Bernard Madoff 's The Ponzi Scheme Essay

993 Words4 Pages

Bernard Madoff ran the worlds largest ponzi schemes; he lost investors approximately seventeen billion dollars in principle. The following report goes through the events in general from begging to end including a description of the fraud committed, the stakeholders involved and the consequences for them, the role of the auditors and finally the outcome for those held responsible for the ponzi scheme.

The organisation, time and place

Bernard L. Madoff Investment Securities LLC operates as a securities broker/dealer in the United States and internationally. It provides executions for broker-dealers, banks, and financial institutions (Bloomberg, n.d).Bernard Madoff founded Bernard L. Madoff Investment Securities LLC in 1960 at the age of 22 (The New York Times, 2009). The company had two offices in New York and London. Madoff revealed he was operating a ponzi scheme to his family on December the 9th 2008 and was arrested on the 11th (DuBois, 2009). The company was in liquidation as of the 15th December 2008.

What Happened

No one has been able to prove when Madoff began his scheme. Madoff himself has made contradictory claims about when the crime began. Madoff told CNNMoney that it all started in 1987, but he later said the scheme began in 1992 (Smith, 2013). Bernard L. Madoff Investment Securities LLC by 1989 handled 5 percent of the trade volume on the New York stock exchange (DuBois, 2009). In may 2000 Massachusetts financial analyst Harry Markopolo’s

More about Bernard Madoff 's The Ponzi Scheme Essay

Get Access