This is a mind numbing interview with Harry Markopolos who blew the whistle on Bernie Madoff . . . not once, not twice, but five times . . . starting in 2001.
In this exclusive interview, we learn than Markopolos began his Madoff watch over a decade ago when his boss asked him to reverse engineer the incredible results claimed by a hedge fund run by the ex-CEO of the NASDAQ, Bernie Madoff.
Markopolos, heavily schooled in Calculus, statistics and other advanced mathematics claims it took him only "5 minutes" to know that Madoff was a fraud, and it took him another 4 hours of mathematical modeling to prove Madoff was a fraud.
Markopolos explains he knew Madoff was doing one of two things to claim these unsustainable returns in his hedge fund:
A)Madoff was inside trading
or
B)Madoff was lying about his results
Either way, he knew Madoff was destined for prison.
Other tidbits from this 60 Minutes piece where we learn:
- Markopolos explains why he believes Wall Street knew about Madoff's fraud and why they didn't blow the whistle like he did
- Markopolos tells us the reasons why the SEC investigators are so inept at uncovering financial felonies (very interesting view).
- There's actual footage of Bernie Madoff praising the SEC before a non-profit group saying, "It's virtually impossible for a violation to go undetected." Later this same non-profit group goes bankrupt after investing it all in Madoff.
- How one woman has to move in with friend while putting her mom in a Medicaid run assisted living center because of Bernie Madoff
- How one 80 year old man lost an 8 figure family fortune by investing with Madoff who admits on camera he and his wife have just enough money to live on for the next 60 days (you'll also see what he and his wife were selling to cut expenses)
- What is an "Affinity Scam"?
- How one feeder fund made hundreds of million so dollars yearly by sending Madoff business in return for "finder fees"
- How feeder funds made the Madoff Scheme and International scam
- What Fairfield Greenwhich Hedge Fund, which invested heavily in Madoff, is accused of not doing for the past 20 years to insure their investors' safety
So, gang, here's another "This is what you get when you trust the Best and Brightest Masters Of the Universe" videos we are chronicling daily here at the Watchworld and on http://www.a1anews.com/
Beware, it's dangerous to your wealth out there!
Rock in Key West
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