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View Full Version : SEC warned of Madoff Ponzi as early as 1992



Noir
09-03-2009, 06:59 AM
Heads must surly roll for such errors. Also will those who have lost money through Madoff be able to claim for the failure of the SEC?

US regulator was tipped off about Bernard Madoff's fraud as early as 1992, report says, By Andrew Clark

Report reveals SEC mishandled five separate inquiries into the biggest Ponzi scheme in Wall Street history
The regulator overseeing America's financial markets was tipped off six times in 16 years of suspicions surrounding Bernard Madoff's fraudulent $150bn (£92bn) investment empire but investigators ignored red flags and mishandled five separate inquiries into the biggest Ponzi scheme in Wall Street history.
A highly critical 450-page official report into the conduct of the US Securities and Exchange Commission has revealed that the agency was alerted to suspicions surrounding Madoff as early as 1992. But although enforcement staff caught Madoff in "lies and misrepresentations‚" they failed to follow up on inconsistencies, allowing the corrupt fund manager to continue embezzling money until his confession in December 2008.
"Despite numerous credible and detailed complaints, the SEC never properly examined or investigated Madoff's trading and never took the necessary, but basic, steps to determine if Madoff was operating a Ponzi scheme," concluded David Kotz, the SEC's inspector general.
http://m.guardian.co.uk/ms/p/gmg/op/s1UbDKjsd1Q7R-DQO91AOkg/view.m?id=166887&tid=120787&cat=United_States

Monkeybone
09-03-2009, 09:39 AM
There was some other thread about this Noir. I want to say one of the people that should've been insetigating was married to a relative and other twist and turns like that.

Insein
09-03-2009, 10:06 AM
Gross negligence combined with extreme corruption. Thats how it got that far.

Monkeybone
09-03-2009, 10:25 AM
There was some other thread about this Noir. I want to say one of the people that should've been insetigating was married to a relative and other twist and turns like that.

check that, mine was from 04.

it's all about the money. either these people are just idiots, lazy or were getting a piece of the pie.