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Madoff

SEC Turns Up the Heat on Private Equity, Hedge Funds

Karen Kroll March 06, 2012

The SEC has been taking a harder look recently at the business practices of hedge funds and private-equity firms, and now that the Dodd-Frank Act requires many more funds to register with the SEC, more scrutiny can be expected. "The SEC staff has been warning the private-equity industry that it plans to significantly step up enforcement actions," says Robert Burwell, a partner at law firm Latham & Watkins.

Bernard Madoff, SEC Chairman?

Bruce Carton September 04, 2009

Since it first began to unfold in December 2008, the Madoff case has been almost beyond belief: A former Chairman of the NASDAQ, managing billions of dollars for many of the world's largest and most prestigious institutions, is a complete fraud? His supposed investment advisory business that for decades appeared to be...

SIPC Lacks Funds to Pay Madoff Victims

Bruce Carton August 01, 2009

Pointing to recent Congressional testimony by SEC Chairman Mary Schapiro on July 14th, a Madoff victim group called the BernardMadoffVictims.org says that it is now clear that SIPC is a "mere façade" and is underfunded because SIPC and the SEC failed to charge the securities industry a realistic price for...

Madoff Gets 150 Years, aka "The Full Bernie"

Bruce Carton June 29, 2009

Today, 71-year-old Bernard Madoff was sentenced to the maximum sentence–150 years in prison (aka, "The Full Bernie")–for his multibillion-dollar Ponzi scheme. U.S. District Judge Denny Chin issued the sentence today in the Southern District of New York.My initial quick thoughts: Whoa!!! After CW's Matt Kelly set the over/under on the sentence at...

The Death of "Bernard"

Bruce Carton June 24, 2009

After the high-profile scandals involving first Ebbers and now Madoff, I have to think that the name "Bernard" has seen its last birth certificate for some time.It's not as if the name – which was in the "Top 100" at the turn of the century – was exactly flourishing before...

Rep. Kanjorski to SEC IG Kotz: Work Faster!!!

Bruce Carton June 16, 2009

Let's try to quickly catch up on the back and forth that has gone on since yesterday between House Financial Services Capital Markets Subcommittee Chairman Paul Kanjorski and SEC Inspector General H. David Kotz. Yesterday, Kanjorski announced that he sent a letter to Kotz calling for an update by the...

"$100 Trillion Offer" for Madoff's Company

Bruce Carton May 21, 2009

Irving Picard, the bankruptcy trustee liquidating Bernard Madoff's securities firm, had to file a motion with the court yesterday to block a supposed "$100 trillion offer" to buy Madoff's company. The NY Post reports that Picard received correspondence from one Ade Ogunjobi proposing an "all stock tax free transaction involving...

New Type of Madoff Defendant Emerges: Account Custodian

Bruce Carton April 03, 2009

A new type of defendant emerged in the Madoff fallout this week as customers of Fiserv Investment Support Services, a former unit of Fiserv Inc. (FISV), filed a class action lawsuit on Thursday against Fiserv trying to recoup their lost money. The case has reportedly been filed in federal court...

Madoff Case Alliance to Propose Global Financial Court

Bruce Carton March 09, 2009

The "Madoff Case Global Alliance of Law Firms" held its second meeting today, and its first in the U.S., at the Manhattan office of law firm McCarter & English. McCarter's Gaytri Kachroo is a member of the Alliance and the lawyer for Madoff whistleblower Harry Markopolos.Members of the Alliance emerged...

Madoff Trustee: No Purchases in at Least 13 Years

Bruce Carton February 20, 2009

The WSJ reports that at a meeting for Madoff investors held today in the U.S. Bankruptcy Court, the trustee overseeing the liquidation of Madoff's firm stated that "his investigation has found no evidence that any securities were purchased on behalf of customers in at least 13 years."Read that again.No evidence...

Madoff Global Alliance Meeting: A Seat at the Table

Bruce Carton February 19, 2009

Two days ago, on Tuesday, February 17, 2009, the first meeting of what is being called the "Madoff Case Global Alliance of Law Firms" took place in Madrid, Spain. It was attended by approximately 40 lawyers from over 20 different countries, as well as at least one non-lawyer from the...

Senate Banking Committee Hearing on "Madoff Investment Securities Fraud"

Bruce Carton January 27, 2009

The Senate Banking Committee's hearing on the "Madoff Investment Securities Fraud: Regulatory and Oversight Concerns and the Need for Reform" began at 10 am today and can be viewed at the link below. In addition, I am following the hearing and offering my thoughts and comments via my Twitter feed,...

More on the Novel Administrative Claim Filed Against the SEC for Madoff Failings

Bruce Carton January 23, 2009

On December 22, 2008, as discussed here, Phyllis Molchatsky, a 61-year-old retiree from Valley Cottage, NY who lost nearly $2 million investing with Bernard Madoff, filed a novel claim against the SEC. Her administrative claim reportedly alleges that the SEC was negligent in failing to detect alleged Madoff’s alleged fraud...

Time for a Brief Reality Check in the SEC Bashing

Bruce Carton January 08, 2009

Hey, did you hear about Meaghan Cheung? It's the age-old SEC tale, one you've probably read about recently in the op-ed section of the New York Times. Ms. Cheung, you see, was an Enforcement Division branch chief (a mid-level supervisor) in the SEC's New York office who signed off on...

House Sets Hearing to Assess Madoff Ponzi, Reform

Bruce Carton December 31, 2008

The House Committee on Financial Services has scheduled a Full Committee Meeting for Monday, January 5, 2009, at 2:00 p.m., to hear testimony on "Assessing the Madoff Ponzi and the Need for Regulatory Reform." The names of the witnesses are not yet listed on the Committee's website, but TPMMuckraker reports...

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