Iowa brokerage Peregrine files for bankruptcy
11 July 2012 Iowa
Image: Shutterstock
Peregrine Financial Group in Iowa (PFG) has had its accounts frozen after the National Futures Association (NFA) accused the brokerage of misrepresenting bank statements.
The NFA said that it suspected PFG had only $5 million of customer funds in a deposit account, rather than the $225 million that it had previously claimed.
PFG has now filed for Chapter 7 bankruptcy. The filing showed that on 3 July PGE founder Wasendorf gave power of attorney to his son, Russell Wasendorf Jr.
A letter from the company to clients said that PFG's founder had attempted suicide. He is now reported to be in a coma.
The NFA said that it suspected PFG had only $5 million of customer funds in a deposit account, rather than the $225 million that it had previously claimed.
PFG has now filed for Chapter 7 bankruptcy. The filing showed that on 3 July PGE founder Wasendorf gave power of attorney to his son, Russell Wasendorf Jr.
A letter from the company to clients said that PFG's founder had attempted suicide. He is now reported to be in a coma.
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