The 2005 bankruptcy of brokerage firm Refco, filed amid an alleged accounting scandal and potential fraud, has ensnared many investors, including, most prominently, veteran hedge fund manager Jim Rogers. Their securities -- rather than having resided in segregated accounts at the firm’s flagship regulated futures unit, Refco LLC, as creditors claim they should have been -- were housed in and controlled by unregulated Refco Capital Markets, and then frozen.
