Banks Lose Billions In Madoff Scandal

January 6. 2008

Bernard Madoff (left)

A private bank in Australia, Medici, lost $2.4. billion in the Bernard Madoff ponzi scheme. Banco Santander in Spain lost $4 billion as well.

It is clear Madoff was trading on the Stock Exchange’s name, having been a former chairman and it deceived many into thinking he was a financial genius with credibly that could do no wrong. After this, he will be able to do no right in the business world.

Bernard Madoff recently turned over a list of his assets to the FBI. However, he is being accused of trying to hide assets in the form of jewelry worth $1 million. His sons turned him in once again regarding this misconduct.

Victims have begun to file lawsuits against the SEC/US government for negligence.

Austria takes control of Madoff-hit bank

Austria on Friday took over the running of Medici, a private bank that lost billions of dollars in an alleged fraud by Wall Street financier Bernard Madoff, the FMA financial markets authority said…

Austria's Der Standard newspaper said earlier that Medici's exposure was in fact higher, amounting to at least $US3.6 billion ($A5.12 billion)…

Spanish bank Santander has said its exposure was 2.33 billion euros ($A4.64 billion).

http://news.ninemsn.com.au

Prosecutors Want Madoff’s Bail Revoked

Contending that Bernard L. Madoff sent at least a million dollars worth of jewelry as gifts to family members and friends last month, federal prosecutors asked a judge on Monday to revoke his bail and send him to jail...
Judge Ellis ordered each side to submit legal briefs on the matter by Wednesday.

http://www.nytimes.com