The bankrupt parent company of failed brokerage MF Global Inc. had $21 million in cash collateral available from its largest lender, JPMorgan Chase & Co. (JPM), as of Feb. 29, MF Global Holdings said in the report filed today. It took in $3 million in cash from completing the sale of positions and lost $1 million through a transfer to its MF Global Finance USA Inc. unit, according to the report.
MF Global Holdings, once run by former Goldman Sachs Group Inc. (GS) co-chairman Jon Corzine, filed the eighth-largest U.S. bankruptcy after a $6.3 billion trade on its own behalf on bonds of some of Europe’s most indebted nations. Its bankruptcy filing listed assets of $41 billion and debt of $39.7 billion. Corzine, also a former U.S. senator and New Jersey governor, quit as chief executive officer on Nov. 4.
The report listed $635,907 paid for payroll and employee benefits and said the New York-based company has repaid $7,810 under its cash-collateral agreement.
The brokerage case is Securities Investor Protection Corp. v. MF Global Inc., 11-02790, U.S. District Court, Southern District of New York (Manhattan). The parent’s bankruptcy case is MF Global Holdings Ltd., 11-bk-15059, U.S. Bankruptcy Court, Southern District of New York (Manhattan).
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