The trustee for MF Global's bankrupt parent company will have additional time to review a $160 million settlement that would benefit the failed broker-dealer's customers, a person familiar with the matter said on Thursday.
The extension of the deadline, which was previously Thursday, indicates that Louis Freeh, trustee for the parent company, may be raising questions about the proposed deal.
James Giddens, the attorney liquidating MF Global's broker-dealer unit, earlier this month announced an agreement in which exchange regulator CME Group Inc would pay $160 million to the broker-dealer. Under the deal, $130 million of the pot would go toward repaying MF's former commodities trader customers, who lost millions of dollars when MF Global collapsed.
According to the person familiar with the matter, Freeh is in talks with Giddens in hopes of resolving any issues and avoiding filing a formal objection to the settlement in bankruptcy court.
Recent history suggests
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