MF Global collapse News

Judge Allows $1B Malpractice Claim Against PwC Over MF Global Collapse

A federal judge on Wednesday rejected PricewaterhouseCoopers’ request to dismiss a $1 billion lawsuit accusing the auditor of providing bad accounting advice that contributed to the October 2011 collapse of MF Global Holdings Ltd, a brokerage run by former New …

Judge: Ex-MF Global Execs Can Tap More Insurance Funds to Defend Lawsuits

Jon Corzine and other former insiders of collapsed brokerage MF Global can tap another $10 million of insurance funds to defend lawsuits accusing them of hastening the firm’s downfall, a U.S judge said on Monday. Judge Martin Glenn granted the …

Insurers Weigh Forming Captive to Insure Customers of Bankrupt Futures Brokers

Eight private insurers have expressed interest in participating in a fund to provide insurance for losses suffered by customers of futures brokers that go bankrupt as in the cases of MF Global and Peregrine Financial Group, according to a study. …

Futures Industry Looks to Insurance After MF Global Collapse

Long-derided as unsuitable for sophisticated futures markets, insurance is getting a surge of attention heading into the new year as the industry works to patch itself up after the stunning collapse of brokerage MF Global in 2011. Three separate efforts …

Focus of MF Global Probes Turns to Civil Cases; Insurance Dwindling

Prosecutors investigating the collapse of failed commodities brokerage MF Global are close to wrapping up their criminal probe and are unlikely to file criminal charges, a move that could pave the way for regulators to bring civil cases, according to …

Washington Explores Insurance, Other Protection for Futures Customers

U.S. regulators and futures industry players said on Thursday that there is no perfect solution to safeguard customer money in the wake of two major brokerage scandals, but added that policymakers should move quickly on some important fixes. Bart Chilton, …

PFGBest Broker Scandal Leads to Calls for Insurance for Grain Trade

The largest U.S. grain trade group was stunned by the latest scandal to hit the futures industry when Iowa-based brokerage PFGBest collapsed after regulators accused the firm of misappropriating customer funds. “Even though we don’t know at this point the …

Claims Against MF Global’s Corzine, Other Executives May Depend on Insurance

Jon Corzine failed to address MF Global Holdings Ltd.’s growing liquidity needs as he tried to build the commodities broker into a global investment powerhouse, helping create the conditions that led to its downfall, a trustee in MF’s bankruptcy said …

Judge Weighs Release of Insurance Monies for MF Global Defense

An MF Global bankruptcy trustee asked a judge on Monday to release $25 million in insurance money to pay defense costs for Jon Corzine and other former MF Global officers facing civil lawsuits over the broker’s October collapse. If paid …

MF Global Judge to Examine Insurance Payments for Former Executives

The U.S. judge overseeing MF Global’s bankruptcy plans a closer review before deciding whether any of an estimated $190 million of insurance coverage for former company executives should instead go to customers. Opponents of the plan to cover former executives, …