Did MF Global Sell Customers Gold & Silver?
MF Global, which recently filed bankruptcy and is one of the ten largest ever, appears to have used customer assets to backstop a loan to stay in business. It also appears that they did not use customer cash, for that would have immediately been missed. According to Forbes “…securities such as U.S. Treasury Bills, blue-chip equities such as CME Group stock held by many exchange members, and physical assets such as gold, warehouse receipts, and other certificates of title…” are less active and would not have been missed Thursday through Monday.
Ogre at Realist News asks:
Did MF Global Use $80 Million in Customers’ Gold & Silver COMEX Warehouse Receipts as Collateral for a $300 M Short Term Loan?
Yesterday we advised readers that 1.42 million ounces of registered silver, and 16,645 ounces of registered gold are not currently available for delivery per the CME, due to the MF Global bankruptcy.
This is roughly $50 million worth of silver, and $30 million worth of gold- or $80 million total.
So the question needs to be asked- why are $80 million in gold and silver unavailable for delivery? Did it vaporize overnight?
Again is Forbes right?
And then, Blammo!
http://tenmileisland.blogspot.com/2011/11/bonamici-campaign-manager-punts.html