Futures Watchdog Seeks To Rein In Customer Cash Transfers

Law360, New York (May 29, 2012, 10:27 PM EDT) -- The National Futures Association has asked federal regulators to approve a so-called "Corzine rule" requiring brokerage firms to obtain written approval for large customer cash transfers after MF Global Inc.'s downfall revealed $1.6 billion had disappeared from commodities customers' accounts, the watchdog group said Tuesday.

Futures industry self-regulator NFA asked the the U.S. Commodity Futures Trading Commission to approve several requirements aimed at monitoring customer segregated funds held by futures commission merchants, including requiring all FCMs to have written policies and procedures outlining how the company...
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