Bernie Madoff Research Paper

The case of the Madoff was a very complicated case. From an ethical perspective, this would be considered as a white collar crime. Bernard Madoff sacrificed the public interest to pursuit his own financial goals in life. He and his family lived a lavish life style, which caused them to become deeper and deeper in the scheme to maintain this life style. There main focus was to scheme as many people out of money to persuade as many new investors as they could. Madoff family gained access to Washington lawmakers because of Madoff’s broker’s dealings. The family used the investor’s monies for personal gain without regard to their personal financial losses. First of all, Madoff manipulated the stream of cash flow to make it look like his

Bernie Madoff began his career as an investment broker in 1960, where he legally bought and sold over-the-counter stocks not listed on the New York Stock Exchange (NYSE). From the 1960’s through the 1990’s, Madoff’s success and business grew substantially, mainly from a closed circle of known investors and friends through word of mouth. In the 1990’s Bernard L. Madoff Investment Securities traded up to 10 percent of the NASDAQ on any given day. With the success of the securities business, Madoff started an illegal money-management business, promising his investors consistent returns from 10-12 percent, unheard of returns at the time, which should have tipped off most investors that something was amiss.

In December 2008, one of the largest Ponzi scheme surfaced when Mark and Andrew Madoff reported the works of their father, Bernard Madoff to the federal authorities. A Ponzi scheme is an investing scam that promises high rates of return with little risk to investors. The operator generates returns for older investors by gaining new investors. Bernard was arrested on December 11, 2008 and charged with securities fraud. He pled guilty to 11 counts and was sentenced to 150 years in federal prison-the maximum possible prison sentence. A reported $17.3 billion was invested into the scam by Bernie’s clients and only about $2.48 billion have been returned to these victims as of September 2012.

Bernie Madoff was one of the most prolific Ponzi-scheme artists in history. Madoff schemes netted him millions of dollars. Mr. Madoff used his BMIS Bernard L. Madoff Investment Securities a New York Limited Liability company, to commit fraud, money laundering, and perjury. This is just a few things that Mr. Bernard Madoff has done to many innocent investors, who believed in Mr. Madoff, and everything he stated. Due to Mr. Madoff’s action he has changed so many people’s lives. Some have lost everything, some committed suicide, and others just humiliated by Mr. Madoff. This paper is to tell you about Mr.

Bernard Lawrence "Bernie" Madoff is a former American businessman, stockbroker, investment advisor, and the former non-executive chairman of the NASDAQ stock market. He is very successful in his early life. Madoff founded the Wall Street firm Bernard L. Madoff Investment Securities LLC in 1960 by buying and selling over-the- counter stocks that were not listed on the NYSE. As he became more successful, he moved the company’s headquarters from Wall Street to the famous “Lipstick Building” on Third Avenue. After that, Madoff started to help his investors to manage their money. He used Ponzi scheme to cheat his clients by promising of consistent returns of 10 to

Many times in a Ponzi scheme the offender targets people they do not know personally but not Madoff. He had family, friends, employees and even charities and non-profit organizations as investors. “He tapped local money pulled in from country clubs and charity dinners, where investors sought him out to casually plead with him to manage their savings so they could start reaping the steady, solid returns their envied friends were getting” (Colesanti, 2012). “Levy invested $100,000” for Dell’Orefice, who felt honored to be a part of the “exclusive fund” (Lewis, 2010). Sheryl Weinstein, who was a friend of Madoffs for nearly 24 years, lost her entire savings to Madoff’s Ponzi scheme. “The charitable foundation of philanthropist Carl Shapiro had invested about 45 percent of its assets ($345 million) in Madoff's fund” (Auerbach, 2009). It is “estimated that Madoff's scam cost Jewish philanthropies at least $600 million, and

On Dec. 11, 2008, Bernard Lawrence Madoff confessed that his vaunted investment business was all "one big lie," a Ponzi scheme colossal in volume and scope that cost investors $65 billion. Overnight, Madoff became the new poster child for Wall Street gall, greed and

One day, Barker still Huckster. Bernard Madoff belongs to this category. It is same probably what is best in the genre. An artist of the muddle, able to sell anything to anyone. From the bottom of his cell in the federal prison in Butner (North Carolina), in three quarters of an hour northeast of Durham, that it has dubbed "Uncle Bernie", because of his bonhomie able to instantly build trust, continues to do business. Get rich on the back of his contemporaries, be they actors, rich annuitants or simple fellow inmates, is second nature at home.

While there are several known small scale Ponzi schemes that were piloted by one individual, there is no feasible way that the Madoff situation could have been accomplished by only Bernie Madoff. Whereas most individuals would believe that the first people that Madoff would turn to would be his family, this does not appear to be the circumstance. Bernie Madoff’s direct relatives were the people who were worse hit by the repercussions with many

Bernard L. Madoff Investment Securities LLC was founded and run by Bernie Madoff from its founding in 1960 until Madoff’s arrest date in 2008. Madoff Securities started out as a penny stock trader with today’s equivalent of roughly $40,000 that Madoff earned in previous jobs. They started off selling shares through pink slips from the National Quotation Bureau. However they wanted to keep up with other firms that traded on the stock floor so they helped develop a program that can publish a firm’s quota. This program later became the NASDAQ. Madoff Securities became a third market provider that was able to execute over the counter orders thus enabling them to avoid all exchange specialist firms. By the early 2000s, Madoff

Madoff was able to align himself with wealthy individuals, leaders involved in foundations, business entities, and government. This gave him unlimited access to different groups of investors. Among Madoff’s Ponzi scheme victims, it is easy to find wealthy individuals, charitable organizations, and its stakeholders, such as employees, communities, vendors, and even the government.

This Ponzi scheme was considered to be the greats Ponzi scheme in history. Bernie deceived his investors in order to accumulate personal wealth. This act was unethical in multiple ways; one being that he betrayed the trust of his investors. He didn’t considering the people he was taking money from. The greed of the money was so overwhelming that it didn’t matter how many people he had to utilize in order to obtain the wealth he desired. Madoff was heartless and had to know that someone was going to raise an eyebrow. His decision to swindle money from his investors was not a rational decision. Thus he is reaping what he sowed.

Introducing Bernard L. Madoff born April 29, 1938 in Queens, NY and is presently serving a one hundred fifty-year prison sentence. Who is this fraudster Bernard L Madoff also known as “Bernie” and what fraud did he commit? Bernie’s parents Ralph and Sylvia Madoff were Polish immigrants struggling and working during the Great Depression Era. In later years, his mother worked in finance as a broker-dealer for their company Gibraltar Securities. The SEC eventually forced the business to close due to non-reporting issues regarding the businesses financial condition. Around age twenty-two, Bernie Madoff started his own investment firm Bernard L. Madoff Investment Securities LLC and was

Madoff reportedly admitted to investigators that he had lost $50 billion of his investors' money, and pled guilty to 11 felony counts—securities fraud, investment adviser fraud, mail fraud, wire fraud, three counts of money laundering, false statements, perjury, false filings with the United States Securities and Exchange Commission (SEC), and theft from an employee benefit plan—on March 12, 2009. While the extent of his fraud is still being uncovered, prosecutors say $170 billion moved through the principal Madoff account over decades, and that before his arrest the firm's statements showed a total of $65 billion in accounts.

Madoff was arrested by Federal authorities on December 11, 2008 after being alerted by his sons. Madoff pleaded guilty to 11 federal crimes and admitted to operating the largest private Ponzi scheme in history on 12 March 2009. Later on, in June 2009, he was sentenced to 150 years in prison with huge compensatory fine of $17 billion. As per the original federal charges on him, Madoff said that his firm had under their belt total liabilities to the tune of US$50 billion. But, based on the amounts in the accounts of Madoff's 4,800