BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Two more arrests in Madoff saga]]>http://www.bloggingstocks.com/2009/11/13/two-more-arrests-in-madoff-saga/http://www.bloggingstocks.com/2009/11/13/two-more-arrests-in-madoff-saga/http://www.bloggingstocks.com/2009/11/13/two-more-arrests-in-madoff-saga/#commentsFiled under:

Normal tech support phone call: "Press 1 for help with e-mail. Press 2 to have your password reset."

Madoff tech support phone call: "Hello, how can I help you dummy up some trading records today?"

The investigation of Bernie Madoff's fraudulent financial empire is leading to more arrests. Jerome O'Hara and George Perez, both computer programmers employed by the Ponzi schemer, were arrested by the FBI on Friday morning. The charges include conspiracy for falsifying books and records. They are accused of doing the deed for the boss and accepting hush money -- in the form of 25% raises and net bonuses of $60,000 -- to keep the scam afloat.

Continue reading Two more arrests in Madoff saga

Two more arrests in Madoff saga originally appeared on BloggingStocks on Fri, 13 Nov 2009 18:20:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>arrestarrestedarrestsBernardMadoffbernie madoffBernieMadoffcriminalfbiFederal Bureau of InvestigationFederalBureauOfInvestigationfraudInformation TechnologyInformationTechnologylitigationmadoffmadoff securitiesMadoffPonziSchemeMadoffScandalMadoffSecuritiesprogrammerprogrammersprosecutionprosecutionsSECSecurities and Exchange CommissionSecuritiesAndExchangeCommissiontechnologyFri, 13 Nov 2009 18:20:00 EST<![CDATA[Holiday shopping Madoff-style]]>http://www.bloggingstocks.com/2009/11/10/holiday-shopping-madoff-style/http://www.bloggingstocks.com/2009/11/10/holiday-shopping-madoff-style/http://www.bloggingstocks.com/2009/11/10/holiday-shopping-madoff-style/#commentsFiled under: ,

What do you get for the person who has everything? Well, maybe you buy him a piece of history. The U.S. Marshals Service has done all the hard work, and now you can take advantage of it... maybe even at discount prices! Possessions seized from Ponzi schemer Bernie Madoff are set to go under the gavel in New York City on Saturday, so bring your checkbook and your appetite for luxury. The money will be used to compensate the victims of Madoff's crimes.

Continue reading Holiday shopping Madoff-style

Holiday shopping Madoff-style originally appeared on BloggingStocks on Tue, 10 Nov 2009 18:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>auctionauctionsbernard madoffBernardMadoffbernie madoffBernieMadoffbutnergolfgolf clubgolf clubsGolfClubGolfClubsjewelryponzi schemePonziSchemerolexruth madoffRuthMadoffTue, 10 Nov 2009 18:00:00 EST<![CDATA[Madoff fights to win, gets some cred]]>http://www.bloggingstocks.com/2009/10/13/madoff-fights-to-win-gets-some-cred/http://www.bloggingstocks.com/2009/10/13/madoff-fights-to-win-gets-some-cred/http://www.bloggingstocks.com/2009/10/13/madoff-fights-to-win-gets-some-cred/#commentsFiled under: ,

Allen Stanford gets kicked around, but Bernie Madoff can clearly throw down some serious smack. While the former's being moved from one facility to another because he's lost some ground on the cell block, Madoff just earned himself some props.

The engineer of the largest (known) Ponzi scheme in history apparently got into an argument with another geriatric inmate at the Butner, North Carolina federal prison. Of course, it was over the stock market. Does it really make sense to outmaneuver a guy who never needed to know what the market was doing to deliver double-digit returns?

Well, push came to shove, as they say, with the "attacker" stumbling and looking up at a mean, mean Madoff. He got up and ran off.

Continue reading Madoff fights to win, gets some cred

Madoff fights to win, gets some cred originally appeared on BloggingStocks on Tue, 13 Oct 2009 16:15:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>allen stanfordAllenStanfordbernard madoffBernardMadoffbernie madoffBernieMadoffbutnerfederal prisonFederalPrisoninthenewsmadoffmadoff securitiesmadoffponzischememadoffscandalMadoffSecuritiesponziponzi financeponzi schemeponzi schemesPonziFinancePonziSchemePonziSchemesprisonr allen stanfordRAllenStanfordstanfordTue, 13 Oct 2009 16:15:00 EST<![CDATA[Madoff mansion moves for more than asking price]]>http://www.bloggingstocks.com/2009/09/17/madoff-mansion-moves-for-more-than-asking-price/http://www.bloggingstocks.com/2009/09/17/madoff-mansion-moves-for-more-than-asking-price/http://www.bloggingstocks.com/2009/09/17/madoff-mansion-moves-for-more-than-asking-price/#commentsFiled under: ,

Disgraced Ponzi schemer Bernie Madoff's (former) Montauk, Long Island home is no longer on the market. A buyer willing to pay more than the $8.75 million asking price has picked up the property, only two weeks after the U.S. Marshals Service listed it for sale.

Anne Lacombe, spokeswoman for the Corcoran Group, a real estate broker involved in the transaction, said the home was under contract for more than asking but did not have information on the exact amount, buyer or closing date, according to the Associated Press.

Continue reading Madoff mansion moves for more than asking price

Madoff mansion moves for more than asking price originally appeared on BloggingStocks on Thu, 17 Sep 2009 18:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>beach houseBeachHousebernard madoffBernardMadoffbernie madoffBernieMadofffeaturedfloridalong islandLongIslandmadoffmadoffponzischememadoffscandalmanhattanmanhattan real estateManhattanRealEstatemontauknew yorkNewYorkpalm beachPalmBeachponziponzi schemePonziSchemereal estateRealEstatesothebys international realtySothebysInternationalRealtyThu, 17 Sep 2009 18:00:00 EST<![CDATA[Madoff CFO pleads guilty, sentencing in May]]>http://www.bloggingstocks.com/2009/08/12/madoff-cfo-pleads-guilty-sentencing-in-may/http://www.bloggingstocks.com/2009/08/12/madoff-cfo-pleads-guilty-sentencing-in-may/http://www.bloggingstocks.com/2009/08/12/madoff-cfo-pleads-guilty-sentencing-in-may/#commentsFiled under:

Frank DiPascali, CFO to convicted fraudster Bernard Madoff, turned in a guilty plea yesterday, as expected. He fessed up to ten charges, including securities fraud, conspiracy, falsifying records and international money laundering. "It was all fictitious," he said, admitting that he "knew it was wrong at the time." Yet, he didn't say a word about anyone other than Madoff.

Each of the charges carries a term of five to 20 years in prison, not to mention fines of up to $5 million. But his cooperation is expected to lessen the blow a bit, though we'll have to wait until at least May 2010 to find out what the outcome will be. We don't even know if DiPascali will be able to wait for sentencing from his own home -- nothing on bail has been determined. The prosecution has asked for a $2.5 million bond, secured by equity in DiPascali's sister's home and co-signed by "three financially responsible individuals," according to a Reuters report.

The May sentencing date suggests that prosecutors will be willing to deal, based on the information DiPascali provides in the interim. District Judge Richard Sullivan, as well, hopes that information will be forthcoming, which he expressed to one of the victims who spoke at the hearing.

Continue reading Madoff CFO pleads guilty, sentencing in May

Madoff CFO pleads guilty, sentencing in May originally appeared on BloggingStocks on Wed, 12 Aug 2009 08:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bernard madoffBernardMadoffbernie madoffBernieMadoffcriminal chargesCriminalChargesdavid friehlingDavidFriehlingdipascalifeaturedfrank dipascaliFrankDipascalifraudfraud investigationFraudInvestigationfriehlingponziponzi schemePonziSchemeWed, 12 Aug 2009 08:00:00 EST<![CDATA[Madoff bean-counter pleads not guilty]]>http://www.bloggingstocks.com/2009/07/19/madoff-bean-counter-pleads-not-guilty/http://www.bloggingstocks.com/2009/07/19/madoff-bean-counter-pleads-not-guilty/http://www.bloggingstocks.com/2009/07/19/madoff-bean-counter-pleads-not-guilty/#commentsFiled under: ,

David Friehling is only the second person to face criminal charges in the Bernard Madoff debacle. He served as Madoff's auditor from 1991 to 2008, though it's hard to say if they'll resume their relationship as cellies. For now, Friehling has only been charged (innocent until proven guilty, and such) with securities fraud, abetting investment adviser fraud and filing false reports with the SEC. On five of the six charges filed, he faces a 20-year maximum.

It's alleged that Friehling didn't conduct "meaningful" audits while in Madoff's employ, despite issuing reports saying that he'd done his job -- which paid close to $15,000 a month (no work for big pay . . . where do I sign up?). In particular, he's said to have not bothered to verify Madoff's business assets, revenue sources or bank accounts. This is no-brainer stuff for an auditor.

Continue reading Madoff bean-counter pleads not guilty

Madoff bean-counter pleads not guilty originally appeared on BloggingStocks on Sun, 19 Jul 2009 16:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>accountantaccountingauditorbernard madoffBernardMadoffbernie madoffBernieMadofffeaturedfraudmadoffmadoff scandalmadoff securitiesmadoffponzischemeMadoffScandalMadoffSecuritiesscandalsecsecurities and exchange commissionsecurities fraudSecuritiesAndExchangeCommissionSecuritiesFraudSun, 19 Jul 2009 16:00:00 EST<![CDATA[New York Ponzi scheme operator Cosmo had mob ties]]>http://www.bloggingstocks.com/2009/01/27/new-york-ponzi-scheme-operator-cosmo-had-mob-ties/http://www.bloggingstocks.com/2009/01/27/new-york-ponzi-scheme-operator-cosmo-had-mob-ties/http://www.bloggingstocks.com/2009/01/27/new-york-ponzi-scheme-operator-cosmo-had-mob-ties/#commentsFiled under: , ,

Nicholas Cosmo, a convicted felon who somehow turned himself into an investment adviser who bilked people out of $370 million, allegedly has ties to organized crime, according to CNBC's Charlie Gasparino.

Former Genovese family associate Michael Durso and another unidentified man met Cosmo during the 1990s and "put pressure on Cosmo to pay around $139,000 owed to loan sharks connected with the Genovese family," Gasparino reported.

Like the victims of the Madoff swindle, investors who had money with Cosmo's Agape World in Long Island are probably out of luck. Agape is in Hicksville, NY, far from the tony world of Manhattan and Palm Beach that Madoff called home for decades. He nonetheless was a bold liar.

Continue reading New York Ponzi scheme operator Cosmo had mob ties

New York Ponzi scheme operator Cosmo had mob ties originally appeared on BloggingStocks on Tue, 27 Jan 2009 17:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Arthur NadelArthurNadelBernard MAdoffBernardMadoffMadoffNicholas CosmoNicholasCosmoPonzi schemePonziSchemeTue, 27 Jan 2009 17:45:00 EST<![CDATA[Madoff investors: Not so innocent after all]]>http://www.bloggingstocks.com/2009/01/27/madoff-investors-not-so-innocent-after-all/http://www.bloggingstocks.com/2009/01/27/madoff-investors-not-so-innocent-after-all/http://www.bloggingstocks.com/2009/01/27/madoff-investors-not-so-innocent-after-all/#commentsFiled under:

It was always something of a mystery how Bernie Madoff was earning the strong returns he reported to investors. One of the most common theories was that Madoff was, in his capacity as a hedge fund manager, market maker and brokerage operator, front-running the orders of brokerage clients. A piece in Barron's had even suggested that possibility.

Bloomberg reports that Madoff Enablers Winked at Suspected Front-Running. The notion that Madoff was making his money by frontrunning clients' orders did not seem to bother people -- as long as he wasn't ripping off them.

Continue reading Madoff investors: Not so innocent after all

Madoff investors: Not so innocent after all originally appeared on BloggingStocks on Tue, 27 Jan 2009 14:40:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Bernard MadoffBernardMadoffTue, 27 Jan 2009 14:40:00 EST<![CDATA[Bernard Madoff finally speaks his mind -- sort of]]>http://www.bloggingstocks.com/2009/01/26/bernard-madoff-finally-speaks-his-mind-sort-of/http://www.bloggingstocks.com/2009/01/26/bernard-madoff-finally-speaks-his-mind-sort-of/http://www.bloggingstocks.com/2009/01/26/bernard-madoff-finally-speaks-his-mind-sort-of/#commentsFiled under: , , , ,

Leave it to some aspiring comedian to come up with the "official" blog of accused fraudster Bernard Madoff.

That's right someone writing under the pen name "Not the Devil" offers readers Madoff's "opinions" on the a variety of issues and Wall Street personalities. The results can be amusing, particularly if you did not lose money in Madoff's immense Ponzi scheme.

The blog takes aim at the media's fascination with Madoff. "To whoever it was that managed to get yourself a bi-line in today's Sunday business section: You need to get more credible people to comment; a former FBI agent portrays me as a 'psychopath," the fake Madoff argues.

Continue reading Bernard Madoff finally speaks his mind -- sort of

Bernard Madoff finally speaks his mind -- sort of originally appeared on BloggingStocks on Mon, 26 Jan 2009 16:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Bernard MadoffBernardMadoffjohn thainJohnThainlehman brothersLehmanBrothersmadoffponzi schemePonziSchemerichard fuldrichard nixonRichardFuldRichardNixonrod blagojevichRodBlagojevichSECMon, 26 Jan 2009 16:45:00 EST<![CDATA[Zsa Zsa Gabor lost up to $10 million with Madoff]]>http://www.bloggingstocks.com/2009/01/26/zsa-zsa-gabor-lost-up-to-10-million-with-madoff/http://www.bloggingstocks.com/2009/01/26/zsa-zsa-gabor-lost-up-to-10-million-with-madoff/http://www.bloggingstocks.com/2009/01/26/zsa-zsa-gabor-lost-up-to-10-million-with-madoff/#commentsFiled under: ,

Bernard Madoff has claimed another high-profile victim.

A lawyer for Zsa Zsa Gabor tells (subscription required) The Wall Street Journal that the actress and socialite may have lost as much as $10 million investing with Madoff.

The money is believed to have been invested through a third-party money manager, and the missing funds were just noticed by her husband Prince Frederic von Anhalt. Forensic accountants have been brought in to try to figure out what happened.

The Prince is Gabor's eigth husband, but they've been together since 1986.

What will Zsa Zsa do about the schtunk who stole her money? Reuters reports that she isn't taking it well, but who can blame her? I propose that Madoff be tied to a chair where Gabor can slap him silly in a pay-per-view event to raise money for his victims.

Zsa Zsa Gabor lost up to $10 million with Madoff originally appeared on BloggingStocks on Mon, 26 Jan 2009 14:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Bernard MadoffBernardMadoffBernie MadoffBernieMadoffinthenewsMadoffZsa Zsa GaborZsaZsaGaborMon, 26 Jan 2009 14:30:00 EST<![CDATA[Rapped up with Madoff]]>http://www.bloggingstocks.com/2009/01/21/rapped-up-with-madoff/http://www.bloggingstocks.com/2009/01/21/rapped-up-with-madoff/http://www.bloggingstocks.com/2009/01/21/rapped-up-with-madoff/#commentsFiled under: , , ,

Madoff should have asked for protective custody
Instead he asked for bail
The judge sent him home in bracelets
When he should have sent him to jail

Madoff admits stealing $50 billion with no remorse over 30 years
Investors and foundations lost millions and are raining tears

A thousand questions cannot be answered
How could this scandal go on so long?
Undetected by the regulators and investors around the world
Who didn't think always winning meant something was wrong

They turned a blind eye while they were charmed by a smile
From a friendly man with a key to the city and connections that could beguile

The Securities and Exchange commission did not do its job
Incompetence in the highest office for three decades
Giving the swindler Bernie Madoff a license to rob
And pretend he was a genius trader when few were ever made

Continue reading Rapped up with Madoff

Rapped up with Madoff originally appeared on BloggingStocks on Wed, 21 Jan 2009 16:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>bernard madoffBernardMadoffbetrayalLiberMadoffmoney managersMoneyManagersponzi schemePonziSchemeSECsecurity and exchange commissionSecurityAndExchangeCommissionWed, 21 Jan 2009 16:00:00 EST<![CDATA[Bernie Madoff's rules for success]]>http://www.bloggingstocks.com/2009/01/12/bernie-madoffs-rules-for-success/http://www.bloggingstocks.com/2009/01/12/bernie-madoffs-rules-for-success/http://www.bloggingstocks.com/2009/01/12/bernie-madoffs-rules-for-success/#commentsFiled under: ,

I'm always on the lookout for advice on how to live a successful, happy life: And I'm not above taking tips from Bernie Madoff, the biggest con-artist in the history of the world if the allegations are to be believed. If you skip to 2:45 into the video, you can some great advice from him: Don't take anything for granted etc.

The man interviewed by Fox Business said that his father -- a Madoff friend and investor -- told his son on his death bed that he should "trust Bernie Madoff."

Bernie Madoff's rules for success originally appeared on BloggingStocks on Mon, 12 Jan 2009 12:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Bernard MadoffBernardMadoffinthenewsPonzi SchemePonziSchemeMon, 12 Jan 2009 12:45:00 EST<![CDATA[Way Off Wall Street: The public responds to the Madoff scandal]]>http://www.bloggingstocks.com/2009/01/06/way-off-wall-street-the-public-responds-to-the-madoff-scandal/http://www.bloggingstocks.com/2009/01/06/way-off-wall-street-the-public-responds-to-the-madoff-scandal/http://www.bloggingstocks.com/2009/01/06/way-off-wall-street-the-public-responds-to-the-madoff-scandal/#commentsFiled under: , ,

G.E.SattlerWelcome to Way Off Wall Street, a column dedicated to providing Main Street opinions on topics of interest to investors. Each installment highlights the views of Americans who are far removed from the canyons of Wall Street -- and who often see things more clearly as a result.

After reading nearly 400 publicly posted reader comments regarding the Bernard Madoff Ponzi scandal, I believe that I may have a good feel for the grass roots mood on the subject. In a nutshell, the average American internet crawler is thoroughly disgusted with our financial system and its regulatory agencies. They are fed up, strung out and unequivocally irate. As for Bernard Madoff himself, the overwhelming assertion is that he should be strung up immediately. That sentiment is not meant in a figurative sense either. People want Bernard Madoff publicly hanged, and they want it done with much fanfare in a place such as New York City's Central Park. Yes, this sounds rather coarse. Perhaps it's even uncivilized, but as the internet is my witness, this is what people are saying.

Very few of the comments I have read indicate a feeling that Madoff's investors simply got what they deserved. I did, however, read many statements regarding the fact that high level greed obviously forced many large eggs into one very questionable basket. I myself have not much pity for those investors who lost "everything" to Madoff's twisted dealings. It is my opinion that if investors don't have the sense to diversify, and thereby somewhat protect themselves, they are not very deserving of much wealth. Even my own paltry savings reside in no less than five separate accounts, however paltry.

Continue reading Way Off Wall Street: The public responds to the Madoff scandal

Way Off Wall Street: The public responds to the Madoff scandal originally appeared on BloggingStocks on Tue, 06 Jan 2009 19:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>assetsBernard MadoffBernardMadoffcrimemadoffmutual fundMutualFundPonzipunishmentSECTue, 06 Jan 2009 19:00:00 EST<![CDATA[German billionaire beset by money woes commits suicide]]>http://www.bloggingstocks.com/2009/01/06/german-billionaire-beset-by-money-woes-commits-suicide/http://www.bloggingstocks.com/2009/01/06/german-billionaire-beset-by-money-woes-commits-suicide/http://www.bloggingstocks.com/2009/01/06/german-billionaire-beset-by-money-woes-commits-suicide/#commentsFiled under: ,

German billionaire Adolph Merckle, who has been beset by money woes, committed suicide.

According to Bloomberg News, Merckle, listed as 94th on Forbes' list of the world's wealthiest people, was hit by a train. His family released a statement saying he was "broken by his inability to handle the situation." Until recently, Merckle had a good reputation but ran into some bad luck.

"Merckle, whose holdings spanned the cement, machinery and drug industries, was battered by bets on Volkswagen AG, a drop in the value of his HeidelbergCement AG stock and increasing debt," Bloomberg News said. Shares of HeidelbergCement slumped on the news of Merckle's suicide.

Though my heart goes out to his family, the fact that the businessman chose to end his life is not surprising. The current economic crisis has placed people under unbelievable amounts of stress. Sometimes things go horribly wrong.

A French investor recently caught up in the Bernard Madoff scandal recently took his own life. Last year, an executive with a subprime mortgage company murdered his wife of 10 years and the mother of his two children before leaping off a bridge spanning New Jersey and Delaware.

Countless other tragedies that happen every day do not make the news. Divorces are bound to rise and I bet domestic violence is increasing. Let's hope that the government funds mental health services with the same gusto it provides money to money-losing financial institutions.

German billionaire beset by money woes commits suicide originally appeared on BloggingStocks on Tue, 06 Jan 2009 13:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>adolph merckleAdolphMercklebernard madoffBernardMadoffHeidelbergCement AGHeidelbergcementAginthenewsVolkswagen AGVolkswagenAgTue, 06 Jan 2009 13:30:00 EST<![CDATA[How Madoff suckered an expert on gullibility ]]>http://www.bloggingstocks.com/2009/01/05/how-madoff-suckered-an-expert-on-gullibility/http://www.bloggingstocks.com/2009/01/05/how-madoff-suckered-an-expert-on-gullibility/http://www.bloggingstocks.com/2009/01/05/how-madoff-suckered-an-expert-on-gullibility/#commentsFiled under: , ,

Dr. Stephen Greenspan is an expert on why people behave foolishly. That what makes his role as a victim of the Madoff Ponzi scheme so informative and ironic.

In a lengthy op-ed in the Wall Street Journal, the emeritus professor of psychology at the University of Connecticut, Greenspan argues that even highly educated people can become victims of a Ponzi scheme. The architects of these frauds tend to be personable people adept on playing on the insecurities of their clients.

Greenspan did not invest with Madoff directly. Like many victims, he gave money to one of the so-called "feeder funds" after listening to a pitch from an acquaintance of his sister and brother-in-law. He argues that Madoff's lies were not obvious or easy to recognize. Heck, the SEC couldn't figure out what Madoff was up to even though it was given a pretty clear road map. Let's hope Congress can get to the bottom of this in hearings later today.

Continue reading How Madoff suckered an expert on gullibility

How Madoff suckered an expert on gullibility originally appeared on BloggingStocks on Mon, 05 Jan 2009 15:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bernard madoffBernardMadofffeaturedmadoffmadoff scandalMadoffScandalsecMon, 05 Jan 2009 15:45:00 EST<![CDATA[SEC is 0-8 on Madoff probes]]>http://www.bloggingstocks.com/2009/01/05/sec-is-0-8-on-madoff-probes/http://www.bloggingstocks.com/2009/01/05/sec-is-0-8-on-madoff-probes/http://www.bloggingstocks.com/2009/01/05/sec-is-0-8-on-madoff-probes/#commentsFiled under: , ,

Today Congressman Barney Frank (D-MA) will grill the SEC on why it missed the $50 billion Madoff Securities Ponzi scheme. After all, over the last 16 years, the SEC investigated Madoff eight times and each of those times, it failed to discover the scam. This -- and so much more -- means it's time for a change in the way Washington regulates Wall Street.

And Frank is sure to use today's stage to talk. Last Monday, I appeared on a TV program in Boston "with" Frank. I put "with" in quotes because when Frank arrived at the TV studio, he made sure that me and any other guests who were to appear got thrown out of the green room so he could have it to himself. And while I was on the set with Frank -- I was scheduled to go on the show right after him -- he never even looked at me -- by contrast, every other person I have appeared with was happy to introduce themselves.

Frank likes to talk -- he used 25 of the 30 minutes (he was supposed to take up about 15 minutes). (And in the four minutes Frank left me, I gave out a few Bernie awards for the worst financial foibles of 2008.) So when he chairs hearings today, Frank will no doubt do quite a bit of talking. And he'll probably ask why the SEC officials failed to discover the Madoff scandal after receiving emails from a New York hedge fund that described his business practices as "highly unusual." As I posted, I think Frank should focus on the village that enabled Madoff.

Let's hope things get better this year.

Peter Cohan is president of Peter S. Cohan & Associates. He also teaches management at Babson College. His eighth book is You Can't Order Change: Lessons from Jim McNerney's Turnaround at Boeing.

SEC is 0-8 on Madoff probes originally appeared on BloggingStocks on Mon, 05 Jan 2009 08:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>Barney FrankBarneyFrankbernard madoffBernardMadoffinthenewsmadoffSECMon, 05 Jan 2009 08:30:00 EST<![CDATA[How much money does Madoff really have?]]>http://www.bloggingstocks.com/2008/12/31/how-much-money-does-madoff-really-have/http://www.bloggingstocks.com/2008/12/31/how-much-money-does-madoff-really-have/http://www.bloggingstocks.com/2008/12/31/how-much-money-does-madoff-really-have/#commentsFiled under: ,

One of the more intriguing questions of the $50 billion Bernard Madoff Ponzi scheme is where did all of the money go. Investors now may get a rough idea as to what the man who was once considered by investors to be some sort of genius did with their life savings.

According to Bloomberg News, Madoff is due to file a statement today with the U.S. Securities and Exchange Commission listing his assets. That probably is one of the many, many conditions of his bail, including hiring a private security company to keep gawkers and the press away from his apartment building. I am sure the tenant's association meetings have been lively.

Before he was arrested, Madoff allegedly told employees that he had $200 million to $300 million left, according to Bloomberg. His lawyer declined to comment to the news service as to what happened to remaining funds. There are a couple of things to keep in mind.

Much of Madoff's fortune may be in tax havens such as the Cayman Islands, Bermuda or countless other small Caribbean nations. Finding it may be extremely difficult without the cooperation of Madoff or some of his closest associates.

Though Madoff claims to have operated the Ponzi scheme by himself, that probably is not true either. The logistics of keeping such a large fraud going for decades would be difficult if not impossible to maintain. Madoff, like many Ponzi scheme operators, is trying to take the rap himself. Perhaps he is trying to deflect attention from his sons, who both claim they had no idea what their father was doing.

The fact that Madoff is Jewish as were many of his victims is not surprising either. Many Jewish charities and philanthropic institutions did not bother vetting Madoff since he was of the same religion. Victims of fraud often never imagine that one of their own would try to steal from them.

For the many victims of Madoff's scheme, justice many be elusive. Their retirement dreams have been dashed and they will need years to rebuild their financial security. It may take years for them to recover a fraction of the money they lost from Madoff.

How much money does Madoff really have? originally appeared on BloggingStocks on Wed, 31 Dec 2008 14:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bernard madoffBernardMadoffinthenewsmadoff securitiesMadoffSecuritiesSECWed, 31 Dec 2008 14:45:00 EST<![CDATA[Madoff, airlines, Wall Street: We don't need no stinkin' regulation!]]>http://www.bloggingstocks.com/2008/12/24/madoff-airlines-wall-street-we-dont-need-no-stinkin-regulat/http://www.bloggingstocks.com/2008/12/24/madoff-airlines-wall-street-we-dont-need-no-stinkin-regulat/http://www.bloggingstocks.com/2008/12/24/madoff-airlines-wall-street-we-dont-need-no-stinkin-regulat/#commentssigns, like Madoff's incredible secrecy, his surprisingly consistent rate of return, and the clubby nature of his selling staff, there were far more obvious portents. For example, Madoff's chief compliance officer was his brother Peter, and one of the compliance attorneys was his niece. For that matter, the fact that Harry Markopolos, a Boston accountant, has been urging the SEC to investigate Madoff for the last nine years should have been a hint. The same, of course, goes for the 2006 SEC investigation that found violations, but didn't feel obliged to take any substantive action.

As the SEC attempts to assign blame in finest Three Stooges form, it's worth noting that this is hardly the first time that a lack of serious governmental regulation has reared its ugly head this year. At the moment, mobs are currently clamoring for Dick Fuld's head, with a healthy side order of Hank Greenberg, John Thain, John Mack, Lloyd Blankfein, Jimmy Cain, and pretty much everyone who works in New York's financial district. The general perspective seems to be that these men engaged in business practices that ran the gamut from risky to actionable and now should be forced to pay for the economy that they have ruined.

Continue reading Madoff, airlines, Wall Street: We don't need no stinkin' regulation!

Madoff, airlines, Wall Street: We don't need no stinkin' regulation! originally appeared on BloggingStocks on Wed, 24 Dec 2008 16:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>Bernard MadoffBernardMadoffDick FuldDickFuldHank GreenbergHankGreenbergHarry MarkopolosHarryMarkopolosJet BlueJetBlueJimmy CainJimmyCainJohn MackJohn ThainJohnMackJohnThainLloyd BlankfeinLloydBlankfeinmadoffNew York magazineNewYorkMagazinePeter MadoffPeterMadoffTarmac Task ForceTarmacTaskForceWed, 24 Dec 2008 16:30:00 EST<![CDATA[Madoff victim found dead in apparent suicide]]>http://www.bloggingstocks.com/2008/12/23/madoff-victim-found-dead-in-apparent-suicide/http://www.bloggingstocks.com/2008/12/23/madoff-victim-found-dead-in-apparent-suicide/http://www.bloggingstocks.com/2008/12/23/madoff-victim-found-dead-in-apparent-suicide/#commentsFiled under:

The Bernard Madoff tragedy just got more tragic: The Associated Press reports that the founder of a Manhattan hedge fund that invested with Mr. Madoff has been found dead in his office. A French newspaper has reported that the cause of death was suicide.

The news of Rene-Thierry Magon de la Villehuchet's death, and the Madoff connection is making headlines today. He was 65-years-old and married without children. A founder of the Access International Advisors fund, he had reportedly plowed $2.1 billion into Madoff's scheme.

A friend told AFP that for Villehuchet, "Access (International Advisors) was his whole life, and Madoff was a manager in whom he had complete trust. I lunched with him two weeks ago and he said, how lucky it was that Madoff was the only manager still doing well at the moment."

Suicide and fraud have been linked in past scandals as well. Shortly after the collapse of Enron, former high-level executive Cliff Baxter shot himself and left a note for his wife that read "Carol, I am so sorry for this. I feel I just can't go on. I have always tried to do the right thing but where there was once great pride now it's gone. I love you and the children so much. I just can't be any good to you or myself. The pain is overwhelming. Please try to forgive me. Cliff"

Madoff victim found dead in apparent suicide originally appeared on BloggingStocks on Tue, 23 Dec 2008 15:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Bernard MadoffBernardMadofffeaturedRene-Thierry Magon de la VillehuchetRene-thierryMagonDeLaVillehuchetSuicideTue, 23 Dec 2008 15:00:00 EST<![CDATA[Investor sues the SEC over Madoff losses]]>http://www.bloggingstocks.com/2008/12/23/investor-sues-the-sec-over-madoff-losses/http://www.bloggingstocks.com/2008/12/23/investor-sues-the-sec-over-madoff-losses/http://www.bloggingstocks.com/2008/12/23/investor-sues-the-sec-over-madoff-losses/#commentsFiled under: ,

New York retiree Phyllis Molchatsky lost nearly $2 million in Bernard Madoff's alleged Ponzi scheme -- and she's as mad as hell and not going to take it anymore.

Realizing that suing Mr. Madoff won't lead anywhere, she's trying an innovative strategy: suing the Securities & Exchange Commission, alleging that the SEC was negligent in failing to detect and put a stop to the financial crime in progress. Ms. Molchatsky filed an administrative claim for relief, and if the SEC doesn't respond or negotiate within six months, she will have the option of suing the Commission in federal court.

SEC Chairman Christopher Cox has already admitted that the SEC failed to respond to specific and credible allegations of wrongdoing by Mr. Madoff over the years and said that he was "gravely concerned by the apparent multiple failures over at least a decade to thoroughly investigate these allegations."

Still, experts say it will be an uphill battle to win any damages from the SEC. As Law Professor Gregory Sisk said (subscription required) in The Wall Street Journal, "The government undoubtedly would argue that if liability is imposed here it creates a disincentive for the government to do any regulation in the future."

Of course the SEC screwed up badly here, but that's nothing new. If the SEC were held responsible for losses incurred as a result of its many failures to do its job, the damages would make the $700 billion bailout look like a breakfast buffet at Friendly's.

Continue reading Investor sues the SEC over Madoff losses

Investor sues the SEC over Madoff losses originally appeared on BloggingStocks on Tue, 23 Dec 2008 11:10:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bernard madoffBernardMadoffinthenewsMadoffnasdaqnyseSECstocksTue, 23 Dec 2008 11:10:00 EST