Madoff vs Local Drug Dealer

A drug dealer pushes poison to people in his very own community. Although selling the poison would place in him in a better financial position, it takes away from the families of those using drugs.

The drug dealer has no heart, feeling or consideration has he takes foodstamps in lieu of cash for drugs. Yes he is aware that Lisa’s and her babies will be at the local food pantry tomorrow because there is no food in the house……but he will stack his cabinets full with treats. He feels like he is getting a bargain when Tyrone sells him a 42” flat screen television for 150.00. He is fully aware that Tyrone broke into the neighbor’s house and stole that television….their lost his gain.


The community is being terrorized by the effects of the drug dealer and his poison, yet he seems to have it all. He knows he and his product is the cause of Barbra’s eviction, he shrugs it off has he watches Mrs. Davis go back to work at the ripe age of 65 because she now has to take care of her 3 great-grand babies cuz their mama can’t stay away from the dope long enough to take care of them. But so what……… he can purchase a couple of pair of Jordans… a Gucci bag for his lady friend, 28” rims for his nice ride, make it rain on the strippers, sip on Patron and live a nice life. All at the expense of other people

Compare this scenario to ….


Madoff was best known for being a pioneer in the business of market-making. His firm, which he started five decades ago with money he earned as a lifeguard in Far Rockaway, Queens, was for a long time primarily in the business of acting as a middle man between buyers and sellers of stocks. It is an essential function for a market like the Nasdaq, which doesn't have an actual trading floor where buyers and sellers can meet face-to-face. Madoff's firm was a major driver behind the growth of the Nasdaq, creating a system that courted brokers who had mostly traded stocks on the larger New York Stock Exchange to do more of their business with the Nasdaq.


In the 1990s, Madoff used his success as a market maker to help launch an asset-management firm. Madoff raised money for his fund by exploiting his social network, often courting investors at country clubs where he or family members belonged. At the Palm Beach Country Club, Madoff reportedly found a major investor who helped attract other members for Madoff's fund.


On the surface, Madoff's funds were supposed to be low-risk investments. His largest fund reported steady returns, usually gaining a percentage point or two a month. The funds' stated strategy was to buy large cap stocks and supplement those investments with related stock-option strategies. The combined investments were supposed to generate stable returns and also cap losses.
But sometime in 2005, according to the SEC suit, Madoff's investment-advisory business morphed into a Ponzi scheme, taking new money from investors to pay off existing clients who wanted to cash out. According to a form filed with the SEC, Madoff reported that the business had $17.1 billion under management in January 2008

As the market got worse this year, Madoff continued to report to investors that his funds were up — as much as 5.6% through the end of November. That would have been a remarkable performance. During the same time, the stocks of the Standard & Poor's 500, where Madoff supposedly did most of his trading, had dropped a weighted average of 37.7%.

Despite his gains, a growing number of investors began asking Madoff for their money back. In the first week of December, according to the SEC suit, Madoff told a senior executive that there had been requests from clients for $7 billion in redemptions. On Wednesday, Madoff met with his two sons to tell them the advisory business was a fraud — "a giant Ponzi scheme," he reportedly told them — and was nearly bankrupt. The sons reportedly contacted their lawyer, who then alerted federal authorities to the fraud. Before being caught, Madoff was working on a scheme to dole out his funds' remaining $300 million to the firm's employees and his family members.

Madoff victims included..


Zsa Zsa Gabor: A lawyer for Ms. Gabor says the 91-year-old actress may have lost as much as $10 million invested through a third-party money manager. The lawyer says the loss was noticed in mid January when Ms. Gabor's husband, Frederic von Anhalt, was checking on the couple's finances.

New York University: NYU filed a lawsuit claiming J. Ezra Merkin turned over his investment responsibilities to Madoff's funds and lost $24 million of the school's money.

Carl Shapiro: Mr. Shapiro, a 95-year-old apparel entrepreneur and investor, has personally lost an estimated $400 million from the Madoff fraud

Ira Roth: Is an independent investor and lost about $1 million dollars from the Madoff fraud.

Ian Thiermann: Is an 90 year old independent investor who lost 738.000 in the Madoff scheme. After losing his life savings he was forced to go back to work at his local supermarket. He currently makes $10.00 an hour.


There were many, many more but I did not want to bore you with all the names. Basically this jerk managed to swindle people out of 50 BILLION dollars collectively. There are a unions, colleges, and non profit organizations affected by this scam. Surely we will begin to see the affects of this large loss of money. Organizations will begin to lay off , non profits that invested will be limited in the help the can provide. The colleges may have to cut back on services as well.
Conclusion


Both the drug deal and Madoff will wind up in jail. All for materialist possessions, the seduction of greed and the love of money left them to live out their days amongst rapist and murderers. But they have left many people to deal with the fall out of their destruction. It will take years to purge the effects of these two out the system of the affected families.


Side Note: The black man in the pic abouve is not a real drug dealer... he just played one on TV ( Showtime.. The Wire)