CCC Reacts to Trustee’s Moving Target on Shortfall, Presses for Its Claims Process & Ad Hoc Committee at Hearing Tuesday

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November 22, 2011

FOR IMMEDIATE RELEASE

CONTACT: John L. Roe (jroe@btrtrading.com)

312-933-6564


PRESS RELEASE:  CCC Reacts to Trustee's Moving Target on Shortfall, Presses for Its Claims Process & Ad Hoc Committee at Hearing Tuesday

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Are you a customer of MF Global? The CCC formally represents more than 200 clients in the bankruptcy process of MF Global on a pro bono basis, and informally represents thousands more in the public domain.

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About John Roe 91 Articles
Co-Founder of the CCC and head of BTR Trading and Roe Capital Management.

3 Comments

  1. Apparently, the Bankruptcy Court has refused to appoint an “Official Committee” which will speak for the interests of the clients who are missing $1.2 billion (at last estimate) in purportedly missing client funds. For those not familar with bankruptcy law, an official committee is appointed by the court to represent the interests of an identifiable group of creditors whose intersts are demonstrably different than other creditors. (Did anyone else have their supposedly segregated funds co-mingled with those of MF Global?!) The MF Global estate (remaining money) would be required to fund the legal expenses of an Officiial Committe of Client Creditors, whose interests in my opinion would be different than any other group of creditors. I’m not an expert on BK law, but in my opinion, it seems that the people with client funds are being shafted once again! We need attorneys who are expert in commodities law and associated accounting to advocate for us! And since MF Global created the problem, they, not the clients, in my opinion should pay to help straighten it out!

  2. Sounds like another game of semantics. Just as the Trustee kept speaking about 60% of collarteral being returned when it was really 60% of the margin requirement he again is speaking of the number he has under “control”. How much in customer seg funds are not under his control. Money at JP Morgan may very well be customer seg but he is reluctant to go and get. Is the CFTC looking at this process? Why are they not forcing the hand of these big banks? If the parent of MF owes JP Morgan money that should not mean JPM can simply hold customer funds hostage until they are made whole. Certainly seems to be the case though. Who is really in charge?

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