House Subcommittee to Release Review of MF Global Collapse

Oversight and Investigations subcommittee report expected in next few weeks

Jon Corzine, former CEO of MF Global. (Photo: AP) Jon Corzine, former CEO of MF Global. (Photo: AP)

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The House Financial Services Subcommittee on Oversight and Investigations, chaired by Rep. Randy Neugebauer, R-Texas, said Wednesday that it expects to report the results of its year-long investigation into the collapse of MF Global in the next few weeks.

“Our investigation is essentially an autopsy of how MF Global came to its ultimate demise and what policy changes need to be made to prevent similar customer losses in the future,” Neugebauer said in a statement. “We must restore confidence and integrity to the futures markets and send a strong signal to customers that their accounts are safe and secure.”

The subcommittee says its investigation has involved three hearings, more than 50 interviews and the review of more than 243,000 documents obtained from MF Global, its former employees, federal regulators and other sources.

“MF Global customers deserve to know how and why their funds went missing; market participants deserve to know whether regulatory lapses have been identified and corrected; and taxpayers deserve to know that policymakers and regulators have been held accountable,” Neugebauer said.

In late August, prosecutors dropped their criminal investigation into the former Goldman Sachs head/governor of New Jersey/disgraced MF Global CEO, Jon Corzine. The New York Times also reported at the time that Corzine might start a hedge fund.

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