Former MF Global CEO Jon Corzine, who had earlier served as New Jersey Governor and as Chief Executive Goldman Sachs, is reportedly nearing a deal to pay $5 million to end the CFTC’s lawsuit stemming from the 2011 collapse of commodities brokerage MF Global Holdings.  A tentative settlement had been reached in June – one in which he would be banned from trading client money in commodities and others assets regulated by the Commission – but a final deal has been on hold pending resolution of a case involving another former executive at MF Global.

An accord would close a long and messy chapter in Mr. Corzine’s 4-decade career, which touched the pinnacles of Wall Street and politics before ending abruptly with the failure of MF Global, where he was chairman and CEO.

MF Global collapsed in 2011 after a series of big bets on European bonds during a volatile stretch for the markets alarmed investors and raised questions from regulators. The investment strategy was championed by Mr. Corzine, who rose through the ranks as a bond trader at Goldman.

In MF Global’s final days, a $1.6 billion shortfall in customer funds emerged. It took more than 2 years for the trustee overseeing the liquidation of MF Global’s brokerage unit to collect and return the money to customers. Mr. Corzine has denied wrongdoing and said he never directed anyone to dip into customer funds.

Criminal prosecutors investigated the roles Mr. Corzine and other executives played in the shortfalls, but brought no charges. A federal judge approved a $132 million settlement between former MF Global executives, including Mr. Corzine, and the firm’s customers this month, resolving most of the legal headaches stemming from MF Global. Only the CFTC case remained unresolved.

The CFTC sued Mr. Corzine and a top lieutenant in 2013 in a civil case and accused them of overseeing the misuse of nearly $1 billion in customer funds. The regulators said Corzine “bears responsibility” for the NY firm’s unlawful actions and said the 2 violated the Commodity Exchange Act, which requires brokers to segregate customer funds.

The CFTC case against Mr. Corzine and MF Global’s treasurer, Edith O’Brien, had been scheduled to go to trial next month, but that date was canceled as both former executives worked to reach a deal with the agency, according to court records.