Another SEC Failure

[shygye]

Link

 

U.S. regulators sued a Philadelphia- area investment-fund manager and his firm, claiming he has been running a $50 million Ponzi scheme since at least 1995 that bilked charities and schools.

 

oseph Forte raised funds from as many as 80 clients and withdrew millions of dollars in fees while falsely claiming to deliver â??outrageous returns,â? the Securities and Exchange Commission said in a statement today. Instead, his â??limitedâ? trades in the past 10 years generated one annual profit, which was less than $22,000, according to the agencyâ??s lawsuit filed in federal court in Philadelphia.

 

â??Forte engaged in lies, deception and rapacious behavior at the expense of innocent investors, many of whom considered themselves his friends and close acquaintances,â? said Daniel Hawke, head of the SECâ??s Philadelphia office. Clients include non-profit groups, chartable foundations, and schools, he said.

 

Bernard Madoffâ??s alleged $50 billion Ponzi fraud is spurring investors and regulators to scrutinize money managers who claim to deliver consistently strong profits. Unable to raise money to maintain payouts, Forte approached federal authorities in late December and admitted to the scam, Hawke said. ...

 

So the SEC did not uncover the fraud!

[teddy]

I wonder how many more of these are waiting to be uncovered.

 

That Berkshire Hathaway fund always seemed too good to be true

 

Feck me, imagine that

[Faustian]

This was small fry...who's next?

[cavanami]

SEC....5555555555555

 

Huge joke! They only go after the glitter, like Martha Stewart and some small time, supposedly, insider trading.

 

Don't worry about the fact that the Maddog was reported and investigated 15 farkin times and did a $50B scam....SEC azzholes!!!