What did Corzine do while MF Global was about to tank?

He went chateau shopping!

Yup, the guy who doesn’t know where the $1.2 billion of clients’ money went, went house hunting, big time.

You can’t make it up if you try:
On Eve of $41 Billion MF Global Bankruptcy Filing, Jon Corzine Was Château Shopping in France

In an exclusive report from three of Vanity Fair’s premier business writers—contributing editors Bryan Burrough, William D. Cohan, and Bethany McLean—the February issue delivers a sprawling account of the personal and professional battles of Jon Corzine, the former Goldman Sachs C.E.O. and ex-politician whose helming of MF Global resulted in a notorious $41 billion filing for bankruptcy and a $1 billion loss in firm equity. According to the piece, for the fiscal year that ended in March 2011, MF Global recorded day-one gains of $85 million on the former New Jersey governor’s risky trades on European sovereign debt and other assets, thanks to an accounting ploy. Because there were barely any expenses associated with such trades, the gains were almost pure profit. “Corzine would later tell investors that he made a $6.3 billion bet on sovereign debt, but the company’s filings made it look like he had a much bigger long position at the end of June 2011—$11.4 billion, offset by ‘short’ positions of almost $5 billion,” Vanity Fair reports. One analyst says: “If those trades had not been there, MF Global would have been forced to sell or go out of business.”

Go read the whole article, at Vanity Fair, that arm of the vast right-wing conspiracy. Be advised you may need a barf bag.


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