Posted on 03/15/2009 3:24:09 AM PDT by TigerLikesRooster
Most of Madoff's victims were also his accomplices
By Joe Nocera
Friday, March 13, 2009
NEW YORK: Standing in the security line Thursday morning, waiting to get into the federal courthouse in Manhattan, I started chatting with the man behind me. He looked to be in his early 60s, and though he was well dressed, he looked a little haggard. I asked him if he was a victim of Bernard Madoff, who would soon be pleading guilty to masterminding the greatest Ponzi scheme in history. He said he was.
Did he want to talk about it? He wasn't sure, he said. I asked his name. "I'm not going to give my name unless there is some benefit for me," he said dourly. "I haven't had too many benefits lately."
How much had he lost? I asked. He grimaced. "I don't really want to say," he replied, but conceded that it was a lot.
What was he hoping for today? He shrugged.
As we passed through security, I asked him what role he thought the government should be playing. It was as if I had flipped a switch. Suddenly, his reticence fell away.
"The SEC," he said, referring to the Securities and Exchange Commission, which muffed multiple opportunities to catch Madoff, "they played a big role in this. They have a lot to answer for." He said that the tax code should be changed so that Madoff victims can recoup taxes they paid on profits that turned out to be illusory — no matter how far in the past those taxes were paid. He thought the Securities Investor Protection Corporation, which tries to put at least a little money in the hands of investors whose firms have gone under, should give victims more than the current $500,000 maximum.
(Excerpt) Read more at iht.com ...
Then how about "victimhoodlums"?
According to the SIPC's own website, it does not cover fraud.
Good mercy, look at her articially remodeled or botoxed face!!
Given that attitude, then there's no fault, other than your own, for anything bad that befalls you, when you trust someone else to do something, since you've abdicated your responsibilities to do it yourself.
For instance, if you're in a car wreck, because the brakes on your car failed, it's your responsibility because you didn't install and test the new brakes yourself. If you get sick because of food poisoning, it's your fault for not growing your own food, and ensuring that the preparation of that food was hygienic. If your house explodes and burns down, due to a fire caused by overpressure in the gas mains, you're responsible for not maintaining the gas line, and keeping a vigilant eye on the regulator.
In the world we live in today, it's simply not possible for one person to do everything needed to live a "civilized" existence in society. We have to rely on the expertise of others. And in many cases, society has organized governments to provide certain services, and even regulate some industries, in order to combat the fraudulent taking of life or property in exchange for compensation. After all, THAT IS one of the legitimate roles of government.
Given the fact that Madoff was issuing fraudulent documents, AND he was registered as being covered under the US government protection laws for his industry, then I disagree with you, and I believe that these people did NOT abdicate their personal responsibility. If anything, the SEC was partly responsible for the reason the people kept their money with Madoff. They believed that he was being regulated by the government. But given the fact that over the years there were a number of whistle-blowers within the SEC and nothing was done, indicates that there was collusion between Madoff and the SEC.
Do I believe that these people deserve any compensation other than what they were promised when they went in? No. They knew the rules of the game when they started. However I won't minimize the role that the government played in the loss of their funds, nor will I blame them for "abdicating their responsibility." I don't believe that they did.
Mark
My guess is that the people asking for this had their "profits" reinvested into the funds, which is how everybody I know has their retirement investments set up. If this is a taxable investment, then you have to pay taxes, even though the cash never actually gets to your hands.
Mark
The victims were mainly bigtime Dems who have made this country miserable. I find it hard to shed a tear.
I see, so if a bank robber buys a car from you and you make a nice little profit on that car, you should give it back if the robber is caught? The same with the restaurant owner, the grocer, the utility company etc. After all, they profited from his illegal actions as well.
Thanks Much!!!
I feel sorry for these people, but we shouldn't bail them out. If you give those people more than the SPIC coverage allows, then you got to bail out all people that were/are over the FDIC limit when their bank went under, etc...
Who watches the watchers?
Most of Madoff’s victims were also his accomplices, when you pick up the dice and place your bet your on you own.
Anyone know how much SPIELBERG lost???
Seems like this was some sort of a swindle on many of his FELLOW Jewish friends/colleagues/connections.
Madoff would have turned in his fellow Jews to the Nazis, he would have made for an excellent Kapo.
Except that the government had the expressed responsibility for monitoring the legality of the situation. If a thief brings stolen goods to to a buyer, the buyer is in fact responsible for attempting to verify the legality of the source. This situation is more akin the police being payed to look the other way.
Exactly! That's how we do it.
***And now we have the Madoff of presidents***
You said it well.
People throw away their energy, their resources, in their grab for “the better life.” When they grab at the wrong things, they expect the government to take care of their health and their welfare.
I’m not talking about people who work, try their best, have bad luck or bad health. I’m saying that those who don’t even try to take care of themselves should not be helped.
Can’t claim to be the originator of the phrase, kitkat, as another poster here on FR made it originally. Don’t remember who though.
You take money from late investors to pay off the early ones, i.e. Ponzi Scheme.
Thanks for the ping.
If the government is stupid enough to pay these people, then the rest of us need to divide ourselves up into ponzi scammers and victims - the ponzi people will pay us all 18% until they get caught then we'll all "cash out" with Uncle Sam.
One person goes to jail - and the wify-poos gets the penthouse.
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