CFTC's Chilton Recommends Stronger Firewall For Client Cash

Law360, New York (June 13, 2012, 3:02 PM EDT) -- A member of the Commodity Futures Trading Commission on Wednesday called for a rule allowing brokerage firms' customers to completely segregate their funds from all others, further stoking the debate over MF Global Inc.’s alleged misuse of customer money last year before its collapse.

CFTC commissioner Bart Chilton said U.S. regulators should adopt something like a European Commission law that gives customers the option of choosing full segregation, according to a copy of his prepared remarks at OpRisk, a financial industry conference in London. That would...
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