What a complete waste of resources. Why expend resources filing a lawsuit against a bankrupt company? The CFTC needs to use it's financial resources to implement effective controls that detects fraud before it occurs not bothering with zero earning lawsuits as a face saving measure.
They should have spent this money on an audit of their control systems and FCM segregated bank accounts and published this to the public to give some sort of comfort they are finally doing their job properly. They continue to appear as a group of overpaid bureaucrats who focus on the wrong thing and show a limited ability to protect traders.
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What happened to the suit against or a "fine" against US Bank? I guess the fed's have too much clout. New vision account holders have to extract their money or have them send it back to the trust.
"Per the Order entered by the Bankruptcy Court on October 5, 2012 (the “Bulk Transfer Order”), most account balances of former PFG futures customers were sent to Vision Financial Markets LLC (“Vision”). You still have a limited opportunity to recover those funds directly from Vision if the amount transferred to Vision was in excess of $1,000. On October 20, 2014, Vision will return to the PFG bankruptcy trustee all remaining funds of former PFG futures customers who do not contact Vision. Once returned to the PFG bankruptcy trustee, those funds will not be recoverable by you unless you timely filed a proof of claim that has been allowed in the PFG bankruptcy case. To prevent this, you must contact Vision prior to October 13, 2014 and request access to your funds."
US Bank Settles With CFTC In Suit Over Peregrine Debacle
By Stephanie Russell-Kraft
Law360, New York (December 19, 2014, 3:53 PM ET) -- An Iowa federal judge on Friday agreed to dismiss a suit brought by the U.S. Commodity Futures Trading Commission against U.S. Bank NA after the two parties agreed to settle claims that the bank aided bankrupt Peregrine Financial Group Inc.’s former CEO in misappropriating $215 million in customer funds.
Chief District Judge Linda R. Reade dismissed with prejudice the suit, which was set for trial on Jan. 5. The terms of the settlement remain a secret, but the CFTC originally sought $36 million in recompense from...
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NOTICE TO PFG FUTURES CUSTOMERS OF PROPOSED DISTRIBUTION
On December 4, 2014, the Trustee filed the Trustee’s Motion for Entry of an Order (1) Authorizing up to a 100% Distribution on Allowed 30.7 Customer Claims and an Interim Distribution on Allowed 4d Customer Claims and (2) Authorizing the Allocation of Certain Settlement Proceeds to the 4d Customer Estate (the “Motion”). In the Motion, the Trustee requested authority from the Bankruptcy Court to make distributions of segregated cash as follows: (i) with respect to 30.7 Customers, up to a 100% distribution to the holders of Allowed 30.7 Customers Claims and (ii) with respect to 4d Customers, up to a 44% interim distribution to the holders of Allowed 4d Customer Claims (the “Proposed Distribution”). With respect to holders of Allowed Futures Claims that received all Prior Distributions, the proposed incremental distributions will be 15% to Allowed 30.7 Customer Claims and 7% to Allowed 4d Customer Claims. Holders of Allowed Futures Claims that did not receive the full amount of their Prior Distributions will receive their pro rata share of the undistributed portion of all Prior Distributions.
The Trustee also requested authority from the Bankruptcy Court to set 11:59 p.m. (CST) on December 4, 2014 as the “Record Date” for the Proposed Distribution. As of the Record Date, the claims register shall be closed for the purposes of the Proposed Distribution and the Trustee shall have no obligation to recognize any transfer of any claims occurring after the Record Date. The Proposed Distribution checks will be mailed to the customer at the address contained in the proof of claim as of the Record Date.
The Motion is scheduled for hearing on December 11, 2014 at 10:00 a.m. (CST) in Courtroom No. 742, United States Courthouse, 219 South Dearborn Street, Chicago, Illinois, before the Honorable Judge Carol A. Doyle, Bankruptcy Judge, or such other Judge who may be sitting in her place and stead. Such hearing may be continued from time to time without further notice other than by announcement in open Court. A copy of the Motion and the proposed order is available here.
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I thought a couple months ago that JPM settled to pay something like 14 million? Distributed after the first of the year. Can't remember if was email
On March 7, 2014, the Customer Representative Plaintiffs, together with Ira Bodenstein, Chapter 7 Trustee for the estate of PFG in the related PFG Bankruptcy Case, reached a proposed settlement with defendant JPMorgan Chase Bank, N.A., and its parents, subsidiaries and affiliates.
This proposed settlement does not affect the Plaintiffs’ claims against the remaining defendant, U.S. Bank, N.A.; these claims will continue before the District Court.
Any money returned is welcomed.