Corzine: No, I really didn’t know about customer-fund transfers

posted at 10:25 am on December 16, 2011 by Ed Morrissey

Here’s a question, and I intend this one sincerely: what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress?  After a new witness testified this week that Corzine knew of — and ordered — the transfer of customer funds to cover his big bets on European sovereign debt, Corzine finds himself in position to get indicted for perjury, having previously denied that he had any connection to those transfers.  Sure enough, Corzine appeared before Congress again yesterday in an attempt to talk himself out of trouble, a very curious strategy for a man facing the business end of a criminal investigation of the disappearance of $1.2 billion:

“While the last few days of MF Global were chaotic, I did not instruct anyone to lend customer funds to MF Global for any of its affiliates, nor was I told that anyone had done so,” he said.

Corzine said Duffy might have been referring to problems Corzine encountered days before MF Global sought bankruptcy protection, when he was trying to raise cash by selling billions of dollars of securities. …

Later that day, J.P. Morgan Chase contacted Corzine again and said it needed assurances that the transfer of funds did not violate federal rules, Corzine said. Corzine said MF Global’s Chicago staff “explicitly confirmed to me that the funds were properly transferred, and I understood that J.P. Morgan Chase was satisfied, since they executed . . . billions of dollars of trades with MF Global.”

On Tuesday, the head of the firm auditing MF Global said that a senior female executive told them that Corzine knew of at least $175 million borrowed illegally out of a customer account to cover those bets.  If that witness comes forward and auditors can unravel the transactions in the manner to which Terrence A. Duffy, the chief executive of CME Group testified, then Corzine has followed one materially false statement with another.  That will make it very difficult to walk back a perjury charge later, and in fact might add a second count.

Perhaps Corzine is telling the truth about this, although legally it won’t make a lot of difference, since he’s going to be held civilly responsible for the loss of the funds at the very least.  As CEO, Corzine had ultimate responsibility to safeguard those accounts, and since the funds went to shore up his own controversial investment strategy, no one’s going to buy (in the civil context, anyway, if not the criminal context) that Corzine didn’t know where the money originated to attempt the rescue of MF Global’s play.  But even if he doesn’t end up creating a perjury account, an adept legal team would know better than to have a client put himself in position for this kind of exchange:

Rep. Steve Pearce (R-N.M.) mocked Corzine’s apologies and his statements that he sympathizes with MF Global customers hurt by the bankruptcy.

“What hotel are you at here in the city?” Pearce asked, repeating Corzine’s barely audible answer: “The Ritz Carlton — did I hear it correctly?”

“How many of the 36,000 clients that were defrauded have you called personally?” Pearce asked.

“None,” Corzine said.

Alluding to the fortune Corzine made as head of Goldman Sachs, Pearce asked, “Have you created a scholarship for any of the families that have been disadvantaged, people just to help them out with maybe their college funds? Yes? No?”

“Congressman, the answer is no,” Corzine said.

Yeah, that’ll help when it comes to making the case for Corzine’s remorse.

The NRCC has published a video reminding everyone of Corzine’s political affiliation and connections to the Obama administration. Once again, the WaPo does identify him as a Democrat and former Senator and Governor, but fails to mention Corzine’s status as a bundler and rainmaker for Obama on Wall Street, so the NRCC provides this helpful reminder:


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Yet another answer to Palin’s question of “How’s that hopey, changey thing working out for ya?”

Drained Brain on December 16, 2011 at 10:29 AM

You can do whatever you want when you have a Presidential pardon in your back pocket.

JeremiahJohnson on December 16, 2011 at 10:30 AM

birds of a feather….

thedevilinside on December 16, 2011 at 10:31 AM

Good ad

I see parallels with holder in the hot seat

Go after him as well, please?

cmsinaz on December 16, 2011 at 10:33 AM

Once again, the WaPo does identify him as a Democrat and former Senator and Governor, but fails to mention Obama’s status as a bundler and rainmaker for Obama on Wall Street

I think that should read “fails to mention Corzine’s status as a bundler…”

To be fair to Obama, though, it’s a bit of a stretch to try and make him somehow involved or responsible for Corzine’s alleged misdeeds at MF Global. Sure, most politicians are slimeballs, but give the man a break–he has plenty of his own failings we can (and should) be harping on.

Mohonri on December 16, 2011 at 10:33 AM

Here’s a question, and I intend this one sincerely: what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress?

I will guarantee you his lawyers advised against his appearance and his idiotic refusal to take the Fifth, and that they documented same quite thoroughly. But, I’m sure Corzine has already got a pardon guarantee out of Obama anyway and a deal with Holder to file any such charges prior to January 2012 so that a pardon can legally be applied prior to Obama’s possible departure.

TXUS on December 16, 2011 at 10:34 AM

Insanity defense?

swinia sutki on December 16, 2011 at 10:35 AM

I think Corzine and Jerry Sandusky are using lawyers from the same law firm from the back of the telephone book. I think both are guilty as hell, but their lawyers are certainly not helping them. I’m not a lawyer, but I thought the first rule a lawyer tells a client is to clam up. From this testimony alone, what hasn’t someone slapped the cuffs on Corzine already?

Frank Drebin on December 16, 2011 at 10:35 AM

“My friend, John Corzine.”

… is just a guy who lives in my neighborhood. Wait …

.. I could no sooner disown him, uh, I mean …

… he’s a typical white person, er, uh …

… a fatcat, millionaire/billionaire.

Yeah.

VibrioCocci on December 16, 2011 at 10:36 AM

(D) Corzine “I had no idea what was going on” (MF Global)…..

…….Geithner ” I had no idea what was going on”(banking crisis)…..

…………Holder “I had no idea what was going on”(Fast/Furious)….

…………………Obama ” I had no idea what was going on”(Fast/Furious,sub-prime crisis,BP oil spill)

………………………Napolatano ” I had no idea what was going on”(Fast/Furious,BP oil spill,terrorist attacks)..

………..Biden “I had no idea what was going on”(or “didn’t know the economy was so bad”)

……………………..This is what passes for intellectualism in the Democratic party.

Baxter Greene on December 16, 2011 at 10:37 AM

The name plate during his testimony said “The Honorable Jon Corzine”.

Is that a standard qualifier during congressional inquiry? I’d get a thrill up my leg if the honorable Corzine gets a thrill from his cell mate.

It’s JOHN! btw. I hate that…same with Sean and Shawn…I spelled that wrong on a birthday cake once.

DHChron on December 16, 2011 at 10:38 AM

Hey, Obama tells lies that are recorded and easily found on youtube every.single.day and yet nothing happens. So why should any other of these crooks be concerned?

search4truth on December 16, 2011 at 10:38 AM

When $1.2B went missing, the first guy, literally, the first guy I called, was John Corzine.

aquaviva on December 16, 2011 at 10:42 AM

I am as shocked as Ed that Corzine keeps talking. If nothing else, I would think he has serious liability exposure under Sarbanes-Oxley, a bill he supported while in the Senate.

That said, I know from personal experience many clients refuse sound advice. Some people arrogantly believe they can talk and charm their way out of trouble. Others fold like a cheap tent under pressure, seemingly unable to remain silent.

flyfisher on December 16, 2011 at 10:42 AM

He probably lied to his lawyer because he’s and arrogant SOB.

Style Doggie on December 16, 2011 at 10:43 AM

but fails to mention Obama’s status as a bundler and rainmaker for Obama on Wall Street

I think you meant:

but fails to mention Corzine’s status as a bundler and rainmaker for Obama on Wall Street

CurtZHP on December 16, 2011 at 10:47 AM

Caption: “There are those who claim that my friend Jon is a crook and an idiot. Well, I asked Jon to pull my finger, and he didn’t fall for it. Joe pulls it every time. So make no mistake about it, Jon is probably not an idiot.”

forest on December 16, 2011 at 10:47 AM

Sgt Schultz says “I know noth-ing.”

What?

Long haired country boy on December 16, 2011 at 10:48 AM

I’m sure Corzine has already got a pardon guarantee out of Obama anyway and a deal with Holder to file any such charges prior to January 2012 so that a pardon can legally be applied prior to Obama’s possible departure.

TXUS on December 16, 2011 at 10:34 AM

I’m pretty sure Ford’s pardon of Nixon was pre-emptive, that is without any formal charges having been filed against him. As to your larger point, I agree it is very likely Obama will issue blanket pardons in January 2013 to an entire “roach motel” of prominent Dems within and affiliated with his administration. Obama will make Clinton look like a saintly amateur in comparison. Bet on it.

jwolf on December 16, 2011 at 10:48 AM

Hey! Give Jon a break! He was operating under the assumption that Democrats were running everything so there shouldn’t be any “problems”.

GarandFan on December 16, 2011 at 10:48 AM

Others fold like a cheap tent under pressure, seemingly unable to remain silent.

flyfisher on December 16, 2011 at 10:42 AM

Ron White: I had the right to remain silent…but I didn’t have the ability.

swinia sutki on December 16, 2011 at 10:48 AM

If you really listen to Corzine’s testimony he’s answering just like a lawyer. Everything he says is intentionally ambiguous and vague. And the “semi-senile” old fool act he’s putting on isn’t fooling anyone. He’s not perjuring himself. If you really listen to his answers he not actually saying anything.

greasywrench on December 16, 2011 at 10:49 AM

just need to include the clip of that nasty vile witch pelosi when the one congressman blurted out “he lies” and just have the repeated a couple of times in the ad.

acyl72 on December 16, 2011 at 10:51 AM

BTW does anyone else see Corzine’s company MF Global and interpret the MF as, well, you know what I mean?

jwolf on December 16, 2011 at 10:51 AM

Ed wrote:

what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress?

Your question assumes that Corzine’s lawyers control his behavior. They don’t. They may advise him as to the legal consequences of his behavior, but they are ethically obligated to carry out his wishes as long as those wishes are within the law.

If Corzine wishes to forgo his 5th Amendment protections, his lawyers can’t stop him. The most they can do is inform him that if he does, it may irreparably harm his defense, to the point where his lawyers can no longer represent him effectively, and then if he persists in ignoring their advice, withdraw legal representation. They can’t forbid him from testifying before Congress.

Yes, it’s possible that Corzine’s lawyers don’t know any better, but more likely that Corzine is ignoring his lawyers’ advice.

halflight on December 16, 2011 at 10:51 AM

I don’t know who I would rather not be: Eric Holder or Jon Corzine.

DuctTapeMyBrain on December 16, 2011 at 10:52 AM

CurtZHP on December 16, 2011 at 10:47 AM

Yep, you’re right. I fixed it. Thanks!

Ed Morrissey on December 16, 2011 at 10:53 AM

Is this another F & F-esque attempt to discredit Wall Street CEOs?

There is obviously no risk for Corzine here (unless the Senate investigation runs into 2013), but the continuation of the damage done to the reputation of the “Capitalists” could be significant. Assuming class warfare will be part of the O 2012 strategy, this just continues that meme in the back of the voters minds.

oconp88 on December 16, 2011 at 10:55 AM

BTW does anyone else see Corzine’s company MF Global and interpret the MF as, well, you know what I mean?

I was just thinking that. “I am sick and tired of all this MF corruption in this MF White House!”

Fabozz on December 16, 2011 at 10:55 AM

Bet all the OWS-ers love the guy. Cause he was touched by the Obama.

albill on December 16, 2011 at 10:56 AM

If Obama loses next year, look for a flurry of pardons on January 20, 2013. Akin to Bill Clinton. Corzine knows he’s got that going for him. This is just Kabuki.

Jabez01 on December 16, 2011 at 10:57 AM

Good ad, too. Keep tying barack to these liars, crooks and cheats. Play these ads through next November. Maybe some of these left-wing liberals will wake up and smell the stink of corruption they brought to the White House.

DuctTapeMyBrain on December 16, 2011 at 10:57 AM

Resume enhancer drafted on Pardon paper.

Rude Ram on December 16, 2011 at 10:59 AM

Here’s a question, and I intend this one sincerely: what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress?

They think his

friends

have his back!

After all, no one else goes to jail connected to this administration, why will he?

ReformedDeceptiCon on December 16, 2011 at 10:59 AM

Can’t wait to see Corzine sharing a cell with Madoff. The problem will be finding the money he’s hidden in overseas banks.

dentarthurdent on December 16, 2011 at 10:59 AM

As long as Obama is in power, Corzine is safe.

One more reason to vote the Duffer-In-Chief out of office.

profitsbeard on December 16, 2011 at 11:00 AM

Once again, the WaPo does identify him as a Democrat and former Senator and Governor, but fails to mention Corzine’s Obama’s status as a bundler and rainmaker for Obama on Wall Street, so the NRCC provides this helpful reminder:

FIFY. No really.

Akzed on December 16, 2011 at 11:01 AM

I was just thinking that. “I am sick and tired of all this MF corruption in this MF White House!”

Fabozz on December 16, 2011 at 10:55 AM

Somehow I wouldn’t be enticed go see “Snakes in the Oval Office”. I’d assume it’s a documentary.

Extrafishy on December 16, 2011 at 11:01 AM

Corzine: No, I really didn’t know about customer-fund transfers

“Honey, have you seen that sack with the $1.2 billion in it? It was here a minute ago.”

Akzed on December 16, 2011 at 11:02 AM

“Where’s the MF money?”

I hope that phrase was coined that way intentionally!

Vintage on December 16, 2011 at 11:02 AM

Corzine’s track record:

GS exec, during their fraudulant times. NJ Gov – wasted another few hundred million in pension guarantees that nearly bankrupted the state; Obama hire, who did nothing but champion failed Dem strategies and loans; then gets a MF Global top job, which ended up in bankruptcy, investigations and fraud.

This guy alone is responsible for a few hundred billion lost or wasted in his tenure. He is “the evil Wall Street” those Dems keep talking about.

Odie1941 on December 16, 2011 at 11:03 AM

Yet another answer to Palin’s question of “How’s that hopey, changey thing working out for ya?”

Drained Brain on December 16, 2011 at 10:29 AM

That’s why we wait until after January 2013 to prosecute

HiJack on December 16, 2011 at 11:03 AM

Here’s a question, and I intend this one sincerely: what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress?

Jon Corzine doesn’t have lawyers; he has handlers. If this case had ANYTHING to do with the law, he’d already be in jail. This is all about politics.

Of course, legally, Corzine is as guilty as sin. But politically he has nothing to hide. Everything he did was “above board,” at least as far this administration is concerned. He did nothing without their approval. As long as Corzine keeps himself in the news with these insane and idiotic “defenses,” Obama has to protect him. The second Corzine falls off the radar, he gets thrown under the bus.

logis on December 16, 2011 at 11:07 AM

BTW does anyone else see Corzine’s company MF Global and interpret the MF as, well, you know what I mean?

I was just thinking that. “I am sick and tired of all this MF corruption in this MF White House!”

The end of the ad was perfect, it provided a line that could have been read by Samuel L Jackson:

“Where’s the MF money?” Those guys at the NRCC are getting a bit witty. :) ~ RD

RumblinDurango on December 16, 2011 at 11:07 AM

(D) Corzine “I had no idea what was going on” (MF Global)…..

…….Geithner ” I had no idea what was going on”(banking crisis)…..

…………Holder “I had no idea what was going on”(Fast/Furious)….

…………………Obama ” I had no idea what was going on”(Fast/Furious,sub-prime crisis,BP oil spill)

………………………Napolatano ” I had no idea what was going on”(Fast/Furious,BP oil spill,terrorist attacks)..

………..Biden “I had no idea what was going on”(or “didn’t know the economy was so bad”)

……………………..This is what passes for intellectualism in the Democratic party.

Baxter Greene on December 16, 2011 at 10:37 AM

“Who had their hand in the cookie jar?”

“Ida Know” and “Not Me”.

Difficultas_Est_Imperium on December 16, 2011 at 11:07 AM

“Honey, have you seen that sack with the $1.2 billion in it? It was here a minute ago.”
Akzed on December 16, 2011 at 11:02 AM

C’mon, people. Give the guy a break. I mean, how many people out there HAVEN’T accidentally embezzled 1.2 billion dollars?

This is the problem with conservatives, it’s so easy for us to lose sight of the plight of the common man.

logis on December 16, 2011 at 11:10 AM

L I A R
L I A R
pants on fire!

KOOLAID2 on December 16, 2011 at 11:10 AM

It’s saying something when the highlight of your last fours years was breaking your leg in a car accident. It’s been all down hill for Jive Talking Jon since then.

DrW on December 16, 2011 at 11:12 AM

You can do whatever you want when you have a Presidential pardon in your back pocket.

JeremiahJohnson on December 16, 2011 at 10:30 AM

Yep, he’ll be on the list, right after Blago, Rezko, Holder, etc.

Ward Cleaver on December 16, 2011 at 11:20 AM

You can do whatever you want when you have a Presidential pardon in your back pocket.

JeremiahJohnson on December 16, 2011 at 10:30 AM

Too true. 0 can keep him out of jail.

But a president can’t pardon a civil suit that takes every penny in his personal bank account. And he has a lot of pennies in that account.

iurockhead on December 16, 2011 at 11:22 AM

Obama should cover him out of his campaign fund – till Corzine finds the $1.2B. Everything will work out – no worries!!

KenInIL on December 16, 2011 at 11:22 AM

Too true. 0 can keep him out of jail.

But a president can’t pardon a civil suit that takes every penny in his personal bank account. And he has a lot of pennies in that account.

iurockhead on December 16, 2011 at 11:22 AM

He can just pull a Marc Rich, and skip the country.

Ward Cleaver on December 16, 2011 at 11:23 AM

Does anyone know where this ad runs?

GaltBlvnAtty on December 16, 2011 at 11:23 AM

This, of course, is Bush’s fault. At the request of my buddies on Wall Street, he loosened the regulations regarding the borrowing of customer funds. That gave me the opportunity to use them in total disregard of the remaining restrictions. I had no idea how bad the world economy really was when I stole borrowed the money. Just remember, Bush did it.

And while I have no idea where the money is, I have hired O.J.’s private dective to look for it as he goes door to door looking for the real murderer.

2ndMAW68 on December 16, 2011 at 11:25 AM

“Where’s the MF Money?”

LMAO!!

Tim_CA on December 16, 2011 at 11:26 AM

C’mon, people. Give the guy a break. I mean, how many people out there HAVEN’T accidentally embezzled 1.2 billion dollars?

This is the problem with conservatives, it’s so easy for us to lose sight of the plight of the common man.

logis on December 16, 2011 at 11:10 AM

True…

Roy Rogers on December 16, 2011 at 11:26 AM

Marc Rich just got elevated to choir boy status. We have a new standard for Presidential pardons.

VietVet_Dave on December 16, 2011 at 11:27 AM

Not sure it really matters what he says or does not say.
S-O violation is pretty much a done deal, isn’t it ?

Jabberwock on December 16, 2011 at 11:35 AM

Man, how quickly the mighty have fallen…and what a contrast.

Christy blasts off into the heavens–sans spacesuit–and Corzine enters the seventh circle of Hell…

litebeam1 on December 16, 2011 at 11:44 AM

The money is in Obama’s campaign fund. You heard it here first!

The Spear on December 16, 2011 at 11:53 AM

Marc Rich just got elevated to choir boy status. We have a new standard for Presidential pardons.

If ‘Bams pulls it out? Possibly an early ’17 release.
Either way a trip to Club Fed may be imminent.

Corzine may soon be sporting a comb-over grab handle…

litebeam1 on December 16, 2011 at 11:58 AM

His problem seems to be the staff based in Chicago.

Kissmygrits on December 16, 2011 at 12:09 PM

Maybe his lawyers thought the “Hummina hummina hummina hummina Swanee River” defense was gonna work?

The thought of seeing this smarmy turd in an orange jumpsuit bunkin’ w/Bernie M. makes me smile.

And now…the drumbeat is getting a bit louder on Fast & Furious. Great article in Wash Times this morning “Obama’s Watergate”. That could even surpass the economy as the #1 issue next year.

One can only hope…and keep the change.

ICanSeeNovFromMyHouse on December 16, 2011 at 12:11 PM

“Where’s the MF Money?”

LMAO!!

Tim_CA on December 16, 2011 at 11:26 AM

Did you notice that the F and Obama are the same light blue color while the resto of the test is the dark blue color? I see 2 messages.

nice!! (ok, not “nice”, but funny!)

Coolidge_Conservative on December 16, 2011 at 12:11 PM

You can do whatever you want when you have a Presidential pardon in your back pocket.

JeremiahJohnson on December 16, 2011 at 10:30 AM

That’s why we way until after January 2013 to prosecute!

(used wrong quote, previously)

HiJack on December 16, 2011 at 12:14 PM

I am one of those MFG customers. First thought? No way we’d see a penny of our money. Jon Corzine? And JP Morgan(who was seeking priority status AHEAD of the customers!), and more than likely a squishy judge? Thank God for James Koutoulas.

Even my jaded cynical self (thanks to the last 3 years) has some renewed hope.

Please see:

http://www.businessinsider.com/james-koutoulas-mf-global-ccc-2011-12

http://www.forbes.com/sites/emilylambert/2011/12/15/mf-global-customers-target-jp-morgan/

ziggyville on December 16, 2011 at 12:15 PM

“Where’s the MF Money?”

LMAO!!

Tim_CA on December 16, 2011 at 11:26 AM

LMMFAO!

HiJack on December 16, 2011 at 12:16 PM

He probably lied to his lawyer because he’s and arrogant SOB.

Style Doggie on December 16, 2011 at 10:43 AM

Nah, like Eric Holder, Corzine simply misunderstood the question. “It depends on what the definition is “is” is.”

katablog.com on December 16, 2011 at 12:22 PM

And he has a lot of pennies in that account.

Better start looking for those off-shore accounts. It won’t remain in the USA.

katablog.com on December 16, 2011 at 12:27 PM

…and one more thing. There have been some priceless moments watching these hearings this week.

1. “Honorable” Jon Corzine and his co-liars Mr. Abelow (COO) and Mr. Steenkamp (CFO), aka The Three Stooges, with all their degrees and “honorableness” and enormous salaries, saying with a straight face they couldn’t recall or had no knowledge of ANYTHING, over and over and over and over.

2. From the plainspoken farmer from Minnesota whose explanation of the need to just follow the regs and rules in place, said something like: “if you build a fence to keep the cows in, you need to patch up the holes where they can get out” and “make the fence stronger or electrify it”. And, “if I leave my pickup at the truck dealer to be repaired, and something happens to the dealership, I don’t want to go there and see my pickup sitting in the “for sale” lot.

3. And a doozy from Congressman Posey (FL): After trying in vain to get some answers for The Three Stooges, in frustration he turns to the committee chair and says “slippery when dry”!

ziggyville on December 16, 2011 at 12:27 PM

Swina@10:48
Ron White: I had the right to remain silent…but I didn’t have the ability.

One of the greatest things ever spoken…

Gremlin Slayer on December 16, 2011 at 12:30 PM

The money is in Obama’s campaign fund. You heard it here first!

The Spear on December 16, 2011 at 11:53 AM

Obama DID say his campaign would cost 1 billion dollars. The balance must be Corzine’s commission.

Roy Rogers on December 16, 2011 at 12:34 PM

I predict a fast-track trial, a conviction, and a pardon all in record time.

Then Corzine will replace Geithner as Treasury Secretary.

CorporatePiggy on December 16, 2011 at 12:43 PM

CorporatePiggy beat me to it.

I would like to know how much of that money ended up in someone’s campaign account.

EdmundBurke247 on December 16, 2011 at 12:52 PM

“Where’s the MF Money?”

LMAO!!

Tim_CA on December 16, 2011 at 11:26 AM

LMMFAO!

HiJack on December 16, 2011 at 12:16 PM

Well played, sir!!

Tim_CA on December 16, 2011 at 12:54 PM

Hey, NRCC Racists! Leave Obama out of this!!!! Remember how the always fair-minded Democrats didn’t try to tie Bush to the Enron scandal?????
/barf

Strike Hornet on December 16, 2011 at 1:27 PM

The caring liberal.

exliberal on December 16, 2011 at 2:00 PM

You know, if I didn’t know better, I would swear that Corzine is blabbering like a fool who has his Presidential Pardon in the bag.

If I didn’t know any better . . .

BigAlSouth on December 16, 2011 at 2:17 PM

How is this guy NOT IN JAIL? People who rip off their customers GO TO JAIL, well that is if they aren’t FOO (friends of oblahblah)

dogsoldier on December 16, 2011 at 2:35 PM

Here’s a question, and I intend this one sincerely: what the hell are Jon Corzine’s lawyers thinking when they allow him to testify to Congress? 

They were being unusually cooperative with future prosecutors??

Sherman1864 on December 16, 2011 at 3:41 PM

Perhaps Corzine is telling the truth about this, although legally it won’t make a lot of difference, since he’s going to be held civilly responsible…

I don’t think Ed gets it. Civilly responsible is not nearly enough. If very rich Corzine does not spend time in the klink for this because he can afford a bunch of lawyers then everyone will know the system is broke and shouldn’t be trusted and bad things will happen. There’s blood lust that needs to be satisfied to make things right again.

Chessplayer on December 16, 2011 at 4:19 PM

I went to a speech from Sue Martin the other day, and someone asked her about the situation. (She is a very respected commodities trader and market analyst)

According to her (and this is from memory, so I welcome some fact checking) her firm moved out of MF Global about a year ago because Corzine took it over. She had heard from someone close to Corzine that he was wanting MF Global to become the new Goldmann Sachs, and that commodities trading was not the last thing on their mind, but not even thought of. Her group left and went to another broker.

She also insinuated that Corzine isn’t smart enough to think of doing things like this himself. He must have learned it somewhere, like Goldmann Sachs, and that other brokerage firms are probably doing the same things. Maybe not right now, but were before he got caught.

She said there was a grain marketing company in Nebraska that had lost $10 million, and there is at least one in Kansas that had lost $6 million. These are just elevators that joined together in co-ops in order to market their grain more effectively, not some fat cats and speculators…unless you call selling your grain in March that you are going to deliver in June to ensure a price you can live with is speculating.

So far, they have recovered 72% of the money. She seemed to think that they will find most of it, or if they don’t, the CME (Chicago Mercantile Exchange) will cover the rest because they fear a backlash. Apparently the CME has had member brokers pay into a kind of insurance fund that it can pay out in an emergency and they are contemplating doing that for this situation.

She believes Corzine should be in jail, and that maybe this will force big brokerage firms and big banks to be audited, and they aren’t now (I’m not sure how she can say this, though she did say it; I can’t believe banks aren’t audited now?) She implied that MF Global must have had 2 sets of books, though, so an audit wouldn’t have helped.

cptacek on December 16, 2011 at 4:26 PM

You know, if I didn’t know better, I would swear that Corzine is blabbering like a fool who has his Presidential Pardon in the bag.

If I didn’t know any better . . .

BigAlSouth on December 16, 2011 at 2:17 PM

FOOs

Roy Rogers on December 16, 2011 at 4:41 PM

Wasn’t his personal net worth $397 million when he left the Senate?

Obviously, he’s not worried about the current recession or housing market.

madmonkphotog on December 16, 2011 at 5:42 PM

NORRISTOWN, Pa. (AP) � The brother of MSNBC commentator Chris Matthews is accused of lying to a grand jury investigating political corruption in a suburban Philadelphia county.

Montgomery County Commissioner Jim Matthews was arraigned Tuesday on perjury and false-swearing charges stemming from an 18-month grand jury investigation. He was released on $50,000 unsecured bail.

Prosecutors say Matthews lied about his relationship with a title company that does county business.

Jpalm on December 16, 2011 at 8:42 PM