Jon S. Corzine, former chairman and chief executive officer ofMF Global Holdings Ltd., will apologize to investors, customers andemployees of the failed New York broker and tell lawmakers hedoesn't know the location of the estimated $1.2 billion in missingclient money.

“I simply do not know where the money is, or why the accountshave not been reconciled to date,” Corzine said in a statementprepared for a House Agriculture Committee hearing in Washingtontoday.

Corzine, a Democrat who served in the Senate and as New Jersey'sgovernor before joining MF Global, is scheduled to testify onevents leading to the brokerage's filing for bankruptcy protectionon Oct. 31. James W. Giddens, the trustee overseeing theliquidation of the firm, estimated that $1.2 billion in clientmoney is missing, and the Commodity Futures Trading Commission,Securities and Exchange Commission and Justice Department areinvestigating the collapse.

Corzine, who resigned from his MF Global positions on Nov. 4,said in the 21-page statement that he was “stunned” to learn onOct. 30 that the company couldn't account for “many hundreds ofmillions of dollars.” His appearance before the House AgricultureCommittee comes after the panel voted to issue a subpoena to compelhis testimony. The Senate Agriculture Committee and a HouseFinancial Services subcommittee also voted to subpoena Corzine.

Apology

Inhis prepared remarks, Corzine apologized to MF Global'scustomers, investors and former employees who have suffered becauseof the bankruptcy. “Their plight weighs on my mind every day —every hour,” he said in the statement.

He said that he would attempt to answer questions and avoidrelying on his Fifth Amendment right to remain silent. “As a formerUnited States Senator who recognizes the importance ofcongressional oversight, and recognizing my position as formerchief executive officer in these terrible circumstances, I believeit is appropriate that I attempt to respond to your inquiries,”Corzine said. At the same time, “without adequate time andmaterials to prepare, I may be unable to respond to variousquestions,” he said.

The company filed for bankruptcy protection after risky bets onsome of Europe's most indebted countries.

MF Global's board of directors was told of the European debttrades and approved limits on the risk in the trades by specificcountries, Corzine said.

“At the time of the bankruptcy, MF Global was within the risklimits set up by the board of directors,” Corzine said. “MFGlobal's board was not a rubber stamp,” he said. None of theforeign debt securities that MF Global used in so-calledrepurchase-to-maturity transactions has defaulted or beenrestructured, Corzine said.

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