|
$
50 bn. fraud-rich Madoff firm to be sold off
NEW
YORK, (AFP) - US authorities said Monday they were liquidating
Bernard L. Madoff Investment Securities LLC of New York,
following his arrest for alleged fraud to the tune of
50 billion dollars.
The Securities Investor Protection Corporation (SIPC),
which provides a Congress-authorized special reserve
fund to help investors at failed brokerage firms, said
it was liquidating the Madoff company.
“Upon information provided by the United States
Securities and Exchange Commission and the Financial
Industry Regulatory Authority, it is clear that the
customers of the Madoff firm need the protections available
under federal law,” said SIPC president and CEO
Stephen Harbeck in a statement.
Global
finance giants admitted huge potential losses on Monday
in a suspected pyramid fraud scam run by Madoff, a 70-year-old
Wall Street Veteran.
Madoff was arrested on Thursday and allegedly confessed
to defrauding investors of 50 billion dollars in a scam
that collapsed after clients asked for their money back
due to the global financial crisis.
Full
Story....
|
