MF Global Holdings Ltd.’s hiring of consultant Freeh Group International Solutions LLC doesn’t comply with the bankruptcy code, said the U.S. Trustee, a Justice Department arm that oversees bankruptcies.
Directors of MF Global Holding Ltd.’s U.K. unit said they don’t know whether the brokerage is in the red or the black, leaving creditors such as JPMorgan Chase & Co. and Unipec Singapore Pte. uncertain how much they will recover.
MF Global Inc.’s trustee asked futures customers to release claims on the defunct brokerage in return for money they are owed, demanding an “unwarranted” transfer of legal rights, a group of customers said.