Friday, December 12, 2008

$50 Billion Ponzi Scheme Madoff Signs Out of Jail

The Jerusalem Post said Bernie Madoff signed out of jail after his arrest for defrauding investors of $50 billion. His victims included high net worth individuals, hedge funds, institutional customers and Jewish charities. How could this happen?

Bernard L. Madoff Investment Securities was founded in 1960. It operated more than two dozen funds. Did they have a board of directors? Who did their audits? How could internal accountants keep quiet under such conditions? Where was the SEC? Madoff's website states:

Madoff Securities is a registered US broker/dealer regulated by the Securities and Exchange Commission and the Financial Industry Regulatory Authority, Inc.

He lauds his firm as a member of the SIPC? Where were they while Bernie milked new investors to pay off old?

Who steals billions and exits jail under their signature? Bernie Madoff did under George W. Bush's "zero tolerance" America. Madoff, the latest nail in the coffin of investing.