CME: MF Global Broke Rules With Customer Funds

Former SEC Chairman Harvey Pitt and FBN’s Charlie Gasparino on the impact of the former MF Global CEO’s testimony and whether he can be charged for criminal acts.

MF Global Holdings misused hundreds of millions of dollars in customer funds by moving them to its own accounts, a top CME Group Inc executive will tell U.S. lawmakers in the strongest accusation yet against the bankrupt brokerage.

"Transfers of customer funds for the benefit of the firm constitute serious violations of our rules and of the Commodity Exchange Act," CME Group Executive Chairman Terrence Duffy said in testimony prepared for a House Agriculture Committee hearing on Thursday. (Reporting by Ann Saphir in Chicago and Sarah N. Lynch in Washington; Editing by Tim Dobbyn)