FUND FUGITIVE'S '05 'FINAGLING' (mini-Madoffs start surfacing)

NY POST ^ | KAJA WHITEHOUSE and CHARLES BENNETT

[Liz]

........suspicions about missing alleged hedge-fund swindler Arthur Nadel's hedge funds performance date back at least to 2005. Nadel managed six funds through a Sarasota, Fla, firm called Scoop Management...... he may have duped investors out of $350 million.

[Liz]

COMMENTS What is laughable is that "investors" whine that they have been screwed-over.......yet many made a lot of money over the years.......and took out a heckuva lot more than they put in. Clearly some of these "pigeons" were in on the scam.....some investors gave Madoff AN ASTOUNDING $100-500 million to "invest" for years and years. Some investors wrote PERSONAL checks to Madoff's subrosa spinoff vehicle that was not listed on the Securities Exchange (tax evasion modus?).

BIG CLUE In Madoff's case NOT ONE INVESTOR blew the whistle on him......all accusations of fraud were made by objective analysts outside the scam operation. And when fraud raised it's ugly head, Madoff and his investors scared off accusers by playing the Hyphenate Entitlement card.

ORGANIZING LEGAL PRINCIPLE The following should foreclose any cockamamie ideas that taxpayers are gonna bailout these mega-millionaires (who most assuredly have money stashed offshore out of sight of the SEC and IRS). The compelling legal principle of “condonation” is operating here---implied forgiveness for certain behavior. Meaning investors implicitly “condoned” the hedgers' actions over a period of time--sometimes decades. Investors willingly acquiesced to these activities in several ways:

(1) Investing enormous sums of money, sums that were spread out over time (some families invested for generations), even AFTER they had the opportunity to assess their investments;

(2) Referring other investors (if the investment was so bad, why did they bring in other investors?);

(3) Taking profits out of the investment, rolling it over, or putting more money in;

(4) Accepting, without question, obviously flawed monthly statements.

[Bon mots]

Two words:

Social Security

[ripley]

“mini-madoffs start surfacing”

it’s no wonder that they hated those eye-tahlian criminals so much. they resented the competition. (psychotics of one stripe hate psychotics of another stripe.)

IMHO

[greedo]

All of that cash that Madoff gave to elected democrats over the years is what is keeping his white @ss out of jail.

The lesson here for you younger criminals out there, whatever you steal, just be sure to let the democrats get their beaks wet.

[GAB-1955]

No, because the government can make its own money. It's not a Ponzi scheme, which depends on outside financing.

[Bon mots]

No, because the government can make its own money. It's not a Ponzi scheme, which depends on outside financing.

Sir:
With all due respect, you need to bone up on your understanding of economic theory.

[Bon mots]

No, because the government can make its own money...

Really?

[GAB-1955]

I do. It means inflation, but it (ahem) could happen.

[GOPJ]

...Madoff and his investors scared off accusers by playing the Hyphenate Entitlement card.

LOL - first time I've heard that term.