I hope Romney gets the Republican nomination because it will create priceless entertainment watching the Democrats shred Romney's track record and background. If Gingrich gets the nod, he'll try to make policies and issues as the front and center topics of debate and slur and that would be intolerably boring...Many of you by now have read excerpts from the Wall Journal article on MF Global and the disappearing $1.2 billion in customer funds. Here's a link to the partial article from the NY Post, which is the longest freebie posting: LINK
It really blows my mind that there's even any discussion about what happened to the customer funds because it should not matter. The customer's should be getting every penny of their money returned, whether it comes from the MF Global bankruptcy trust, the CME, the banks who received customer assets illegally as collateral and/or from the estates of MF Global's management. Seriously.
It's clear that JP Morgan was the biggest beneficiary of illegally hypothecated customer collateral. And it wasn't the only bank. These entities should be required to contribute to the full restoration of the missing customer funds. Same thing with the CME. And, quite frankly, upper management starting with Jon Corzine should be thoroughly investigated and, if illegal actions can be proved, they need to come up with restoration funds as well.
Where is the CFTC on this? How come Obama has not intervened and forced Attorney General Eric Holder to appoint an independent investigative team to get to the bottom of this? You're telling me that our Government can locate and freeze $10's of billions in Libyan and Iranian assets anywhere in the world but they can't come up with the electronic trail of $1.2 billion (or more) of missing customer funds from a regulated securities business that operates in Chicago, New York and London?
My friend and colleague "Jesse" wrote an insightful and compelling commentary which should be read by everyone: LINK The only observation I would add to Jesse's comments is that what we are witnessing here with MF Global is truly a case of racketeering. Normally racketeering is associated with mobsters and teamsters and longshoremen, etc. Organized crime. But what we have here is collusion among private banks, the court system and Government - otherwise known as fascism - in an effort to steal $1.2 billion from the rightful owners of that money. Racketeering.
Gary Gensler's name has been floated as a possible replacement for Tim Geithner. I guess it would be fitting for Obama to appoint someone who is a potential defendant in a RICO lawsuit - Gensler aided and abetted with MF Global's effort to hijack the customer assets before he "recused" himself from the situation - given that Obama appointed Geithner even after he was caught dodging taxes. Great country, huh?