So then what was my concern?

My concern was that I could not think of any scenario where I had the bank's money and the bank had to try to get it back, but it was easy to envision a case where the bank had MY money, since they have had my money for many years. Yes, she said, so what is your concern? Well, if my account, is missing, or frozen, or stolen for whatever reason, I was concerned that I would have no funds even to pay for arbitration, I was concerned that if it went to arbitration I would be awarded some "compromise" less than the amount that was stolen, and I was concerned that I had no venue to apply State or Federal banking laws.

So she went into a little spiel about how they would never do that, and how Wells Fargo has been around for many many years, etc. This was funny since the account has already changed hands 3 or 4 times since I established it. Wells Fargo bought Wachovia bought First Union, etc etc. I asked her point blank why they would make this change at this time if they had no intention of ever taking customer accounts. She again said they would never do that, so I asked her what about MF Global? She had never heard of it. I said it's the 8th largest bankruptcy in US history and it happened in late November. Blank stare like I'm making it up. I say there was testimony in Congress where the CEO said he did not know how or why more than $1 Billion of customer money was missing. I told her the Federal regulators are saying customers probably won't get their money back. More blank stares.

She went away and came back in 10 minutes and said she did receive some information about the arbitration changes but she can't locate it right now. She said she was booked solid Thursday but would call me on Friday when she had more information.

Friday came and went.

[osoab]

Martin Armstrong on MF Global.

http://www.martinarmstrong.org/files/MF%20Global%2002-04-2012.pdf


MF GLOBAL
The MF Global story may have fallen off the front pages but it is clear that the Judge Martin Glenn is not about to hold the feet of any of the bankers to the fire. Instead, the $1.2 billion in missing client funds is simply going to vanish in thin air like a magic trick. Moody’s has suggested that will be the case and those who were not even trading are taking the losses.

The House Financial Services Committee will continue grilling the ratings agencies, but this is just a show. There will be no indictments and no demands for the bankers to return the stolen money. New York simply does not obey the law. Even in the case of Princeton Economics, a managed a public fund for Deutsche Bank was seized by O’Melveny & Myers who made every investor in the fund prove it was their money in order to claim their own property. That was totally illegal. They are supposed to TRACE funds and demand their return if tainted. O’Melveny & Myers illegally seized everything and shifted the burden to clients to prove it was their money. It was the classic presumption of guilt. New York protects New York banks – period! It will neither honor the laws of the United States nor those that govern international property rights.

For this reason, you simply have to be insane to have funds in New York, or at any fund who keeps their cash in New York. MF Global has shown that all the regulations & laws mean NOTHING and the USA has been reduced to a third world country untrustworthy of one’s capital. Money that was taken from client accounts AS A MATTER OF LAW must be returned by those to whom it was paid for MF Global’s losses.A little more on Martin Glenn.

http://www.nysb.uscourts.gov/judges/mg.html


Martin Glenn was sworn in as a United States Bankruptcy Judge for the Southern District of New York on November 30, 2006.

Judge Glenn earned his B.S. degree from Cornell University in 1968, and his J.D. degree from Rutgers Law School in 1971. He was an Articles Editor of the Rutgers Law Review.

Judge Glenn served as a law clerk for Hon. Henry J. Friendly, Chief Judge of the U.S. Court of Appeals for the Second Circuit, from 1971-72. From 1972 until his appointment to the bench, Judge Glenn practiced law with O'Melveny & Myers, in Los Angeles until 1985 and thereafter in New York. His practice focused on complex civil litigation, including securities, RICO, unfair competition, and financial and accounting fraud.

Judge Glenn is an elected member of the American Law Institute. He is also a member of the Association of the Bar of the City of New York, where he previously served on the Federal Courts Committee and the Ad Hoc Committee on Judicial Conduct. He is a member and former Trustee of the Federal Bar Council and a member of its Program Committee. He is a member and former Co-Chair of the Advisory Group to the New York State-Federal Judicial Council. He also was a Director of The Fund for Modern Courts. Judge Glenn is an Adjunct Professor of Law at Brooklyn Law School. He has lectured and written articles on numerous topics.
And with Louis Freeh investigating, how much can the really pillage? 2.5 billion+?


Just found this.

MF Global Trustee: More Than $400 Million More Is Missing Than Originally Thought (http://www.huffingtonpost.com/2012/02/10/mf-global-trustee_n_1269443.html)


The trustee overseeing MF Global's liquidation said Friday that the shortfall between the funds under his control and the amount customers of the failed brokerage are expected to claim is at least $1.6 billion.
rest at link

[osoab]

A couple of new things on MF Global and Corzine that haven't hit the MSM. Both from ZeroHedge.

The first one is the bigger of the two. It's from Friday.


http://www.zerohedge.com/sites/default/files/pictures/picture-5.jpg (http://www.zerohedge.com/users/tyler-durden)
Corzine Corzined - Congressional Panel Finds Former MF Global CEO Ordered JPM Fund Transfer (http://www.zerohedge.com/news/corzine-corzined-congressional-panel-finds-former-mf-global-ceo-ordered-jpm-fund-transfer)


http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2012/03/corzined.png

Bloomberg News (http://www.zerohedge.com/category/tags/bloomberg-news)

UPDATE: Bloomberg TV news of the 'smoking gun' added
The only thing that could top today's epic market insanity and hilarity, would be that Corzine is himself about to be Corzined. Just released from Bloomberg:

MF GLOBAL'S CORZINE ORDERED FUNDS MOVED TO JPMORGAN, MEMO SAYS

CORZINE'S `DIRECT INSTRUCTIONS' CITED BY CONGRESSIONAL PANEL
MF GLOBAL TRANSFER WAS USED TO COVER OVERDRAFT, PANEL SAYS
MF GLOBAL FINDINGS CITED IN MEMO OBTAINED BY BLOOMBERG NEWS

And so we can now add perjury to felony embezzlement. Which means we now have to wait to find just which MF'er (and JPM'er) will be given a promise of untold millions if they only get Fab Tourred for a few years, and spend 5-7 in minimum security state prison instead of brave Jonny.
Guest Post: John Corzine- An Insider Helping Out Fellow Insiders (http://www.zerohedge.com/news/guest-post-john-corzine-insider-helping-out-fellow-insiders)

[osoab]

So what's this do to Dimon's capitalization? This cannot be all that good after the 2-7 billion loss in their derivative desk.


MF's Bank Returns $600 Million (http://online.wsj.com/article/SB10001424052702304821304577440693850068120.html?m od=WSJ_hp_LEFTWhatsNewsCollection)



BY AARON LUCCHETTI

J.P. Morgan Chase & Co. has returned roughly $600 million that was ensnared at the bank when MF Global Holdings Ltd. collapsed in October, people familiar with the matter said.

Most of the payments haven't been disclosed publicly, and a bankruptcy trustee representing customers of the failed securities firm might pursue J.P. Morgan for as much as several hundred million dollars in additional claims, according to a person familiar with the investigation.

Still, the New York bank's payments are a sign of progress in efforts to fill the estimated $1.6 billion hole left in customer accounts at MF Global. Money ...

[osoab]

I don't remember this being posted on the board. Came out about 2 weeks ago?
Not a bad frontline story. They could have hit harder though.

You'll have to go the ZH to see the vids. The player isn't supported here.


http://www.zerohedge.com/sites/default/files/pictures/picture-5.jpg (http://www.zerohedge.com/users/tyler-durden)

Frontline On MF Global's Six Billion Dollar Bet (http://www.zerohedge.com/news/frontline-mf-globals-six-billion-dollar-bet)



While the sur-realities of just what Corzine and the rest of the MF Global 'traders' did has been extensively discussed here and elsewhere, PBS' Frontline provides (http://www.pbs.org/wgbh/pages/frontline/mf-global-six-billion-dollar-bet/) the most succinct (and relatively in-depth) documentary on just what occurred from how the corrupt CEO lobbied regulators who had the power to stop his risky bets to the endgame realization of the missing customer money. A narrative, not just of "a bet that went bad", but "a Wall Street morality tale". Must watch!

The story of Jon Corzine, the former head of Goldman Sachs and political power broker, who took over MF Global in the spring of 2010 with oversize ambition and a passion for risk. But after a massive bet on European debt turned sour, the firm lay in ruins, with more than a billion dollars of customer funds missing.

Chapter 1: Six Million Dollar Bet - The Power of Jon Corzine
Chapter 2: Six Million Dollar Bet - The Final Days Of MF Global