how he perpetrated the biggest scam on Wall Street

The historic Wall Street scam

The fraud who starred in consisted of take capital in exchange for big profits that were effective at first, but that years later it became evident was a pyramid scheme the ponzi scheme, which has now become one of the biggest frauds in history.

Wall Street

Wall Street in New York, United States

The embezzlement was committed by Bernard Madoff Investement Securities, a financial company he founded in 1960, and using the pyramid scheme designed by the Italian Carlo Ponzi in 1920.

The pyramid scheme is based on the need for more and more investors, because if this does not happen, it falls due to the lack of currency injection, causing “new” investors to receive neither interest nor repayment of money. capital.

The deception has not only reached banking institutions Yes investor groupssince they were also victims foundations, charities and the Jewish community from the United States, of which the financier was an active participant.

Bernie Madoff was arrested by the FBI in 2008 on fraud charges after he He will confess to his wife and children the fraudulent transactions, that caused his own family will denounce him.

He was sentenced in 2009 to life imprisonment, a sentence that was commuted to 150 years during the trial.

Even in prison, Madoff did not lose his skills as an investor: according to specialized media MarketWatch, in 2017 bought all the chocolate from the prison mug to speculate on the price.