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Money paid to the government in Athens will be directed into a special "segregated" account that will prioritize debt repayment.
In October, the Wisconsin regulator began a process of "rehabilitation" for the so-called segregated account containing $50 billion worth of policies on mortgage-linked bonds.
Congressional investigators are interviewing MF Global employees to see whether Mr. Corzine learned that the transfer of $200 million came directly from a customer segregated account, one of the people involved in the case said.
Never mind that Goldman kept Pershing's assets in a segregated account, and that the money was safe.
In fact, according to Protess and Ahmed, it is unclear if O'Brien herself knew it came from a segregated account.
Ms. O'Brien moved $200 million from an account that held customer assets — known as a segregated account — into an MF Global account with the firm's money.
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Firms are also required to report the daily status of customer segregated accounts.
We do know that there were segregated commodities accounts that were maintained as segregated accounts, and that there's money now missing.
"If true, this is the first acknowledgment from officers of your firm that customer segregated accounts were in fact raided," the committee chairman said.
Once the money is deposited with the company, Tesla can use the bulk of it to finance its regular operations, rather than walling it off in segregated accounts.
The case centers on side pockets, segregated accounts that hedge fund managers use to set aside thinly traded or illiquid investments.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com