U.S. Sued for Madoff Negligence

Thursday, March 18, 2010 , , 0 Comments

Now it totally makes sense. The SEC is trying hard to clean up the capital market thugs (and psychics, naturally) and get the ship tight after that whole Madoff mess. Meanwhile, Bernie is getting his ass kicked in prison and the SEC is getting its ass handed to it over blatant negligence.

Business Week:

The U.S. was sued by a charity and two individual investors for alleged negligence by the Securities and Exchange Commission in failing to uncover Bernard Madoff’s fraud scheme.

The Michael and Ruth Slade Foundation and Alan and Blayne Goldman filed separate complaints today in New York federal court. In December, the SEC asked for the dismissal of a similar case that was brought the previous month by an individual investor.

Through its negligence, “the SEC caused Madoff’s scheme to continue, perpetrate and expand, eventually resulting in billions in losses by investors, and directly caused plaintiff to lose $2.5 million,” the Slade Foundation wrote in its complaint. The Goldmans said they lost $2.4 million.

It's going to be rough getting sympathy from a judge with a last name like that. Just pointing out the obvious.

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.