why do you think the SEC didn’t act on the information until 2006 even though Harry Markopolos alerted
the SEC 3 times beginning in 2001?
• They stated that the story to the result of the SEC being understaffed and overwhelmed. I do
believe that there are much more information to the story of SEC but there were so many
legitimate and famous people who were fully vest with Bernie Madoff which I think that are
created to allusion to be legitimate.
Why do you think the Wall Street Journal didn’t publish Markopolos’ findings when the SEC closed the
investigation?
• The reason why Wall Street journal didn’t publish it was because many people who may have
connections with are working for the Wall Street Journal. People that didn’t want the money train
to end are too powerful for people that had to lose both financially and reputation wise.
Ultimately, who do you think was responsible for the losses incurred by investors?
• The Sec and the feeder funds were responsible for the losses incurred by the investors. The
government should take the brunt of the blame but I believe that the feeder fund managers and
companies should also take a major hit for the loss as well.
Do you think the US government should offset the losses incurred by these investors?
• I do think that US government should start to do some infusing resources into the SEC to make
sure they have proper staffing, tools, and expertise to oversee the industry. The most important
are for people/companies to incentives for what is activity illegal taking place.
Why or Why not? What can be done to prevent this from happening in the future?
• To prevent things like these stuff to happen in the future, people/companies to be more
technology to detect the potential fraud and have a means of tracking complaints to identify
potential issues. Secondly, to make sure all employees/co-worker are doing their job as they
supposed to be doing instead of other illegal thing that are supposed to be doing.