Bloomberg and others are reporting that Corzine ordered customer funds transferred
This is being widely mentioned on financial blogs and even the local 11pm news here in NYC but here....crickets.
I was astounded at the lack of questioning (and excuses) here when the MF Global story first broke. For all the promises of change we have seen very little when it comes to the financial sector - in fact wer have seen LESS prosecutions of financial crimes under Obama than under his predecessors (including W).
I am hard pressed to explain the lack of effort in investigating an prosecuting financial crimes (and the paltry settlements reached in the cases brought).
Like it or not the perception (and from my pov, the reality) is that it matters little who is the President - or which party is in power. Both serve the same masters - and it is not 'the people' but the plutocracy.
Even the Huffington Post is giving this substantial coverage- albeit under 'busioness'
Whatever the 'reality' at work when it comes to MF Global, a fundamental crime was committed - customer funds were not kept segregated and used to cover firm liabilities. The bankruptcy filing compounded the crime with FULLY PAID customer accounts not getting full reimbursement and accounts being frozen - while trading continued on exchanges - leading to significant losses by account holders. Both MF Global AND its overseers failed customers.
It is not difficult for people to perceive of this situation as being one where people - politically connected people - have been given preferential treatment. Corzine pressured the CFTC NOT to implement additional oversight in the months before the meltdown and - to date - nobody has been arrested for anything - with one senior official being willing to testify before Congress ONLY if given immunity.
How would the DK community react if this were occurring under George W. Bush's administration - with a major Republican contributor and former elected official - the head of a firm where over a billion dollars of customer funds have gone 'missing'.... and how is that possible when funds cannot be transferred without leaving a clear and detailed trail? It would be very easy to see WHERE any and all funds coming from MF Global went - funny how JPM has a role in that bankruptcy when it received hundreds of millions FROM MF ZGlobal shortly before the bankruptcy.......
'More and better Democrats' is not going to have any impact in a political system where the rule of law is ignored with little fear of retribution... We have relatively minor prosecutions for insider trading' where the profits are a rounding error on the amounts involved in far larger crimes.
Where's REAL accountability and the rule of law?
If the Republicans were smart they could make a VERY large issue of this.......