Some 33,000 MF Global customers are stuck with no access to their cash more than two weeks after the securities firm filed for Chapter 11 bankruptcy protection.
Federal regulators have discovered that hundreds of millions of dollars of customers’ money, which is supposed to be segregated from the firms’ own money, is missing. This comes on the heels of huge bets on euro zone sovereign debt causing the company’s stock to plummet in the week prior to the bankruptcy filing. Immediately, the firms’ credit rating was cut to junk by the agencies.
How well did Dodd-Frank work?
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