Madoff Questions By: Kendall rose
What is a Ponzi Scheme???
A Ponzi scheme works kind of like a messed up cycle. New investors put money into a company and then the owner of that company chooses to take a percentage of that money. The money that the new investors were putting into that company goes to the old investors to show them that they "are making money." In reality the cycle of putting in and taking money never ends until the company gets caught. The computers run fake numbers so that outsiders and investors can't sense the illegal activity.
How do you think Bernie Madoff was able to keep his scheme going for so long?
I think that Bernie Madoff kept his scheme going for so long was because the stock market was doing so well. People were wanting to invest money into the stock market, so when it crashed people had comfort thinking that their money was protected. It was only then that people realized that they lost their money.
What type of person is a "Ponzi'???
A Ponzi is a scammer. A person who wants more to life than just normal. They want to have power even if it isn't real power. A Ponzi person is someone who isn't just happy with the things that they have, because they're always wanting more and new things. Fakers are good at putting on a show to the outside world and telling lies.
Why do you think you the SEC did nothing after warnings about him????
I think that the SEC didn't do anything because they were scared. How could their trusted, successful, and reliable board member be doing something wrong? The SEC was probably scared that this man that has a lot of influence on the market could talk badly about them. He could have also taken them to court for accusing him of things that he "didn't do."
Why do you think he did it????
I think that he did it because he wasn't happy with the success and money he was making. Maybe it was for the thrill of doing something illegal that no one knew about. He could have been doing it because he didn't know when to stop doing wrong. Some people don't know when to stop doing wrong to other people because they find joy in doing it. I think that Madoff like lying to people and gaining the trust of so many because did not trust himself enough to have self respect.
Fun fact: Bernie had a heart attack after 5 years in prison!! A coincidence....? I think not!
Fun fact: . Steven Spielberg was One of Bernie Madoff’s Victims!!!!