Madoff LLC Fraud. Background of the Company

Madoff LLC Fraud. Background of the Company Research Paper example
Masters
Research Paper
Finance & Accounting
Pages 12 (3012 words)
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Madoff Investment Securities LLC, has been performing its operation as one of the agents and/or brokers in the securities dealing segment. The company was initiated in the year 1960 New York and has been rendering numerous services to the banks, financial institutions as well as broker and dealers…

Introduction

The company handled approximately 50 million shares per day. The main activity of the company has been to handle the orders that the online brokers belonging to a few of the biggest US companies used to make such as the Citigroup Inc. and General Electric. It is evident that the company has been the foremost to mechanize market-making. In this type of dealing, the dealer tends to incessantly buy the stocks and sell them as well. Madoff’s firm has also been the biggest to offer “payment for order flow” (Glovin & Scheer, 2011). Bernard Madoff never revealed his financial statements and kept back them under his safe custody. Further, it has been noted that Madoff has also been one of the active members of the NASDAQ Stock Market related board of governors as well as the member of NASDAQ’s executive committee and also had been the Chairman of trading committee. Bernard Madoff never revealed his financial statements and kept back them under his safe custody. Further, it has been noted that Madoff has also been one of the active members of the NASDAQ Stock Market related board of governors as well as the member of NASDAQ’s executive committee and also had been the Chairman of trading committee. ...
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