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Lawsuit: JPMorgan Execs Knew Of Madoff Fraud

Friday, February 21, 2014 - 7:35 AM
"Two senior officials at JPMorgan Chase & Co and predecessor companies repeatedly confronted Bernard Madoff over irregularities in his business, a new lawsuit said, suggesting that bank leaders had "direct knowledge" of his Ponzi scheme.  The lawsuit filed in federal court in Manhattan on Wednesday on behalf of shareholders against Chief Executive Jamie Dimon and 12 other current and former executives and directors was based in part by statements made by Madoff himself during a series of interviews."

http://www.reuters.com/article/20...;feedNam..
4
ShorebreakShorebreak2,624 posts since
Apr 6, 2010
Rep Points: 14,220
1. Friday, February 21, 2014 - 1:42 PM
So there is no law for "complicency" when Chase's Dimon gets a raise for his corruption and part in knowing about this crime yet Madoff has jail time.  What happened?  Did Madoff not have enough money to buy his way out of jail?  Seems to me that Chase drove the car which was a part of the crime yet get a slap on the hand and Madoff goes to jail.  This is no longer "my country Tis of Thee"  it's becoming "if you have enough money you can buy yourself free!"  Chase sat back and watched all these people get fleeced and yet they get no jail time just a raise for Dimon!  How pathetic our so called Justice system has become.
3
paoli2paoli21,372 posts since
Aug 10, 2011
Rep Points: 6,011
2. Friday, February 21, 2014 - 2:48 PM
The crime seems to be that he did not conform with the BSA act and that he confronted Madoff. This also was against the law. 
1
Ally6770Ally6770914 posts since
Jan 16, 2010
Rep Points: 2,662
3. Friday, February 21, 2014 - 5:57 PM
The BSA (Bank Secrecy Act) should have been enough to prosecute Chase's officials for their part in Madoff's crimes.  So, why haven't they been prosecuted?  "Money talks" and with Chase it seems to be screaming!!  How pathetic this all is.
3
paoli2paoli21,372 posts since
Aug 10, 2011
Rep Points: 6,011
4. Friday, February 21, 2014 - 6:47 PM
This lawsuit was brought because of Madoff's comments according to this article. Having documented proof and other means to support their lawsuit is something else. Just because you question transactions (if Madoff is correct that this was done) does not mean they knew. We don't know if the BSA forms were filled out by the person making the transactions or if they were done by a computer program. They might not have been and that is what the first fine was about opening the suits on behalf of the shareholders. We will have to wait and see. Knowing and questioning are two different things. But Madoff should not have been approached by bank officials about his transactions. 
1
Ally6770Ally6770914 posts since
Jan 16, 2010
Rep Points: 2,662
5. Friday, February 21, 2014 - 8:47 PM
It must be true then what my bank manager said that they can't discuss an account with anyone without a court order.
1
paoli2paoli21,372 posts since
Aug 10, 2011
Rep Points: 6,011
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