Bernard Madoff s The Ponzi Scheme - 853 Words

Being an investor and investment adviser, Bernard Madoff started off his career as a legitimate and successful businessman also serving as chairman of NASDAQ for several years. Being well respected and unfortunately blindly trusted, Bernard Madoff began to collect investors and clients into his now know Ponzi scheme. Bernard Madoff’s scheme was simply to continually pay high returns to existing clients with the funds brought in by new investors without undertaking in any form of legitimate investment activity. Bernard Madoff was able use his reputation and connections on Wall Street to deceived investors out of billions of dollars by promising high returns with little to no work on their part. They figured it was an easy win on their part, which was ultimately their downfall. Bernard Madoff and even many of his investors and accomplices lacked the desire to demonstrate social responsibility. Solely for the profit, Bernie Madoff and his accomplices created and participated in what can be considered the greatest Ponzi scheme in history. It’s believe that the reason that the scheme went on as long as it did was because the participants were financially rewarded for their silence. Preferred employees were paid well and it bought their silence and loyalty. There was little need or appreciation for honesty and professional business ethics with Madoff and his accomplices when it came to their organization. â€Å"Trust and a good reputation are some of your company’s most valuableShow MoreRelatedBernard Madoff s Ponzi Scheme947 Words   |  4 PagesI am baffled as to how long Bernard Lawrence Madoff’s Ponzi scheme lasted. He started Bernard L. Madoff Investment Securities LLC in the summer of 1960, and did not get caught until he turned himself in on December 10, 2008. There are several things he did to keep himself from getting caught, and several things that could have been done to figure out something odd was happening. Two major points aside from the questions that I’m doing to dive into are that Friehling was not independent and theRead MoreBernard Madoff s The Ponzi Scheme Essay993 Words   |  4 PagesIntro/Overview Bernard Madoff ran the worlds largest ponzi schemes; he lost investors approximately seventeen billion dollars in principle. The following report goes through the events in general from begging to end including a description of the fraud committed, the stakeholders involved and the consequences for them, the role of the auditors and finally the outcome for those held responsible for the ponzi scheme. The organisation, time and place Bernard L. Madoff Investment Securities LLCRead MoreThe Enron And Enron s Scams, The Ponzi Scheme Perpetrated By Bernard Madoff Essay1183 Words   |  5 Pagesten years only, we have seen numerous situations associated with collaborative scams which have shaken the people s trust in businesses and also the general economic climate. A few of the many salient frauds are the WorldCom and Enron s scams, the ponzi scheme perpetrated by Bernard Madoff s, the latest accusations of Goldman Sachs tricking option traders to guarantee the company s personal profit. Incidents such as these designed us all, as upcoming corporation professionals as well as marketRead MoreFinancial Crisis Of 2008 Struck The World1398 Words   |  6 Pagesbusiness scams and schemes that became exposed, creating a colossal uproar and unrest around the world. When the stock market collapsed, people all across America took a hit, with 2.4 trillion dollars of the Americans people’s savings vanishing in just a f ew weeks. This financial crisis also brought to light an unprecedented amount of fraud, over exposing people who were cutting corners. One of the most famous scams that surfaced in late 2008 was operated and executed by Bernard Madoff, in which he perpetratedRead MoreA Report On The Ponzi Scheme1627 Words   |  7 PagesExecutive Summary This report provides a breakdown and assessment of the Ponzi scheme run by American swindler and former stockbroker, investment advisor, and financier Bernard â€Å"Bernie† Madoff. The research draws attention to the biggest fraudulent scheme in U.S. history, emphasizing the use of the so-called Ponzi scheme. Madoff used a variety of techniques that made it difficult to disclose the scam. At the end of each month Madoff sold all stocks and financial instruments so that the hedge fund onlyRead MoreBernard Lawrence Madoff s Life1407 Words   |  6 PagesLawrence â€Å"Bernie† Madoff, American fraudster and a former stockbroker, investment advisor, and financier, born on April 29, 1938. His birth place in Queens, New York. His Birth name â€Å"Bernard Lawrence Madoff.† He was raised in a Jewish family with two siblings. His Mom Sylvia was a daughter of Romanian and Austrian immigrants and a housewife. His parents Ralph and Sylvia Madoff. His father Ralph, a child o f Polish immigrants. And worked as a plumber for many years. In 1932, his parents got marriedRead MoreCase Study : Bernard Madoff Ponzi Scheme957 Words   |  4 PagesAssignment #1- Ethics Paper Bernard Madoff Ponzi Scheme Bernard Lawrence Madoff was born April 29th 1938 (Editors, 2016) in Queens, New York (Editors, 2016). In 1960 Bernard established Bernard L. Madoff Investment Securities LLC (contributions, 2015) a stock brokerage firm on Wall Street. Bernard borrowed $50,000 (Editors, 2016) from his wife’s parents, his father-in-law being a retired CPA and contributing to Bernard’s new firm made it very attractive for investors (Editors, 2016). The firm beganRead MoreBernard Madoff the Fraud of the Century746 Words   |  3 PagesThe Fraud of the Century The Case of Bernard Madoff Summary of the case In December 2008, the highly respected American businessman Bernard Madoff made the headlines when the US authorities accused him of orchestrating a $65 billions Ponzi scheme which is the biggest financial frauds of all time and made of him â€Å" The Conman of the Century†. Bernard Madoff also called   Bernie is a former American businessman, stockbroker, investment advisor, financier and the former non-executiveRead MoreMadoff s Personal And Business Asset Freeze972 Words   |  4 Pagesfinancier, Madoff convinced thousands of investors to hand over their savings, falsely promising consistent profits in return. He was caught in December 2008 and charged with 11 counts of fraud, money laundering, perjury, and theft. Madoff used a so-called Ponzi scheme, which lures investors in by guaranteeing unusually high returns. The name originated with Charles Ponzi, who promised 50% returns on investments in only 90 days. Investigators have determined others were involved in the scheme. SecuritiesRead MoreBernie Madoff Apa Paper1300 Words   |  6 PagesBernard Lawrence â€Å"Bernie† Madoff Shamele Jones Strayer University ENG 215 Professor Erica Ellsworth August 05, 2011 Thesis 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