Tester to MF Global trustee: No executive bonuses
March 12, 2012 | 05:00 PM
Sen. Jon Tester
Sen. Jon Tester, D-Mont., said today that MF Global executives should not be paid bonuses while farmers and ranchers are still missing millions of dollars that were supposed to have been kept segregated in the brokerage firm’s customer accounts.
“Quite simply, it is unacceptable for you to sanction the award of performance-based compensation before the recovery of client funds,” Tester wrote Louis Freeh, MF Global’s bankruptcy trustee.
“Rather than reward executives, I urge you to use these funds to repay the farmers and ranchers whose trust was so betrayed by MF Global.”
Tester also reminded Freeh that bankruptcy law significantly restricts his ability to compensate former firm executives.
“Your authority as the bankruptcy trustee overseeing the liquidation of the MF Global should be used strictly to help maximize MF Global assets so that clients of the firm can see their funds returned,” Tester wrote.
March 9, 2012 — Sen. Tester letter to Freeh