Did Jon Corzine Just Get A $12.1 Million Golden Parachute?

Based on the MF Global Proxy statement filed in August 2011, there are rumors that the now defunct Primary Dealer will pay Jon Corzine a severance of $12.1 million. However, is that the full story?

As the proxy observes, the Golden Parachute would be paid in the case of a "change in control" which precludes a full out bankruptcy from being a trigger, and will likely see Corzine's payment become a general unsecured claim of the estate, but in case there is a prepack-agreed stalking horse bid whether Interactive Brokers or Goldman Sachs, this payment will likely be triggered. After all, what better way for Goldman to repay its former boss for handing over MF on a 70% off silver platter than to pay him just that little extra...

Happy Halloween.