Ag Committee Presses Regulators on Collapse of PFGBest

Statement

Today, the House Agriculture Committee held a public hearing to examine the collapse of Peregrine Financial Group, Inc., the LIBOR manipulation, and receive an update on MF Global and Dodd-Frank implementation. PFGBest filed for bankruptcy shortly after regulators froze their operations through emergency enforcement actions. More than $200 million in customer funds are missing.

"Today's hearing was a critical step in understanding the facts surrounding PFGBest's bankruptcy and the failure of regulators to miss such an outright fraud. The clients of PFGBest and MF Global are our constituents and it remains my priority that they be made whole. They are farmers and ranchers who until recently have never had cause for concern in using the futures markets. They've never had to worry that the tools they use to manage risk would one day be doubted and the integrity of the futures markets be questioned," said Chairman Frank Lucas.

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