reuters.com / By Nick Brown / Tue Jan 8, 2013 4:14pm EST
A bankruptcy judge on Tuesday rejected a bid by former MF Global customers to depose the collapsed brokerage’s former chief, Jon Corzine.
In a written ruling in U.S. Bankruptcy Court in Manhattan, Judge Martin Glenn said the Commodity Customer Coalition, which had sought permission to question Corzine and other former MF Global insiders, lacked standing because it is not a direct creditor in the case.
The coalition, a grassroots group led by Chicago-based commodities trader James Koutoulas, bills itself as representing the interests of thousands of traders whose accounts at MF Global were frozen when the company went under.
But the coalition itself is merely a “‘watchdog’ entity with its own independent goals,” hoping to depose Corzine “in furtherance of its own interests” rather than those of the MF Global estate, Glenn said in his decision.
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