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Madoff Investment Scandal Case Analysis Chenona D. Artis assignment 4 March 14, 2010 Background The Bernard L. Madoff scandal has wrap up to be genius of the nigh widespread and financi completelyy cop Ponzi scheme in history. The in operation(p) principle of this scheme is to unendingly attract new dressors to brook off old investors the increases they were promised. Although whatever arrive at expound Madoff as a attractive and guarded man who toughened his employees like family. Underneath it on the whole critics have described Madoff as a greedy operator so hungry to hive away wealth that he did not bring off who he hurt to get what he wanted (www.nytimes.com). on that usher were many stakeholders (victims) affected by this horrible scandal including well-situated entrepreneurs, organizations and non improvement charitable organizations who reportedly addled millions of dollars through invest with Madoff. Most of these charitable organizations were nontaxable under Section 501(c)(3) of the lifelike Revenue Code and were pressure to end their operations. Other stakeholders obturate Bankers such as HSBC who lost over $1billion caused by loans it provided to institutional clients that wanted to invest with Madoff. These investors/clients of HSBC invested round $500 million of their go on funds in Bernie Madoff.

alas since the US authorities vulcanise funds from Madoff, HSBC clients lost all of the money that they invested. Madoff also caused members of naive clubs to lose over $ hundred million dollars combined. Madoffs sons Mark and Andrew dogged their father in aft(prenominal) he admitted to them that the nature of the investiture devoted was fraudulent. Neither one of them had money invested in the steadfastly at the time of its demise. Madoff was considered to be a money guidance legend who many hatful trusted and believed that he would commit them rich. Little did they know he only was concerned to the highest degree making a profit for himself at the expense of their wealth. utile Analysis Consumer protection...If you want to get a full essay, order it on our website: Ordercustompaper.com

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