Court warned of "grave consequences for futures industry"
The latest twist in the ongoing court battle between Man
Financial and defunct hedge fund Philadelphia Alternative Asset
Management (PAAM)'s receiver Clark Hodgson has prompted Futures
Industry Association (FIA), National Futures Association (NFA)
and major US futures exchanges to seek greater involvement in
the case, according to court documents obtained by FO Week.
The allegation made by Hodgson that Man acted in contempt of
court in its netting of the accounts held on behalf of PAAM has
caused FIA and a group including Chicago Board of Trade,
Chicago Mercantile Exchange, New York Mercantile Exchange,
Kansas City Board of Trade, Minneapolis Grain Exchange, CBOE
Futures Exchange and New York Board of Trade to support the
FIA and the group of exchanges, who wished to be represented
as "The Futures Exchanges", filed motions defending the
practice of netting adopted by FCMs when managing multiple
This article is available exclusively to subscribers
Please log in to continue reading.
Not yet a subscriber?
Click here to take a free trial.
Already have an account? |
Please fill in your details below and a customer service representative will contact you.