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Chris Wysocki
Caldwell, NJ
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Earlier this month a judge ordered Jon Corzine to make 100% restitution to MF Global's clients. But Corzine has other ideas, and he's appealing the ruling.
Jon Corzine and other ex-managers of bankrupt MF Global Inc. are appealing a court ruling calling for 100 percent repayment of customers of the failed brokerage, they said in court papers.
A notice of appeal was filed yesterday in U.S. Bankruptcy Court in Manhattan by Corzine, the ex-New Jersey governor and onetime Goldman Sachs Group co-chairman, and by managers targeted in a lawsuit including senior executives Bradley Abelow and Henri Steenkamp. They are challenging a Nov. 5 ruling by U.S. Bankruptcy Judge Martin Glenn that would allow all missing customer funds to be returned by the end of the year.
Corzine and other parties previously objected to the distributions, saying in past court papers that they would allow the trustee for customers, James Giddens, to improperly assign funds that could be part of the general creditors' estate.
The distributions require the court to find that there is a shortfall in the customers' estate of at least $632 million, and advance funds from the general estate of $233 million, according to court papers.
James Kobak, a lawyer for Giddens, said in the Nov. 5 hearing that there is only $837 million in the general estate, and he hopes the amount will be "fortified" by further recoveries. The only potential source of more recoveries is a lawsuit against Corzine and the other managers brought by customers who claim mismanagement led to the company's downfall.
Translation: Jon Corzine doesn't want to repay the folks his firm ripped off.
He still refuses to accept responsibility.
Which, of course, makes him Just Another Typical Democrat.
Posted at 16:10 by Chris Wysocki
[/democrats]
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