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Scaramucci May Invest In Jon Corzine Hedge Fund

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SkyBridge Capital founder, Anthony Scaramucci, is willing to provide funding for Jon Corzine, former chief executive officer, if he will start a new hedge fund despite the collapse of MF Global.

Scaramucci May Invest In Jon Corzine Hedge Fund

A report from Dealbook said Scaramucci considers Corzine a “trader and a gentleman”, and he trust the former New Jersey governor. According to him, “Yes I trust Jon Corzine and I think if he starts a fund he will make money, and be very successful. We closed our seeding business, so I couldn’t seed him, but he is a person that I would have no problem being partners with. We have different politics, but that would make it even more interesting.”

Meanwhile, Corzine, or any top executive of the defunct MF Global, might not face any legal charges in connection with the bankruptcy, after the brokerage firm lost $1 billion customer money in a huge bet on European debt.

Authorities involved in the criminal investigation against MF Global, are in the process of concluding the case after 10 months. Based on evidence, investigators conclude it is not fraud, but rather, chaos and risky trading strategies in the firm led to bankruptcy.

Dealbook, who cited information from sources who have knowledge about the case, but requested not to reveal their identities, said Corzine would be invited by authorities next month to answer questions and explain the transactions undertaken by other MF Global employees.  According to them, prosecutors were unable to develop a strong case against Corzine based on the thousands of documents and two rounds of interviews with former employees in the firm.

MF Global assistant treasurer Edith O’Brien is one of the employees who will be investigated, because of her knowledge regarding the transfer of customer money during the final weeks of the firm’s business operations. O’Brien is not willing to cooperate with the investigation, without receiving immunity from criminal charges.

Corzine will still face further scrutiny, particularly from the Commodity Futures Trading Commission and legislators in Washington.

On Wednesday, a bankruptcy trustee filed a lawsuit against Corzine. Regulators are considering charging him with civil enforcement actions. He might pay fines worth millions of dollars, or he could be prohibited from working on Wall Street.

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