MFGI trustee moves to transfer all securities accounts

November 30, 2011 – New York, New York – James W. Giddens, the Trustee for the liquidation of MF Global Inc., today filed an expedited motion with the United States Bankruptcy Court for the Southern District of New York seeking authorization to sell and transfer substantially all retail securities accounts to Perrin, Holden & Davenport Capital Corp.

Approximately 330 retail securities accounts were active at MF Global Inc. as of October 31, 2011. By law, only a bulk transfer of the retail securities accounts is permitted.

This transfer will allow former MF Global Inc. retail securities customers to receive all or a majority of the net equity in their accounts. Retail securities customers whose accounts are sold will be free to keep their accounts with Perrin, Holden & Davenport Capital Corp. or transfer them to another firm at no cost within three months of the transfer.

The Trustee is pleased to have the opportunity to sell the retail securities accounts to Perrin, Holden & Davenport Capital Corp., which would allow former MF Global Inc. retail securities customers to once again have access to their assets. The Trustee is optimistic that the deal will receive the requisite approval from the Bankruptcy Court and will subsequently be finalized with Perrin, Holden & Davenport Capital Corp. Since day one, the Trustee’s priority has been to make as full and as prompt a distribution of customer property as the law will allow.

Significant progress continues to be made on behalf of the customers of the failed broker-dealer. On Tuesday, the Trustee filed an expedited motion with the Bankruptcy Court seeking approval of a bulk transfer and distribution of up to $2.1 billion to former MF Global Inc. retail commodities customers, which should restore two-thirds or more of US segregated customer property to all US retail commodities customers on a pro rata basis.

With the sale of retail securities accounts, nearly all former MF Global Inc. retail securities and commodities account holders will receive access to a substantial portion of their funds within weeks of the bankruptcy filing.

Expedited motion filed on 11-30-2011

Comments
comments powered by Disqus
Check out Futures Magazine - Polls on LockerDome on LockerDome