JPMorgan raised Madoff concerns 10 years before arrest

Sad Clown

JP Morgan bankers raised concerns about Bernard Madoff 10 years before the fraudster was arrested over a $65bn Ponzi scheme.

The Daily Telegraph reports that the revelation came as JP Morgan agreed to pay $2.6bn to resolve US claims that it ignored signs of Madoff’s crime.

'JPMorgan had an inadquate and ineffective anti-money laundering program,' Manhattan US Attorney Preet Bharara said. 'The bank connected the dots when it came to its own profits, but not when it came to its own legal obligations'.

MarketWatch reports that one senior bank executive joked via email that they should visit Madoff’s accountant’s office to make sure it wasn’t a car wash.

Employees then yanked out most of the bank’s own money invested with Madoff-related funds and congratulated themselves after his arrest on the money they’d saved the bank.

JPMorgan raised concerns over Bernard Madoff 10 years before he was arrested

J.P. Morgan banker joked that Madoff’s accounting firm might be a car wash

 

image: © steenslag

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