Jon Corzine, who used to own a home in Sagaponack, really isn’t having a very good year. The former head of the now bankrupt MF Global that made over leveraged bad bets on European Sovereign Debt that hurled the firm into bankruptcy, has made his first prepared statements to the press today since the firm went bankrupt, and about that cool $1.2 billion that is apparently missing.
“I simply do not know where the money is, or why the accounts have not been reconciled to date,” said Corzine. He also said that he was unaware whether there were “operational errors at MF Global or elsewhere, or whether banks and counterparties have held onto funds that should rightfully have been returned to MF Global.”
There hasn’t been this big of a failed financial institution since Lehman.
I’ve been following this story closely, and I have to say that Jon Corzine has turned very much into a figure head for a failed company that did not have any regulation. For a company to be that over leveraged into one asset class, using money on margin, isn’t all just Jon Corzine’s fault, not that I’m not defending him or anything. But where was the S.E.C. on this? Why were his board of directors not speaking up about it?
PAY ATTENTION WHERE YOU PUT YOUR MONEY PEOPLE! IT’S IMPORTANT!