The government may have already made its point loud and clear by striking the non-prosecution agreements with Fannie and Freddie, Frenkel said, which tell other companies there is a strong benefit to cooperating with the feds and turning over all internal evidence of wrongdoing.
There is also some disappointment that the company has again chosen to go outside the company to find the next CEO, rather than turning to one of the many internal candidates, including Ann Livermore, Dave Donatelli, Todd Bradley or Vyomesh Joshi.
When Mr. Corzine joined MF Global he was tasked with quickly turning around a failing business, shoring up internal processes and controls, and, most importantly, immediately returning MF Global to profitability.