Fourteen former MF Global executives, including Jon Corzine, the former chairman and chief executive officer, are entitled to access most of a US $200 million directors and officers liability insurance policy purchased by MF Global Holdings prior to the firm filing for bankruptcy in October 2011, under the decision of a US bankruptcy court in NYC last week. The executives had previously made a motion to access the insurance. However, the bankruptcy plan administrator, customer representatives involved in civil litigations against MF Global entities, and the Securities Investor Protection Act Trustee all opposed the motion. They argued, generally, that allowing the executives unfettered access to the D&O policy would potentially diminish the amount of potential funds available to creditors. The court rejected this argument, holding that, except for a small portion (approximately US $13 million), the D&O proceeds are not the property of MF Global entities’ bankrupt estates and therefore should be accessible to the executives. In ruling this way, the court nonetheless noted its concern regarding “the rate at which the proceeds of the D&O Policies… are being spent – more than $48 million in defense costs and expenses have been incurred so far and not a single deposition has been taken in [various customer] proceedings.” However, the court acknowledged that it had no authority over the executives’ rate of spending of the D&O proceeds. MF Global executives previously were approved to use a small portion of the proceeds of the D&O policies under interim court decisions.