Madoff NEVER Executed Trades In His Broker Dealer

The Madoff story continues to get more un-believable each day.  The Boston Globe reported yesterday that FINRA (regulatory body) says that Madoff’s Advisory business may not have made ANY trades through his brokerage arm.  They are suggesting that there is no record of ANY trades being made.  This revelation tells me that the agency was somehow involved in a cover-up or some sort.  If you’re doing any sort of regulation or investigation or audit of a company in the financial services area, one of the first things you would check would be client statements against the trades that were placed.  What else is there to the business.  All you want to do is to insure the integrity of  the business for the investors.  If you honestly expect me to believe that regulators missed the fact that NO trades went through Madoff’s advisory business, then I’ve got a bridge that I’d like to sell to  you.

“There was no evidence of the Madoff broker-dealer executing trades for the [Madoff] investment adviser,” said Herb Perone, spokesman for the regulatory group, the Financial Industry Regulatory Authority. A broker-dealer is any firm that buys and sells securities.

FINRA and its predecessor, the National Association of Securities Dealers, has been examining the records of Madoff’s broker-dealer operation, Bernard L. Madoff Investment Securities, every two years since the firm started in 1960. The last exam was in 2007, Perone said…..Boston Globe

We obviously don’t know the whole story here.  Madoff was a thief.  That’s clear.  What’s still unclear is who participated in the conspiracy with him.  There has to be someone from the NASD/FINRA that knew this was going on.  It is a totally unacceptable theory that the government just didn’t catch the fact that he wasn’t making any trades through his broker dealer.  This was a theft, in which somebody from the US government had knowledge of and about.  I don’t believe for a minute that the lack of trades was an oversight.

That person from the government, with knowledge  was either real stupid or getting paid a lot of money to keep quiet.   Why would Madoff be permitted to stay in his apartment ?   He’s got the goods on somebody, higher up in this fiasco - my opinion.

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Comment by Donald W.

2009-01-18 08:40:35

Why? Because he is rich and eveyone wants a little of it. Be it congressman, judge, or someone in the SEC. Another problem that I have with your article. You said that person, do you not wish to correct your article with those people and not that person. Billions can make you a lot of freinds in important places.

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