“MF Global Holdings Ltd. acknowledged to federal regulators that money had been diverted out of customer accounts in violation of futures rules and law, according to a federal official.
The Wall Street brokerage, which filed for bankruptcy protection Monday, acknowledged the shortfall amid mounting questions from regulators as they went through the firm’s books while trying to facilitate a sale to Interactive Brokers Group Inc., the official said. Regulators still don’t know where the customer funds went, who directed the move or how widespread the practice was, the official said.”
What a dumbass.
As someone who worked at a hedge fund, and handled portfolio accounting for some of the funds, you NEVER touch the client’s money. Not to save another client. Not to save yourself. This is so, so dumb and such perfect fodder for the Occupy losers. Gah.
I guess he got so used to spending other people’s money as a politician, he forgot it really wasn’t his.
But then there is this theory too:
Why I buy physical gold and silver. More hoarding commencing…