GRADE: F
The whole world of finance is agog about the $50 billion Ponzi scheme carried out by Bernard Madoff on Wall Street.
Madoff’s scheme is alleged to have bilked many big time financial players such as Real Estate magnate Mort Zuckerman and Foundation for Humanity director Ellie Wiesel.
For those not familiar with a Ponzi scheme, it consists of an organized plan that promises to pay unusually large “dividends.”
These dividends are then paid out of money that has been paid directly in the plan. There is no money-making investments; only money collected from people entering the plan. Eventually, the money being paid out exceeds the money being paid in. At this crossover point the people running the scheme take the accumulated money and disappear leaving the plan contributors in the lurch.
Some of the people who came into the plan early may actually get back more than they put in, but the late comers usually receive very little compared to what they put in.
Bernard Madoff is a piker.
First he “only stole about 50 billion” from a few thousand people and he is off to jail.
This is pretty small stuff compared with the nationwide Ponzi Scheme that has bilked the people of the United States out of an amount that goes into the trillions. Not only have the people of this country been bilked out of trillions, but many of Americans still think that the people were responsible are great.
Ironically, many of the people presently responsible for keeping this really big Ponzi scheme in place are probably sitting in the “front row” of accusers with their self righteous fingers pointed toward Mr. Madoff.
This giant swindle is now going through the crossover point and most of our nations younger citizens have caught on to the fact that they are designated victims of this country’s Social Security "Ponzi" System. Not much of a surprise, is it?