This is certainly going to make a lot of people angry.MF Global commodity customers hoping to retrieve their funds may actually have to share some of their cash with other clients unless the missing $600 million is found, Bloomberg reported.
After MF Global filed for bankruptcy it was revealed the broker-dealer was missing $600 million.
At first it was reported the missing funds were in an account at JPMorgan. However, JPMorgan denied those claims.
The latest clue to finding the unaccounted funds emerged yesterday when Reuters reported that federal investigators searching for the missing funds are looking at Chicago-based Harris Bank as a starting point.
So unless the missing funds are recovered, the broker-dealer’s customers are probably going to have to take a haircut meaning they will not get 100 cents for every dollar.