Essay --

Assignment 1 EthicsBernie L. Madoff investiture Securities LLP was part of what is considered to be one of the largest financial frauds in U.S history. The Wall Street investment staunch was used as an elaborate Ponzi Scheme that extorted upwards of $65 one thousand thousand from unsuspecting investors. The Ponzi scheme is a fraudulent investment operation that pays wampum to older investors using the money generated from newer investors. The Ponzi scheme was perpetrated by founder Bernie Madoff and was carried discover for a number of years until 2008 when he was finally convicted.Bernie L Madoff Investment Securities LLP was founded in 1960 by Chairman Bernie Madoff and was one of the top market-maker businesses primarily part as the middleman between buyers and sellers of shares. Bernie Madoff first started his profligate as a penny descent trader using the $5,000 he saved up from his job as a lifeguard and sprinkler installer. As time went on he was able to build up his securely with the help of his father-in-law, capital of Minnesota Alpern who referred him to a large circle of friends and families which further helped expand his business (Biography.com). The firm eventually became so successful that by the 1980s, the firm handled up to 5% of the trading volume on the New York Stock Exchange. The firm also helped develop the National Association for Securities Dealers Automated Quotations (NASDAQ), a computer engineering information platform which the firm used to broadcast stock quotes. In the 1990s Bernie Madoff was eventually named chairman of NASDAQ (DeGrace, 2011). Alongside Bernie Madoff was his brother Peter Madoff who was the firms chief compliance officer and senior managing director. Bernie also leased his two sons Mark and Andrew Madoff at his firm.... .... According to the nytimes.com, it is required under the SOX that brokerage house firms such as Madoff Securities are required to be audited by firms registered with the state-sup ported Company Accounting Board. However, the S.E.C issued a rule to waive that requirement for in camera held brokerage firms. This again allowed Friehling & Horowitz who werent registered with the board to continue on doing the audits for Madoff Securities. (Norris, 2009)Its obvious that Bernie Madoff was highly respected among his peers for his knowledge and experience in stock trading and he used that leverage to manipulate hundreds of investors. His returns despite probable suspicious left his investors wanting more. Theres no query greed was the driving force behind Madoffs unethical doings but it could also be said greed was also the close Madoff was able to get away with it for so long.