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Corzine Corzined – Congressional Panel Finds Former MF Global CEO Ordered JPM Fund Transfer
Posted By admin On March 25, 2012 @ 4:22 am In Money Watch | Comments Disabled
Zero Hedge 
March 25, 2012
The only thing that could top today’s epic market insanity and hilarity, would be that Corzine is himself about to be Corzined. Just released from Bloomberg:
And so we can now add perjury to felony embezzlement. Which means we now have to wait to find just which MF’er (and JPM’er) will be given a promise of untold millions if they only get Fab Tourre’d for a few years, and spend 5-7 in minimum security state prison instead of brave Jonny.
From Bloomberg :
Jon S. Corzine, MF Global Holding Ltd.’s chief executive officer, gave “direct instructions” to transfer $200 million from a customer fund account to meet an overdraft in one of the brokerage’s JPMorgan Chase & Co.
accounts in London, according to an e-mail sent by a firm executive.
Edith O’Brien, a treasurer for the firm, said in an e-mail sent the afternoon of Oct. 28, three days before the company collapsed, that the transfer of the funds was “Per JC’s direct instructions,” according to a copy of a memo drafted by congressional investigators and obtained by Bloomberg News.
O’Brien’s internal e-mail came as the New York-based broker found intraday credit lines limited by JPMorgan, the firm’s clearing bank as well as one of its custodian banks for segregated customer funds, according to the memo, which was prepared for a March 28 House Financial Services subcommittee hearing on the firm’s collapse. O’Brien is scheduled to testify after being subpoenaed this week.
“Over the course of that week, MF Global’s financial position deteriorated, but the firm represented to its regulators and self-regulatory organizations that its customers’segregated funds were safe,” said the memo, written by Financial Services Committee staff and sent to lawmakers.
Vinay Mahajan, global treasurer of MF Global Holdings, wrote an e-mail on Oct. 28 that said JPMorgan was “holding up vital business in the U.S. as a result” of the overdrawn account, which had to be “fully funded ASAP,” according to the memo.
Barry Zubrow, JPMorgan’s chief risk officer, called Corzine to seek assurances that the funds belonged to MF Global and not customers. JPMorgan drafted a letter to be signed by O’Brien to ensure that MF Global was complying with rules requiring customers’ collateral to be segregated. The letter was never returned to JPMorgan, the memo said.
The money transferred came from a segregated customer account, according to congressional investigators. Segregated accounts can include customer money and excess company funds.
Corzine testified that he never intended a misuse of customer funds at MF Global, and that he doesn’t know where client funds went.
“I did not instruct anyone to lend customer funds to anyone,” Corzine told lawmakers in December.
Steven Goldberg, a spokesman for Corzine, declined immediate comment.
Oops. Of course, in Jonny’s defense there was no perjury here. The truth was merely rehypothecated.
Full memo below. And for those who say it is not a smoking gun, read last paragraph on page 4 and first paragraph on page 5. It appears the administration has turned on “JC”
MF Memo 
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URL to article: http://www.prisonplanet.com/corzine-corzined-congressional-panel-finds-former-mf-global-ceo-ordered-jpm-fund-transfer.html
URLs in this post:
 Zero Hedge: http://www.zerohedge.com/news/corzine-corzined-congressional-panel-finds-former-mf-global-ceo-ordered-jpm-fund-transfer
 Bloomberg: http://bloom.bg/GI6bxS
 MF Memo: http://www.scribd.com/doc/86538643/MF-Memo
 Corzine Ordered $200M Moved to JP Morgan Days Before MF Global Collapse: http://www.prisonplanet.com/corzine-ordered-200m-moved-to-jp-morgan-days-before-mf-global-collapse.html
 Corzine Directly Ordered Transfer of Stolen Customer Funds: Gerald Celente Reports: http://www.prisonplanet.com/corzine-directly-ordered-transfer-of-stolen-customer-funds-gerald-celente-reports.html
 Media Runs Defense For Corzine After MF Global Revelation: http://www.prisonplanet.com/media-runs-defense-for-corzine-after-mf-global-revelation.html
 Jon Corzine will not face criminal charges over MF Global: report: http://www.prisonplanet.com/jon-corzine-will-not-face-criminal-charges-over-mf-global-report.html
 Jon Corzine Still Bundling for Obama: http://www.prisonplanet.com/jon-corzine-still-bundling-for-obama.html
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