PFG Is Now MFG(lobal) Part 2 As $220 Million In Segregated Client Money Has Just Vapo

[REO 54]

PFG Is Now MFG(lobal) Part 2 As $220 Million In Segregated Client Money Has Just Vaporized........

Submitted by Tyler Durden on 07/09/2012 19:17 -0400



UPDATE 2: Have no fear though since as recently as January 2012, the CFTC did not find any "material breaches of customer funds protection requirements" at FCMs (firms like PFGBest)

UPDATE 1: Account-holders may not be so surprised to find who is the custodian for the PFGBest FX accounts: none other than huge MFGlobal fans, JPMorgan!

Remember when the entire segregated account fiasco was supposedly fixed in the aftermath of the November 2011 MF Global bankruptcy, and where regulators: the CFTC, the SEC, the CME, and anyone you asked, swore up and down this would never happen again? Turns out that 7 months later, the spirit of MFG has struck again, only this time with one letter switched: it is now known as PFG, as we suggested first 3 hours ago when we broke the story. From the just filed affidavit by Lauren Brinati who is working with the National Futures Association, which in turn has just filed notice prohibiting PFGBest from operating further, and freezing all of its accounts:

On or about June 29, 2012 PFG reported to NFA that it had approximately $400 million in segregated funds, of which more than $225 million were purportedly on deposit at U.S. Bank
On or about July 9, 2012, NFA received information indicating that PFG's Chairman may have falsified bank records
On July 9, 2012, NFA made inquiry with US Bank and learned that rather than the $225 million that PFG had reported as being on deposit at US Bank just days earlier, PFG had only approximately $5 million on deposit at U.S. Bank.
Translation: another $220 million segregated account pillage has just taken place, in the vein of none other than Jon Corzine and MF Global.

The money has now officially vaporized.

It is truly wonderful of the NFA to finally get involved, after PFG's clients have lost about 98% of their cash held with the firm.

In other potential news, a rather prominent New York bank, recently closely associated with marine wildlife, may have just cut its Q2 losses by up to $220 million.

And now for a moment of sarcasm, courtesy of Jack Pearson.

....full NFA filing at link...http://www.zerohedge.com/news/pfgbes...just-vaporized

[Meetzos]

As $220 Million In Segregated Client Money Has Just Vaporized

It's easy when everything is digitized numbers. Not like you have to carry off bags of cash.

[RUSH2112]

Most people wouldn't give their money to a thief on the street in ragged clothes so I have to ask why people still give their money thieves in business suits. It's clear white collar crime goes unpunished so if you give your money to one of these people then you should expect this type of outcome. Perhaps the police could issue fraud alerts on the local news and in newspapers on a daily basis for a month or more until everyone is fully informed. They do it with bad roofing companies and other scammers so why not do it to the guys in business suits? Of course, public execution would be a better alternative but that is not going to happen anytime soon.

I don't have sympathy for someone walking into a casino and losing everything so why should I feel bad for someone who is ripped off because they thought they could get a few extra dollars from the guy in the business suit rather than keeping your money in a bank or credit union.

We have known since the Madoff scandel in about 2008, that these people are sharks in waiting.
If you, as an investor, still want to put your money with these businessmen and lose you money then, I suppose, you had it coming.

[GOLD DUCK]

QWAK,Also in the news --- be on the look out for a MISSING Georga BANKER!

http://global.christianpost.com/news...eds-say-77956/

I expect to hear many similar stories real soon!

the DUCK