Most in the financial community have assumed that MF Global’s CEO did not face a single criminal charge for stealing $1.4 billion in segregated client funds due to his campaign contributions and support for President Obama.
A just released Government Accountability Institute report reveals that the true reason Corzine has never been charged is is likely MFG’s ties to Department of Justice head Eric Holder.
The GAI has uncovered that MFG was an active client of AG Eric Holder (as well as Assistant AG Lanny Breuer)’s law firm Covington & Burling.
Those wondering why the Department of Justice has refused to go after Jon Corzine for the vaporization of $1.6 billion in MF Global client funds need look no further than the documents uncovered by the Government Accountability Institute that reveal that the now-defunct MF Global was a client of Attorney General Eric Holder and Assistant Attorney General Lanny Breuer’s former law firm, Covington & Burling.
Records also reveal that MF Global’s trustee for the Chapter 11 bankruptcy retained as its general bankruptcy counsel Morrison & Foerester–the very law firm from which Associate Attorney General Tony West came to DOJ.
As Government Accountability Institute President Peter Schweizer explains in the Washington Times Thursday, the trustee overseeing MF Global’s bankruptcy is former FBI Director Louis Freeh. At Holder’s Senate confirmation hearing Freeh served as a character witness for Holder and revealed that Holder had previously worked for Freeh.