From Today’s NYTimes Dealbook story about Jon Corzine resigning as head of MF Global, the firm that just went into bankruptcy and could force hundreds of small trading firms to liquidate:
“As Regulators Pressed Changes, Corzine Pushed Back, and Won. Jon S. Corzine, who stepped down on Friday as the head of MF Global, had resisted federal regulators’ attempts to rein in the types of risky trades that contributed to the firm’s collapse.
“A former United States senator and a former governor of New Jersey, as well as the leader of Goldman Sachs in the 1990s, Mr. Corzine carried significant weight in the worlds of Washington and Wall Street. The agency proposing the rule, the Commodity Futures Trading Commission, relented.”
While we are all thrilled he has refused the $12 million in severance he is due as he departs, there is a gnawing feeling here that perhaps he and others who were enriched by the overly risky trading strategies they endorsed maybe should be held more responsible financially.