CFTC Fines MF Global For “Unlawful” Activity, One Target Remains

A federal court in New York ordered MF Global Holdings to-pay $100 million fine and ensured that the $1.2 billion of customer funds that were “unlawfully” used by the brokerage would be returned in full, a Commodity Futures Trading Commission statement said.

Details of MF Global’s settlement

Details of the settlement, released on Christmas Eve, were agreed upon earlier in the month, a Reuters report notes. The $1.2 billion in customer restitution solidifies previous legal rulings that ultimately ordered both customer money and debts to creditors to be paid in full. MF Global had excess cash when a decision to declare bankruptcy was made in a 2 AM meeting Monday, October 31, 2011. After the...