Comments on: Splendor in the Graft: Court-Appointed Trustee Sues Ruth Madoff for $45 Million After a “Life of Splendor”

By: Gary T

Gary T — Wed, 05 Aug 2009 06:41:10 +0000

This was not capitalism, it was fraud, and it was certainly not regulated, i.e. prosecuted as the crime(s) they are, even though the govt had been tipped off in detail that something smelled rotten.

The problem with the whole financial collapse is twofold:

1. The collapse was related to more subtle fraud, namely the credit certifying companies when they knowingly certified F- companies with AAA ratings. They should be liable for those ratings.
Whenever full disclosure of the risks of an investment is withheld or misrepresented to the investor, that was fraud.

2. The failure of govt regulators to enforce the existing laws on the books, and the permitting of fraud to continue w/o interference or sanction.
You don’t need more regulation, when the regulations that were already in effect were not used. The existing regulations would have very effectively curtailed these problems, if only they had be applied.

Fraud is not capitalism; loss of huge amounts due to fraud should not be an indictment of honest capitalism.

A final insult, the govt preemptively grabbing trillions from the American people, and giving it to mismanaged, bankrupt companies. Against public opinion and letters to Congress.
And then saying, hey we should all care, because its now all of our problems.
It wasn’t before our money was given away!
It was these zombie companies, who deserved to go into bankruptcy just any other defunct company.
Instead they get privileges no other company gets, and the American people foot the bill.

Sickening; bare ‘might makes right’ mentality, and politically corrupt influence.

By: GWLawSchoolMom

GWLawSchoolMom — Fri, 31 Jul 2009 19:11:01 +0000

lotta writes: GWLSM, and the unregulated ‘socialism’ for the big banks don’t seem to be working too well either

golly I don’t have answers. I used to think I did. I can barely ignite an idea. I just wish I could sell my house. I’m getting really tired of political theater. I dont even laugh at the Daily Show anymore.

By: lottakatz

lottakatz — Fri, 31 Jul 2009 18:13:36 +0000

GWLSM, and the unregulated ‘socialism’ for the big banks don’t seem to be working too well either.

http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article6733909.ece

By: GWLawSchoolMom

GWLawSchoolMom — Fri, 31 Jul 2009 17:33:57 +0000

rafflaw writes: hope the trustee is successful in making Mrs. M to fork over her ill gotten millions. There is no way in Hell that Mrs. M and the Boys did not know what was happening and where their millions were coming from.

of course they knew where the money came from and much of it came from not-for-profits that invested with Madoff. this means that money raised from volunteer efforts was used to elevate the whole Madoff machine.it bought their cars and their homes and that sad fur coat that Ruth Madoff clung to like it was one of her grandchildren.

By: GWLawSchoolMom

GWLawSchoolMom — Fri, 31 Jul 2009 17:22:39 +0000

lotta writes: ‘m not sure regarding Communism but I’m thinking it’s a darn fine argument for a justice department that works. Plea bargains and deals are a cop-out, the JD should just do its job properly.

of course the JD ought to do its job… and plea deals are a copout… but when people have the kind of spectacular chutzpah that Madoff and his wife haves displayed it just kinda makes me think that my old Commie grandfather had a point when he ranted about the haves and have nots.I don’t think that communism works but somehow un regulated capitalism isn’t making such a good name for itself either.

By: Anonymously Yourss

Anonymously Yourss — Fri, 31 Jul 2009 15:35:34 +0000

Dear Ruth,

The Government does like to be the sole one in control. They despise competition in any form or fashion.

By: Marzi

Marzi — Fri, 31 Jul 2009 11:55:59 +0000

Ruth, as the gun moll, still has access to the off-shore accounts that Markopolos talked about that were clues to mob participation.

By: rafflaw

rafflaw — Fri, 31 Jul 2009 02:01:17 +0000

I hope the trustee is successful in making Mrs. M to fork over her ill gotten millions. There is no way in Hell that Mrs. M and the Boys did not know what was happening and where their millions were coming from.

By: hidflect

hidflect — Fri, 31 Jul 2009 01:23:53 +0000

Justice delayed is justice denied. The problem with these white collar types is they all believe (know?) that it takes years for the juggernaut of justice to swing their way. They just have to look at someone like Bush playing fiddle on the corpses of a million plus dead and they’re emboldened.

By: lottakatz

lottakatz — Thu, 30 Jul 2009 21:17:14 +0000

GWLawSchoolMom “isn’t this just about the best argument for communism that exists?”

I’m not sure regarding Communism but I’m thinking it’s a darn fine argument for a justice department that works. Plea bargains and deals are a cop-out, the JD should just do its job properly.

By: GWLawSchoolMom

GWLawSchoolMom — Thu, 30 Jul 2009 21:07:12 +0000

isn’t this just about the best argument for communism that exists?

By: Mike Spindell

Mike Spindell — Thu, 30 Jul 2009 14:38:34 +0000

Given that Madoff in his first prison interview said that he was surprised the scheme lasted so long, it is not unreasonable to think that Mrs. Madoff was hiding whatever money possible to take care of herself and her family when the axe came down. I’ve
believed all along, though it’s just supposition, that Madoff made a deal to confess so that his family would not be prosecuted. I find it hard to believe that his two children worked for him and had no idea what was going on. I don’t care if they are criminally charged or not, but I don’t want them living our their lives with the ill gotten gains. Just as we now see 80′s financial thug metamorphosing into a philanthropist.

Dredd’s point is also well taken, we also need justice to come to those in the Fed and Wall Street for their various fraudulent schemes.

By: Dredd

Dredd — Thu, 30 Jul 2009 12:53:45 +0000

The sights turn toward the enablers. The plot thickens. When will the ponzi schemers within the Federal Reserve and Wall Street get the same treatment.