Archive for January, 2009
7 Goods Reasons Why the World’s Largest Fraud Occurred
Much has already been reported about 70 year old - Bernard L. (Bernie) Madoff, particularly how he managed to misappropriate US$50 Billion dollars, yes “US$50 Billion”. Madoff gave himself up to US Prosecutors who on 12 December 2008 charged him with a single count of securities fraud. His disclosure occurring only after he knew his business could not possibly cover the $7Billion in redemptions, funds that had already been lost in the “Affinity-Ponzi” scheme he’d been operating for decades. He had just before this, announced to his staff “its all just one big lie”. Later, the Securities and Exchange Commission (SEC) initiated civil proceedings. Madoff now assumes the infamous title, ahead of the famed but fictitious Gordon Gekko, but well ahead of the real Michael Milken, Ivan Boesky, Marty Siegel and Dennis Levine as the biggest Wall Street crook of all time. The extent of Madoff’s fraud dwarfs Enron and WorldCom in both size and audacity.
Prominent Funds Manager
Madoff had been a prominent member of the New York investment community since he started his business in the 1960s. He had even held roles as Chairman of the Nasdaq Stock Exchange and if reality could not slip further into farce, he had been an advisor to the US Government on market regulation.
