(Originally posted at https://www.facebook.com/OccupyExposesThe1percent , where I help admin.)
Was CEO of Goldman Sachs from 1994 to 1999, and was given $400 million when the firm went public.
While at Goldman, was involved in the Long-Term Capital Management fiasco, where LTCM was ‘bailed out’ as orchestrated by the NY Federal Reserve. A precursor of future events?
Participated in meetings of the Bilderberg Group for several years.
Spent $62 million of his own money to buy a U.S. Senate seat in 2000, a record amount at the time, more than doubling the previous record, held by Michael Huffington.
Bought the Governorship of New Jersey in 2005, spending $38 million, or around $31 per vote.
Was a major ‘bundler’, fundraiser, and contributor to Hillary Clinton and Barack Obama Presidential bids.
Joined Marine Corps reserve while in college in 1969, presumably to avoid Vietnam.
All of this puts Corzine firmly in the political and financial elite, but he may be most notorious for the actions he took starting in early 2011, when he was personally responsible for the theft of up to $1.6 billion of customer funds and the collapse of MF Global.
In the 18 months since MF Global exploded, Corzine has been found guilty of felony embezzlement and other crimes by a Congressional panel. MF Global has been sued by many customers whose funds were stolen. In May, Corzine and other MFG executives were personally sued for breach of fiduciary duty by the trustee of MF Global’s bankruptcy. This trustee just happens to be Louis Freeh, a former U.S. District court judge, and former Director of the FBI. With all of this, not a single MF Global employee has been charged with any crimes.
Corzine’s dastardly deeds and notoriety are so great, his name has actually become a verb in urban slang: (per Urban Dictionary: verb. to trust your money to a prominent individual and to find it has mysteriously disappeared “Oh no! Look at the financial statement. We have been corzined!”)
Source? Glad you asked, boy do we have sources:
>>>> AND THIS!!!! *************************$$$$$$$$$$$$
That MF Global engaged in fraud and stole clients’ money is noteworthy. However, the far more important issue is: HOW did this company receive primary dealer status from the NY Fed nine months before imploding?
The Primary Dealers are the banks that actively engage in day to day activities with the New York Fed regarding the Fed’s monetary policies. Primary Dealers also participate in US Treasury auctions.
Put another way, Primary Dealers are the most elite, well-connected financial firms in the world. They have unequal access to both the Fed and the US Treasury Dept. In order for MF Global to have attained this status it must have passed through a review by:
The New York Fed
This is not a quick nor superficial process.
According to the NY Fed’s own site:
Upon submission of a formal application, a prospective primary dealer can expect at least six months of formal consideration by the New York Fed. That consideration may include, among other things, on-site reviews of front, middle, and back office operations, review of compliance programs and discussions with compliance and credit risk management staff, discussions with senior management about business plans, financial condition, and the ability to meet FRBNY’s business needs, review of financial information, and consultation with primary supervisors and regulators.
MF Global passed through all of these reviews to became a primary dealer in February 2011. A mere nine months later, the firm is in Chapter 11 and has admitted to stealing clients’ funds to maintain liquidity.
These developments reveal, beyond any doubt, that financial oversight in the US is virtually non-existent. This returns to my primary point: that trust has been lost in the system. And until it is restored, the system will remain broken.
A final note on this: the NY Fed is the single most powerful entity in charge of the Fed’s daily operations. How can any investor believe that the Fed can manage the system and restore trust when the NY Fed granted MF Global primary dealer status a mere nine months before the latter went bankrupt?
If the NY Fed cannot accurately audit a financial firm’s risks during a six month review, then there is NO WAY an ordinary investor can do so.