'Dirt' on MF Global to begin to be revealed 2 Years, 5 Months ago
Understand that with something as BRAZEN as MF Globl (plundering CASH directly from customer accounts) that it's IMPOSSIBLE for even the combined propaganda might of the U.S. government and Big Media to simply sweep this under the carpet.
And so as a "Congressional investigation" begins on this piracy, it is inevitable that SOMEONE is going to get thrown under the bus, and SOME dirt will emerge on how people were cheated.
As for WHO the new "Bernie Madoff" will be, take three guesses...
"JPMorgan: Corzine assured it on MF Global transfers"
(Reuters) - Former MF Global Holdings Ltd (MFGLQ.PK) Chief Executive Jon Corzine assured JPMorgan Chase & Co (JPM.N) shortly before his brokerage firm collapsed that it had ample funds to cover overdrafts, a lawyer for the bank is expected to testify.
The testimony by Diane Genova, JPMorgan's deputy general counsel, before a House subcommittee hearing later on Wednesday may shed further light on a $175 million transfer by MF Global to a JPMorgan account on October 28, three days before MF Global filed for Chapter 11 bankruptcy.
The movement of money is one of the focuses of investigators who are examining how MF Global lost an estimated $1.6 billion of customer funds.
Congressional investigators, regulators and law enforcement officials are trying to determine if the company raided customer money to address a liquidity crisis, violating federal regulations.
There has been no smoking gun to suggest criminal intent, and Corzine, a former U.S. senator and a governor of New Jersey, has maintained that he "never intended" to break any rules and did not give instructions to misuse customer funds.
Several MF Global officials are also expected to appear at the hearing on Wednesday, which will give lawmakers a chance to question people who controlled money transfers.
Among them is assistant treasurer Edith O'Brien, believed to have authorized the questionable transfer. She is the only hearing witness to not provide advance testimony, and may invoke her constitutional right against self-incrimination.
MF GLOBAL SAID FUNDS "AMPLE"
According to Genova's prepared testimony, overdrafts at MF Global surfaced after it had become clear early in the October 24 week that the company had fallen into "some degree of distress" because of a large quarterly loss and a credit rating downgrade.
Genova said that on the morning of Friday the 28th, JPMorgan found overdrafts in some foreign exchange clearing accounts managed by UK-based affiliates of MF Global.
She said the bank notified Corzine and others at MF Global, and was assured that any overdraft would be covered.
Genova's testimony said the matter needed to be addressed so JPMorgan could run a $4.9 billion auction of government and corporate bonds that could give MF Global needed liquidity.
"When this was raised with Mr. Corzine on Friday morning, he readily agreed that it was important for MF Global to cover the overdrafts, and he assured JPMorgan executives that MF Global had ample funds to cover the overdrafts and that they would be covered promptly," Genova said in her testimony.
By 11 a.m. that morning, enough money had been transferred to cover the overdrafts, but JPMorgan noticed that there were two transfers: $200 million from a customer-segregated account to an MF Global account in the United States, and $175 million from that U.S. account to an MF Global account in London.
Genova's written testimony says that the bank considered it "prudent and appropriate" to ask MF Global to confirm these transfers complied with Commodity Futures Trading Commission rules governing customer-segregated accounts.
Corzine "said he understood the request and would have someone within his organization review it," but fast-moving events resulted in no one at MF Global having confirmed the matter in writing, according to the Genova testimony.
"Nevertheless," the testimony continued, "our request did result in our receiving multiple clear oral assurances from senior MF Global officials that MF Global was in compliance with its obligations under the CFTC rules."
Re: 'Dirt' on MF Global to begin to be revealed 2 Years, 5 Months ago
I heard either max kaiser or his guest say that this is such a watershed moment in our history, the cleaning of the segregated bank accounts, could it be that tomorrow we will all get up to see our check-in bank accounts being cleaned in a simliar fashion ?
Re: 'Dirt' on MF Global to begin to be revealed 2 Years, 5 Months ago
samix wrote: I heard either max kaiser or his guest say that this is such a watershed moment in our history, the cleaning of the segregated bank accounts, could it be that tomorrow we will all get up to see our check-in bank accounts being cleaned in a simliar fashion ?
Samix, I think that perspective has been echoed by MANY of the independent voices in the media (i.e. non-mainstream/non-propaganda).
You might recall an observation I made about the legal profession previously. Once you are admitted to the Bar (i.e. their Club), it is VERY difficult to get thrown out. Murdering someone or raping someone likely won't do it. BUT steal so much as a dollar FROM A CLIENT (and get caught) - and then see how fast you get tossed out on your ear.
Understand that (like other financial parasites) lawyers make LOTS of money just by being financial middlemen. So it's very, very, very, very, very important to the people running that profession that the general public believes that they CAN BE TRUSTED to handle (and hold) their money.
Can anyone think of ANOTHER group of financial parasites who make LOTS of money from handling/holding other peoples' money??
So obviously the ONE thing that these liars/thieves actually CARE about is that the sheep continue to trust them (LOL!) - so that they will continue to line up to be fleeced.
This is why U.S. pseudo-regulators go through the absurd game of fining these predators for OBVIOUS crimes - but never charging them with crimes, and never even forcing them to admit "wrong-doing". As a result, these banksters can still say to their clients "Look - we're NOT criminals." And when you're as slimy as Wall Street banksters, claiming to be "not criminals" is about the best thing you can say about yourselves - even WITH the aid of the propaganda machine.
But this particular act of theft was ESPECIALLY brazen AND involved directly stealing MONEY. The other acts of fraud these swindlers are guilty of have already created the impression of many that they cannot be trusted to PLACE investments on your behalf. However (previously) people never worried about having money STOLEN OUT OF THEIR ACCOUNTS.
THAT is enough to even start to rouse some of the comatose (brainwashed) sheep.
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