The administration’s plan to redistribute America’s wealth to the poor has now added a new dimension. The trustees of MF Global have announced that there are “no immediate plans to transfer more money to” the people whose personal assets were illegally used to finance Jon Corzine’s bad investments in Europe. Instead of the Department of Justice arresting the “Honorable Jon Corzine” and returning stolen property to their proper owners, Eric Holder is busy validating Obama’s recess appointments.
Where did their assets go? To Europe with the blessing of this administration along with the Federal Reserve’s European bank bailouts being carried out without any government oversight. Redistribution works multiple ways: to the poor, to the European banks and to the pockets of the administration.
Former customers of MF Global Holdings Ltd’s collapsed brokerage were disappointed to hear on Thursday that the trustee hunting for funds missing from their accounts has no immediate plans to transfer more money to them.
More than 250 customers met in New York on Thursday with James Giddens, the trustee in charge of liquidating the brokerage and returning money to customers, for an update on the status of his investigation into what may be $1.2 billion missing from their accounts.
Giddens and his team of lawyers said they may not be able to make another mass transfer of funds above the roughly $3.8 billion they have already paid out. That figure represents about 72 percent of the total money held in customer accounts when the firm went under, leaving many customers still thousands or millions of dollars out of pocket.
“At this point we’re not in a position to do another bulk transfer,” said James Kobak, a attorney for the trustee. “That situation might change as we get through the claims process. It would also depend on our ability to recover additional assets.”
Customers are being asked to submit claim forms for their missing funds by the end of this month. The trustee said that once he receives all claims, his $1.2 billion estimate may rise or fall. His estimate has been challenged by other agencies involved in the probe, which say the gap may be only half as big.