Chris Skinner's blog

Shaping the future of finance

Letter to SEC in 2005: “Madoff is running a Ponzi scheme”

Chris Skinner Author Avatar
by

The Wall Street Journal published the original submission to the SEC by analyst Harry Markopolos in 2005, following his claims of 1999 that Bernie Madoff was running a Ponzi scheme.

A few highlights:

"I am the original source for the information presented herein having first
presented my rationale, both verbally and in writing, to the SEC's Boston office
in May, 1999 ...

"I am a derivatives
expert and have traded or assisted in the trading of several billion $US in
options strategies for hedge funds and institutional clients. I have experience
managing split strike conversion products both using index options and using
individual stock options, both with and without index puts. Very few people in
the world have the mathematical background needed to manage these types of
products but I am one of them ...

"Madoff Securities is the
world's largest Ponzi Scheme. In this case there is no SEC reward payment due
the whistle-blower so basically I'm turning this case in because it's the right
thing to do. Far better that the SEC is proactive in shutting down a Ponzi
Scheme of this size rather than reactive."

Harry the hero?

SEC in the dock?

The day of reckoning cometh.

You can download the full submission (1.5 MB).

RegulationCategories
Chris Skinner Author Avatar

Chris M Skinner

Chris Skinner is best known as an independent commentator on the financial markets through his blog, TheFinanser.com, as author of the bestselling book Digital Bank, and Chair of the European networking forum the Financial Services Club. He has been voted one of the most influential people in banking by The Financial Brand (as well as one of the best blogs), a FinTech Titan (Next Bank), one of the Fintech Leaders you need to follow (City AM, Deluxe and Jax Finance), as well as one of the Top 40 most influential people in financial technology by the Wall Street Journal's Financial News. To learn more click here...

What is the future?

Learn more

Learn more about Chris

About Chris Skinner

The Past, Present And Future Of Banking, Finance And Technology

Fintech expert Chris Skinner: countries need digital transformation to remain competitive

Join me on Linkedin

Follow Me on X!

Hire Chris Skinner for dinners, workshops and more

Learn directly from from one of the most influential people in technology, gain insights from the world's most innovative companies, and build a global network.

Chris’s latest book

Chris Skinner’s ‘Digital For Good’ Book Launch Event – CFTE

Top 50 Global Thought Leaders and Influencers on FinTech 2023

Chris Skinner
Commentator, CEO of The Finanser and best-selling author at The Finanser

Thinkers360 Thought Leader

Contact Me

Global Awards

Lifetime Achievement Award

Global 100 - 2024 Winner

Chris Skinner - Financial Markets Advisor of the Year - The Finanser - UK 2023

Best Financial Markets Advisor of the Year 2023

30 Best Regtech Blogs and Websites 2023

Kids creating the future bank | TEDxAthens

Captain Cake and the Candy Crew

Captain Cake Winner of a Golden Mom’s Choice Award

TWO-TIME WINNER OF A MOM’S CHOICE GOLD AWARD!

Alex at the Financial Services

Gaping Void's Hugh MacLeod worked with the Finanser