U.S. Senator Pat Roberts (R-Kan.), ranking member of the Senate Agriculture, Nutrition and Forestry Committee, has requested a task force to be created to review the findings and develop recommendations from the Commodity Futures Trading Commission (CFTC) investigation into the MF Global bankruptcy. The request for the task force was sent in a letter this week to CFTC Commissioner Jill Sommers.
“I urge the CFTC to pursue the creation of a task force to develop recommendations for policy or regulatory changes, if any, that reasonably are deemed as necessary in the aftermath of MF Global,” said Roberts in the letter.
“While I understand that the CFTC’s investigation into the loss of funds in MF Global customers’ segregated accounts has not been concluded and that a full accounting of lessons learned cannot be undertaken until this investigation is complete, I encourage you to urge the Commission to create this task force,” Roberts stated in the letter. “I appreciate your efforts to date regarding the commission’s effort to recover the hundreds of millions of dollars in segregated customer funds that were missing when MF Global was forced into bankruptcy.”
The letter comes following a Dec. 13, 2011 Senate Agriculture Committee hearing seeking answers for Americans hit hard by the MF Global bankruptcy. During the hearing, Roberts grilled former MF Global CEO, New Jersey Governor and U.S. Senator Jon Corzine on possible scenarios of how his company went bankrupt. During another panel during that same hearing, Roberts asked Commissioner Sommers to create a task force to help identify what happened before and after the bankruptcy and what should be done to help prevent this from happening again.
In the letter, Roberts says Commissioner Sommers should chair the task force and be given the authority to appoint its members consisting of futures experts as well as industry stakeholders. He also requests the task force must finish its recommendations within six months after the investigation is completed.
Read the complete text of the letter.
Source: Senator Pat Roberts