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Call MF Global's CEO Jon Corzine the $325 Million Dollar Man

We all know about MF Global's troubles . We all know about CEO Jon Corzine's struggles since taking the helm. Less well known is that back in August, the commodities giant sold $325 million of five-year unsecured bonds that included a provision that would offer higher interest rates if Mr. Corzine left the firm for a government job.

Jon Corzine
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Jon Corzine

Given the lackluster share performance since Mr. Corzine took over, such covenants probably seem odd, but at the time of the debt sale, it was considered crucial to closing the transaction.

"Corzine was a huge selling point," said one of the senior bankers at Jefferies who brought the offering public. "It went from a deal that was not getting done, to a deal that got done."

So what happens if shareholders give Mr. Corzine's the boot? Well, according to that banker, an involuntary departure would not trigger the so-called Corzine covenants.

That might offer little solace to MF Global investors .

"Ironically, many of the same bond holders who wanted protection against Corzine going to DC may actually now want management change," said CNBC's Capital Markets Editor Gary Kaminsky.

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