The trustee in the MF Global, Inc. insolvency is seeking authority to return a 60% distribution to former MF Global customers that had only cash in their accounts as of the commencement of the bankruptcy proceeding on Oct. 31, 2011. Such "Cash-Only Customers" represent approximately 21,000 customers with a total of over $869 million in cash. Cross References: CEA Section 4d; CFTC Rule 190.06(e)(iv)

Statement of CFTC Commissioner Scott O'Malia on MF Global In his statement, Commissioner O'Malia points out that unlike the Lehman Brothers Inc. bankruptcy where there was no shortfall in the segregated account, customer funds are missing from the segregated account in MF Global, which complicates efforts to make customers whole, especially those whose accounts hold only cash. O'Malia urges a quicker resolution so that Cash-Only customers, who have not received any of their money, can participate in the distribution along with customers with open positions. O'Malia calls for the CFTC to

76 FR 71128 The CFTC approved a final rule requiring certain advisors to private funds that are dually registered with the CFTC and the SEC to report information to the SEC for use by the Financial Stability Oversight Council (FSOC) in monitoring risks to the U.S. financial system. The SEC approved the joint rule on October 26, 2011. The final rules, which implement Sections 404 and 406 of the Dodd-Frank Act, require SEC-registered investment advisers and dually registered CFTC registrants with at least $150 million in private fund assets under management to periodically file a new reporting

Speech by CFTC Chairman Gary Gensler Arguing that the pre-Dodd-Frank financial regulatory system failed, Chairman Gensler concludes that "the current debt crisis in Europe is but a stark reminder for the need to complete financial reform in the United States. It's a reminder of the financial system's interconnectedness. . . . Furthermore, it is precisely during times of heightened market uncertainty that transparency is even more essential. While European leaders are working to avert a deepening crisis, it is critical that we implement the Dodd-Frank reforms to protect the American public and

Futures Industry Association The main trade body for the futures industry on Wednesday pushed for a faster return of customer funds locked up in the bankruptcy of MF Global Holdings Ltd., warning that some investors can't afford to pursue claims on their frozen assets. The Futures Industry Association called on the trustee supervising the liquidation of MF Global to complete an "interim accounting" and return the money MF Global's brokerage customers held on deposit with the failed New York firm, either in cash or backing trades. Cross References: CEA Section 4d; CFTC Rules, Part 190