Bernard Madoff - $50 Billion Scam

[Macquack]

hasnt all his assets been seized already?? I'm pretty sure he has nothing left... its all gonna get sold and get paid back to the people who invested in him.

Jono, you are very trusting of Madoff's integrity.

I reckon that somebody who was able to pull off a scam like that for so many years would have some big cash stash in the Caymans or the Bahamas or Swiss bank account.

Probably in a fake name or relative's name. I don't believe his wife will be living in poverty now either.

Krusty is on the money.

 

[Krusty the Klown]

Krusty is on the money.

I just wish I was IN the money!!!

 

[awg]

This story has a way to go.

The IRS and SEA should be watching Madoffs sons like hawks

reminds me of a story i once heard about an old farmer on the north NSW coast, and his sons..old man finds out he has terminal cancer so decides to secure family finances with a large cannabis crop.

a low risk investment strategy under the circs

sons become very wealthy property investors ( allegedly)

 

[pj2105]

The fact that he was able to pull it off for so long and he only really got caught because the the global financial crisis, not because the pyramid scheme was falling down on itself, I think is quite amazing and the main lesson to learn here is that 'nobody looks after your money better than you do.'

 

[Solly]

Big Bernie was surprised his $US65 billion ($78 billion) Ponzi scheme was not uncovered sooner, he said in his first interview since entering prison...

more here;

http://www.news.com.au/business/story/0,27753,25852605-31037,00.html

 

[Solly]

"Book Really Does Tell All About Madoff's Mini-Madoff"

(Caution article contains reference to small genitalia)

More here from Bloomberg,

http://www.bloomberg.com/apps/news?pid=20601109&sid=aKMd6KBEnngE

and a bit more here,

http://gothamist.com/2009/08/19/book_really_does_tell_all_about_mad.php

Don't really know why I'm laughing so much
​

 

[Krusty the Klown]

So now we know the reasons why he did it ........

 

[jono1887]

So now we know the reasons why he did it ........

“Bernie had a very small penis,” she wrote. “Not only was it on the short side, it was small in circumference. That he was now pointing it out to me was telling. It clearly caused him great angst."

hahahaha... he was overcompensating :

 

[Solly]

Prosecutors say half of Bernie Madoff's investors lost nothing in Ponzi scheme...........

Because they withdrew more from their accounts than they contributed.

WTF.....?

Read more here;

http://www.nydailynews.com/money/2009/09/23/2009-09-23_50_of_madoff_investors_lost_nothing.html

 

[NeuromanceR]

Prosecutors say half of Bernie Madoff's investors lost nothing in Ponzi scheme...........

Because they withdrew more from their accounts than they contributed.

WTF.....?

You don't believe this is possible?

 

[Solly]

You don't believe this is possible?

I can't believe that half got their money out, I thought it would have been much lower.

I now see it was a refined scam rather than a boiler room sting.

 

[Solly]

Sex, drugs alleged in suit against Madoff associates

Bernard Madoff's investment firm had a "diversion-filled office environment" featuring a culture of "sexual deviance" and drug use, says a lawsuit filed Tuesday against companies that dealt with the Ponzi-scheme mastermind.

According to the suit, employees described "wild office parties sans spouses" featuring topless entertainers serving as waitresses, and sexual encounters on "their boss' sofa.

http://www.latimes.com/business/la-fi-madoff21-2009oct21,0,5713003.story

Looks like Big Bernie may have gotten a few things right in the financial advisory game, I can hear the face palm from Townsville from here.....

 

[Krusty the Klown]

Prosecutors say half of Bernie Madoff's investors lost nothing in Ponzi scheme...........

Because they withdrew more from their accounts than they contributed.

WTF.....?

Read more here;

http://www.nydailynews.com/money/2009/09/23/2009-09-23_50_of_madoff_investors_lost_nothing.html

I can see the logic in that statement.

What they are saying is if an investor invested a $1M lump sum and over 20 years received income of over $1M from Bernie then they have got their money back - that's only 5% p.a. and Bernie was offering and paying 10-12% p.a.

Doesn't mean Bernie should be treated any different though.

And cold comfort to investors.

 

[nomore4s]

I can see the logic in that statement.

What they are saying is if an investor invested a $1M lump sum and over 20 years received income of over $1M from Bernie then they have got their money back - that's only 5% p.a. and Bernie was offering and paying 10-12% p.a.

Doesn't mean Bernie should be treated any different though.

And cold comfort to investors.

Provided you didn't reinvest the funds.

With a ponzi scheme it is the last ones in that get stung the hardest.

 

[Krusty the Klown]

Provided you didn't reinvest the funds.

With a ponzi scheme it is the last ones in that get stung the hardest.

That's true, you would wonder why the prosecution, of all people, would make a statement like that.

What point does it serve? To make Bernie look less guilty?

 

[nomore4s]

That's true, you would wonder why the prosecution, of all people, would make a statement like that.

What point does it serve? To make Bernie look less guilty?

Yeah a bit bizarre. Also even if they had got the original investment amount back via dividend payments during the years you still lost the amount in the fund which is your money!

And any dividend payments would have had tax paid on them as well.

 

[Krusty the Klown]

Yeah a bit bizarre. Also even if they had got the original investment amount back via dividend payments during the years you still lost the amount in the fund which is your money!

And any dividend payments would have had tax paid on them as well.

Also the opportunity cost of investing elsewhere and getting your principal back.

 

[jono1887]

Yeah a bit bizarre. Also even if they had got the original investment amount back via dividend payments during the years you still lost the amount in the fund which is your money!

And any dividend payments would have had tax paid on them as well.

Well not really.. that money in the fund is other peoples money that have been given to you as 'dividends'. So really the amount in the fund is not your money, its a fictitious number they have simply made up over the years.

 

[GumbyLearner]

Well not really.. that money in the fund is other peoples money that have been given to you as 'dividends'. So really the amount in the fund is not your money, its a fictitious number they have simply made up over the years.

Well that's right MadeOff TM Ponzi involved a lot of recycling to initial contributors. Sort like an Amway gone bust.

Here's a MadeOff TM Calculator you can use to assess the damage. You can enter any parameters/variables to assess scam duration losses.

http://www.editgrid.com/tnc/dave/BernieMadoffCalculator

 

[nomore4s]

Well not really.. that money in the fund is other peoples money that have been given to you as 'dividends'. So really the amount in the fund is not your money, its a fictitious number they have simply made up over the years.

Yes but as you didn't know it was a ponzi scheme till it all blew up, you have still lost that money. It still has to be written off.