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Markopolos: 'No One Would Listen'

Harry Markopolos listens to testimony from David Kotz, the Securities and Exchange Commission (SEC) inspector general, not pictured, during a Senate Banking Committee hearing regarding Bernard Madoff, Thursday, Sept. 10, 2009. (AP)

Onetime Wall Street legend Bernie Madoff pulled off the biggest Ponzi scheme in history — until he didn’t. And $65 billion — many people’s life savings — went up in smoke.

Harry Markopolos saw it coming, for years, and could not get anyone to stop it. He and a band of investment insiders begged the SEC to shut Madoff down, to open his books and really see.

They got nowhere. Instead, Harry Markopolos feared for his own life — that big-money Madoff investors would come after him for spoiling the game.

This hour, On Point: The man who yelled bloody murder about Bernie Madoff.

Guests:

Harry Markopolos, securities executive at Rampart Investment Management from 1991 to 2004. He now works privately as a forensic accounting analyst. His new book is “No One Would Listen: A True Financial Thriller.”

Frank Casey, former colleague of Harry Markopolos at Rampart Investment Management, from 1998 to 2001. He was the one who first told Markopolos about Bernie Madoff. He now works for Close Asset Management, a wealth management bank based in London.

More:

WBUR’s Curt Nickisch got the first radio interview with Harry Markopolos, which aired on April 21, 2009. You can read the transcripts and watch video from WBUR.

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  • Cory

    Of course no one would listen. This is America, where might equals right and wealth equals health. Madoff’s victims were making 10% a year in bad years. Of course they didn’t want to hear otherwise.

  • Janet

    Another good example of the failure of gov. to enforce regulations. The punch line is “nobody in gov. was fired”…

  • Gary

    Deregulation = lawlessness

    Somebody should check the bank accounts of the SEC investigators. The vigorous investigation of Madoff’s “moral” failing, would seem to indicate that he was shut down only because he was stealing from the oligarchy, and not the poor.

  • Todd

    “Another good example of the failure of gov. to enforce regulations. The punch line is “nobody in gov. was fired”…”
    Posted by Janet

    True. However, compared to the scam that the U.S. gov’t has run on its own people, what Madoff did looks like charity.

  • Rick Evans

    Ten years from now, with health care at 25% of GDP , Dr. Marcia Angell will get say the same thing about the voodoo health economics behind the Obama-Romney-Care.

  • http://neilblanchard.vox.com/ Neil Blanchard

    Hi,

    To me, this situation smells like Madoff was paying someone at the SEC…

    Sincerely, Neil

  • http://ravenatyournextevent.com Greg

    Brooksley Born ran the Commodities and Futures Crading Commission under Clinton. She identified our system’s vulnerability to credit default swaps and tried to warn Congress but was suppressed by the three wizards who appeared together on the cover of Time: Greenspan, Rubin and Summers. These markets were then further deregulated.

    When Obama came into office, he appointed another Goldman goon named Gary Gensler to run the CFTC. Next month the agency is expected to give the go ahead for DBOR: the Domestic Box Office Receipts futures exchange. Yes that’s right, you’ll be able to bet with real money on the success or failure of movies.

    It seems obvious that Gensler is talking out both sides of his mouth when he says (while preparing to crack down on energy speculation) that it’s the CFTC’s duty to protect the American public from excessive speculation.

  • jeffe

    Ten years from now, with health care at 25% of GDP , Dr. Marcia Angell will get say the same thing about the voodoo health economics behind the Obama-Romney-Care.

    I would say more like 5 to 8 years.

  • BHA

    I lost no money to Madoff. I lost my money (as did hundreds of millions of others around the world) when the economy collapsed due to the actions of people who were equally immoral, self-serving and greedy: millions of bad mortgages and banking and insurance company ‘financial instruments’.

  • jeffe

    The damage this man has inflicted on people and institutions is beyond belief.

    Look at how Brandise university is falling apart and from what I have read about it a huge part of the reason is Maddoff.

    Prison is to good for this man.

  • BHA

    “Prison is to good for this man.”

    True. He, and everyone else who is complicit in the destruction of the world’s economy, should be staked out in the desert. Let the vultures take care of them.

  • Steve V

    And prey tell what has changed? Where is the regulation and the (competent) people to enforce it?

  • BHA

    I forgot to mention:

    Thank you Mr. Markopolos for having had the GUTS and determination to keep on this. You are right, only an idiot in financial circles could miss the obvious impossibility of constantly high returns under all economic circumstances year after year. Hell, I’d be ecstatic with 7% average over time.

  • David Golumbia

    The title should be “they knew all along” rather than “no one would listen.” As Greg so rightly points out above re: Brooksley Born, and as the Frontline episode about her should have said more clearly: everyone inside the banking industry knew that an ENTIRE AREA WAS COMPLETELY OUTSIDE OF REGULATION. that is the SAME THING as a Ponzi scheme. The frightening thing is that while Madoff is in jail, the criminals who perpetrated the larger fraud are still running things.

  • Liz B.

    Question:
    If Mr. Markopolos could elaborate on the fact that many of the mutual fund companies endorsed Madoff even though they knew that he was a fraud. (Austin Capital Mngt, Fairfield Greenwhich Group, etc) The way the system works is that the mutual fund managers collected millions of dollars in upfront fees so they did not resist the chain of fraud.
    Did these ‘go-betweeners’ get or will they get punished for wrong doing?? Where was due diligence??

  • yar

    Statical analysis shows everything from sporting events to political contributions are tilting the game in favor of the insiders. The next big Ponzi scheme is “the idea that baby boomer’s will be able to pull value out of the market as they age.” The only value is what you are able to sell the paper to another investor. The market is not holding assets, it is tapping them for the insiders.

  • Jessica

    Can you please ask Harry to talk about a few of the accounting tricks he looked for (& found) in the Madoff fund? I’m an accountant myself so I find these details interesting!
    Thanks you.

  • cory

    It is nearly pointless to focus on individuals. You have a lazy, greedy populace and a financial structure that is complicated and easily manipulated. The only way to correct this is structural. Dampen incentive, enforce regulation, and harshly punish violators. If these things are not done, nothing will change.

    Is anyone actually suprised that people will steal from others if given an easy opportunity?

  • Terry Brewster

    Tom and Terry,

    Obviously the ‘regulators’ were way too imcompetent, or CROOKED. They should be prosecuted to the fullest extent of the law, and any gains they got confiscated.

    Thanks for the info, Terry

  • Bob

    Why7 didn’t Eliot Spitzer see this?

  • francisco ricardo

    Sad as it has been, the primary problem now is to detect the current Madoff in the system. have regulations or practices changed to make this possible now? the public has not heard of any such changes. what if rather than one legendary name, several smaller but nevertheless major players are caught? Can the economy survive another such shock? Isn’t enhanced detection more crucial now than ever?

  • Deborah M Wilson

    The answer to the question about how so many smart people could get duped by Madoff is simple. It’s not Obama or the Government. It is just plain greed. We can tiptoe around or be dishonest in avoiding the real problem but the bottem line is that it was greed on Madoff’s part and greed on the part of his investors.

  • fredericc

    Who’s tools were the, ‘incompetents,’ at the SEC and above?

  • ted wasserman

    There were many funds ,Blackstone for example,who would not have touched this with any length pole! They spend between $100,000 to $1,000,000 on do-diligance. What is your comment?

  • Jim

    Question:

    Where did all the money go? Madoff could not have consumed it all.

  • http://profitandentropy.com richard goldwater

    Joseph Goebbels was Hitler’s Karl Rove, a great propagandist. He advised using the Big Lie technique, such as the Jews betrayed Germany in World War I. The idea was to tell a lie so big no one would dare question it.
    So, we had an extreme Emperor’s New Clothes situation, I guess the worst possible case of which is that there is god.

  • Noreen

    Where was Congress in oversight of the SEC? Where was Senator Schumer?

  • Gloria

    Do any of the listeners feel as frustrated as I do? I agree with Gary when he speaks about the oligarchy. I think we all have to come to terms with that unless we are one of the elite, rarely will we be heard. We need an army of Harry’s out there, one cannot do it all. He is truly a good, decent man and acted upon his morals to turn this man in. We spend too much time complaining to one another and not doing things like this. Time to stop preaching to the choir and take our government to task. Deregulation was put into place to provide more for those with the most. We bottom feeders are to stay below deck.

  • Nick

    As an engineering student we had seminars about ethics and looked back at engineering failures to learn from. What if any is the ethics training for students getting an MBA or an education in securties etc?

  • Tracey Scharmann

    Many of Bernie Madoff’s investors sound like they were just as greedy as Madoff. If it’s too good to be true, it probably is. This is not just Investment 101, but Life 101. How could these investors reasonably expect these types of returns? Our financial regulation system just doesn’t work. Being a former auditor, I’ve gone in a few times, clueless with my checklists and did the best job that I could do. Regulation cannot be done by checking boxes.

  • jeffe

    Richard, and your point is? I’m not a fan of Karl Rove but he is no Joseph Goebbels and Bush is not Hitler.

    This kind of statement overblown hyperbole.
    If you had any understanding of European history in this region then you would know that antisemitism had a long history going back hundreds of years.
    Martin Luther was an antisemitic on par with both Hitler and Goebbels.

    Anyway the comment has nothing to do with the topic except that Maddoff was Jewish, but that has nothing to do with what he did. Most of the people he stole from were Jewish.

  • Stelios

    Question:

    If he was asked, would Mr Markopoulos consider to be the head of a new “untouchable” regulatory agency?

  • BHA

    Certainly it can happen again:

    - Until banking goes back to ‘know your customer’ and own the loans
    - Until investing again means owning shares in a company you believe is solid. If you think it is faltering, sell it. Investing should NOT be about betting a company will fail.

    - Short selling should be illegal. If you don’t own it, you shouldn’t be able to sell it.
    - Credit default swaps should be illegal. You buy it, you accept the risk it might might fail.

  • Liz B.

    There was an interesting book published last year:
    “Catastrophy – The Story of BL Madoff, the Man Who Swindled the World” by Deborah & Gerald Strober.

    It is worth reading it because it goes into detail how Madoff’s scheme was made possible by many financial experts; how gullible people would trust him or their financial consultants to invest with Madoff who never disclosed his financial strategies; how Madoff deliberately created his own ‘financial guru mystique’; why people were vying for his attention and of course the generous monthly income until the house of cards collapsed; how mutual fund managers profited from his scheme to the tunes of billions of dollars even though they knew that it was a fraudulent financial scheme; and how those who knew or at least suspected the fraud were silenced or did not get attention from the SEC.

    The book also talks about the accounting aspect of Madoff’s. He hired “Friehling & Horowitz in New York, a one-person accounting firm to do his accounting for thousands of clients!!! His practices would not have passed the ‘red flag’ stage with major accounting firms.

    The book is worth reading because it will give you great insights into the financial dealings of the world as well.

  • Lori

    In questioning why Eliot Spitzer ignored his report on Madoff, Markopolous speculates that it was because Spitzer’s family invested with Madoff or that they “ran in the same circles.” Fine.

    Why does he also point out that they are both Jewish? This offhand comment by Markopolous rings of the old antisemetic narrative of a secret Jewish financial conspiracy. It left a bad taste in my mouth.

    I wish Tom Ashbrook would have called him on it.

  • Susan Mojica

    I don’t suppose it’s time to talk about the heart of this matter which is the government monopoly on currency. Dishonest Fiat money – created out of thin air – encourages dishonesty in man. Read “Fiat Money Inflation in France” by Andrew Dickson White to understand what can happen to a people in less than ten years. Our neglect began many years more ago than that, but then the French didn’t have the “man behind the curtain” in the person of the Chairman of the Federal Reserve Board whose office has become a savior
    it was never meant to be.

    No State shall make any Thing but gold and silver Coin a Tender in the Payment of Debts. How easily the law is ignored…at our peril the law is ignored.

    Congressman Ron Paul has again introduced a free competition in currency act (HR 4248) in an attempt to end this unlawful government monopoly. It has one co-sponsor, Rep Walter B. Jones Jr of North Carolina.

  • Rick Evans

    Lori,
    “Why does he also point out that they are both Jewish? ” — I caught that also, however let me play devil’s advocate here. It’s well known that Madoff specifically targeted wealthy Jews and Jewish linked charities in a classic affinity scam. I’ll give Markopolos the benefit of the doubt he was thinking of this without being sufficiently explicit in his comment.

  • Pierre Demers

    Why does it take a disaster to wake people up? The facts were there and no one paid attention because it did not come from a well known financial celebrity. Well the same thing is happenning with health care. Paying for health care with so called health insurance is making haealth care unafordable in this country. Why? Because it is very inefficient. The insurance companies report that they return only 25% to 35% of their income to pay for health care services. The rest of their income, our premiums, goes to pay there expenses to protect the insured money. That means tah collectively we are paying 3 to 4 times what health really cost. When are we going to stop insisting that we need health insurance. We need a different payment system so that we don’t waste our health care dollars.
    Where are the brains of our economist who are trying to make a system work against all natural human traits. The health insurance companies are the Madoff’s of health care.

  • Greg

    If they had anything on the ball, they wouldn’t be working for the government.

  • Very Concerned

    The SEC investigated itself–here’s the report:
    http://www.sec.gov/news/studies/2009/oig-509.pdf
    But . . . who was fired? That’s what I’d like to know.

  • Lisa

    I can’t help but wonder if the fact that Mr. Markopolos is from Boston played a role in his being ignored by the New York “experts”. I have noticed very consistently over the years that New Yorkers have a special disdain for Bostonians, and tend to see them as “nerds”. I can imagine them all rolling their eyes at the annoying guy from Boston who thinks he’s SO smart.

  • jean

    Warning: Mr. Markopolos, at the end of the discussion, suggested there were dangerous situations brewing RIGHT NOW.

    Please, bring him back to elaborate.

    I want to know the danger he sees, and perhaps hear what we citizens can do about it.

    Clearly: regulators, Congress, and other government officials are not capable of cleaning up the obvious, thorough corruption in banking, corporations, and public institutions like government.

    And Frat boys obsessed with competition and their callous, callow selfish selves run the world.

    We’re not out of the woods yet….

  • John Parker

    Great show. Everyone in this country needs to listen to it, stop pointing fingers, and DO SOMETHING to fix the problem by holding those responsible for providing savvy, competent, merciless bull-dog financial oversight, and to prosecute to the maximum of the law anyone who commits “domestic violence” against the people of this country. No one should ever be immune to ethical business practices. No one. It may sound cliche, but it really is a matter of national security when tens of millions of people are out of work, and trillions have been lost.

  • Bush’s fault

    “Clearly: regulators, Congress, and other government officials are not capable of cleaning up the obvious, thorough corruption in ….. public institutions like government.”

    Here’s an idea!…let’s turn over the management and operation of the nation’s medical care to this same government!….makes sense to me!

  • Mark

    I was very surprised to learn from the program that a considerable amount of the people (i seem to remember 50%)who invested with Madoff’s ‘ponzi scheme’ actually made money. Would it not be right to also hold these people as partly responsible for the illegal financial scheme?

  • Steve V

    Mark, As I understand it they are going after the people who made money in Madoff’s scheme. It was mentioned briefly as a “claw back” but not detailed. This will take years to resolve.

  • Liz B.

    Madoff’s scheme was a ponzi scheme, which means that first ‘investors’ receive their investment dividends from the ‘investments’ of the subsequent ‘investors’. It is a pyramid system where first investors are on the top and they get paid from the investments paid by subsequent investors.
    Some of the ‘investors’ made a lot of money over the years and received large returns on their investments.
    Those who invested with Madoff over the past few years of course lost their principal investments without ever seeing a dime of return.

  • Jack

    Congratulations to Harry and his crew on their march through the alligator swamp.

    Think of Madoff as the 1953 sci-fi flick “The Magnetic Monster”.

    I felt he was a bit over strident towards SEC employees who could not vote with their feet because of the burden of their circumstances such as their own or their kids college loans, mortgages or did not portable health plans because of themselves or a family members health problems.

    Glad Harry was in a position to follow the soldier’s code and display true citizenship.

    Tom: Do you remember an article from Thursday, Feb. 26, 2009 in Time magazine on appointee Cox ?

    or

    Colin Powell’s comment that he realized the radicals had seized the government?

    Do you remember Grover Norquist, who grew up in Massachusetts, and his comment to drown government in the bath tub? “My goal is to cut government in half in twenty-five years, to get it down to the size where we can drown it in the bathtub.” – The Nation, 10/12/2004

    How about the Nancy Pelosi hearing with the FBI head in the last year of the last Bush Administration who said the FBI was so tied with up 9-11 work that there was no money or resources for investigation of white collar crime?

    This happened during the party of no: no reform, no progress, no regulation. no government? As Paul Harvey said: “There is no self government without self discipline”.

    Jack

  • Gumshoe

    Nothing has changed.

    I am an investigator of financial fraud (not based in the US). In my recent work I have overturned serious examples of fraud involving tens and even hundreds of millions of dollars, market abuse, forgery, and embezzlement.

    When elements of these cases occur abroad, my agency brings these facts to the attention of our sister agencies overseas. The reaction is almost always first, “how can we get out of investigating this?” (i.e. wrong jurisdiction, not under our laws, etc) and then “how can we shelve this?” Few want to rock the boat, even those with a legal mandate for doing so.

    The problem is also often one of resources. Regulatory agencies are often understaffed or incorrectly staffed, and only Singapore pays its regulators the same salaries they could earn in the private sector. Those of us who do this job well do it because we love it, not because it pays anywhere near what we are worth.

    That so many financial crimes go uninvestigated or unpunished, even in the wake of the near-meltdown of the world financial system in 2007-8, is a source of real concern. The fact that a crime is hard to understand makes it no less harmful. A murderer or rapist affects very few victims. A swindler like Madoff or Skilling (Enron CEO) can rob thousands of their quality of life, for the rest of their lives.

    White-collar criminals are the real “bad guys”. Blue-collar crime, even murder and rape, is penny-ante by comparison. Until societies realize this, nothing will change.

  • Judith A. Rafferty

    My family invested with Bernard Madoff. We were not greedy people but just hard working people who needed to provide for our own retirement. We were people who met Mr. Alpern, Madoff’s Father-in-law, who was a simple NY accountant. Mr. Alpern was also a very hard working honest man. We trusted him, therefore entrusting our money to Madoff. Harry Markopolos is our hero! However, why didn’t the SEC do their job? And why are they still in their comfortable positions when we are hustling in our 70′s to find jobs and keep working. What is the SIPC up to? They should be paying all the investors up to what their investment was up to the $500,000. Where is the accountability? Can we not trust our government to do their job and protect innocent citizens. What will happen to all the people with their 401K’s and investments when they go to retire…will their money be there? Ours is not!!! We need the government to take accountability and PAY for their mistake.

  • Paul

    Please keep your listening audience aware of changes in the SEC being made to solve their glaring problems

  • Frank the Underemployed Professional

    Thank you for this fascinating interview. I really enjoyed it. I did find the following part to be very interesting:

    Paul in Newton, Massachusetts: “I represent the SEC employees and the Board of the National Treasury Union. I spent a career working for the FDIC. I know that the real cause of this problem was the political guys at the top. It was Chris Cox who was an anti-regulation Congressmen. He came in, he took over the SEC and he handcuffed these guys. Now Harry may have talked to two or three, I don’t know how many, maybe half-a-dozen. But I can tell you that there was a whole group of employees who wanted to do their jobs but they were handcuffed.”

    I wouldn’t be surprised if someone at the top, somewhere, either in the SEC or higher up, perhaps someone directly connected to the Bush Administration itself, was an active participant in the Madoff scam.

  • Frank the Underemployed Professional

    To Rick Evans:

    Evans said: “Ten years from now, with health care at 25% of GDP , Dr. Marcia Angell will get say the same thing about the voodoo health economics behind the Obama-Romney-Care.”

    ————

    That may be so, but the take home message should be that we need real socialized medicine which has been proven to work and to be much less expensive in other nations and not compromised free market-based half-measures that allow the wasteful and inefficient insurance system to exist.

  • Frank the Underemployed Professional

    Bush’s Fault said:

    “Here’s an idea!…let’s turn over the management and operation of the nation’s medical care to this same government!….makes sense to me!”

    ————–

    You make a good point. Unfortunately the insurance companies are even more greedy, corrupt, and inefficient than the government and real socialized medicine has proven to be much better than our system in just about every other nation that has tried it. (It’s just blatantly obvious to anyone who does a side-by-side comparison. Let me help you out.

    United States:

    * 17% of GDP spent on health care and growing
    * Tens of millions uninsured or under-insured
    * Insured people living in terror of losing their jobs and health insurance
    * Hundreds of thousands of medical bankruptcies each year, many of whom had insurance.
    * Businesses burdened by insurance concerns and costs.
    * Wealthy insurance executives

    Nations with Real Socialized Medicine:

    * Much smaller percentage of GDP
    * 100% coverage
    * Zero medical bankruptcies
    * Often more doctors per capita
    * A more content populace
    * Businesses not burdened by insurance concerns
    * Fewer wealthy insurance executives (Oh noes! Whatever will happen to the yacht building industry?)

  • Steve Grimes

    Bernie Madoff had a long history of support for… Democrats! You can look it up for yourself at http://www.fec.gov. Search for Madoff in the last name. Lots to Chuck Shumer, $25K to one Democrat Senate Fundraiser, and more. I’m sure this had nothing to do with the SEC looking the other way…

  • Erica Blair

    “Richard, and your point is? I’m not a fan of Karl Rove but he is no Joseph Goebbels
    and Bush is not Hitler.”

    Jeffe

    Your response is pretty cute Jeffe but you don’t get it. Rove lied to the U.S. citizenry and Bush benefited from those lies. No one [we can only hope] will ever be as evil and do as much damage to humanity as Koba or Corporal Schicklgruber but the point is that the evil one is in charge now and he his the father of all lies. The people that put Hitler in power are the ones we should want to deal justice to, probably the ancestors of same oligarchs who put Bush into the presidency – chi lo sa? http://www.reformation.org/hitler.html

    Who financed the Wehrmacht and paid those Nazi troopers? Who paid for the Wehrmacht’s tanks, guns and aircraft? Germany was bankrupt in 1933…

    The ivory tower hoodlums are in charge and we the sheeple just let them roll us over and over again. If justice prevailed, we might rise up, get out our guillotines and go to work. That’s not the Christian path, it plays into the hands of the evil one. So we must wait for Jesus to make things right, as he promised his “sheep.” This is life in the 21st century and we like it!

  • Michael D

    As an occasional insomniac I listened to part of your program, Tom, and without a doubt I know that Monster Madoff was and may still be a target for death in the joint. If elements of the Russian Mafiya (as they spell it) or Mexican-Columbian narcotraffickers were out to kill me, I would be living in stark endless fear! There are Madoff victims out there who if it wasn’t for being caught, tried and ending up in prison for manslaughter they would gladly have made an attempt to kill Madoff. I thought I saw him being shoved in the mob scene during the perp walk a few months ago. Did not surprise me. I am physically tough and adept at street survival so I know there are many male victims over 65 who could wallop Madoff given a chance. Thanks, as always, Sincerely, MBD

  • Bush’s fault

    Frank…you can say anything you want…I don’t believe it.

  • Erik

    In my daydream version of the Incorruptibles, they simply sit on the independent Financial Disclosure Committee and they and their small team of scientists have access to every document in the SEC and the Fed, and they get to decide what to publish, no further permission needed. When they put something out, it gets noticed. A ratings agency showing signs of untrustworthiness? Out’em! A fund manager making ridiculous claims? Out’em!

    Now, that couldn’t possibly work, right? Imagine the panics they could trigger! They would be so susceptible to corruption!

    Could we trust these market elders we pick not to try to take advantage of a drop in a price? They’re sophisticated. If they want to, they’ll find a way no matter how we police them. Is there a chance that the kinds of successful gray-, dyed- and no-hairs we would consider for this job would unequivocally believe that market instability is counterproductive to everyone in the long run? Can it be said that their own investments would probably do worse over time if their actions caused unfounded panics every couple of years?

    The way I imagine it, one of the big things that’s on the line for the members of this hypothetical agency is their reputations. They’re going to be careful what gets the public shaming. They’re not going to air a paranoid hack’s conspiracy theories, but an investigation like Markopolos’, with the bruising analysis, they’d run that stuff. (I’m not saying Markopolos is not paranoid. I think he has to be.)

    Of course a finger-wagging from this panel would cause a run, value would vaporize, people would feel that the SEC robbed them of their retirement money, but if the SEC was wrong, whatever it was should rise again to its fair price, right? If the report’s conclusions were right and it was a scam, there will be less room for the gullible (or fake-gullible) investors to cry “we had no idea!” to the government, hoping to unload their losses on regular taxpayers. Banks will take write-downs, funds will take a hit, there will be lost feathers before things are righted again, but at a fraction of the cost of letting something like this go on for years.

    Markopolos makes it seem reasonable to hope that there exists the know-how to detect only the true scams with no false positives, so that the hammer would never land on anything but scams that are flagrantly wrong, the ones that will blow up anyway because there’s no way the people running them can keep feeding them forever, and they can’t change strategies any more. When we can know that something will blow up eventually, then the choice is between early with a little pain or later with a lot of pain.

    People’s lives were ruined by Madoff because the SEC did nothing. The choice is obvious.

  • http://flustercucked.blogspot.com Frank the Underemployed Professional

    Bush’s Fault:

    Facts are facts. It doesn’t really matter what you believe. The evidence is very clear and the logical reasoning is simple. Why does a society need insurance industry middlemen if they don’t really contribute anything to the actual provision of health care? We don’t need them and they are very expensive.

    —————————————
    Frank the Underemployed Professional
    http://FlusterCucked.blogspot.com

  • slappy

    this is why madoff refuses to talk, has gone to prison and will die there taking his secrets with him. if madoff revealed the truth it would likely bring down the government. the SEC knew what was going on.

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Our Week In The Web: July 25, 2014
Friday, Jul 25, 2014

Why the key to web victory is often taking a break and looking around, and more pie for your viewing (not eating) pleasure.

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