Monday, June 29, 2009

Today Bernard Madoff was sentenced to 150 years in prison for grand theft and fraud. His company operated in the bounds of a ponzi scheme cheating investors out of $50,000,000,000. A ponzi scheme is a form of theft where investors invest stocks into a brokerage firm. When they think the time is right they give the call to sell a stock. The company sells the stock imediately and files a report 2 or 3 days later when the stock goes down or up giving them the advantage of placing a bet after the race has begun so the investor thinks he's making all this money but the company is pocketing the divedens between the sale and the report for it. The investor makes less money than he expects but enough so he isn't suspicious. The stolen prophets are only a few percent of the sale but done thousands of times it leads up to billions with proper concealment.
Berrie started with nothing but ambition but now he's got nothing but time. There are thousands of stock brocerage firms across America millions across the world and without a doubt it is happening now under cover and above the law.

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