In 2011, MF Global announced to the world it was seeking bankruptcy protection, and since the financial scare of 2008, many people thought another investment bank gambled too much again on Wall Street. However, this situation was a little different because in 2008, banks were in serious trouble and were on the verge of collapse.
Since getting their bailout and regulation coming down the pike to prevent this from happening, MF Global goes bankrupt. This caused waves in the financial world because besides the fact that another investment bank went bankrupt, MF Global said they did not know where their customer’s money was. This was a huge disaster because it meant potentially that investors, who put their money with MF Global to make a profit, were defrauded of their money. That could have meant and could still mean lawsuits from angry investors if the money is not recovered, which it increasingly looks like it won’t be.
The trustee managing the liquidation of MF Global is scraping together what he can to try and make investors whole. As more time passes, it doesn’t look like the investors will be made whole. That is grounds to sue the executives of the company who are responsible for this. The story has been written already: angry investors sue their investment company over lost funds, and in this increasingly sensitive time, that narrative has rung true.
When people are making an investment, they are essentially handing over their trust to the investor company. That trust is sacred, especially in the world of finance where people can potentially hand over their life savings. When that trust is violated, as it seems it was at MF Global, justice has to be served. While the government looks to see if a criminal prosecution can be brought, the investors can file lawsuits against the people responsible for their money, MF Global executives.
While the loss of the money may have been the result of a bad bet or miscalculation, which can happen to anyone, the disappearance of a large sum of money is one thing investors cannot overlook. Lawsuit funding can help investors seek justice because certain investors may be destitute, and after reassessing their funds, possibly may not have the money to go to court. There are lawsuit funding companies that can provide either pre or post-settlement financing to the victims, so they can move forward with their lives.
In the pursuit of justice, the world still goes on. A bad day for one person is a good day for another. Life can’t be put on hold, so when people, especially ones with limited funds, find themselves in such a predicament, lawsuit funding can help alleviate their financial problems. The executives at MF Global, like former Governor John Corzine, probably have access to some of the best attorneys who are paid a retainer to fight cases like this. Lawsuit funding can help even the odds by giving the guy looking for justice a hand.
Written by Lulaine Compere.