Three European clearing houses applied to be joined as parties to proceedings concerning the ownership of certain US Treasury bills brought by the administrators of MF Global UK Ltd against MF Global Inc (acting through its bankruptcy trustee). MF Global Inc claimed ownership over these T-Bills, which had been transferred to the European arm of the MF Global group allegedly on a title transfer basis to secure MF Global Inc's customer positions. Some of these T-bills were then posted as collateral at European clearing houses by MF Global UK Ltd. The court held that the three applicant clearing houses were entitled to be joined to the proceedings, as they had a direct interest in the outcome.
View full memo, "Clearing Houses Joined as Parties in MF Global Dispute at the High Court in London"