Article: Madoff fools many, including SEC.(Managed Money Review)

That Bernard L. Madoff was running a massive Ponzi scheme wasn't news to many industry professionals who were skeptical of his amazingly consistent returns during inconsistent markets. But what is becoming more apparent is that it shouldn't have been news to the Securities and Exchange Commission (SEC) either.

Bernard L. Madoff Investment Securities LLC (BLMIS) was a registered broker dealer and a registered investment advisor (RIA), giving the SEC access to Madoff's operations. The SEC suggested that move when it found Madoff was acting as an investment advisor to hedge funds and high-net-worth individuals in violation of the Advisors Act. The SEC also found ...

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