MF Global trustee says clients may be made wholeFebruary 3, 2013 @ 2:19 pm
NEW YORK (AP) - Former brokerage customers of MF Global could fully recover cash that was frozen when the trading firm collapsed.
That's according to the bankruptcy trustee in the Chapter 11 case. A court filing on Saturday by the trustee, former FBI Director Louis Freeh, outlines a potential range of recovery based on the latest projections of assets versus claims.
That range is from a potential shortfall of $6 million to a surplus of $120 million. If there's a surplus, customers whose money was frozen when MF Global collapsed could get a full recovery.
The case is pending before a bankruptcy judge in New York.
MF Global was headed by former New Jersey Governor and U.S. Senator Jon Corzine. It collapsed in Oct. 2011 after making a disastrous bet on European debt.
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