Former MF Global chief executive Jon Corzine apologized “to all those affected” by the brokerage’s collapse Thursday as he told a congressional committee he doesn’t know what happened to $1.2 billion in missing customer funds.


“How can you tell when a politician is lying?”

Jon S. Corzine, MF Global Holding Ltd. (MFGLQ)’s chief executive officer, gave “direct instructions” to transfer $200 million from a customer fund account to meet an overdraft in a brokerage account with JPMorgan Chase & Co. (JPM), according to a memo written by congressional investigators.

Edith O’Brien, a treasurer for the firm, said in an e-mail quoted in the memo that the transfer was “Per JC’s direct instructions,” according to a copy of the memo obtained by Bloomberg News. The e-mail, dated Oct. 28, was sent three days before the company collapsed, the memo says. The memo does not indicate whether that phrase was the full text of the e-mail or an excerpt. O’Brien’s internal e-mail was sent as the New York-based broker found intraday credit lines limited by JPMorgan, the firm’s clearing bank as well as one of its custodian banks for segregated customer funds, according to the memo, which was prepared for a March 28 House Financial Services subcommittee hearing on the firm’s collapse. O’Brien is scheduled to testify at the hearing after being subpoenaed this week.

“Over the course of that week, MF Global (MFGLQ)’s financial position deteriorated, but the firm represented to its regulators and self-regulatory organizations that its customers’ segregated funds were safe,” said the memo, written by Financial Services Committee staff and sent to lawmakers.

Now I’m certain justice will be done….you just watch.



  1. bobbo, the pragmatic existential evangelical anti-theist finding that life is reaching a singularity says:

    My post just now regarding Obama is just as apt here:

    To be Head of State: what a boring ceremonial job. There really is no reason at all to listen to politicians.

    Just follow the money.

    //////////// but I can even be more specific:

    Rich = Criminal.

    Trillions Stolen – not a single prosecution. And still the Pukes can’t find anyone better to run against the Big O.

  2. The guy still seems to be living well – nice suit and tie , in a nice place- very luxurious indeed
    That is billion or billions with a B
    No chicken feed
    He should be put in a cell and fed tasteless bread and water to say the least
    I

  3. ECA says:

    Ya know,
    I have problems with people WHO are supposed to be RESPONSIBLE, not knowing what they are responsible FOR..
    You have the OWNER..
    Then the CEO/boss
    under them, you have section heads/more boss’s
    on down the line..

    WHO is responsible??
    according to THEM…”NOT ME”, “HE DID IT”, “I DONT KNOW”,….

    THIS IS NOT RIGHT..They are SUPPOSED TO KNOW..
    When corps are so big, that you cant POINT a finger and KNOW whats going on…SOMETHING IS WRONG.

    As in CHINA, “OFF with his head…”

    • ECA says:

      also..
      When something goes WRONG in these companies…
      what happens?
      AT THE MOST, 1 person is sent to jail. (see you in 5 years)
      Lets say that 5 people ROB a bank…and they get $1000…
      Do the cops STOP after finding 1 person?? NOT ON YOUR LIFE.. ALL 5 would be taken to court, and JAILED for 10+ years…And if someone was killed…20+ years..
      1 person ISNt responsible in a corp..(It shouldnt be)..OTHERS were supposed to be talking things over with the HEAD of the corp. AND hopfully stopping him from DOING SOMETHING STUPID..

      • muddauber says:

        Great analogy. In regular crimes we see them prosecute the whole group of criminals. When they are bankers and politicians, it is generally only a fine or the fail to prosecute.

        The corruption of American political systems wreaks to high heaven.

  4. AdmFubar says:

    i bet some carefully applied “electro-shock therapy” will make him remember..

  5. Parker says:

    John S. Corzine is the head MF’er.

    He should not pass GO nor collect $200 dollars. As the card says… Go Directly to Jail.

  6. msbpodcast says:

    Question: “How can you tell when a politician is lying?”

    Answer: His lips are moving

    Its rhetoric like that that makes me think that Americans are not paying any attention to fuck all.

    You know Einstein‘s definition of insanity: “Doing the same thing over and over and expecting different results.

    You keep voting the bastards in, of course they’ll turn around and knife you in the throat.

    I’m serious: Don’t elect, select.

    Pick your representatives at random: They’re in for one and only one term and then they’re out, never to return.

    I’d trust a Joe Dirt “know-nothing” southern hick from “Real Time” with Bill Maher before I’d trust some slick-as-shit lying bastard with a soothing line of patter who’se just “robbing the rubes blind“.

    I’d trust a Joe Six-pack from Minnesota to represent Minnesota’s interests a whole lot more that some ass-hole “bought for a song” politician who’se air-lifted into a “safe seat” and who has never even as much as seen the business end of a heifer.

    • Cursor_ says:

      “You know Einstein‘s definition of insanity: “Doing the same thing over and over and expecting different results.””

      The quote is not Einsteins.

      Please stop attributing it to him when it is NOT his.

      Cursor_

      • Sea Lawyer says:

        Signing your posts doesn’t make you cooler, we can all clearly see what your screen name is at the top.

  7. Joe Public says:

    Pig. Kill him.

  8. Cap'nKangaroo says:

    “MF Global and its brokerage sought Chapter 11 bankruptcy after a $6.3 billion bet on the bonds of some of Europe’s most indebted nations prompted regulator concerns and a credit rating downgrade.”

    It must really sting that the big bet is now in the money, (according to CNBC) if they could have just survived til the Greek bailout “solution” arrived.

    Timing is everything.

  9. Cap'nKangaroo says:

    “Barry Zubrow, JPMorgan’s chief risk officer, called Corzine to seek assurances that the funds belonged to MF Global and not customers. JPMorgan drafted a letter to be signed by O’Brien to ensure that MF Global was complying with rules requiring customers’ collateral to be segregated. The letter was not returned to JPMorgan, the memo said.”

    JP Morgan went the extra step and called Corzine to make sure this was proper and sent a letter to Ms. O’Brien to make doubly sure. The letter was never returned and now this memo quotes her e-mail as saying it was done at Corzine’s direct instruction.

    Sounds like Ms. O’Brien is not going to play the good corporate soldier and fall on a sword to protect her boss. I predict lots of fireworks after the hearing, but then again, if I was decent at predicting I would have won the lottery by now.

  10. deowll says:

    Wasn’t he a major contributor and good friend of somebody high up in the Fed. Gov. ?

  11. eighthnote says:

    This is proof that self-regulation is a good idea. No really.

  12. Uncle Patso says:

    A magician can make an elephant disappear — but these guys can make trillions of dollars disappear in a puff of smoke (& mirrors of course). The entire world is turning into a kleptocracy.

  13. Scotty trickyski says:

    It’s amazing that all of this chicanery is always linked to Goldman Sachs in some way or another. All Goldman people running the countries with the bad bonds that brought down MF. Paulson, Corzine, both in money and government. Both screwed people, Paulson the taxpayers and Corzine the customers. Time to pull the plug on these cleptocrats.

  14. Nothing see here, business as usual – LOL

  15. NewfornatSux says:

    People chose to leave their money with Corzine. They didn’t choose to give their money to the government, which then takes it and hands it to the friends of the leader. Currently we know of many getting money for so called green investments.

  16. Sombody says:

    Somehow, his customers noticed that they were being ripped off and resented it.

    Some of them bitterly.

    http://lewrockwell.com/lewrockwell-show/2011/11/29/237-prepare-for-an-economic-911-and-economic-martial-law/

    I’m not sure why the presstitutes thought they could just keep a lid on this.

    But, since it looks bad for Obama, I guess they thought they had to try.

  17. Cursor_ says:

    And more like him and Madoff would make off with more if our social security is privatised.

    The more you give them, the more they will be likely to take it and you will get nothing in return.

    Cursor_

    • Sombody says:

      Yeah, it’s a good thing all those SSI contributions are safely locked way in a Treasury Dept. lock box!

      Next time you are in DC, ask Tim Geitner to show it to you.

      It must be stacked to the ceiling!

  18. MartinJJ says:

    He is very sorry and knows nothing. As usual with those bankers. He testifies before the commission of politicians and nothing happens after that. As usual with those bankers also.

    When does the public finally wake up to these totally corrupt globalist bankers and their financial ponzi scheme (aka fraud) that has completely ruined the USA?

    Oh noes. They just vote for another corrupt globalist like a Mitt Romney or a Rick Santorum. Prediction: nothing will change indeed and more fraud coming your way.

  19. Anonymous says:

    The question was asked:

    “How can you tell when a politician is lying?”

    Answer (if it isn’t obvious):

    They are BREATHING!

    And the fact that almost all of them are LAWYERS might have a lot to do with it too!!!

  20. john says:

    Give a man a gun and he can rob a bank. Give a man a bank and he can rob the world.

  21. McCullough says:

    His biggest crime is in the continuing loss of confidence in the monetary system, the Stock Market.

    How many of you still trust your hard earned money to this corrupt system?

    I pulled out long ago, you should as well. Don’t be an enabler.


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