Madoff Scandal
Contents
Introduction 2
Early Career 2
The Firm 3
Sales Strategy 4
Investment Strategy 5
The Scandal 7
He was not alone 9
The Markopolos Whistle 11
The collapse 13
Charges and Sentence 13
The Victims 14
2009 Ponzi Schemes 16
The SEC Failure 17
SEC post- Madoff 19
Hedge Fund Transparency 20
Conclusion 21
Bibliography 25
Tables
Table 1: List of Madoff Clients (taken from the "The New York Times", last updated June 24, 2009) 15
Table 2: 2009 Ponzi Scheme SEC Charges 17
Figures
Figure 1 Fairfield Sentry vs Gateway 6
Figure 2 Madoff Investor Funds (taken from http://orgnet.com/madoff.html) 7
Introduction
Operating from central Manhattan, Bernie Madoff developed the first and biggest global Ponzi scheme, an event of greed and dishonesty that lasted for more than 20 years, in which $65 billion dollars vanished from the pockets of some of the world’s richest people, charities and ordinary investors alike. This scheme lasted longer than any other white collar crime in history and along the way ruined countless individuals and organizations. “The Madoff Ponzi scheme has changed the rules of trust that governed the money game.” Unlike other similar schemes, Madoff’s Ponzi scheme also scammed wealthy and investment savvy individuals that Madoff associated with.
Bernard Madoff is a former financier, American hedge-fund investment manager, chairman of the NASDAQ (National Association of Securities Dealers Automated Quotations) stock exchange, and chairman of the firm Bernard L. Madoff Investment Securities LLC. He is the main conspirator of the history’s largest investor fraud committed by a single person.
As a result of his act, Madoff was sentenced on June 29th, 2009 to 150 years in prison for crimes that the judge called “extraordinarily evil”3 and imposed a sentence that was three times as long as the federal probation office suggested and more than 10 times as long as defense lawyers had requested.
Early Career Bernard Lawrence
Introduction 2
Early Career 2
The Firm 3
Sales Strategy 4
Investment Strategy 5
The Scandal 7
He was not alone 9
The Markopolos Whistle 11
The collapse 13
Charges and Sentence 13
The Victims 14
2009 Ponzi Schemes 16
The SEC Failure 17
SEC post- Madoff 19
Hedge Fund Transparency 20
Conclusion 21
Bibliography 25
Tables
Table 1: List of Madoff Clients (taken from the "The New York Times", last updated June 24, 2009) 15
Table 2: 2009 Ponzi Scheme SEC Charges 17
Figures
Figure 1 Fairfield Sentry vs Gateway 6
Figure 2 Madoff Investor Funds (taken from http://orgnet.com/madoff.html) 7
Introduction
Operating from central Manhattan, Bernie Madoff developed the first and biggest global Ponzi scheme, an event of greed and dishonesty that lasted for more than 20 years, in which $65 billion dollars vanished from the pockets of some of the world’s richest people, charities and ordinary investors alike. This scheme lasted longer than any other white collar crime in history and along the way ruined countless individuals and organizations. “The Madoff Ponzi scheme has changed the rules of trust that governed the money game.” Unlike other similar schemes, Madoff’s Ponzi scheme also scammed wealthy and investment savvy individuals that Madoff associated with.
Bernard Madoff is a former financier, American hedge-fund investment manager, chairman of the NASDAQ (National Association of Securities Dealers Automated Quotations) stock exchange, and chairman of the firm Bernard L. Madoff Investment Securities LLC. He is the main conspirator of the history’s largest investor fraud committed by a single person.
As a result of his act, Madoff was sentenced on June 29th, 2009 to 150 years in prison for crimes that the judge called “extraordinarily evil”3 and imposed a sentence that was three times as long as the federal probation office suggested and more than 10 times as long as defense lawyers had requested.
Early Career Bernard Lawrence
Bibliography: