The trustee liquidating broker-dealer MF Global Inc. is in talks with brokerages that may take over customer accounts or buy “pieces of the business,” said Stephen Harbeck, president of the Securities Investor Protection Corp., which is overseeing the liquidation.
For 40 years, the U.S. Securities and Exchange Commission and the congressionally chartered group that protects against broker theft have worked in tandem to reimburse people whose accounts are pilfered.
The U.S. Senate plans confirmation votes early next month for three commissioners to serve on the main derivatives-regulator, a panel that has been slowed this year without a permanent chairman or full roster of members.
The Securities Investor Protection Corp., an industry fund that covers losses from brokerage firm failures, bears no responsibility to compensate victims of R. Allen Stanford’s $7 billion fraud, a federal judge ruled.
Bernard Madoff’s victims are set to get $349 million in a fresh round of payments by the trustee unwinding his firm, a day after five of its ex-employees were convicted of aiding the con man’s $17.5 billion Ponzi scheme.