22-02-2009, 11:47 PM
Yup - the regulators were obviously warned not to touch Madoff for years. His fund was off limits to the regulators. Verboten.
Most likely because it was a member of the species Nugan Hand.
This piece quotes the court-appointed trustee.
http://www.google.com/hostednews/afp/art...iJklFK1n3g
Most likely because it was a member of the species Nugan Hand.
This piece quotes the court-appointed trustee.
Quote:Madoff didn't buy securities for clients: trustee
1 day ago
NEW YORK (AFP) — Former Wall Street financier and alleged multi-billion-dollar fraudster Bernard Madoff never bought securities for his clients, said Friday the trustee charged with liquidating Madoff's business.
The former Nasdaq stock exchange chairman, accused of masterminding a 50-billion-dollar pyramid fraud that promised huge returns to investors in return for their capital, appears to have only used his clients to pay off other customers, confirmed court-appointed trustee Irving Picard.
"We have no evidence to indicate securities were purchased for customer accounts," Picard told AFP, recounting what he told a federal court hearing earlier in the day.
Madoff was arrested December 11 after allegedly confessing to his two sons and to the FBI that he had run the giant scam known as a Ponzi scheme, where new investors' money is stolen to pay profits to existing clients.
So far, Madoff is the only person charged in what could be the biggest such fraud in Wall Street history, which has slammed wealthy individuals as well as global banks and charities.
Picard's statements about not buying securities indicate the investment business Madoff ran for his clients was completely fraudulent from the outset, as he did not make investments.
Picard also said so far his efforts have recovered 650 million dollars out of the 50 billion dollars lost in the alleged scam.
US authorities announced earlier this month they had delayed indicting Madoff until March 13, stoking speculation that the former financier was preparing a guilty plea.
Currently Madoff is free on 10 million dollars bail, but confined to his New York apartment under round-the-clock surveillance.
In January a judge refused to lock up Madoff even after it was revealed he sent out more than a million dollars worth of jewelry to friends and relatives in violation of a court-ordered freeze on all his assets.
http://www.google.com/hostednews/afp/art...iJklFK1n3g
"It means this War was never political at all, the politics was all theatre, all just to keep the people distracted...."
"Proverbs for Paranoids 4: You hide, They seek."
"They are in Love. Fuck the War."
Gravity's Rainbow, Thomas Pynchon
"Ccollanan Pachacamac ricuy auccacunac yahuarniy hichascancuta."
The last words of the last Inka, Tupac Amaru, led to the gallows by men of god & dogs of war
"Proverbs for Paranoids 4: You hide, They seek."
"They are in Love. Fuck the War."
Gravity's Rainbow, Thomas Pynchon
"Ccollanan Pachacamac ricuy auccacunac yahuarniy hichascancuta."
The last words of the last Inka, Tupac Amaru, led to the gallows by men of god & dogs of war