Compliance

11:47 AM
Melanie Rodier
Melanie Rodier
Commentary
Connect Directly
Facebook
Google+
LinkedIn
Twitter
RSS
E-Mail
50%
50%

Madoff's Latest Zingers

Madoff delivers some unbelievably nonchalant comments in this FT interview.

Bernie Madoff, now behind bars in an isolated North Carolina town, was feeling very chatty when he spoke to two reporters from the Financial Times.

Once again at pains to try to explain his devastating Ponzi scheme (I take responsibility but others were complicit, he basically says), Madoff delivers some unbelievably nonchalant comments.

Among Madoff's best:

From the FT

"I did it for all of them - so many important people from France and elsewhere," says Madoff. "That woman from L'Oreal, Christian Dior, so many - I even impressed myself. They came up to my office to meet me. They really wanted to deal with me."

About not actually doing any trading:

"In 2002 I had a contact with the SEC, who were concerned that I was front-running," he recalls, referring to the practice of using insider information to inform trades. "I started laughing to myself - I knew I wasn't because I wasn't doing the trades."

About whistleblower Harry Markopoulos:

"Markopolos was the biggest idiot in the world. He had a hedge fund that couldn't make money and his clients abandoned him [so he called the regulators]."

On his money management skills:

"I said at the very beginning when I met with the SEC and Picard that my hope is that everyone will receive their principal [which amounts to $20bn]. Back then, everyone laughed. But [Picard] has already recovered $10bn and he will cover $20bn easily. If he is successful, he may get $50bn. That means that there will be $30bn profits to go around, which would make me one of the greatest money managers in modern history."

About the English:

"Stephen Raven [who managed Bernie Madoff Investment Securities] operations in London] is a typical English person, a bit of an old woman. He was a lovely guy. He just wanted to be accepted into the right clubs. He never got over the fact that he didn't go to [the right] school."

About the Swiss:

"The Swiss thought this [that Madoff was using inside information to give him an edge]. They are the most suspicious of all. Slimy people."

The Swiss, slimy? Wait - according to the trustee Irving Picard, didn't the Swiss bank UBS allow for more than $1 billion to be funneled to Madoff? He must not have found the Swiss slimy back then.

And of course, slimy is a word so many would say much more aptly describes Madoff himself.

Melanie Rodier has worked as a print and broadcast journalist for over 10 years, covering business and finance, general news, and film trade news. Prior to joining Wall Street & Technology in April 2007, Melanie lived in Paris, where she worked for the International Herald ... View Full Bio
Comment  | 
Print  | 
More Insights
More Commentary
SEC Examinations: What to Expect When the SEC Is on It's Way
Theodore Eichenlaub highlights trends in SEC expectations and how to approach a risk assessment of your compliance program.
The Value of Predictive Analytics in Financial Services
Risk management and customer data are two key areas where data analytics is being applied in financial services.
Moving the Trader Closer to the Investment Process
The sell side can demonstrate more value by applying analytics to pre- and post-trading, and by educating buy-side clients about broker segmentation, trading behavior and algorithm shortcomings, and more.
Wirehouses May See More Independent BDs as Retention Packages Expire
Retention bonuses are expiring, leaving brokerages vulnerable to attrition. Is access to technology making it easier for brokers to go independent?
SCI: A Whale of a Regulation
The SEC's Reg SCI weights in at a whopping 742 pages. Here is what you need to know about the oversized regulation.
Register for Wall Street & Technology Newsletters
White Papers
Current Issue
Wall Street & Technology - Elite 8, October 2014
The in-depth profiles of this year's Elite 8 honorees focus on leadership, talent recruitment, big data, analytics, mobile, and more.
Video
Stressed Out by Compliance, Reputational Damage & Fines?
Stressed Out by Compliance, Reputational Damage & Fines?
Financial services executives are living in a "regulatory pressure cooker." Here's how executives are preparing for the new compliance requirements.