
Harry Markopolos: Ponzi scheme bigger than Madoff - jrs235
http://www.businessinsider.com/harry-markopolos-ponzi-scheme-bigger-than-madoff-2016-2
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chollida1
I 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)

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hackaflocka
A 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?

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ytNumbers
There 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)

