MF Global Trader's $141M Loss Not Covered, NY Court Told

Law360, New York (March 19, 2013, 5:46 PM EDT) -- An American International Group Inc. subsidiary doesn't have to cover a $141 million loss by a futures trader at bankrupt MF Global Holdings Ltd. because it was the Chicago futures exchange that actually suffered the loss, the insurer's attorney told a New York state appeals court Tuesday.

Former MF Global trader Evan Dooley, who pled guilty to charges that wheat futures trades he made over his limit cost MF Global $141 million, conducted the trade through CME Group Inc.'s futures exchange.

CME acted as both the...
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