CME: Followed CFTC, Exchange Rules In Review Of MF Global Books
November 17 2011 - 1:25PM
Dow Jones News
CME Group Inc. (CME) reiterated Thursday that it followed all
proper protocols in its review of MF Global Holdings Ltd. (MFGLQ),
following reports that the exchange operator was slow to report a
shortfall in customer funds held by the broker-dealer.
"CME was advised in the early hours of Monday, October 31 that
there was an actual shortfall in the segregated funds account and
was told the [Commodity Futures Trading Commission] was advised
concurrently," representatives for CME wrote in a statement
Thursday.
The matter was discussed "shortly thereafter" in a conference
call with the CFTC and other regulators, according to CME's
Thursday statement.
A report posted by Bloomberg News on its website Wednesday said
that CME discovered about $900 million in customer money missing
from MF Global's books on Sunday, Oct. 30, but that regulators were
not alerted until the following day.
Goldman Sachs Group (GS) in a research note Wednesday separately
suggested that "worries" over the timing of CME's communication
with regulators on the matter, and potential liabilities as a
result, have weighed on CME's share price over the past week.
CME said it issued the statement Thursday "in response to
inaccuracies reported yesterday."
-By Jacob Bunge, Dow Jones Newswires; 312 750 4117;
jacob.bunge@dowjones.com
CME (NASDAQ:CME)
Historical Stock Chart
From May 2024 to Jun 2024
CME (NASDAQ:CME)
Historical Stock Chart
From Jun 2023 to Jun 2024