Madoff was GOLD
For those in the inner circle....Madoff was better than gold. During times of easy money, it is easy to conceal problems when you can leverage to hide issues. Now we are deleveraging. Sales evaporating. Earnings crashing. Fraud surfacing. My guess is that what we have seen so far is just the tip of the iceberg.
Forensic accounting is a hobby of mine.....this was easy to spot last year. You will see it trickle over to public companies in the not too distant future. Now you know why I complain so much about the integrity of financial statements.
Madoff was exposed because his clients were asking for money to compensate for their other accounts going down......they were still happy with Madoff. It is just that Madoff didn't have enough to give everyone back their money. Now managers are liquidating everywhere....we shall see how much money is really left to pay investors.
You think the stock market is any different?