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Bernie Madoff: Book Says JPMorgan Chase Knew What Madoff Was Up To, Turned A Blind Eye
Key Excerpts from Article on Website of International Business Times


International Business Times, May 17, 2016
Posted: May 29th, 2016
http://www.ibtimes.com/bernie-madoff-book-says-jpmorgan-chas...

Say the name Bernie Madoff, and chances are everyone will immediately remember the Ponzi scheme that bilked investors of $64 billion. What likely wont spring to mind is JPMorgan Chases role in the more than decadelong fraud. And the link is all the more egregious, Helen Davis Chaitman, an attorney who represents 1,600 of Madoffs victims, and Lance Gotthoffer write in JPMadoff: The Unholy Alliance Between Americas Biggest Bank and Americas Biggest Crook, because the federal government has failed to prosecute any of the bankers involved. Madoff trustee Irving Picard laid out JPMorgans involvement in a complaint, which was turned into a list of stipulations the government entered as part of a deferred prosecution agreement with JPMorgan. The stipulations outline two violations of the Bank Secrecy Act, under which banks are responsible for alerting authorities to suspected illegal activity by customers. JPMorgan, the worlds sixth-largest bank by total assets, pleaded ignorance of wrongdoing but accepted the stipulations and paid a $1.7 billion fine. [When] Madoff began kiting checks ... Bankers Trust Co. spotted the illegal activity and closed Madoffs account. Thats when Madoff moved his business to JPMorgan, depositing $150 billion from 1986 through 2008. JPMorgan handled only Madoffs illegal investment advisory business, not the successful stock trading business that employed 190 of Madoffs 200 employees. And though the bank was prosecuted, none of the bankers involved with Madoffs account were.

Note: JP Morgan Chase's role in the Madoff scandal is outrageous, but it is relatively minor in comparison to the massive securities fraud and cover-up perpetrated by this and other corrupt financial institutions.


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