MF Global fires entire work force after declaring bankruptcy

[dustup]

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MF Global fires entire work force after declaring bankruptcy
More than 1,000 employees get the ax from defunct trading company

BY The Associated Press

Originally Published: Friday, November 11 2011, 1:00 PM
Updated: Friday, November 11 2011, 1:20 PM

NEW YORK -- Defunct trading company MF Global Inc. says it is terminating its entire workforce of 1,066 employees.

The company said Friday it is dismissing workers in accordance with a bankruptcy court-mandated liquidation. Between 150 and 200 former employees are being hired to assist with the liquidation and court proceedings.

Jon Corzine, former governor of New Jersey, stepped down last week after his disastrous bets on European debt collapsed the firm.

MF Global, said Corzine resigned as chairman and CEO and will decline a severance package worth $12.1 million, including cash and benefits.

The company did not immediately return a call seeking comment. It said in a statement that all the employees were notified of their termination Friday. The company said it is working to vacate its headquarters in New York as soon as possible and will close the facility.

Read more: http://www.nydailynews.com/money/mf-global-fires-entire-work-force-declaring-bankruptcy-article-1.976237#ixzz1dQvrxJXX

[Pepsi]

Well, they didn't have a good risk management strategy did they?   

[dustup]

Well, they didn't have a good risk management strategy did they?   

It had little to do with risk management and a lot to do with accounting.......

Inside the Hunt for MF Global Cash
Officials Chasing Missing $600 Million Complain of Poor Record Keeping: 'Books Are a Disaster'

http://online.wsj.com/article/SB10001424052970203537304577030440112366870.html

[dustup]

Great analogy of G. F. Global by Jon Stewart vs. Jon Corzine........http://finance.fortune.cnn.com/2011/11/09/jon-stewart-vs-jon-corzine/
Obama and Clinton are his buds! 
Bam recruits Corzine to woo back Wall $t.

Read more: http://www.nypost.com/p/news/local/bam_recruits_corzine_to_woo_back_rhuDmIaaH8fOvWAPSMTDOL#ixzz1dRTPXoFp

[dustup]

MF GLOBAL'S FALL FROM GRACE: Center for Responsive Politics reporting intern Seth Cline passes along this news:

On Monday, MF Global, the investment company run by former New Jersey Gov. Jon Corzine, filed for bankruptcy, the New York Times reported. The Times additionally noted that federal regulators have begun investigating the company.

While the company is now experiencing a rapid fall from fiscal grace, its federal lobbying expenditures have actually been in decline since 2007, according to research by the Center for Responsive Politics.

In the pre-recession financial landscape of 2007, MF Global spent $400,000 on three prominent firms that lobbied both houses of Congress, the executive office of the president, the Commodity Futures Trading Commission and the Securities and Exchange Commission, according to the Center's research.

The next year, the company paid those same firms $250,000 to lobby, and in 2009, MF Global retained just one firm, Parsons Strategies, which it paid $80,000.

During the first three quarters of 2011, MF Global has spent $60,000 on a single contract with Parsons Strategies, which has changed its name to the Delta Strategies Group. The lobbying has all focused on the Commodity Futures Trading Commission, which is the key regulator of MF Global, and the lone issue mentioned in the firm's lobbying reports so far this year has been simply, "monitor CFTC regulations."

For his part, Corzine has been an active political player. Before going through the revolving door to MF Global following his governorship, Corzine served as a U.S. senator from New Jersey and worked for more than two decades at Goldman Sachs, including five years as the Wall Street firm's chief executive officer.

Corzine is also a prolific contributor to Democratic political campaigns. He and his wife have donated more than $917,000 to federal candidates and political committees over the past two decades. And so far this year, he has bundled more than $500,000 for President Barack Obama and the Democratic National Committee.

http://www.opensecrets.org/news/2011/11/barack-obama-prescription-drug-plan.html

Also know, as Obama puts it, "Our man on Wall Street"!


I just wonder where that $600 million that's missing from MF Global went??? 

[lucy]

How much did Corzine get personally from this?

[dustup]

How much did Corzine get personally from this?

He refused his $12 million dollar exit package.......go figure....

 
As his investors and former employees now face economic ruin, Jon Corzine’s vast, personal fortune, estimated at $300 million or more remains unaffected. Small business owners that make boneheaded decisions face certain economic ruin, but Corzine is, incredibly, eligible for a $12 million severance package after plundering MF Global Holdings, ruining employees' jobs, and losing investors' private funds.

The Corzine Affair also offers insights into the Obama Administration's compendium of new rules, regulation and increased oversight designed monitor the level of risk within financial institutions. The system clearly didn't work--or at least not well enough to save the MF Global Holdings investors.

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