MF Global – UK Update

more+
less-

The UK special administrators have provided some information for clients with positions with MF Global UK Limited ("MF Global UK"):

• All open client positions relating to foreign exchange (FX) have been or are being closed as of 4 November 2011

• The special administrators are working on providing closing information

• Creditors will receive formal correspondence from the special administrators in the next seven days detailing the process for making a claim

Question to the special administrator: I have open positions with MF Global - what is happening with these?

Answer from the special administrator: The special administrators have said that they and the company staff are working to transfer open positions where possible. Where exchanges and counterparties have defaulted MF Global UK under their own rules, thereby effectively terminating customers' positions, the special administrators have said that they are working closely with them to try to optimise the outcome. The special administrators say they are notifying clients affected by termination events as soon as possible, so they can take appropriate action. These notifications are being communicated through the companies' normal communication channels, and the special administrators are writing to customers. In addition, information regarding which exchanges and clearing houses have closed or terminated trades / positions, and the date on which these were liquidated, is being posted on both www.mfglobal.co.uk and http://www.kpmg.com/UK/en/IssuesAndInsights/ArticlesPublications/Pages/mfglobaluk.aspx. The special administrators have said this information will be updated as and when the positions of individual exchanges and clearing houses become clear.

Please see full alert below for more information and links.

LOADING PDF: If there are any problems, click here to download the file.

Published In: Bankruptcy Updates, Business Organization Updates, Finance & Banking Updates, Securities Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Reed Smith | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »