Welcome login | signup
Language en es fr
OccupyForum

Forum Post: Theft, RICO Lawsuit targets MF Global, CME Group, MorganChase

Posted 2 years ago on Jan. 12, 2012, 8:06 p.m. EST by MonetizingDiscontent (1257)
This content is user submitted and not an official statement

For more background: Customer Protest of CME Group & JPMorgan Has Begun /// CFTC & CME Regulated Futures System is Defaulting on its Obligations /// CME Did -NOT- Guarantee Oversight in MFGlobal Scandal: http://occupywallst.org/forum/corzine-to-face-questions-about-regulator-contacts/


Theft, RICO lawsuit targets MF Global, CME Group, MorganChase

http://www.gata.org/files/MFGlobalClassAction-01-12-2012.pdf

(((See article here))) http://www.gata.org/node/10875
-January 12, 2012-

Dear Friend of GATA and Gold:

Our friends at the Philadelphia law firm of Berger and Montague this week brought a class-action lawsuit in federal court in New York, charging theft and misappropriation, against people connected with the failed commodity brokerage firm MF Global, including its former CEO, former New Jersey U.S. Sen. and Gov. Jon Corzine; MF Global's enabler and supposed regulator, CME Group; and the investment bank JPMorganChase. The lawsuit is brought under both the Commodity Exchange Act and the Racketeer-Influenced Corrupt Organizations Act -- the famous RICO. (Maybe the lawsuit can determine where MorganChase put Judge Crater.)

MF Global clients interested in participating in the lawsuit should contact Berger and Montague's Merrill Davidoff at mdavidoff@bm.net or 215-875-3084 or Michael DellAngelo at mdellangelo@bm.net or 215-875-3080.

The lawsuit's complaint is posted at GATA's Internet site here:

http://www.gata.org/files/MFGlobalClassAction-01-12-2012.pdf


The Neverending MF Global Story: Regulators Block The Truth

http://www.forbes.com/sites/francinemckenna/2012/01/09/the-neverending-mf-global-story-regulators-block-the-truth-from-coming-out/

-1/09/2012-

Instead of looking out for MF Global investors – and customers who are still waiting for their money – it looks like regulators and the bankruptcy trustees are busy suppressing information. Instead of full transparency, regulators and the trustees are holding onto crucial details that might tell us all who was asleep at the wheel when the broker/dealer and futures commission merchant (FCM) headed over the cliff.

Bob English, an independent trader and contributing editor to the blog, Economic Policy Journal... http://english.economicpolicyjournal.com/2012/01/scrubbed-mf-global-filing-resurfaces-at.html ...published a post this morning that raises serious questions about the Securities and Exchange Commission’s program of regulation for broker/dealers and, in particular, the agency’s role in keeping the truth from the public about what went wrong at MF Global. We’re also being kept from the truth about other broker/dealers who may be putting risky trades on their books or whose controls over segregation of customer assets may be weak or non-existent.

(((Continue Reading this article Here))) http://www.forbes.com/sites/francinemckenna/2012/01/09/the-neverending-mf-global-story-regulators-block-the-truth-from-coming-out/

Scrubbed MF Global Filing Resurfaces at the SEC

But More Questions About Suspicious Filing Practices Surface

http://english.economicpolicyjournal.com/2012/01/scrubbed-mf-global-filing-resurfaces-at.html

-Thursday, January 5, 2012-

38 Comments

38 Comments


Read the Rules
[-] 2 points by FrogWithWings (1367) 2 years ago

Hoss manure. Theft is a criminal action of which a non-corrupt SEC would meet with criminal charges IF they weren't too busy bringing more civil lawsuits against Fannie and Freddie suits which also grab headlines which dupe the shallow American public into thinking somebody is actually being prosecuted.

The DOJ and SEC aren't lame ducks, their hands must be as unclean as those blatantly perpetrating blatant fraud, even if only for failure to do their jobs.

[-] 1 points by brightonsage (4494) 2 years ago

Like the IRS their career path leads to working for the bad guys for big bucks. Learned from Congress.

[-] 1 points by FrogWithWings (1367) 2 years ago

Indeed, un-re-elected congress do it too and there doesn't seem to be any correlation between party affiliation and reluctance to whoring oneself out.

Look at zen carry the torch for all corrupt dems, including Holder and Pelosi, and I bet he's doing it for very little money.

[-] 2 points by brightonsage (4494) 2 years ago

Just read the list of worst congressmen ever. I didn't count but most of them were R's I think hand's in cookie jars, porkbarrels and various scandles were the issues, but clearly both parties were well represented.

[-] 1 points by MonetizingDiscontent (1257) 2 years ago

I'm willing to have a close look at -anybody- corrupt in government. I either give credit where credit is due, or give none where none is due. Regardless of which individual wears my favorite color or not.

Dishonorable Mentions for 2011 include:

[-] 2 points by brightonsage (4494) 2 years ago

That is a good approach, pending further research and the juduicial watch material, I think franks has some positives as well. How did you miss jerry lewis? and more of the armed services committee?

[-] 1 points by MonetizingDiscontent (1257) 2 years ago

The scum-list is always so much more =) Complete (= without One Eye Blind.

Good to meet you brightonsage

[-] 1 points by brightonsage (4494) 2 years ago

Mutual is our profit.

[-] 1 points by FrogWithWings (1367) 2 years ago

The rationalizing here often appears that corruption amongst demothieves is acceptable and even understandable. The republicans made them do it.

[-] 2 points by brightonsage (4494) 2 years ago

I think corruption is corruption and the money and power made them do it. I don't expect that to go away. When are we all going to learn that? The idea is we have to work every day to frustrate people who act for us to respect their fiduciary duty to us but do not do so, whether they are politicians, investment advisers, doctors, lawyers or mortgage brokers etc.We have been lazy and defaulted to humans who are weak. And being weak, that surprises us? Why?

[-] 1 points by MonetizingDiscontent (1257) 2 years ago

People need to start contacting Attorney Generals telling them to go ahead, and that they have the peoples support to indictment them criminally, as soon as possible.

[-] 2 points by brightonsage (4494) 2 years ago

The agreement with the state attorney's general to let the banks off for a fine of $20billion (way to low) should be stopped until after the prosecutions end in trials.

[-] 1 points by FrogWithWings (1367) 2 years ago

It won't bring justice. Nice thought though.

[-] 1 points by TrevorMnemonic (5827) 1 year ago

It's been a year, any progress? I'm looking into it now

[-] 1 points by aahpat (1407) 2 years ago

OWS people looking to do flash actions directed at members of Congress who are running for reelection should consider this compilation of 184 current members of Congress who, in 1999, voted to repeal Glass-Steagall and set the stage for the 2008 economic collapse of America.

The Congress That Crashed America http://home.ptd.net/~aahpat/aandc/congcrash.html

[Removed]

[-] 1 points by ineptcongress (648) 2 years ago

lawyers to the rescue!!! they won't win the RICO claim--those claims are very hard to win, but the regulatory claim is pretty sound... i love the fact corzine's an individual defendant, however, his tab is paid for by the company and therefore this further deprives the investors of money in bankruptcy as defending it will sap the banktruptcy estate from which they're paid.

[-] 1 points by whatajoke1 (4) 2 years ago

Like they're worried

[-] 1 points by MichaelBlack17 (40) 2 years ago

http://finance.yahoo.com/news/ge-ordered-defend-lawsuit-tied-001357896.html

GE ordered to defend lawsuit tied to 2008 crisis

This Jeffrey Immelt has been the long-time head of the business advisory board to the current President of the United States -- recently, back from China, in that capacity, landing contracts for his company. I owned the company's stock, figuring it was a safe haven from the effects of 2008. Even one of my sons had this in his sights as an investment, before I did. This is SO disheartening.

The Securities and Exchange Commission has 280, or more, Chinese companies under investigation for fabricating numbers on their financial statements for their stocks traded in New York. Likewise, we are trying to find a U.S. bank or related corporation (and, GE has its own finance arm) that tells the truth, about anything.

Take Jamie Dimon, for example, another legend: He had the nerve (and the straight face) to, actually, say (recently) that his company didn't need bail-out money, but only took bail-out money to encourage other, rival banks to do so. The only problem is that the other banks took out their money, in late 2008 to early 2009, while JP Morgan took out its "encouragement to others" money, a full year later (when the others were paying back).

[-] 3 points by MonetizingDiscontent (1257) 2 years ago

Aye, its all off balance-sheet accounting tricks with these big investment banks... http://www.youtube.com/watch?v=T8yVkPBGVNY ...they never disclose the full debt. They always Hide it. Or just change the rules.. extend and pretend.. Its never mark to market.. The Obscure investment 'vehicles'... All just paper notes. IOU's essentially... & Risky LasVegas Bets on which way the wind blows next... Hardly Investment Quality. People have been lied to.

The whole economic system seem to be an illusion, an -appearance- of wealth. Gold on the outside, and filled with crap on the inside. Like a Twinky. http://www.chicagotribune.com/business/breaking/chi-twinkie-wonder-bread-maker-hostess-nearing-ch-11-bankruptcy-20120110,0,1349465.story

:::::Fraud and folly: The Untold Story of General Electric’s Subprime Debacle:::::

http://www.iwatchnews.org/2012/01/06/7802/fraud-and-folly-untold-story-general-electric-s-subprime-debacle

-January 6, 2012-


[-] 1 points by MichaelBlack17 (40) 2 years ago

Thank you, very kindly, for having enough interest in my posting to have responded. I live for these exchanges (and, associated learning experiences).

[-] 2 points by brightonsage (4494) 2 years ago

My friend, never put the phrase "the only problem" and one of the big five banks in the same sentence. It make you look stupid and I can see that you aren't. Try this, "One of the myriad problems ..."

[-] 1 points by MichaelBlack17 (40) 2 years ago

Yes, I see what you are getting at. My intention was to say "The only problem with that statement is ... ." And, your correction seems very appropriate. Thanks, for pointing this out; I won't even correct it -- but, instead, will leave the technical error for the world to learn from. :-)

[-] 1 points by ineptcongress (648) 2 years ago

Dimon's an idiot. He crashed an entire company that was previously doing well. Then the company was forced to acquire Bear Sterns, and Dimon didn't know the depth of their problems (which explains their delayed draw down), yet he says "we don't need money"--his judgment and acumen are truly to be doubted. Yet he gets paid for incompetence.

[+] -4 points by ZenDogTroll (13032) from South Burlington, VT 2 years ago

I'm still looking for criminal charges.

Failing that - do you suppose that as just average citizens, we might join together in a class action based on a loss of nothing more than confidence in the economy as a whole, and the stock market in particular, due to the actions of individuals and corporations as listed above?

We could then sue them all, and crush them

[-] 1 points by FrogWithWings (1367) 2 years ago

Hold Your Breath until it happens and don't cheat.

You're compliance will make the world a much better place in less than 24 hours.

We both know, according to you, the republicans will never allow the democrats to prosecute anyone, which is why none of the filthy handed bastards, on either side of the aisle, have been put on trial, nor will they be.

[-] 1 points by MonetizingDiscontent (1257) 2 years ago

""I'm still looking for criminal charges. ""

Im with you there! Still... once they start pulling on this string & even more things start coming out, it might be surprising what we find on the other end of it. Maybe they will if enough layers get peeled away

One thing is for certain though, whatever additional information Does come out of this, it will be used against them. I'd pay more for a ticket to see this in person than a superbowl seat on the 50 yard line.

""Failing that - do you suppose...""

lol you think big.. that'd be something to see wouldn't it. What a grande procession that would be.

[+] -4 points by ZenDogTroll (13032) from South Burlington, VT 2 years ago

I stumbled across this last night:

Any merit to it?

[-] 0 points by MonetizingDiscontent (1257) 2 years ago

yep, this one can be a tricky read, I had to read over a couple times.

:::::::::::::::::$707,568,901,000,000: How (And Why) Banks Increased Total Of::::::::::::::::::

::::::::::::::::::-Outstanding- Derivatives By A Record $107 Trillion In 6 Months:::::::::::::::::::

http://www.zerohedge.com/news/707568901000000-how-and-why-banks-increased-total-outstanding-derivatives-record-107-trillion-6

-11/26/2011-


(((Periodically I wanna include a few additional articles here, the world's environment is worth considering)))

:::::::::::::::The Real Dark Horse - S&P's Mass Downgrade FAQ May Have:::::::::::::::

::::::::::::::::::::::::Just Hobbled The European Sovereign Debt Market::::::::::::::::::::::::

http://www.zerohedge.com/news/real-dark-horse-sps-mass-downgrade-faq-may-have-just-hobbled-european-sovereign-debt-market

-01/13/2012-


JPMorgan Chase & Co (JPM.N) could lose up to $5 billion from its exposure to Portugal, Ireland, Italy, Greece and Spain, Chief Executive Jamie Dimon said

::::::::::::JPMorgan could lose $5 billion from PIIGS exposure: report::::::::::::

http://www.reuters.com/article/2012/01/14/us-jpmorgan-piigs-idUSTRE80D0HF20120114

-Jan 14, 2012-

(((in a world in which daisy-chained liabilities are rehypothecated via the shadow banking system into virtual infinity, the failure of one bank would lead to the failure of hundreds, and explains why no bank has been allowed to fail.))) http://www.zerohedge.com/news/jamie-dimon-says-jpm-could-lose-5-billion-piigs-exposure


[-] 1 points by ineptcongress (648) 2 years ago

i like those zerohedge guys. he provides absolutely no support for the essence of his claim: that the notional values have declined relative to increasing leverage. that would be a cause for concern if one of the counterparties goes belly up... but that is not certain to happen. in fact, i fail to see the catalyst, perhaps one could be found in EU debt defaults, but i am betting (with our money) that there's merely a haircut to the bondholders, but not one so drastic as to collapse a big counterparty--they're getting ready for this as we speak, they've been selling gold (hence downward price movement), reducing spending and risk--that's why the debt issue has not yet been resolved--they need time to brace for the haircut.

[-] 1 points by MonetizingDiscontent (1257) 2 years ago

(1) """but i am betting (with our money) that there's merely a haircut to the bondholders"""

(2) """they've been selling gold (hence downward price movement)"""

  • (1)..and you will take that straight to a casino.

  • (2) Gold has a -long way to go- before anyone can responsibly say that gold is trending, moving "down" http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx Keep your focus on quarterly charts , 6 month charts and 1year end charts. They are more revealing. People get tricked, shaken out of their positions in all this volatility, which will only increase more by the way. Only people with the conviction of their math stick through the violent downsides.

  • Gold was -UP- $200 for the year in 2011! http://www.kitco.com/scripts/hist_charts/yearly_graphs.plx

So, Who saying gold is down, again? (the media? lol) ...And moreover, who's selling gold, again?


China's central bank, the People's Bank of China is likely to continue to add to its physical gold holdings despite the first quarterly drop since 1998 in the value of its foreign reserves.

http://www.businesslive.co.za/southafrica/sa_markets/2012/01/13/china-may-buy-gold-despite-reserve-drop

China’s Gold Imports From Hong Kong Climb to Record on Investment Demand http://www.bloomberg.com/news/2012-01-11/china-s-gold-imports-from-hong-kong-climb-to-record-on-investment-demand.html


:::::Imports of Gold Surge as Buyers Seek Hedge:::::

http://www.chinadaily.com.cn/cndy/2012-01/12/content_14426072.htm

-2012-01-12-


::::::::::::Russian International Reserves Rise to $498 Billion::::::::::::

http://www.bloomberg.com/news/2012-01-12/russian-international-reserves-rise-to-498-billion-correct-.html

-Jan 12, 2012-


::::::::::::India Allows More Banks to Import Gold, Silver:::::::::::

http://www.reuters.com/article/2012/01/10/india-gold-imports-idUSL3E8CA34O20120110

-Jan 10, 2012-


::::::::::::ECB: European Central Bank Balance Sheet Grows, Gold Reserves Increase::::::::::::

http://www.marketwatch.com/story/ecb-balance-sheet-grows-gold-reserves-increase-2012-01-04

-Jan. 4, 2012-


(((Central Banks all over the world are buying gold. What do they know, that the Media here does not?)))

[-] 1 points by ineptcongress (648) 2 years ago

central banks are idiots... they're definitely not the smartest guys in the room--look at greenspan--he expanded credit when he should have been contracting it to avert the disaster that has arrived... same is true with central's all around the world. that said, gold is in a secular trend, and the impending euro collapse could really give it a boost, but then it tops out. what i am talking about is the significant selling of gold by EU banks and central banks to raise liquidity which caused gold to move from 1,900/troy to 1,500.

[+] -5 points by ZenDogTroll (13032) from South Burlington, VT 2 years ago

The whole economics thing isn't something I readily grasp - I took an economics class once - it was just clear to me that some of the underlying theory looks good but it's wrong -

I was just at zerohedge, reading an article by one tyler durden - can't say I find an article by someone using a name from a popular movie very credible.

Both Jones and Beck show up in a google search on the topic:

So I just don't know what to think of all of this. But it may explain why there are so many wall street insiders in the current admin.

I assume at least a portion of the risk as stated is real?

Even if it isn't, yet the perception exists that it is, and somehow that perception is turns pessimistic, it may produce a run on banks with predictable consequences and concrete, adverse affects.

Beyond that - I don't know to make of all of this.

[-] 0 points by MonetizingDiscontent (1257) 2 years ago

According to the Bank Of International Settlements, yep, its true. 708 Trillion. (((Page 5))) http://www.bis.org/publ/otc_hy1111.pdf

Compare the risk/exposure to the value... Its the Value of the OTC paper/certificates that is irrelevant, when considering so much risk. MFGlobal Customers learned this lesson well.

:::::Total Over The Counter Outstanding Derivatives in Trillions (708T):::::

http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2011/10/BIS%20OTC%20Gross%20Notional_0.jpg (Bar on far right, shaded area)

Gross Market VALUE of Total Outstanding Over The Counter Derivatives in Trillions: (about 18Trillion) http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2011/10/BIS%20OTC%20Gross%20Market.jpg (Bar on the far right)

CounterPartyRisk will be the word of the year, I predict.

[+] -4 points by ZenDogTroll (13032) from South Burlington, VT 2 years ago

wait - notional value - is that the value that something is traded at? It's perceived worth? where the actual worth is somewhere around 40 times less?

Or is this what remains outstanding on the margin? Debt as it were . . . .

[-] -1 points by MonetizingDiscontent (1257) 2 years ago

"""wait - notional value - is that the value that something is traded at? It's perceived worth? where the actual worth is somewhere around 40 times less?"""

The notional/nominal amount (or notional principal amount or notional value) on a financial instrument is the nominal or face amount that is used to calculate payments made on that instrument. This amount generally does not change hands and is thus referred to as notional.

-Notional/Nominal Value- is the total value of a leveraged position's assets. This term is commonly used in the options, futures and currency markets because a very small amount of invested money can control a large position (((and have a large consequence for the -Trader- ...most derivatives are characterized by high leverage.)))

For example, one S&P 500 Index futures contract obligates the buyer to 250 units of the S&P 500 Index. If the index is trading at $1,000, then the single futures contract is similar to investing $250,000 (250 x $1,000). Therefore, $250,000 is the notional value underlying the futures contract.

-Nominal/Notional Value- is the stated value of an issued security that remains fixed, as opposed to its market value, which - f l u c t u a t e s - heehee

Counterpartyrisk + Increasingly High Volatility triggering Chain Reaction Margin Calls = MF Global(ly)

"...with banks suffering massive losses, and rumors of bank runs and collateral calls, not to mention the aftermath of the MF Global insolvency, the world financial syndicate will have no choice but to increase gross notional even more, even as the market value continues to get ever lower, thus sparking the risk of the mother of all margin calls: a veritable credit fission reaction..."

Total Over The Counter Outstanding Derivatives: 7 0 8 T r i l l i o n

Gross Market VALUE of Total Outstanding Over The Counter Derivatives: Only About 18 Trillion

"...the now parabolic increase in derivatives means that when the bilateral netting chain is once again broken, and it will be (because AIG was not a one off event), there will simply be trillions more in derivatives that no longer generate a booked cash flow stream for the remaining counterparty, until at the very end, the whole inverted credit0money pyramid collapses in on itself."

(((For those wondering what the hell we're talking about))) http://www.zerohedge.com/news/707568901000000-how-and-why-banks-increased-total-outstanding-derivatives-record-107-trillion-6

[+] -6 points by ZenDogTroll (13032) from South Burlington, VT 2 years ago

haha!

yes indeed. I'm sure once the strings get tugged it will get interesting. I predict a statistical increase in a wide variety of mayhem . . . car accidents, suicides you name it.

And I'm just sick and twisted enough to smile at the thought . . .

So what do you think? The class action have any merit? Can we get a legal opinion on that?

It could turn into a perfect storm of chaos . . .

hahaha

[+] -6 points by DKAtoday (27542) from Coon Rapids, MN 2 years ago

We are the 99%.

Take action. See samples of how below.

184,401 signatures so far for Bernie Sanders petition as of 11:07am central time 01/16/2012

http://sanders.enews.senate.gov/mail/util.cfm?mailaction=clickthru&gpiv=2100081904.557411.411&gen=1&mailing_linkid=34578

The petition to save abandoned houses has 16 signatures. We picked one up at around 11:07am 01/16/2012. Were just rolling right along.

http://www.thepetitionsite.com/1/Savingpeople-savinghomes-payingdowntheNationaldeficit/

Here is a place where you can directly address change. Take part, it does not hurt and may very well heal/help. Forward the cause of reform and rebirth.

http://www.care2.com/go/z/e/Ag8nw/zL2Q/B18Bb

Sierra Club has some good things to take part in as well. Set-up and ready for you to take part in. http://sierraclub.org/

[+] -6 points by DKAtoday (27542) from Coon Rapids, MN 2 years ago

Take action. See samples of how below.

183,361 signatures so far for Bernie Sanders petition as of 10:15am central time 01/15/2012

http://sanders.enews.senate.gov/mail/util.cfm?mailaction=clickthru&gpiv=2100081904.557411.411&gen=1&mailing_linkid=34578

The petition to save abandoned houses has 15 signatures. We picked one up at around 9:50pm 01/13/2012. Were just rolling right along.

http://www.thepetitionsite.com/1/Savingpeople-savinghomes-payingdowntheNationaldeficit/

Here is a place where you can directly address change. Take part, it does not hurt and may very well heal/help. Forward the cause of reform and rebirth.

http://www.care2.com/go/z/e/Ag8nw/zL2Q/B18Bb

Sierra Club has some good things to take part in as well. Set-up and ready for you to take part in. http://sierraclub.org/

[+] -6 points by DKAtoday (27542) from Coon Rapids, MN 2 years ago

Here is a place where you can directly address change. Take part, it does not hurt and may very well heal/help. Forward the cause of reform and rebirth.

http://www.care2.com/go/z/e/Ag8nw/zL2Q/B18Bb