Madoff trading station

Madoff's Ponzi Scheme

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    Madoff's Ponzi Scheme Begins

    Federal investigators believe the fraud began as early as the 1980s. Madoff said he began the Ponzi scheme in the early 1990s. Bernard Madoff, a renowned Wall Street trader, initiates a scheme to defraud his investment clients. He eventually accepts billions of dollars from individual investors, charitable organisations, pension funds, hedge funds, and others. He claims that his sophisticated trading and hedging strategy will produce investment gains in all market conditions.
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    Political Contributions

    Madoff and his wife make Political Contributions to federal candidates, parties and committees. The Committee has returned $100,000 of the Madoffs' contributions to Irving Picard, the bankruptcy trustee who oversees all claims. Senator Charles E. Schumer returned almost $30,000 received from Madoff and his relatives to the trustee, and Senator Christopher J. Dodd donated $1,500 to the Elie Wiesel Foundation for Humanity, a Madoff victim.
  • Harry Markopolos tries to alert financial regulators to Madoff's fraud

    Massachusetts financial analyst Harry Markopolos tries to alert financial regulators to Madoff's fraud, saying his alleged trading strategy could never yield such continuously positive returns. The US securities and exchange commission ignores his warning several more times over the next few years.
  • Bernard Madoff sat on the Board of Directors of the Securities Industry Association, which merged with the Bond Market Association in 2006 to form SIFMA.

    The Securities Industry and Financial Markets Association (SIFMA) brings together the shared interests of hundreds of securities firms, banks and asset managers. SIFMA's mission is to develop policies and practices which strengthen financial markets and which encourage capital availability, job creation and economic growth while building trust and confidence in the financial industry. SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Market
  • Ruth Madoff withdraws Millions from Madoff Brokerage Firm

    Ruth Madoff withdraws $5.5m from a Madoff-linked brokerage firm.
  • Ruth Madoff millions more.

    Ruth Madoff withdraws another $10m on 10 December.
  • Madoff's sons report to Authorities of their Father's Fraud

    Madoff's sons told authorities that their father had confessed to them that the asset management unit of his firm was a massive Ponzi scheme, and quoted him as describing it as "one big lie."
  • FBI Agents arrest Bernard Madoff

    FBI agents arrested Madoff and charged him with one count of securities fraud. The U.S. Securities and Exchange Commission (SEC) had previously conducted investigations into Madoff's business practices, but did not uncover the massive fraud.
  • A federal judge freezes Madoff's assets.

    A federal judge freezes Madoff's assets.
  • A federal judge appoints a trustee to find funds

    A federal judge appoints a trustee to find funds to restore to Madoff's victims, who number roughly 4,800 in the US and abroad.
  • Madoff's wife surrenders her passport.

    Madoff's wife surrenders her passport. He is confined to his luxurious $7m Manhattan apartment and ordered to wear an electronic tag after failing to find anyone outside his family willing to guarantee his $10m bail.
  • French hedge fund manager Thierry de la Villehuchet is found dead

    French hedge fund manager Thierry de la Villehuchet is found dead in an apparent suicide. His company Access International Advisers lost as much as $1.4bn of its clients' money in Madoff's scam.
  • Madoff distributes personal assets to friends and relatives

    Prosecutors reveal Madoff distributed $1m worth of jewelry and personal possessions to friends and relatives. Prosecutors say he violated an order freezing his assets.
  • Prosecutors reveal Madoff had $173m in signed checks

    Prosecutors reveal Madoff had $173m in signed checks in his desk when he was arrested, which they argue show he sought to keep assets from fleeced investors. Prosecutors ask Judge Ronald Ellis to send Madoff to jail; Ellis declines.
  • Madoff under house arrest

    Madoff avoids jail when judge rules he can stay in his $7m apartment but must submit to mail searches.
  • Financial services regulators say no evidence exists that Madoff ever traded a single share on behalf of his investment clients

    Financial services regulators say no evidence exists that Madoff ever traded a single share on behalf of his investment clients, in more than 40 years of examining his books.
  • Madoff pleads Guilty

    Madoff pleaded guilty to 11 federal crimes and admitted to turning his wealth management business into a massive Ponzi scheme that defrauded thousands of investors of billions of dollars.
  • Madoff jailed after pleading guilty to all 11 charges against him.

    Madoff jailed after pleading guilty to all 11 charges against him.
  • Filing by Madoff reveals net worth

    According to a March 13, 2009, filing by Madoff, he and his wife were worth up to $126 million, plus an estimated $700 million for the value of his business interest in Bernard L. Madoff Investment Securities LLC.[35] Other major assets included securities ($45 million), cash ($17 million), half-interest in BLM Air Charter ($12 million), a 2006 Leopard yacht ($7 million), jewelry ($2.6 million), Manhattan apartment ($7 million), Montauk home ($3 million), Palm Beach home ($11 million), Cap d' An
  • Bernard Madoff Sentenced to 150 years

    Bernard Madoff sentenced to 150 years in prison, the maximum allowed
  • Mark Madoff, age 46, was found dead in his New York City apartment.

    Exactly two years after Bernard's arrest — his elder son Mark Madoff, age 46, was found dead in his New York City apartment. The city medical examiner ruled the cause of death as suicide by hanging.