Madoff says losses of 50 Billion!

Who know yet if Madoff had margin, but what if some of his clients had to meet margin calls, and they have no money now? More losses, more complicated.

 

A sophisticated big-time swindler like Madoff doesn't wind up his scam by having a conscience attack and admitting everything without considering the consequences.

Madoff knew years ago that people suspected something, and that the SEC had been contacted.

His exit strategy was no doubt planned in excruciating detail by lawyers a long time ago and updated as necessary. It was scripted to protect his sons and probably to siphon as much money as possible into secret offshore accounts.

 

Mitchell, actually Bill Cara, comes up with another scenario, maybe the answer. I guess you have to think outside the box in such a wierd situation. He's very good. And by the way, He's about to unleash some names people were asking about in another thread. The "Guru" should not be a surprise...... I don't think any of the 20 will like the spotlight.

http://www.deepcapture.com/a-ponzi-scheme-that-is-bigger-than-bernies/

 

its right there in the article u cited,rather than take his sons down,he had them call the fbi and turn in there father,they might come out as innocent. The other obvious thing that may have already been mentione,(didnt read the first few pages),if i share an office with 5 traders and 4 of us are happy with 1-2 mill a year and the 5th guy is pulling in 100 mil,we ,the other 4, would start trading like the 100 mill guy,criminal hedge funds,even though they are offshore, ,you can bet there are quite a few,copied the same scenario and havent been fngered yet

 

This fraud is large. Should now be called a "Madoff scheme" instead of a Ponzi scheme.

 

Maybe Madoff found out recently he has terminal cancer and this is time to funnel the inheritance to the sons..

.. This will make a good movie.

 

Madoff Arrest Sends Shockwaves Through Jewish Philanthropy



The arrest of Wall Street trader Bernard L. Madoff, who federal agents say defrauded investors of an estimated $50 billion, has had immediate consequences in the Jewish philanthropic world. One charity already closed and insiders are worried that the ramifications of Madoff’s financial demise may extend to the many organizations he supported and the wealthy Jews he advised.

On Friday, Madoff resigned from Yeshiva University, where he served as the chairman of the Sy Syms School of Business and treasurer of the board of trustees. Madoff and his wife, Ruth, had also endowed a “Presidential Fellowship” at the university.

In a statement, a YU spokeswoman, Hedy Shulman, said that news of Madoff’s arrest had “shocked” university officials, adding: “Our lawyers and accountants are investigating all aspects of his relationship to Yeshiva University. We reserve our comments until we complete our investigation.”

The same day, the Boston-based Robert I. Lappin Charitable Foundation, which had the bulk of its money invested with Bernard L. Madoff Investment Securities, closed its doors and terminated its seven staff members. A 16-year-old charity, the organization’s stated goal had been “reversing the trend of assimilation and intermarriage.”

It had funded teen trips to Israel, enrichment programs for Jewish educators, and interfaith outreach initiatives. According to a press release issued Friday by the foundation, all of its assets had been frozen by the federal courts. “The money needed to fund the programs of the Lappin Foundation is gone,” the statement read.

“It’s with a heavy heart that I make this announcement,” the organization’s trustee, Robert I. Lappin, said. “The Foundation’s programs have touched thousands of lives over many years in our efforts to help keep our children Jewish.”

Madoff also made charitable donations to other Jewish organizations, including the 92nd Street Y, where he and his wife were listed as “Benefactors” — having given a gift of between $2,500 and $4,999 to the 2006–2007 annual campaign.

He had also chaired a gala fundraiser on behalf of Gift of Life, a Jewish bone marrow registry and cord blood bank.

In addition, the Madoffs were such significant contributors to UJA-Federation of New York that the charity placed a death notice in the New York Times, extending sympathies to the Madoff family following the death of a family member. The notice mentioned Bernard Madoff, and referred to the family as “cherished friends and leaders whose deep commitment to the New York Jewish community profoundly impacts millions of lives.”

Madoff Arrest Sends Shockwaves Through Jewish Philanthropy

The investor was close to a number of prominent Jewish donors, both on Wall Street and elsewhere. The Wall Street Journal reported that members of the Boca Rio Golf Club in Boca Raton and the Palm Beach Country Club in Palm Beach were heavily invested with Madoff’s firm. Both clubs are heavily Jewish.

Madoff, 70, was arrested on Thursday and released on a $10 million bond. A lawyer for Madoff told the Wall Street Journal: “Bernard Madoff is a longstanding leader in the financial-services industry with an unblemished record. He is a person of integrity. He intends to fight to get through this unfortunate event.”

http://www.forward.com/articles/14725/