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Harry Markopolos: Ponzi scheme bigger than Madoff
- chollida1 11y agoI went through the linked paper a few years ago. It's a good exercise for those of you who are interesting in finance and trading. All you need to understand the paper is a decent grounding in financial theory and a high school education in math. The big take away from this for me wasn't that Markopolos is a genius, though he might be. It's that exposing the Madoff fraud wasn't complicated at all, its just that no one bothered to do any due diligence at all. In a way it's really surprising that there haven't been more lawsuits over this between advisers and clients. http://docdro.id/eCZ73V8 http://docdro.id/eCZ73V8
- hackaflocka 11y agoA question about the Madoff case: I read that his investors were insured by the FDIC (or maybe some other acronym) to the tune of half a million USD (i.e., everyone who invested received up to half a million from US taxpayers). Did this happen?
- ytNumbers 11y agoThere was no FDIC insurance because Bernie's ponzi scheme was not a bank. For this 64 billion dollar fraud, less than 5% of the money been returned to victims. https://en.wikipedia.org/wiki/Madoff_investment_scandal https://en.wikipedia.org/wiki/Madoff_investment_scandal