Bringing you live news and features since 2006 

Comment: Madoff still causing a stir

RELATED TOPICS​

Four months after Bernard Madoff admitted to defrauding thousands of investors of an amount that, including non-existent profits, could total as much as USD65bn, the ripples of the scandal

Four months after Bernard Madoff admitted to defrauding thousands of investors of an amount that, including non-existent profits, could total as much as USD65bn, the ripples of the scandal continue to reverberate across the global financial services industry.

New York-based hedge fund D.E. Shaw is reported to have decided against bidding for Madoff Securities, the group’s broker-dealer business, having previously been considered one of the favourites. According to CNBC, there are now three bids on the table, one as low as USD15m – a world away from the USD1bn at which the business was once valued by Madoff himself.

Meanwhile, JPMorgan Chase has been accused by Florida investors of entering into a conspiracy with Madoff to conceal the truth about his Ponzi scheme after discovering that the investment returns he reported were false. MLSMK Investments, a Palm Beach-based partnership, claims that JPMorgan’s actions violated federal racketeering laws.

‘Rather than protect other victims of Madoff’s fraud as it had already protected itself, Chase chose not only to protect Madoff but to partner with him in the fleecing of his victims by providing exactly the same range of services, for substantial fees, after learning of his criminal enterprise,’ MLSMK said in its complaint.

As more legal actions start reaching the courtroom, JPMorgan is unlikely to be the only blue-chip financial business in the firing line as defrauded investors look round for potential defendants with the deepest pockets.

Latest News

Solactive writes that it has expanded its collaboration with Kiwoom Asset Management by providing the underlying indices to the KIWOOM..
MSCI has announced the launch of MSCI Private Capital Indexes, writing that with growing investor interest in private markets, high..
Matteo Greco, Research Analyst at Fineqia International, writes that bitcoin (BTC) ended the week at approximately USD68,150, marking a 12.1..
Raymond James Investment Management plans to launch an ETF product platform in 2025 to support strong client demand in alignment..

Related Articles

Scott Kefer, VictoryEx Capital Holdings
Bailey McCann writes that active ETFs are capturing investor interest, according to the latest data from Morningstar, which finds that...
Chris Lo, Columbia Threadneedle
In a recent insight on India by Columbia Threadneedle Investments, the firm reports that the country’s economic reforms, which aim...
With an election on the horizon in the United States a group of ETFs is poised to capture investments on...
Robot worker
Qraft Technologies, based in South Korea, specialises in the use of AI in security selection and portfolio construction....
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by