[Madoff’s London office] “was where the Madoffs washed their investors’ money and then spent it on expensive furnishings, yachts, automobiles, and other luxuries.”
Bear Stearns had an unwritten rule. All of their NASDAQ trades were routed through Madoff’s trading operation. By definition, this is not a fair or open market nor, I suspect, did most of those trading through Bear know of the arrangement.
For several reasons, JPMorgan Chase probably knew by Sept 2008 that Madoff was a fraud. They liquidated their investments with him yet kept accepting money from his clients.
Yet again we see that the supposed free and open US markets are in reality something quite different. Collusion, lack of transparency, flexible rules for the elites, and open criminality seem to be the norm.
“Barron’s Phil Roosevelt speaks with Erin Arvedlund, author of the new book on Bernie Madoff, “Too Good top Be True,” which reveals new details about the Madoff scandal.”