It’s been two years since 1.6-billion dollars vanished from the accounts of MF Global customers – but now it appears those customers will recover what they lost. A federal bankruptcy court judge has approved a plan that would close the remaining shortfall for some 20-thousand customers. The trustee overseeing the return of customer money – James Giddens – had recovered money and gradually disbursed it to clients. But in the face of a roughly 230-million dollar gap – Giddens recently petitioned Judge Martin Glenn to free up remaining funds from MF Global Incorporated’s general estate.
In agreeing – the judge has cleared the way for Giddens to make customers whole – possibly by the end of the year. Ahead of the judge’s ruling – Giddens said it seemed inconceivable in the opening moments of the liquidation proceeding that the possibility of 100-percent return of property owed to former MF Global customers would even be considered. The judge agreed – stating that nobody thought the customers would recover everything they lost.
Source: NAFB News Service