MF Global – With The Right Connections A Little Can Get You A Lot

Major investment firm MF Global announced it is filing for bankruptcy creating some panic in the financial industry.  Federal regulators, specifically the Commodity Futures Trading Commission (CFTC), have said they are taking appropriate action and investigating the situation.  The First Street Research Group did its own investigation into the lobbying activity and political relationships of MF Global.

Lobbying Activity

Since 2009, MF Global has spent $210,000 hiring Delta Strategy Group to lobby on their behalf.  In the D.C. lobbying world this is by no means a large amount of money, especially when compared to the 100’s of millions that MF Global was worth pre-bankruptcy.

Firm Hired Year Amount
Delta Strategy Group (Formerly Parsons Strategies) 2011  $         60,000
Delta Strategy Group (Formerly Parsons Strategies) 2010  $         70,000
Delta Strategy Group (Formerly Parsons Strategies) 2009  $         80,000
Total  $     210,000

Revolving Door Connections

But upon closer look, the real value of the lobbying becomes evident.  Since 2009 MF Global was paying Delta Strategy Group to do one thing and one thing only, “Monitor CFTC regulations “.  This is something that Delta Strategy Group was uniquely positioned to do.  Delta Strategy Group employs 4 registered lobbyists and all 4 have working ties to the CFTC and lobbied the CFTC on MF Global’s behalf.

Jim Newsome  
Chair – Commodity Futures Trading Commission (2000 – 2004)

Scott Parsons  
Chief of Staff – Commodity Futures Trading Commission (2001 – 2004)
Policy Adviser – Commodity Futures Trading Commission (1999 – 2001)
Legislative Director – Chip Pickering (1998 – 1998)

Graham Harper
Agriculture Committee Liason to the CFTC
Professional Staff Member – Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies (2006 – 2008)
Professional Staff Member – Committee on Agriculture, Nutrition, and Forestry (2003 – 2005)

Lara Driscoe
Served as a Law Clerk to the CFTC

Coalition Builder Screen Shot of Delta Strategy Groups Lobbying Ties to MF Global and the CFTC.

Trackbacks

  1. […] Global filed for Chapter 11 protection on Oct. 31, so we’re apt to see more lobbying activity in coming […]

  2. […] Corzine, former governor of New Jersey and a bundler for Obama, was CEO of MF Global until its bankruptcy last October. A trustee in the bankruptcy last month threatened to file civil […]

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