“VAPORIZING” OVER A BILLION DOLLARS. It’s now three months since the MF Global bankruptcy. I posted earlier that, as with the Lehman bankruptcy, it seemed to be amazingly hard to locate the assets. It seems that most Lehman assets were eventually found after a long delay. As for MF Global, this post on Zero Hedge quotes a January 30 Wall Street Journal article by Scott Paterson and Aaron Luchetti. Instead of finding the assets (including customer accounts which were required to be segregated), after three months, the preliminary investigation seems to have determined that about $1.2 billion of assets could have “vaporized” during the week before the bankruptcy filing. The source for the quote is “a person close to the investigation.”

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