New York City Comptroller John Liu has hired the former chief executive of
MF Global Holdings to help manage the city's pension investments.
The Wall Street Journal reports that Kevin Davis was quietly hired in
September as head of commodities in the comptroller's Bureau of Asset
Management.
Davis left MF Global in 2008 after the firm lost more than 90 percent of its
market value.
His hiring has drawn criticism from stakeholders in the city's pension
system. MF Global was sued by four public pension systems outside New York
that claimed the firm misrepresented its risk-management practices to
investors.
A Manhattan federal judge approved a $90 million settlement in that case
last month.
The comptroller's office said Davis was the best applicant for the job.
