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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (174362)	12/29/2008 9:15:06 PM
From: Elroy Jetson	Read Replies (2) \| Respond to of 306849

Madoff Securities was the custodian, and clearing agent for all of the Madoff Investment trades and holdings. All audited by one of his investors and the investor's son-in-law. It appears the Ponzi scheme began as a simply enough structured as a loan without any disclosure of underlying trades. Once Madoff graduated to ostensibly investing with an options scheme, it was easy to document there were not sufficient volume in the identified options trades to support a fund of Madoff's size, let alone the complete lack of correlation with variations in the market. online.wsj.com Many charges of this type were brought against Bernie Madoff at the SEC but he was always cleared after a perfunctory review. I know you believe this indicates SEC powers and the investigatory powers of the SEC are far too draconian. Bernie Madoff even agreed with you saying, "With the level of oversight present in the market today any fraudulent scheme is quickly discovered." I disagree with you and Bernie in this regard. It appears obvious the SEC is wholly understaffed and missing regulatory scope, and likely corrupt under Chairman Chris Cox. .