The revelations around Bernard Madoff today are staggering. Truly. This is the sort of thing that makes you wonder what is real anymore in markets, and what isnâ€™t.
Bernard Madoff, founder and president of Bernard Madoff Investment Securities, a market-maker for hedge funds and banks, was charged by federal prosecutors in a $50 billion fraud at his advisory business.
Madoff, 70, was arrested today at 8:30 a.m. by the FBI and appeared before U.S. Magistrate Judge Douglas Eaton in Manhattan federal court. Charged in a criminal complaint with a single count of securities fraud, he was granted release on a $10 million bond guaranteed by his wife and secured by his apartment. Madoffâ€™s wife was present in the courtroom.
â€œItâ€™s all just one big lie,â€ Madoff told his employees on Dec. 10, according to a statement by prosecutors. The firm, Madoff allegedly said, is â€œbasically, a giant Ponzi scheme.â€