UPDATE 1-MF Global slow to turn over data to regulators-source

Mon Oct 31, 2011 6:16pm EDT

* Regulators unhappy with lack of records from MF Global

* MF Global has not provided required information-source

* MF Global bankruptcy 7th-largest by assets in US history

By Christopher Doering

WASHINGTON, Oct 31 (Reuters) - U.S. regulators are unhappy with the failure of MF Global Holdings Ltd to provide them with the required data and records, a source close to one regulator told Reuters on Monday.

"So far they've been very disappointed with the cooperation in the fulsomeness of records and data from MF," the source said, noting regulators have been working with the firm since late last week.

"They were supposed to be able to show us their books and they're supposed to be able to tell us what's what and where their customer funds are and how they've been segregated and protected and to date we don't have the information that we should have," the individual told Reuters.

MF Global, which filed for bankruptcy protection on Monday, is the biggest U.S. casualty of Europe's debt crisis, and the seventh-largest bankruptcy by assets in U.S. history.

Regulators had expressed "grave concerns" about the viability of MF Global, which filed for bankruptcy only after "no viable alternative was available in the limited time leading up to the regulators' deadline," the company's chief operating officer, Bradley Abelow, said in a court filing.

U.S. regulators held a series of calls on Monday related to MF Global.

The Financial Stability Oversight Council, which is headed by the Treasury Department, received "a series of oral reports" from the Securities and Exchange Commission, the Commodity Futures Trading Commission and the Federal Reserve, according to one Treasury Department official.

No other details of the calls were provided.

Officials with the CFTC and SEC declined to comment on MF Global's bankpruptcy.

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