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Finance Corzine’s MF Capital Missing Millions Clara Molden

Corzine’s MF Capital Missing Millions

Where’s the money? Hundreds of millions of dollars of customer money have gone missing from MF Capital, the brokerage firm managed by former New Jersey governor and U.S. senator Jon Corzine. The missing cash was enough to scare away a rival firm that had planned to rescue the company by buying a major part of it; as a result, MF Capital filed for bankruptcy on Monday. The $700 million in question may simply reflect poor internal controls at MF Global, but it also may point toward “something more intentional and troubling,” according to The New York Times. Under Corzine, MF Global had purchased large amounts of debt from Spain, Italy, Belgium, and Ireland, thinking its value would soar once Europe solved its debt crisis.

November 1, 2011 6:09 AM