global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke is face as he like ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's great. well. spent bernanke is like looking at this little baby there you know

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he is like ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we get a lot done that's great. well. it's ben bernanke it's like looking at this little baby there you kno

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the industry has done to make the financial system more sound look at ben bernanke use face as he is like in ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's a great. world. ben bernanke is like looking at this little baby there y

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the industry has done to make the financial system more sound look at ben bernanke use face as he is like in ecstasy looking at jamie diamond speaking to put to me that list you gave me pretty good there for well we. should like we're getting a lot done that's a great. world. ben bernanke is like looking at this little baby ther

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the industry has done to make the financial system more sound look at ben bernanke use face as he like ecstasy looking at jamie diamond speaking to that list you gave me maybe you pretty good there for well we. should like we're getting a lot done that's a great. world. ben bernanke is like looking at us a little baby there you

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he is like in ecstasy looking at jamie diamond speaking to put to me that list you gave me pretty good there for well we. should like we're getting a lot done that's great. well. ben bernanke is like looking at us little baby t

global case the head of the c f.t.c. m.f. global's regulator has recused himself from m.f. global's probe why because he worked with john for a zine goldman sachs this is the same c f.t.c. that delayed voting earlier this year on an m.f. global rule because of heavy lobbying from joy and john are we seeing the power of the squid here let's get to today's capital account. the m.f. global saga of bankruptcy missing money and possible fraud and corruption is the latest huge red flag hitting us in the face that wall street really has not been reined in since the financial crisis and today was kind of the culmination of a lot of anticipation we finally heard from john corazon the former c.e.o. of m.f. global on the hill now we have been covering this pretty much every day on capital account but i want to give everyone a refresher to put this all in context so first let's recall who exactly junk or resign is and where he comes from c.e.o. of goldman sachs from ninety four to ninety nine he went on to be u.s. senator for new jersey two thousand and one to two thousand and six then

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the industry has done to make the financial system more sound look at ben bernanke use face as he is like in ecstasy looking at jamie diamond speaking to me that list you gave me made me pretty good there for a while because the son like we're getting a lot done that's a great. world. ben bernanke is like looking at this lit

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the industry has done to make the financial system more sound look at ben bernanke use face as he like ecstasy looking at jamie diamond speaking to that list you gave me pretty good there for well be. the same like we're getting a lot done that's a great. world. ben bernanke is like looking at this little baby there you know

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence to go it couldn't happen in any other brokerage. and i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global or i had nothing to do with their business they just or more money that's the

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the us bankruptcy court or trustees the third. issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he is like ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for a while because this sort of like we're getting a lot done that's a great. world. ben bernanke is like looking at this little bab

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money into cyberspace or more and i have no confidence to go i couldn't have it any other brokerage. and i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global or you know can do with their business they just or more money that's the bottom

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock that's why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that i couldn't have it any other brokers. were missing and i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global or i had nothing to do with their business they just or more money that'

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock that's why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that i couldn't have it any other brokers. when i had a hedge account to protect my rights as i didn't want to invest in european sarvant if i didn't want to invest in m.f. global or i have no can do with their business they just or more money that's the bottom lin

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no problem going to go i couldn't have it any other brokerage. and i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global or i have nothing to do with their business they just store more money that's

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he is like x. to see looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's great. well. spent bernanke is like looking at us a little baby there you

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke is face as he is like in ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's a great. world. ben bernanke is like looking at this little baby there yo

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he like ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's great. well. spent bernanke is like looking at this little baby there you know

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money into cyberspace or more and i have no confidence that i couldn't have it any other brokers. when i had a hedge account to protect my rights as i didn't want to invest in european sarvant if i didn't want to invest in m.f. global or i had nothing to do with their business they just or more money that's the botto

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock that's why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no problem going to god couldn't have it any other brokerage. when i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global or have no can do with their business they just or more money that's the bottom

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that i couldn't have it any other brokerage. when i had a hedge account to protect my prices i didn't want to invest in european charter and i didn't want to invest in m.f. global or you know can do with their business they just store more money that's the bottom

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know or and more money into cyberspace or more and i have no problem going to god couldn't have it any other brokers. when i had a hedge account to protect my prices i didn't want to invest in european sarvant if i didn't want to invest in m.f. global or i have no can do with their business they just store more money that's the bo

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock that's why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or i have no problems whatsoever you know and i don't see how anybody could because basically what i openly it is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no problem going to do i couldn't have it any other brokerage. were missing and i had a hedge account to protect my prices i didn't want to invest in european sarvant i didn't want to invest in m.f. global or have no can do with their business they just store more money that's

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of the m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no problem going to god couldn't have it any other brokers. when i had a hedge account to protect my prices i didn't want to invest in european sovereign debt i didn't want to invest in m.f. global i had no can do with their business they just or more money that's the botto

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock that's why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here m.p.r. asked how do you feel about investing in the futures market now i have no confidence whatsoever in that and i don't see how anybody could because basically what happened land is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer gee somebody hit enter in my money cyberspace somewhere and i have no confidence that i couldn't happen in any other brokerage. and i had a hedge account to protect my prices i didn't want to invest in european shahrir and i didn't want to invest in them after a war i had nothing to do with their business they just stole my money that's the bottom li

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that i couldn't have put in any other brokerage. when i had a hedge account to protect my prices i didn't want to invest in european charter and i didn't want to invest in m.f. global or you know can do with their business they just or more money that's the bottom

"devastated"-- that's how former m.f. global c.e.o. jon corzine describes his reaction to the collapse of the commodity brokerage firm. susie, under hard questioning before a congressional panel, corzine said he did not know what happened to over $1 billion dollars in customer funds. >> susie: tom, the former senator also said he never intended to break any rules, and he denied using his political clout as a former u.s. senator to win special consideration for m.f. global. >> tom: the star witness defended his decision to invest in risky european debt, blaming the firm's collapse on a loss of market confidence. darren gersh picks up the story. >> reporter: jon corzine is not the first c.e.o. to explain before congress why his company failed, but he is the first former governor and u.s. senator in more than 100 years to testify under subpoena. his voice subdued, corzine offered his side of the story. >> i apologize both personally and on behalf of the company to our customers, our employees, and our investors. i truly know they are bear

of goldman sachs before taking the reins at m.f. global and being at the helm as m.f. global disclose more than six billion dollars on european sovereign debt a bet that went bad a capital shortfall they went bankrupt and client money went missing i wonder though how this all sits with customers who've had their accounts frozen well let's catch up with gerald celente and see what's happening with his money he's founder of trance research institute and publisher of the trends journal but if you recall he made a rather large splash when he came on our show in november on the fourteenth and told us how he got a phone call and found out that six figures according to him of his money in an account with lin waldock was with a trustee for m.f. global and he couldn't get any answers and he certainly couldn't get his money gerald welcome back to the show it's so nice to see you of course now we've seen a lot more heard some more from m.f. global former exacts so i don't know how much that really comforts someone like you one point two billion dollars of course is the estimate o

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that i couldn't have it any other brokerage. and i had a hedge account to protect my rights as i didn't want to invest in european sarvant if i didn't want to invest in m.f. global i have no can do with their business they just store more money that's the bottom o

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount. without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke use face as he is like in ecstasy looking at jamie diamond speaking to me that list you gave me maybe you pretty good there for well we. should like we're getting a lot done that's a great. world. ben bernanke is like looking at this litt

global assets the key issues include the fact that j.p. morgan was able to purchase m.f. global bonds at a discount without any open bidding process and the assets were apparently sold without disclosure to or approval from the u.s. bankruptcy court or trustees the third issue centers on j.p. morgan seeking special favors from the federal reserve to receive priority treatment over investor segregated fund accounts jamie's dirty. give a spanking. max this is important it's more than just that mean it is as absurd as that but it is a fact that earlier this year we saw this little clip i'm going to turn to here where jamie diamond stood up and spoke to ben bernanke you braided ben bernanke saying oh you know we've done this list the list five things that the the industry has done to make the financial system more sound look at ben bernanke is face as he like ecstasy looking at jamie diamond speaking to me that list you gave me pretty good there for well we. should like we're getting a lot done that's a great. well. spent bernanke is like looking at this little baby there you

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever and i don't see how anybody could because basically what i openly it is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money so i pushed very sure more and i have no program to do i could never do it any other brokerage. and i had a. educate don't worry gracious i did want to invest in european and i didn't want to invest in america a very i know can do with your business but you're still more money that's the bottom or you know i have to fig

you know the thing about m.f. global when i saw the story initially i thought well here's another problem that's going to affect. the hedge funds and everybody else it's a little too deep in in leverage derivatives and it turned out that a whole bunch of my friends were snared in m.f. global too i was talking to a rare american friend of mine who lives in france and trades and his account just like gerald solent a for one his account has been frozen and he says they know where the money is but it's odd that it's just being sort of kept in some sort of escrow there but. shows you ultimately hell fragile the network is that allows me and everybody else to trade right on up to the level of sara lee large hedge funds but the m.f. is going to it looks like it's going to take a lot of retail guys with it and the problem you know that slips like they'll get their money back but not everybody can wait six months or a year or however long it takes a while confidence in the system is shaken and the system runs on confidence

global the bankruptcy of m.f. global and the mismanagement of his clients' money is causing trouble for a lot of ranchers and farmers they were major clients of m.f. global buying futures contracts to hedge against swings in the value of their crops and livestock this is why to risk he says it's the opposite of gambling it was actually being more prudent in protecting his income so here that n.p.r. asked how do you feel about investing in the futures market now or have no problems whatsoever you know and i don't see how anybody could because basically what i openly on is that i had a segregated account with m.f. global they were the brokerage with the stroke of a computer to somebody you know and more money for cyberspace or more and i have no confidence that that couldn't happen in any other brokerage. when i had a hedge account to protect my prices i didn't want to invest in european charter and i didn't want to invest in m.f. global or you know can do with their business they just store more money and that's th

global declared bankruptcy after making bad bets on european sovereign debt ok m.f. global was betting on european bailouts now as the senate is investigating how and why m.f. global collapsed possibly taking customers money with it held a hearing today we asked is this financial firm just the first casualty of the eurozone crisis also with reports of poor oversight are we sure to see more of this senators pressed m.f. global regulators today drawing a goldman sachs connection between both the regulator and the head of the firm john or resign also a report came out from the securities and exchange commission watchdog today it says agency staffers discovered massive fraud by a hedge fund manager but never followed now that manager interestingly was listed as one of the talked one hundred five people responsible for the two thousand and eight financial crisis according to time magazine so here to help us figure out where we're really going to see this fallout is entrepreneurial investor and independent analyst middleton he's author of the popular boom bust blog as many

you know the thing about m.f. global when i saw the story initially i thought well here's another problem that's going to affect. the hedge funds and everybody else it's a little too deep in in leveraged derivatives and it turned out that a whole bunch of my friends were snared in m.f. global too i was talking to and their american friend of mine who lives in france and trades and his account just like gerald solent a for one his account has been frozen and he says they know where the money is but it's odd that it's just being sort of kept in some sort of escrow there but it shows you ultimately hell fragile the network is that allows me and everybody else to trade right on up to the level of scarily large hedge funds but the m.f. is going to. it looks like it's going to take a lot of retail guys with it and the problem you know that slips like they'll get their money back but not everybody can wait six months or a year or however long it takes a while confidence in the system is shaken and the system runs on conf

you know the thing about m.f. global when i saw the story initially i thought well here's another problem that's going to affect. the hedge funds and everybody else it's a little too deep in in leveraged derivatives and it turned out that a whole bunch of my friends were snared in m.f. global too i was talking to a rare american friend of mine who lives in france and trades and his account just like gerald solent a for one his account has been frozen and he says they know where the money is but it's odd that it's just being sort of kept in some sort of escrow there but it shows you ultimately hell fragile the network is that allows me and everybody else to trade right on up to the level of scarily large hedge funds but the m.f. is going to it looks like it's going to take a lot of retail guys with it and the problem you know it's looks like they'll get their money back but not everybody can wait six months or a year or however long it takes a while confidence in the system is shaken and the system runs on confiden

morgan which is presumed to be m.f. global's but j.p. morgan apparently credit deal with the trustee saying that they could have to catch it and if global granted j.p. morgan alina all of the company's assets try so j.p. morgan is cutting deals outside of the legal framework what's also amazing is that the. the silver that was in the m.f. global collectively all their one hundred forty thousand pounds that the quantity of silver disappeared from all those accounts but now magically has appeared on j.p. morgan's balance sheet as you know there are massively short somewhere they've been scrambling for a way to cover their short position rumor has it that just a few weeks ago was about to be busted and j.p. morgan technically have to go bankrupt so what do they do to prevent going bankrupt i've always said j.p. morgan is like enron one day to wake up it'll be worth zero in order to stop that from happening two weeks ago as it almost did two weeks ago zero j.p. morgan stock price they wanted to m.f. global accounts one hundred forty thousand

global and m.f. global fall in a nutshell m.f. global was using excessive leverage stemming from cation to happen occasionally securities basically they took client securities and used it as collateral against their own very risky bets against european debt. these bets were all multiples of the equity and of course as soon as things started going to get to them they were getting margin calls the whole policy collapsed and one point two billion dollars and counting money has been missing this level of leverage is totally out of balance sheet ok not visible available to investors and is not endemic to just. brothers did it goldman sachs is doing it j.p. morgan is doing it and they're doing it with more than two or three dollars of i'm not mistaken the exposure to goldman sachs is about fifty one billion twenty seven fifty one billion j.p. morgan is doing it to the chairman of seven hundred billion over one hundred billion this level of leverage combined with the fact that you have c.d.'s that may have a claim i mean i have a crane c

global about two hundred million dollars in customer money that vanished from m.f. global is believed to have surfaced that j.p. morgan chase and britain according to people briefed on the matter now remember ok they found two hundred million dollars that's the equivalent of one hundred twenty seven million pounds so here you have one hundred twenty seven million pounds right there on this it count. they haven't prosecuted one single person to try to get that money back instead in duncan smith prosecuted ten thousand brits to get back less than that twenty seven percent less than that regardless it is unclear whether investigators can recover the two hundred million dollars and duncan smith slams ten thousand benefit claimants for stealing the equivalent of a soda pop in his imagination versus m.f. global and j.p. morgan which actually without any equivocation or doubt has outright stolen millions hundreds of millions of dollars and duncan smith and all the other story front benchers are sitting on their hands hoping that they get patted on the head from these banke

global and m.f. global fall in a nutshell m.f. global was using excessive leverage stemming from cation to happen occasionally securities basically they took client securities and used it as collateral against their own very risky bets against european debt. these bets were all multiples of the equity and of course as soon as things started going to get to them they were getting margin calls the whole policy collapsed and one point two billion dollars and counting money has been missing this level of leverage is totally out of balance sheet ok not visible available to investors and is not just. brothers did it goldman sachs is doing it j.p. morgan is doing it and they're doing it with more than two or three dollars of i'm not mistaken the exposure to goldman sachs is about fifty one billion twenty seven fifty one billion j.p. morgan is doing it to the chairman of seven hundred billion over one hundred billion this level of leverage combined with the fact that you have c.d.'s that may have a claim i mean i have a claim combined wit

morgan which is presumed to be m.f. global's but j.p. morgan apparently credit deal with the trustee saying that they could have the cash is granted j.p. morgan alina all of the company's assets price so to. if you are going is cutting deals outside of the legal framework what's also amazing is that the silver that was in the m.f. global collectively all their one hundred forty thousand accounts that the quantity of silver disappeared from all those accounts but now magically has appeared on j.p. morgan's balance sheet as you know they're massively short some where they've been scrambling for a way to cover their short position rumor has it that just a few weeks ago was about to be busted and j.p. morgan technically have to go bankrupt so what do they do to prevent going bankrupt i've always said j.p. morgan like enron one day to wake up it'll be worth zero in order to stop that from happening two weeks ago as it almost did two weeks ago zero j.p. morgan stock price they wanted to m.f. global accounts one hundred forty thousand of them t

which is presumed to be m.f. global's but j.p. morgan apparently credit deal with the trustee saying that they could have the cash . granted j.p. morgan alina and all of the company's assets i saw j.p. morgan is cutting deals outside of the legal framework what's also amazing is that the silver that was in the m.f. global collectively all their one hundred forty thousand accounts that the quantity of so far disappeared from all those accounts but now magically has appeared on j.p. morgan's balance sheet as you know they're massively short some where they've been scrambling for a way to cover their star position rumor has it that just a few weeks ago was about to be busted and j.p. morgan technically have to go bankrupt so what do they do to prevent going bankrupt i've always said j.p. morgan like enron one day to wake up it'll be worth zero in order to stop that from happening two weeks ago as it almost did two weeks ago zero j.p. morgan stock price they wanted to m.f. global accounts one hundred forty thousand of them they took t

morgan which is presumed to be m.f. global's but j.p. morgan apparently credit deal with the trustee saying that they'd have to catch it and if global granted j.p. morgan alina all of the company's assets try so to. if you are going is cutting deals outside of the legal framework what's also amazing is that the silver that was in the m.f. global collectively all their one hundred forty thousand accounts that the quantity of silver disappeared from all those accounts but now magically has appeared on j.p. morgan's balance sheet as you know they're massively short some where they've been scrambling for a way to cover their short position rumor has it that just a few weeks ago was about to be busted and j.p. morgan technically have to go bankrupt so what do they do to prevent going bankrupt i've always said j.p. morgan is like enron one day to wake up it'll be worth zero in order to stop that from happening two weeks ago as it almost did two weeks ago zero j.p. morgan stock price they wanted to m.f. global accounts one hundred forty thousan

you know the thing about m.f. global when i saw the story initially i thought well here's another problem that's going to affect. the hedge funds and everybody else it's a little too deep in in leveraged derivatives and it turned out that a whole bunch of my friends were snared in m.f. global too i was talking to a rare american friend of mine who lives in france and trades and his account just like gerald solent a for one his account has been frozen and he says they know where the money is but it's odd that it's just being sort of kept in some sort of escrow there but it shows you ultimately hell fragile the network is that allows me and everybody else to trade right on up to the level of scarily large hedge funds but the m.f. is going to it looks like it's going to take a lot of retail guys with it and the problem you know looks like they'll get their money back but not everybody can wait six months or a year or however long it takes a while confidence in the system is shaken and the system runs on confidence pe

you know the thing about m.f. global when i saw the story additionally i thought well here's another problem that's going to a sec. the hedge funds and everybody else it's a little too deep in in leveraged derivatives and it turned out that a whole bunch of my friends were snared in m.f. global too i was talking to a rare american friend of mine who lives in france and trades and his account just like gerald solent a for one his account has been frozen and he says they know where the money is but it's odd that it's just being sort of kept in some sort of escrow there but it shows you ultimately hell fragile the network is that allows me and everybody else to trade right on up to the level of scarily large hedge funds but the m.f. is going to it looks like it's going to take a lot of retail guys with it and the problem you know looks like they'll get their money back but not everybody can wait six months or a year or however long it takes while confidence in the system is shaken and the system runs on confidence pe