By the reckoning of the peanut gallery in his own party, Corzine was a colorless baby boomer from Wall Street who found himself without any real deep alliances in a state where party affiliation has no function other than to pacify a security blanket-seeking ill-informed person who needs the comfort zone proximity of a national brand while he forks another round of hard-earned cash. At that time — this was — there was really only one red snapper lieutenant governor option for Corzine, whose own floundering political fortunes appeared to be compounded by his affiliation with the losing presidential team captained by Hillary Rodham Clinton. Facing his own reelection amid whispers of doom, no cabinet position in the offing to spare him the gauntlet and turf-pawing U. Attorney Chris Christie raring to go for the GOP, the running mate-seeking Corzine needed perpetually namaste-bowing Newark Mayor Cory Booker, who made Corzine melt into the background at every joint press conference. It was a difficult admission for Corzine and his allies.
Jon Corzine Said To Have Known About Misuse Of MF Global Customer Funds
Jon Corzine Called to Explain MF Global’s Failure to Congress
The information is fourth-hand but is the strongest statement yet from a regulator that Corzine may have personally known customer funds were diverted for firm use. Federal investigators are probing why hundreds of millions of dollars in customer funds are missing, and whether the futures brokerage raided customer money to try to counter a liquidity crisis, a major violation of industry rules. Corzine, who resigned as chief executive of MF Global early last month, has given sworn testimony that he does not know where the money is, but it is unclear if this latest revelation will legally harm him. Corzine knew about the loans that had been made from the customer segregated accounts," Duffy said. A spokesman for Corzine and his lawyer, Andrew Levander, declined comment.
Cory Booker, Hillary Clinton, and the Ghost of Jon Corzine
From the MF Global, Inc. Steenkamp walked Corzine through the risks of the plan, but Corzine knowingly ignored that risk and willfully put customer money at risk. Corzine knew about the liquidity stress, and that customer cash was being tapped routinely. See MF Global, Inc. At this point, Corzine had the choice between admitting failure at his fourth consecutive job, or stealing customer money to try to keep his beloved sovereign debt trades on.