Research the Bernard Madoff Ponzi Scheme scandal and respond

Research the Bernard Madoff \"Ponzi Scheme\" scandal and respond to the questions below in a short (250-word) response that you post to the discussion board.

What are the facts regarding this scandal?

How could such a scheme occur?

Has justice been served in this case?

Should white-collar crimes be prosecuted as aggressively as common crimes?

Solution

In the scandal that is termed as the biggest fraud in the financial industry, Bernard Madoff convinced thousands of investors to hand him over their hard earned money, promising quick returns. This amount is said to be around $65 Billion. His fraud remained undetacted for a long time, as he held a influential position in the financial industry, as well as a formidable reputation of being a seasoned and trustworthy professional who could be relied upon. He was finally caught in 2008 when the investors demanded their money after a long patience. He was charged with 11 counts of fraud, money laundering, perjury, and theft, and sentenced for 150 years in prison. The scheme could survive because of unawareness and unrealistic expectations of investors as well as the convincing skills and the stellar reputation of the conman in the industry and investor circles.

White collar crimes should be procecuted as promptly as others, or even more agressively becuase such fraud rob some investors of their lifetime\'s earnings and can jeopardize their rest of lives, or can severely damage one\'s social, psychological, physical and mental well being in addition to inflicting financial hardships upon them. The promptness and agility of action, in addition to the quantum of sentence should set example for others, so that such incidents don\'t happen again.