This page has been archived and commenting is disabled.
Corzine Tells Judge That Due To Purchase Of 50,000 MF Global Shares Before Bankruptcy, He Must Acquit
That former Goldman, New Jersey and MF Global head Jon Corzine is absolutely convinced he is innocent of any client money vaporization or wrongdoing, and that the definition of the phrase "to Corzine (verb- to trust your money to a prominent individual and to find it has mysteriously disappeared)" is absolutely arbitrary, is not news to anyone. And if not convinced then at least at a complete loss to what actually happened. One just had to recall all the "I don't recalls" the Honorable Corzine told congress during the makeshift kangaroo court hearing on MF Global's collapse (even if the final outcome was less than desired). So it's only logical that the Honorable Corzine asked a federal judge to "toss a civil fraud lawsuit accusing him of misleading investors about the risky bets the futures firm was taking before its collapse a year ago." The WSJ reports that "Corzine's lawyers blasted the investors' suit as a "jumble of assertions and accusations" that makes "no sense" that should be dismissed in a filing Friday in U.S. District Court in New York." The plainitffs, now led by Virginia Retirement System, "sued Mr. Corzine, other company executives and the banks that backed the trading firm, claiming they failed to disclose the risks associated with MF Global's European sovereign debt trades using repurchase-to-maturity transactions."
But here is the kicker: MF Global may have mismanaged trades, Corzine's lawyers admit, but he sure didn't hide the risks or mislead investors about the firm's risk appetite or liquidity. Why? Because he was so convinced in the profitability of MFG he bought a whopping 50,000 MF Global shares in the open market two months before the firm collapsed. So let's get this straight: Corzine invested a whopping $225,000 (as a reminder, Corzine was CEO of Goldman Sachs for years) because he believed in the firm and not to give the impression that the firm was "safe" in order to avoid a full blown panic once the realization its was insolvent could no longer be hidden, and be wiped out on all of his stock, option and other MFG holdings? And this is what sophisticated lawyers use as evidence of his innocence? Seriously?
Since we are rather speechless here, we hand it over to the WSJ:
Indeed, the investors' claim that Mr. Corzine participated in a fraud "makes no sense" because, just two months before the company collapsed, he bought over 50,000 shares of MF Global stock on the open market. His lawyers argue Mr. Corzine's stock purchase belies the investors' claim that he sought to defraud them.
As lawyers for the banks that underwrote MF Global's securities noted, trading firms can go under without fraud.
"Companies sometimes fail because of unsuccessful business strategies," said lawyers for the underwriters. "However regrettable that reality, courts long have taught that such failures alone do not give rise to claims under the federal securities laws."
Mr. Corzine's large bets on bonds of troubled European countries panicked investors and led to the firm's undoing. As MF Global frantically tried to sell assets and negotiate a rescue deal, the firm dipped into customer funds that aren't supposed to be touched under federal regulations.
He testified before Congress last year that he was unaware of a shortfall in customer assets at MF Global until hours before its bankruptcy filing.
The Justice Department and regulators at the Commodity Futures Trading Commission and Securities and Exchange Commission have looked into MF Global's demise to determine if there was any intent to remove money from customer accounts that should have been kept separate from the firm's own funds under federal rules. To date, neither Mr. Corzine nor others at MF Global have been charged with a crime.
Sorry, we are still speechless... Because apparently if one dumps a massive 0.01% of their net worth as a sunk cost whose sole purpose is to give the optical impression that all is well, when the only purpose is to buy time from gullible investors, then, then... one may get the impression that Spain, which is doing precisely this is also... no, it's unpossible... broke!?
And that just can't be.
»
- 17720 reads
- Printer-friendly version
- Send to friend
- advertisements -
if anyone is waiting for 'washington' to do anything for them, well, you get what you deserve. you are on your own in life. if you believe in government doing things for 'citizens' you have a surprise in store. i'd rather wait for the easter bunny.
I'm Barack Obama and I approve this message.
You KNOW you live in a fascist kleptocracy when the best chance of enforcing any "criminal" law is through the civil courts.
I wonder why the muppets bother. They MUST know they're not getting the dough back.
Does throwing gasoline on a burning house make him a pyromaniac?
If this ever goes to a grand jury, which it might the verdict will be: "We find the defendant incredibly guilty."
Ha! After the Sentinel ruling, they find the plaintif(s) guilty of letting it happen.
I wish I could have been early on this thread with a "Fuck Corzine" without appearing redundant.
No possibility of being over redundant with that mate. Have at it.
Just as in the days of the Salem witch trials, merely tie a 500 pound cement block to Corzine's ankle, then promptly throw him in to 50 foot deep water. If he sinks, he is guilty. If he survives, he is obviously not a witch.
<--- Case proceeds to Trial
<--- Case is dismissed
Vote!
I am leaning that the case will be dismissed. Just like the assets from the segreated accounts were confiscated. After all, Investors are not going to cause another Riot, such as when the officers in the Rodney King beating were acquitted.
It'd be a threat to the 'Merkin way of life if we permitted businessmen to be held responsible for the actions of their companies.
China knows how to deal with these arrogant bags of shit... we need to learn a few lessons about punishment and war. When you are SURE, then destroy the bad guys massively and permanently. No pussy-footing around, no ACLU, no NAACP, no half-ass.
He invested $250,000 to steal millions and get away with it, is what this says to me!
So if i buy some shares in a bank and then rob it....
"Eat your heart out, Bernie Madoff!!!"
I highly recommend everyone watch "Boiler Room" tonight on Netflix. Besides being a great movie about financial criminals, the ending scene is something that needs to play out in the real world on an unprecidented scale.
I highly recommend everyone delete their Netflix account...
Welll... the documentaries rock. I probably would not have seen Restrepo, Dark Legacy, or a dozen other fact-filled, non-mainstream programs.
And when Corzine is walking down the street five years from now and some stranger punches him in the face and splatters his nose (or worse), I wonder if he'll know why.
In 5 years, he certainly won't be walking.....
I sure hope Corzine and his cohorts are walking in 5 years... to the chow line, the recreation yard, and picking up trash on the side of the highway... http://tinyurl.com/cd5cyjo/
http://youtu.be/RelR9jrWUUs MF global is Bleeding: Wheres Mona Demarko, paging Mona....
"...Corzine invested a whopping $225,000 .."
this defense is classic bush crime syndicate bullshit - they played the plausible deniability card the way johnny played the old banjo....but i am sure that the judge will buy it...
The judge will be paid far more than $225,000 to "buy it".
Of course, maybe Corzine learned from Bush, then taught the young and impressionable mulatto named BarHO.
Hey shithead, Corzine is Obama's asshole buddy. So, why not be accurate and refer to this crap as the Obama crime syndicate. God, what a waste of skin. Bullshit indeed
You have it backwards. Obama is the puppet, not the master.
Corzine. Fucking narcissistic sociopath. Should be publicly hung by his balls.
Isn't this the exact strategy that Bernie Ebbers used with Worldcom? Basically trying to buy a "get out of jail (relatively) free" card.
People I know who initially lost money in MFG have been paid back, or they have been offered buyouts of approx. 95%. One has to assume all the money is being paid back. I don't know where the money is coming from. I'm not trying to say Corzine isn't scum of the earth.
relocated
It looks more like evidence of premeditation than evidence of innocence.
No blood no foul.
think of the AG's across our United States, those climbing the political ladder, where are they? The system was made to allow these guys the to go after those in the public spot light..in days past show trials would have hit the news night after night with the major theft of 08 and MFG ..remember b madoff??
very strange..wheres the judges who want to make a name for themselves as a step to higher office??
If he bought the shit you must acquit.