1. Finance

    MF Global Hole Doubles to $1.2B

    Image #: 15829834    A man exits the office complex where MF Global Holdings Ltd have an office on 52nd Street in midtown Manhattan New York, October 31, 2011. MF Global Holdings Ltd filed for bankruptcy protection after a tentative deal with a buyer fell apart, marking a stunning failure for Corzine who tried to turn the more than 200-year-old futures brokerage into a mini-Goldman Sachs. REUTERS/Brendan McDermid (UNITED STATES - Tags: BUSINESS)       REUTERS /BRENDAN MCDERMID /LANDOV

    Brendan McDermid, Reuters / Landov

    The amount of client funds missing from MF Global’s books has doubled to $1.2 billion—nearly a quarter of the investment firm’s $5.45 billion in customer money. Previous estimates had put the shortfall at $600 million. The number grew, however, as regulators scoured MF Global’s sloppy books. People familiar with the government’s investigation tell Financial Times that MF Global and its former chief, former New Jersey governor Jon Corzine, appear to have used customer funds to meet margin calls as they prepared the company for a sale. Firms are required under U.S. law to keep client funds separate from the company’s own house funds.

    Read it at Financial Times