The Fraud of the Century

Bernard Madoff was a credit suit fitting patch that lot trusted him with their money because he created an image of power, trust and responsibility. (Ferrel, 2013, p. 416) He was equal to(p) to scam and scheme his investors from the early 1990s up until celestial latitude of 2008 when his Ponszi scheme was discovered. Over the course of a decade he was at the same time running a legitimate credit line and earned his investors trust because he didnt make any promises of unbelievable returns. He was a fiscal expert, served as chair on NASDAQ, and a seat on the presidential term advisor board on stock market regulations.These titles have added to his creditability and people didnt question him when they hand over their money. He wasnt able to hustletinue with his scheme and cover it up once the economy started collapsing in the late 2008. This was when his scheme was starting to expose because he wasnt able to pay back his clients when they requested for their money back. March of 2009 he say wicked to the charges and later in June 2009 he was sentenced to 150 years in prison. Its amazing how he was able to pull the fraud of for so long without anybody questioning his strategy.As early as 1992, federal regulators were investigating Madoff and the investigating was dismissed because there was no improper trading practices found. In fact from 1992-2005, his business was continuously being interviewed and investigated, precisely no wrongdoing was found. In 2006, his business was registered with SEC and thats when they found misleading behaviors and in 2008 there was an alert stating all his records maybe pointed to possible corruption. Even with the 2008 alert, the allegations were dismissed and no further investigations would happen.Finally in 2009, SEC received enough evidence to confidence trick him of his fraud because two of Madoffs investors filed a lawsuit against the SEC. The way he conducted business was unethical because not only did he misle ad his clients still also he misled his friends and family. He was able to gain their trust and con his way through a long prosperous deceiving enthronement. People were manoeuvre and yet blind sighted by his character. Another unethical business transaction was using money from an illegal business to cover up the losses for his legal one.Not only that when he needed quick specie to try and save his scheme in 2008, he solicited and even imperil some of his clients for much money to invest. This is an ethical issue because the clients felt guilty for not being a better client and investing more into this privilege and exclusive investment opportunity. I work out that Bernard Madoff was not direct alone. I think his family was somewhat suspicious and went along with the operation but did not know entirely what was going on. I think with their accept and knowledge, they should have questioned when Madoff chose to hire inexperienced and uneducated people to work for his investm ent management business.I think they chose to ignore the situation because of his high and respectable reputation. in any case because he was family and they felt that he wouldnt harm them. I think that in order to avoid this type of Ponzi scheme, an audit should be do every year along with any transaction of high value. approximately type of documents and records of investments should be easily assessable for investors to follow and understand. Clients should be able to view their portfolio at any given time.