[AngryJawa]

In the case of Madoff (as I understand it), he set up his little scheme in an area outside the purview of the SEC and his clients were chomping at the bit to take advantage of that. His clients were gambling and did not bother to question Madoff's practices. Lack of personal responsibility has a lot to do with that particular mess.

In the case of most of the other travesties in the financial sector, I will stand by the notion that the FedGov had the law and the manpower in place to prevent the problem, but they failed to do their jobs. Bureaucrat 101.

More government IS NOT and never is the answer.

[bronxboy]

Actually-he had registered hedge funds. People had expressed concern to the SEC and nothing was done. We absolutely need more regulation. These people have bankrupted this country with their outright criminal behavior. I think more will do the perp walk before this is over. How many more are out there? In the 80’s deregulation lead to an Savings and Loan scandal. It’s always the same old story...once regulation are relaxed we have major problems.