Bankruptcy Judge Martin Glenn is allowing Jon Corzine and other former insiders of collapsed brokerage MF Global to tap another $10 million of insurance funds to defend lawsuits accusing them of hastening the firm's downfall, Reuters reported yesterday. Judge Glenn granted the request from Corzine and the others at a court hearing, raising to $40 million from $30 million the cap on what the defendants can draw. Judge Glenn authorized roughly $3.7 million more to pay the legal fees of defendants no longer involved in the cases. However, Judge Glenn was clearly irked at the request, saying he had expected the initial $30 million to cover most of the litigation.
