- Ivar Kreuger formed Svenska Tändsticks Aktiebolaget, STAB
(Swedish Match Company); lent over $300 million dollars to
governments in Europe, Latin America, and Asia in exchange for
national match monopolies; became world's largest match
manufacturer; built small, family-owned match business into a
$600 million global match empire; owned manufacturing operations
in 36 countries, had monopolies in 16 countries, controlled 40%
of the world's match production; relied on international capital
markets to finance acquisitions and monopoly deals; 1929
- Kreuger company stocks and bonds were most widely held
securities in United States and world; 1932 -
Krueger died in Paris (suicide?); forensic auditors discovered
giant pyramid scheme; Kreuger accounts hid fictitious assets in
maze of over 400 subsidiary companies; Swedish Match's deficits
exceeded Sweden's national debt.
August 13, 1920
- Thousands of investors demanded their money back from Carlo
Ponzi. Anticipating the collapse, had already attempted to
gamble with the $2 million in a vain attempt to make up the lost
money. Ponzi went to jail and was deported to Italy in 1934. He
told reporters, "I hope the world forgives me." 1919
- told friends and potential investors that they would get a 50
percent return on their money within 90 days if they invested
with him. The hapless investors were never told much about what
Ponzi planned on doing with their money, but, when pressed, he
told them that it had to do with international postal exchange
coupons, an obscure field that virtually no one knew much about.
Paid off his initial investors and soon the investment dollars
were pouring in. Thousands of people came to his offices, where
money was stuffed in every desk drawer and filing cabinet. Ponzi
was taking in an estimated $200,000 a day at the frenzy's peak.
When a local writer questioned Ponzi's financial record, he
threatened to sue and scared off further inquiry. When state
investigators finally began examining his books and interviewing
his workers they found that there was no real investment going
on. Of course, only the very early investors actually got any
money back, and these funds came from later investors.
October 11, 1972
- Securities Exchange Commission (SEC) filed charges against
Bank of America Vice President George L. Bates and Western Oil
Development Corp.; charged Bates with "fraud and deceit" while
trading stocks of Western Oil; accused Western Oil officials of
using "fraudulent statements" to boost company's stock price (to
use as resource to "acquire valuable properties"); SEC also
convened hearings on charges of anti-fraud violations by
Continental Investments and two of its subsidiaries; stemmed
from charges that Continental Investment manipulated its
investment relationship with the United Fund group, mutual fund
company, for improper fiscal gain. Continental Investment
officials maintained their innocence, described their dealings
with United Fund group as "complex" and "technical," but not
August 24, 1982
- Era of unfettered greed
on Wall Street in mid-1980s. Martin Siegel
(mergers-and-acquisitions executive at Kidder, Peabody & Co.)
met Ivan Boesky at Harvard Club in New York City; agreed to give
inside information on upcoming mergers for pay; at end of 1982,
Boesky delivered $150,000 in $100 bills to Siegel at Plaza
Hotel; over next few years, Siegel passed inside information to
Boesky on several occasions (Boesky made $28 million in
Carnation stock before its takeover); Boesky's success fueled
investigative inquiries (by both press, Securities and
Exchange Commission), rumors about Siegel and Kidder, Peabody &
Co.; January 1985 - Siegel demanded $400,000
(cash drop-off was made at phone booth), decided to end the
October 1982 -
Barry Minkow started small carpet cleaning business in mother's
garage in Los Angeles suburb; expanded into insurance
restoration company (damaged buildings); December 1986
- went public (clean audit opinions from two accounting firms,
registration statement from large Wall Street firm); reached
market capitalization of $280 million; youngest person to take
company public in Wall Street history; June 1987 -
fraud discovered - - no restoration projects, minimal revenues
relative to reported sales, no profits; July 2, 1987
- Minkow (20) resigned; January 1988 - indicted on
54 counts of racketeering, securities fraud (valued at $26
million), embezzlement, mail fraud, tax evasion; convicted,
sentenced to jail; April 1995 - released.
May 2, 1985
- E. F. Hutton & Co. pleaded guilty to charges that it had
engineered a massive check-writing swindle; lawyers admitted
that the firm had managed to soak hefty sums of money from its
various bank accounts without paying a cent of interest ( in the
neighborhood of $4 billion in checks between the summer of 1980
and February 1982); consented to pay roughly $10 million (in
fines) and restitution to the victimized banks; none of the
roughly twenty-four employees involved in the swindle faced
May 28, 1986
- The U.S. Court of Appeals upheld conviction of writer R.
Foster Winans, author of the "Heard on the Street" column for
the Wall Street Journal, for securities fraud; entered scheme
with two brokers at Kidder Peabody to give them advance
information about his column; brokers, Kenneth Felis and Peter
Brant, made $700,000 by trading stocks that Winans touted in the
newspaper; Winans and his lover, David Carpenter, received only
$31,000 in kickbacks; case became public symbol of the
widespread greed, corruption, win-at-all-costs mentality of Wall
Street that prevailed in the 1980s.
November 14, 1986
- Wall Street arbitrageur Ivan Boesky pleaded guilty to insider
trading, agreed to pay $100 million fine, cooperate with
Securities and Exchange Commission's investigation; SEC called
it "Boesky Day," crucial in exposing a nationwide scandal
at heart of `80s Wall Street boom; Boesky received
three-year sentence, 22 months of which he served at Lompoc
Federal Prison in California; Congress increased penalties for
securities violations; Boesky demonized as national symbol of
greed, example of dangers of `80s-era excess; Siegel one of few
cooperative witnesses for government, virtually only one who
showed remorse for his role in fraud, got 2-month sentence,
November 15, 1986
- The SEC fined Ivan F. Boesky $100 million for insider stock
18, 1987 -
Ivan F. Boesky sentenced to three
years in prison for Wall Street's largest insider-trading
scandal. served two years of his prison term, paid over $100
million in fines.
October 22, 1988 - Congress
passed bill designed to combat fiscal corruption; doubled
maximum prison term for insider trading (toughest sentence = ten
years in jail; raised ceiling on fines for insider trading up to
$1 million for individuals, $2.5 million for corporations and
partnerships; made companies responsible for improper trading
committed by their employees.
December 21, 1988 - Drexel Burnham Lambert Inc.
pleaded guilty to charges of mail, wire, and securities fraud;
agreed to hand over a record $650 million in fines, as well as
to cooperate with authorities in their ongoing investigation of
other Wall Street figures; provided evidence against Michael
Milken, junk-bond king (indicted in 1990 on nearly one hundred
counts of racketeering).
February 13, 1990
- Drexel Burnham Lambert filed for bankruptcy.
April 7, 1990
- Michael Milken pleaded innocent to security law violations;
April 24, 1990 - pleaded guilty to 6 felonies.
November 21, 1990
- U.S. District Judge Kimba Wood sentenced Michael Milken
(former Drexel Burnham junk-bond king) to a ten-year prison term
for various securities law infractions (insider trading and
August 26, 1994
- Financier Robert Vesco
received a 13-year jail sentence in Cuba for "economic crimes
against the state." The Detroit native was found guilty of
defrauding Cuba's state-run pharmaceutical agency during the
development of TX, a plant-based "wonder drug" that was reputed
to help prevent AIDS and cancer. In the early 1970s
- he was charged with making illegal contributions to
Richard Nixon's reelection campaign for which the government
indicted him (rather than serve time, he fled to Latin America).
Vesco was also charged with trying to swindle mutual fund
investors out of $224 million.
December 6, 1994
- Orange County, CA filed for bankruptcy protection due to
investment losses of about $2 billion; single biggest bankruptcy
filing by a municipality; Orange County officials over-leveraged
county's fund, borrowed significantly for securities trading via
use of reverse repurchase agreements (investors borrow money to
buy securities, put up securities as collateral); fund suffered
losses for a year, lenders' risk increased, county forced to put
up more collateral; fund's losses rose to about $2 billion,
county officials filed for Chapter 9 bankruptcy.
February 26, 1995
- Barings PLC, Britain's oldest investment banking firm,
collapsed after one of its Singapore-based securities traders
(Nick Leeson) lost more than $1.4 billion by gambling on Tokyo
stock prices; March 2, 1995 - British trader Nick
September 26, 1995
- Japan's 12th-largest institution, Daiwa Bank, admitted that
lax regulatory controls at a branch in New York had led to a
loss of more than $1 billion over an 11-year period; trader
Iguchi Toshihide blamed; Daiwa, Japanese bureaucrats accused of
cover-up; November 2, 1995
- Daiwa Bank's American operations closed after an investigation
revealed: 1) it had let Toshihide continue to make unauthorized
deals, even after he had racked up $1.1 billion in debt on bad
trades; 2) had worked with trader to cover up losses.
March 7, 1997
- Federal Judge Robert Sweet sentenced Steven Hoffenberg, former
chief of Towers Financial Corp., to a twenty-year prison term,
to pay out $462 million in restitution, $1 million in fines;
accused of pawning off vast sums of "worthless" Tower-backed
bonds to unsuspecting investors, conned investors out of $500
million to fund extravagant habits.
October 31, 2002
- The Securities and Exchange Commission ordered investigation
into allegations that Chairman Harvey Pitt had concealed
information on corporate ties of William Webster, his choice to
head new accounting oversight board.
November 5, 2002
- Securities and Exchange Commission Chairman Harvey Pitt
resigned under pressure after series of political missteps that
had embarrassed White House.
June 10, 2003
- ImClone chief Sam Waksal was sentenced to more than seven
years in prison in connection with stock-trading scandal.
January 24, 2008
- Societe Generale (one of Europe's biggest banks)
revealed it had lost $7.15 billion dollars at hands of a rogue
trader (Jerome Kerviel, 31); January 26, 2008 -
surrendered to the police in Paris.
Biggest Trading Losses by
(Allied Irish Banks Limited), Siobhán Creaton
and Conor O'Clery (2002).
Panic at the Bank: How John Rusnak Lost AIB $691,000,000.
(Dublin, IR: Gill & Macmillan, 181 p.). Rusnak, John; Allied
Irish Banks plc.; Allfirst Bank; Floor traders (Finance)--United
States--Biography; Bank fraud--United States.
(Barings), Judith H. Rawnsley (1995).
Total Risk: Nick Leeson and the Fall of Barings Bank.
(New York, NY: HarperBusiness, 206 p.). Leeson, Nicholas
William; Barings Bank; Merchant banks--Great Britain; Bank
failures--Great Britain; Derivative securities.
(Barings), Nicholas W. Leeson with Edward
Rogue Trader: How I Brought Down Barings Bank and Shook the
Financial World. (Boston, MA: Little, Brown, 273 p.).
Barings Bank; Merchant banks--Great Britain; Bank
failures--Great Britain; Fraud investigation;
(Barings), John Gapper and Nicholas Denton
All That Glitters: The Fall of Barings. (London, UK:
Hamish Hamilton, 364 p.). Leeson, Nicholas William; Barings
Bank; Merchant banks -- Great Britain; Bank failures -- Great
Britain; Derivative securities.
(Barings), Stephen Fay (1996).
The Collapse of Barings. (London, UK: Richard Cohen
Books, 308 p.). Barings Bank; Bank failures -- Great Britain.
(Bell & Beckwith), Homer Brickley, Jr. (1985).
Master Manipulator. (New York, NY: American Management
Association, 161 p.). Bell & Beckwith; Securities fraud -- Ohio
-- Toledo -- Case studies; Brokers -- Malpractice -- Ohio --
Toledo -- Case studies; White collar crime investigation -- Ohio
-- Toledo -- Case studies.
(Bennett Companies), Stewart L. Weisman
Need and Greed: The Story of the Largest Ponzi Scheme in
American History. (Syracuse, NY: Syracuse University
Press, 377 p.). Bennett, Patrick; Bennett, Michael A.; Bennett
Companies; Commercial crimes -- United States -- Case studies;
Commercial crimes -- New York (State) -- Syracuse -- Case
studies; Securities fraud -- United States -- Case studies;
Securities fraud -- New York (State) -- Syracuse -- Case
(Cassandra Group Inc.), Emily White (2007).
You Will Make Money in Your Sleep: From Boom to Bust with Dana
Giacchetto in the 1990s. (New York, NY: Scribner, 320
p.). Giacchetto, Dana; Investment advisors--United
States--Biography; Investment advisors--Corrupt
practices--United States. Former president, founder of $100 million Cassandra Group,
investment advisory firm; managing funds for celebrity clients;
charged with stealing $9.9 million in client funds, lying to
securities investigators; sentenced to nearly 5 years in prison;
won early release.
Giacchetto - Cassandra
(Daiwa), oshihide Iguchi (2004). My
Billion Dollar Education. (Bedford, IN: JoNa Books, 280 p.).
Iguchi, Toshihide; Daiwa Securities; Fraud investigation;
(Dow Jones), R. Foster Winans (1986).
Trading Secrets: Seduction and Scandal at the Wall Street
Journal. (New York, NY: St. Martin's Press, 320 p.).
Winans, R. Foster; Dow Jones & Co.; Wall Street Journal; Wall
Street; Journalists--United States; Securities fraud--New York
R. Foster Winans
(Drexel Burnham), Douglas Frantz (1987).
Levine & Co.: Wall Street's Insider Trading Scandal.
(New York, NY: Holt, 370 p.). Levine, Dennis, 1952- ; Bankers --
United States -- Biography; Insider trading in securities --
United States; Investment banking -- United States -- Corrupt
practices; Investment banking -- Corrupt practices -- United
(Drexel Burnham), Dennis B. Levine, with
William Hoffer (1991).
Inside Out: An Insider's Account of Wall Street. (New
York, NY: Putnam, 431 p.). Levine, Dennis, 1952- ; Insider
trading in securities -- United States; Investment banking --
United States -- Corrupt practices; Investment banking --
Corrupt practices -- United States.
(Drexel Burnham), Benjamin Stein (1992).
A License to Steal: The Untold Story of Michael Milken and the
Conspiracy to Bilk the Nation. (New York, NY: Simon &
Schuster, 219 p.). Milken, Michael; Drexel Burnham Lambert
Incorporated; Stockbrokers--United States--Biography; Junk
bonds--United States; Securities industry--Corrupt
(Drexel Burnham), Mary Zey
Banking on Fraud: Drexel, Junk Bonds, and Buyouts.
(New York, NY: Aldine de Gruyter, 306 p.). Milken, Michael;
Drexel Burnham Lambert Incorporated; Securities
industry--Corrupt practices--United States; Junk bonds--United
(Drexel Burnham), Daniel R. Fischel (1995).
Payback: The Conspiracy to Destroy Michael Milken and His
Financial Revolution. (New York, NY: HarperBusiness, 332
p.). Professor of Corporate Law (University of Chicago). Milken,
Michael; Drexel Burnham Lambert Incorporated; Junk bonds--United
States; Insider trading in securities--United States.
(Equitable Life Assurance Company), Patricia
After the Ball: Gilded Age Secrets, Boardroom Betrayals, and the
Party That Ignited the Great Wall Street Scandal of 1905.
(New York, NY: HarperCollins, 402 p.). Former Writer/Editor
(Town & Country/Elle). Hyde, James Hazen, 1876-1959; Equitable
Life Insurance Company--History; Businessmen--United
States--Biography; Wall Street--History.
(Equity Funding), Raymond L. Dirks and Leonard
The Great Wall Street Scandal. (New York, NY:
McGraw-Hill, 295 p.). Equity Funding Corporation of America;
Fraud--United States; Stock exchanges--United States.
(Equity Funding), Ronald L. Soble and Robert
E. Dallos (1975).
The Impossible Dream: The Equity Funding Story, the Fraud of the
Century. (New York, NY: Putnam, 313 p.). Equity Funding
Corporation of America; Fraud--United States; Stock
(Equity Funding), [edited by] Lee J. Seidler,
Frederick Andrews, Marc J. Epstein (1977).
The Equity Funding Papers: The Anatomy of a Fraud.
(Santa Barbara, CA: Wiley, 578 p.). Equity Funding Corporation
of America; Securities fraud--United States.
(Fisk), Willoughy Jones (1872).
The Life of James Fisk, Jr. ... Including the Great Frauds of
the Tammany Ring ... (Philadelphia, PA: Union Pub. Co.,
512 p.). Fisk, James, 1835-1872; Tammany Hall;
James Fisk, Jr.
(Fisk), Marshall P. Stafford (1871). A Life
of James Fisk, Jr.: Being a Full and Accurate Narrative of All
the Enterprises in Which He Has Been Engaged. (New York, NY:
Pohlemus & Pearson, Printers, 311 p.). Fisk, James, 1835-1872;
(Fisk), Robert H. Fuller (1928).
Jubilee Jim: The Life of Colonel James Fisk, Jr. (New
York, NY: Macmillan, 566 p.). Fisk, James, 1835-1872. Erie
Railroad stock manipulator.
(Fisk), W.A. Swanberg (1959).
Jim Fisk; The Career of an Improbable Rascal. (New York,
NY: Scribner, 310 p.). Fisk, James, 1835-1872. Erie Railroad
(Frankel), J.A. Johnson, Jr. (2000).
Thief: The Bizarre Story of Fugitive Financier Martin Frankel.
(New York, NY: Lebhar-Friedman Books, 202 p.). Frankel, Martin;.
(Frankel), Ellen Joan Pollock (2002).
The Pretender: How Martin Frankel Fooled the Financial World and
Led the Feds on One of the Most Publicized Manhunts in History.
(New York, NY: Simon & Schuster, 276 p.). Frankel, Martin;
(Home-Stake Oil), David McClintick (1977).
Stealing from the Rich: The Home-Stake Oil Swindle. (New
York, NY: M. Evans, 335 p.). Home-Stake Production Company;
Securities fraud -- United States -- Case studies; Petroleum
industry and trade -- United States.
(IEQ Plc), David Alexander (2004).
Crooked Knight: How It All Went Wrong for IEQ. (New
York, NY: Origin of Book, 200 p.). Intermediate Equity Plc;
(IOS), Bert Cantor (1970).
The Bernie Cornfeld Story. (New York, NY: Lyle Styuart,
320 p.). Cornfeld, Bernie, 1927-; Investors Overseas Services.
(IOS), Charles Raw, Bruce Page and Godfrey
"Do You Sincerely Want to be Rich?" The Full Story of Bernard
Cornfeld and IOS. (New York, NY: Viking Press, 400 p.).
Cornfeld, Bernie, 1927- ; Investors Overseas Services; Mutual
funds; Swindlers and swindling--Biography; Commercial
(IOS), Robert A. Hutchison (1974).
Vesco. (New York, NY: Praeger, 376 p.). Vesco, Robert.
(IOS), Arthur Herzog (1987).
Vesco: From Wall Street to Castro's Cuba: The Rise, Fall, and
Exile of the King of White Collar Crime. (New York, NY:
Doubleday, 380 p.). Vesco, Robert; Commercial criminals--United
States--Biography; White collar crimes--United States.
(Julian Petroleum), Jules Tygiel (1996).
The Great Los Angeles Swindle: Oil, Stocks, and Scandal During
the Roaring Twenties. (Berkeley, CA: University of
California Press, 398 p. [orig. pub. 1994]). Julian Petroleum
Corporation; Julian Petroleum Corporation; Petroleum industry
and trade--Corrupt practices--California--Los Angeles.
C. C. Julian -
(Kidder Peabody), Joseph Jett with Sabra
Black and White on Wall Street: The Untold Story of the Man
Wrongly Accused of Bringing Down Kidder Peabody. (New
York, NY: Morrow, 387 p.). Government Bond Trader at Kidder,
Peabody. Jett, Joseph; Kidder, Peabody &
Co.--Employees--Biography; Insider trading in securities--United
States; Securities industry--Corrupt practices--United States.
(Kreuger & Toll), Earl Sparling (1932).
Kreuger's Billion Dollar Bubble. (New York, NY: Greenberg,
276 p.). Kreuger, Ivar, 1880-1932; Kreuger & Toll.
(Kreuger & Toll), William H. Stoneman (1932).
The Life and Death of Ivar Kreuger. (Indianapolis, IN:
Bobbs-Merrill, 280 p.). Kreuger, Ivar, 1880-1932.
(Kreuger & Toll), Manfred Georg; translated
from the German by L.M. Sieveking and Ian F.D. Morrow (1933).
The Case of Ivar Kreuger; An Adventure in Finance. (London,
UK: J. Cape, 256 p.). Kreuger, Ivar, 1880-1932.
(Kreuger & Toll), Allen Churchill (1957).
The Incredible Ivar Kreuger. (New York, NY: Rinehart,
301 p.). Kreuger, Ivar, 1880-1932.
(Krueger & Toll), Bjorn Gafvert (1979).
Kreuger, Riksbanken och Regeringen - [Kreuger, Sveriges Riksbank
and the Swedish government]. (Stockholm, Sweden: LiberForlag,
340 p.). Kreuger, Ivar, 1880-1932; Sveriges riksbank; Kreuger &
Toll; Banks and banking --Sweden; Match industry --Sweden;
International finance; Sweden --Politics and government
(Kreuger & Toll), Robedrt Shaplen (1986).
Kreuger, Genius and Swindler. (New York, NY: Garland,
251 p. (orig. pub. 1960)). Kreuger, Ivar, 1880-1932; Svenska
tändsticks AB--History; Kreuger & Toll--History; Sveriges
riksbank--History; Commercial criminals--Sweden--Biography;
Swindlers and swindling--Sweden--Biography; International
finance--Corrupt practices--History; Match industry--History.
(Krueger & Toll), Lars-Jonas Angstrom (1990). Darfor Mordades Ivar Kreuger
Murder of Ivar Krueger]. (Stockholm, Sweden: Sellin & Blomquist
i samarbete med Den Svenska Marknaden, 373 p.). Kreuger, Ivar,
1880-1932; Svenska tandsticks AB --Biography; Kreuger & Toll
--History; Sveriges riksbank --History; Commercial criminals
--Sweden --Biography; Match industry --Sweden --History;
International finance --Corrupt practices --History.
(Krueger & Toll), Frank Partnoy (2009).
The Match King: Ivar Kreuger, The Financial Genius Behind a
Century of Wall Street Scandals. (New York, NY ,: Public
Affairs, 288 p.). Former investment banker (Morgan Stanley),
corporate lawyer. Kreuger, Ivar, 1880-1932; Svenska tändsticks
AB--History; Kreuger & Toll--History; Sveriges riksbank--History;
Commercial criminals--Sweden--Biography; Swindlers and
swindling--Sweden--Biography; International finance--Corrupt
practices--History; Match industry--History.
Wisdom of crowds, invisible hand, free and
unfettered market; Swedish emigre,
Ivar Kreuger, made fortune
at height of roaring 20s;
raised money in America, made loans in Europe in exchange
for matchstick monopolies; 1932 - committed suicide; had turned to shell companies in tax
havens, fudged accounting figures, off-balance-sheet accounting,
forgery; created raft of innovative financial products; millions
went bankrupt when his Wall Street empire collapsed.
(L.T.C.M.), Nicholas Dunbar (2000).
Inventing Money: The Story of Long-Term Capital Management and
the Legends Behind It. (New York, NY: Wiley, 245 p.).
British financial journalist. Long-term Capital Management
(Firm); Finance; Financial crises.
(L.T.C.M.), Roger Lowenstein (2000).
When Genius Failed: The Rise and Fall of Long-Term Capital
Management. (New York, NY: Random House. Former Wall
Street Journal Reporter. Hedge funds--United States.
Arvedlund (2009). Madoff:
The Man Who Stole $65 Billion. (New York, NY:
Penguin, 320 p.). Madoff, Bernard L.; Swindlers and
swindling --United States --Biography; Ponzi schemes
--United States; Commercial crimes --United States.
Bernard Madoff - Ponzi scheme (http://img.timeinc.net/time/daily/2009/0903/bernard_madoff_0310.jpg)
(Madoff), Andrew Kirtzman
Betrayal: The Life and Lies of Bernie Madoff. (New
York, NY: Harper, 320 p.). Madoff, Bernard L.; Swindlers and
swindling --United States --Biography; Ponzi schemes --United
States; Commercial crimes --United States.
Adam LeBor (2009).
The Believers: How America Fell for Bernard Madoff’s $65 Billion
Investment Scam. (London, UK: Weidenfeld & Nicolson,
312 p.). Madoff, Bernard L.; Swindlers and swindling
--United States --Biography; Ponzi schemes --United States;
Commercial crimes --United States.
connection to, catastrophic impact on, American Jewish
community; clubbish world where Madoff operated, links from Palm
Beach, Hamptons to salons, clubs of Manhattan society; network
of relationships; how despite material success and acclaim, some
human impulses remain eternal; how underlying sense of
insecurity shapes some of richest, most successful individuals
in America, makes them crave ever more status, peer acclaim.
Jerry Oppenheimer (2009).
Madoff with the Money. (Hoboken, NJ Wiley, 272 p.). Madoff,
Bernard L.; Capitalists and financiers --United States
--Biography; Ponzi schemes --United States.
manager's trail up social and economic ladder (working class
town of Laurelton, Queens to high-life on Wall Street,
super-rich enclaves of Palm Beach, French Riviera), scamming
trusting clients in $50 billion Ponzi scheme
(Madoff), Deborah and Gerald Strober (2009).
Catastrophe: The Story of Bernard L. Madoff, The Man Who
Swindled the World. (Beverly Hills, CA: Phoenix Books,
256 p.). Madoff, Bernard; Ponzi schemes--United States--History;
Scandal--Wall Street--history; crime--white collar--history.
December 2008 - FBI arrested Bernard Madoff, respected fund
manager, former chairman of NASDAQ, for reportedly bilking
thousands of trusting investors out of $50 billion; story behind
upstanding façade; how he developed elaborate deceit, how and
why he targeted, scammed world of Jewish philanthropy; used
easy-going charm, country-club sociability to gain entry into
influential circles; how he seduced, persuaded sophisticated
investors, how he eluded SEC watchdogs for years, how
far-reaching crime has affected world.
Markopolos (2010). No
One Would Listen: A True Financial Thriller.
(Hoboken, NJ, Wiley, 376 p.). Former Securities Industry
Executive Turned Independent Financial Fraud Investigator. Madoff,
Bernard L.; Ponzi schemes --United States. How Markopolos and
his team, "The Fox Hounds" (Frank Casey, Neil Chelo, Michael
Ocrant), uncovered (in 1998) what Madoff was doing years before
financial disaster; no one listened, until
damage of world's largest financial fraud ($65 billiobn) was
irreversible; how they discovered fraud, how they provided
credible, detailed evidence to major newspapers, Securities and
Exchange Commission (SEC) many times between 2000 and 2008
(warnings ignored repeatedly by SEC); how SEC
missed red flags raised by Markopolos; how Madoff was enabled by
investors, fiduciaries alike.
(Madoff), Diana B. Henriques (2011).
The Wizard of Lies: Bernie Madoff and the Death of Trust.
(New York, NY: Times Books, 448 p.). Reporter (New York Times).
Madoff, Bernard L.; Swindlers and swindling --United States
--Biography; Ponzi schemes --United States; Commercial crimes
--United States. Biggest Ponzi scheme in history - swindled
friends, relatives, investors out of $65 billion through fraud
that lasted for decades; Madoff's remarkable rise on Wall Street
(became one of country’s most trusted, respected traders);
accelerating slide toward self-destruction; personal disasters,
landmark legal battles triggered by Madoff’s downfall (suicides,
business failures, fractured families, shuttered charities).
(Merrill Lynch), Daniel Reingold with Jennifer
Confessions of a Wall Street Analyst: A True Story of Inside
Information and Corruption in the Stock Market. (New
York, NY: Collins, 368 p.). Formerly World's #1 Rated Telecom
Analyst at Merrill Lynch. Investment advisors--Corrupt
practices--United States; Securities industry--Corrupt
practices--United States; Insider trading in securities--United
States; Telecommunication--Corrupt practices.
How deeply corrupted Wall Street,
and much of corporate America, had become during stock market
bubble of 1990s.
(Morgan Guaranty Trust), Gerald Astor (1975).
Hot Paper. (New York, NY: Saturday Review Press, 212
p.). Morgan Guaranty Trust Company of New York; Securities
theft--New York (State)--New York--Case studies.
Theft of $13
million in negotiable securities.
(Nomura), John E Fitzgibbon (1991).
Deceitful Practices: Nomura Securities and the Japanese Invasion
of Wall Street. (New York, NY: Carol Pub. Group, 222
p.). Nomura Shoken Kabushiki Kaisha --Corrupt practices; United
States; Securities and Exchange Commission; Securities industry
--Corrupt practices --Japan; Securities --United States.
(Orange County), Philippe Jorion, with the
assistance of Robert Roper (1995).
Big Bets Gone Bad: Derivatives and Bankruptcy in Orange County.
(San Diego, CA: Academic Press, 176 p.). Only Professor in
Orange County who teaches and researches derivatives. Citron,
Robert L.; Investment of public funds--California--Orange
County; Derivative securities; Debts, Public--California--Orange
County; Municipal bankruptcy--California--Orange County.
(Orange County), Mark Baldassare (1998).
When Government Fails: The Orange County Bankruptcy.
(Berkeley, CA: University of California, 317 p.). Senior Fellow
at the Public Policy Institute of California (PPIC) and
Professor and Chair of Urban and Regional Planning at the
University of California, Irvine. Citron, Robert L.; Investment
of public funds--California--Orange County; Derivative
securities; Debts, Public--California--Orange County; Municipal
(Overend and Gurney), Geoffrey Elliott (2006).
The Mystery of Overend and Gurney: Financial Scandal in
Victorian London. (London, UK: Methuen, 288 p.). Honorary
Fellow of St Anthony's College, Oxford. Overend and Gurney;
Speculation--Case studies; Financial crises.
May 1866 - Overend and Gurney,
the City of London's leading discount house - with a turnover
second only to that of the Bank of England - suspended all
payments and provoked a 'panic without parallel in the financial
history of England'.
(Ponzi), Donald H. Dunn (1975).
Ponzi!: The Boston Swindler. (New York, NY: McGraw-Hill,
254 p.). Ponzi, Charles.
(Ponzi), Mitchell Zuckhoff (2005).
Ponzi's Scheme: The True Story of a Financial Legend.
(New York, NY: Random House, 390 p.). Professor of Journalism
(Boston University). Ponzi, Charles; Swindlers and
swindling--Biography; Swindlers and swindling--United
States--Biography; Ponzi schemes--United States--History;
Commercial crimes--United States--Case studies.
(Prudential-Bache, Jeffrey Taylor (1994).
The Pru-Bache Murder: The Fast Life and Grisly Death of a
Millionaire Stockbroker. (New York, NY: HarperCollins,
293 p,). Prozumenshikov, Michael, 1953-1991; Prudential-Bache
Securities, Inc.--Case studies;
Serpent on the Rock. (New York, NY: HarperBusiness, 480
p.). Reporter-New York Times. Prudential-Bache Securities, Inc.,
(Prudential-Bache), Kathleen Sharp (1995).
In Good Faith. (New York, NY: St. Martin's Press, 256
p.). Prudential-Bache Securities, Inc.--Corrupt practices;
Securities fraud--United States--Case studies.
(Quintex Group), Tom Prior (1994).
Christopher Skase: Beyond the Mirage. (Melbourne, Vic.:
Wilkinson Books, 247 p.). Skase, Christopher;
(Quintex Group), Lawrence van der Plaat
Too Good To Be True: Inside the Corrupt World of Christopher
Skase. (Sydney, AU: Macmillan, 388 p.). Skase,
Christopher; Businesspeople--Australia--Biography; Directors of
corporations--Australia--Biography; Fugitives from
(Rich), A. Craig Copetas (1985).
Metal Men: Marc Rich and the 10-Billion-Dollar Scam.
(New York, NY: Putnam, 224 p.). Rich, Marc; Metal trade;
Brokers; Tax evasion--United States.
(Salomon Brothers), Martin Mayer (1993).
Nightmare on Wall Street: Salomon Brothers and the Corruption of
the Marketplace. (New York, NY: Simon & Schuster, 272
p.). Salomon Brothers; Government securities--Marketing--Corrupt
(Slater Walker Securities), Charles Raw
A Financial Phenomenon: An Investigation of the Rise and Fall of
the Slater Walker Empire. (New York, NY: Harper & Row,
368 p.). Slater, Jim, 1929- ; Walker, Peter Edward, 1932- ;
Slater, Walker Securities, Ltd.; Capitalists and
(Slater Walker Securities), Jim Slater (1977).
Return to Go: My Autobiography. (London, UK: Weidenfeld
and Nicolson, 278 p.). Slater, Jim, 1929- ; Slater, Walker
Securities Ltd.; Capitalists and financiers--Great
(Texas Gulf Sulphur), Morton Shulman (1970).
The Billion Dollar Windfall. (New York, NY: Morrow, 239
p.). Texas Gulf Sulphur Company, inc.; Minority stockholders;
(TexasGulf Sulphur), Kenneth G. Patrick
Perpetual Jeopardy: The Texas Gulf Sulphur Affair; a Chronicle
of Achievement and Misadventure. (New York, NY:
Macmillan, 363 p.). Texas Gulf Sulphur Company, inc.;
(Tipperary Joint- Stock Bank), James O'Shea
Prince of Swindlers John Sadleir, M.P. 1813-1856.
(Dublin, IR: Geography Publications, 510 p.). Sadleir, John,
1813-1856; Swindlers and swindling --Ireland --Biography;
Legislators --Ireland --Biography. Ireland --Politics and
government --1837-1901; Tipperary (Ireland : County)
--Biography. February 16, 1856 - British member of parliament
(42), newspaper publisher, bank and railroad chairman, committed
suicide; his fraud wiped out at least three
companies, caused ruin, misery, disgrace to thousands; forged
property deeds to secure mortgages embezzled money from banks he
chaired, concealed balance sheets with false
Sadleir - Tipperary Joint- Stock Bank
(ZZZ Best), Joe Domanick (1989).
Faking It in America: Barry Minkow and the Great ZZZZ Best Scam.
(Chicago, IL: Contemporary Books, 288 p.). Minkow, Barry;
Swindlers and swindling--California--Case studies;
Corporations--Corrupt practices--California--Case studies;
Success in business--California--Case studies; Swindlers and
- ZZZ Best
(ZZZ Best), Daniel Akst (1990).
Wonder Boy: Barry Minkow, the Kid Who Swindled Wall Street.
(New York, NY: Scribner's, 280 p.). Minkow, Barry;
Businesspeople--United States--Biography; Success in
business--United States; Fraud--United States; Wall Street.
(ZZZ Best), Barry Minkow (1995).
Clean Sweep: The Inside Story of the ZZZZ Best Scam--One of Wall
Street's Biggest Scams. (Nashville, TN: Nelson
Publishers, 244 p.). Founder of ZZZ Best Co., Perpetrator of
Fraud. Minkow, Barry; Businesspeople--United States--Biography;
Christian converts--United States--Biography; Success in
business--United States; Fraud--United States; Wall Street.
(ZZZ Best), Barry Minkow (2005).
Cleaning Up: One Man's Redemptive Journey Through the Seductive
World of Corporate Crime. (Nashville, TN: Nelson
Current, 330 p.). 7 Years in Jail for Securities Fraud. Minkow,
Barry; Businessmen--United States--Biography; Swindlers and
swindling--United States--Biography; Christian converts--United
States--Biography; Fraud--United States.
Robert Smith Bader (1982).
The Great Kansas Bond Scandal. (Lawrence, KS: University
Press of Kansas, 392 p.). Securities fraud -- Kansas; Kansas --
History -- 20th century.
Donald C. Bauder (1985).
Captain Money and the Golden Girl: the J. David Affair.
(San Diego, CA: Harcourt Brace Jovanovich, 244 p.). Dominelli,
J. David; Hoover, Nancy; Securities fraud -- California,
Southern; Swindlers and swindling -- California, Southern.
Alex Berenson (2003).
The Number: How the Drive for Quarterly Earnings Corrupted Wall
Street and Corporate America. (New York, NY: Random
House, 274 p.). Business Reporter (New York Times).
Corporations--Accounting--Corrupt practices--United States;
States--Prevention; Financial statements--United
David Morier Evans (1968). Facts, Failures
& Frauds; Revelations, Financial, Mercantile, Criminal. (New
York, NY: A. M. Kelley, 727 p. [orig. pub. 1859]).
Corporations--Great Britain--Finance--Case studies; Fraud--Great
Britain--Case studies; Speculation--Case studies.
Ken Fisher, Lara W. Hoffmans (2009).
How to Smell a Rat: The Five Signs of Financial Fraud.
(Hoboken, NJ: Wiley, 207 p.). Founder, Chairman, and CEO of
Fisher Investments, 'Portfolio Strategy' Columnist (Forbes
magazine); Content Manager at Fisher Investments. Fraud
--Prevention; Commercial crimes; Investments; Swindlers and
swindling. Fraudsters often follow same basic playbook; learn
playbook, ask right questions - financial fraud easy to detect,
simple to avoid; ways to identify both intended, possible future
fraud; quick, identifiable features, red flags of potential financial
frauds; red flags.
William Flynn (1992).
Gibgate: The Untold Story. (Dublin, IR: Celtic Pub., 204
p.). Ross, George Finbarr, 1945- ; International Investments
Limited -- Corrupt practices; Securities industry -- Corrupt
practices -- Ireland; Securities fraud -- Ireland; Stockbrokers
-- Ireland -- Biography.
Diane Francis (1988).
Contrepreneurs. (Toronto, ON: Macmillan, 310 p.).
Securities fraud -- Canada; Money laundering -- Canada; White
collar crimes -- Canada.
Leslie Gould (1966).
The Manipulators. (New York, NY: D. McKay Co., 276 p.).
Speculation; Stocks; Swindlers and swindling.
Ed. Samuel L. III Hayes (1987).
Wall Street and Regulation. (Boston, MA: Harvard
Business School Press, 206 p.). Professor of Investment Banking
(Harvard Business School). Banking law -- United States;
Investments -- Law and legislation -- United States.
Michael Hellerman with Thomas C. Renner
Wall Street Swindler. (Garden City, NY: Doubleday, 367
p.). Hellerman, Michael; Swindlers and swindling -- United
States -- Biography; Securities theft -- United States; White
collar crimes -- United States.
Sam Jaffa (1998).
Safe as Houses: The Schemers and Scams Behind Some of the
World's Greatest Financial Scandals. (New York, NY:
Robson Books, 317 p. [orig. pub. 1997]). White collar
crimes--History; Commercial crimes--History.
Lawrence Lever (1992).
The Barlow Clowes Affair. (London, UK: Macmillan, 278
p.). Clowes, Peter; Barlow Clowes (Firm); Securities fraud --
Henry G. Manne (1966). Insider Trading and
the Stock Market. (New York, NY: Free Press, 274 p.).
Gene G. Marcial (1995).
Secrets of the Street: The Dark Side of Making Money.
(New York, NY: McGraw-Hill, 238 p.). Wall Street; Insider
trading in securities -- United States.
Martin Mayer (1992).
Stealing the Market: How the Giant Brokerage Firms, with Help
from the SEC, Stole the Stock Market from Investors.
(New York, NY: Basic Books, 208 p.). Stockbrokers--Corrupt
practices--United States; Securities industry--Corrupt
practices--United States; Stock exchanges--Corrupt
practices--United States; Securities fraud--United States.
Joe McGinniss (2007).
Never Enough. (New York, NY: Simon & Schuster, 358 p.).
Kissel, Nancy; Kissel, Rob, d. 2003; Murder--China--Hong
Kong--Case studies; Homicide--China--Hong Kong--Case studies;
Americans--China--Hong Kong. November 2003 - Nancy Kissel (39,
three young children) 'had it all'; charged with killing her
husband, Merrill Lynch and former Goldman Sachs investment
banker Robert Kissel, in bedroom of their luxury apartment above
Hong Kong's Victoria Harbour; 2006 - Andrew Kissel (brother),
Connecticut real estate tycoon facing prison for fraud,
embezzlement, found dead, stabbed in back in basement of his
multimillion-dollar Greenwich, CT mansion; assailant unknown.
Frank Portnoy (2003).
Infectious Greed: How Deceit and Risk Corrupted the Financial
Markets. (New York, NY: Times Books, 465 p.). Former
Derivatives Salesman at Morgan, Stanley. Securities
fraud--United States; Financial services industry--Corrupt
practices--United States; Corporations--United States--Corrupt
practices; Corporations--Auditing--United States; Fraud--United
John Lawrence Reynolds (2001).
Free Rider: How a Bay Street Kid Stole and Spent $20 Million.
(Toronto, ON: McArthur & Co., 456 p.). Holoday, Michael;
Securities fraud--Canada; Stockbrokers--Canada--Biography;
Fraude boursiere--Canada; Courtiers en valeurs
Susan P. Shapiro (1984).
Wayward Capitalists: Target of the Securities and Exchange
Commission. (New Haven, CT: Yale University Press, 227
p.). Senior Research Fellow at the American Bar Foundation. United States. Securities and Exchange Commission;
Securities fraud -- United States; White collar crime
investigation -- United States.
Gene Smith (1962).
The Life and Death of Serge Rubinstein. (Garden City,
NY: Doubleday, 284 p.). Rubinstein, Serge, 1908-1955.
Mark Stevens (1987).
The Insiders: The Truth Behind the Scandal Rocking Wall Street.
(New York, NY: Putnam, 256 p.). Insider trading in
securities--United States; Consolidation and merger of
corporations--United States; Investment Banking--United States;
James B. Stewart (1991).
Den of Thieves. (New York, NY: Simon & Schuster, 493
p.). Insider trading in securities--United States; Investment
banking--Corrupt practices--United States.
David A. Vise and Steve Coll (1991).
Eagle on the Street: Based on the Pulitzer Prize-winning Account
of the SEC's Battle with Wall Street. (New York, NY:
Scribner, 395 p.). United States. Securities and Exchange
Commission--Officials and employees; Securities industry--United
States--Corrupt practices; Securities fraud--United States.
T. H. Wang; [edited by] Mark Anderson (2001).
The Economic Gang: One Man's Battle with Japan, Inc.
(Sublimity, OR: Firelight Publishing, Inc., 384 p.). Wang, T.
H.; Investments--Japan; Government--Japan.
Gary Weiss (2003).
Born To Steal: A Life Inside the Wall Street Mafia. (New
York, NY: Warner Books, 384 p.). Senior Writer (Business Week).
Pasciuto, Louis, 1973- ; Stockbrokers--New York (State)--New
York--Biography; Securities fraud--New York (State)--New York;
Wall Street; Mafia--New York (State)--New York.
Wall Street Versus America: The Rampant Greed and Dishonesty
that Imperil Your Portfolio. (New York, NY: Portfolio,
320 p.). Former Reporter (Business Week). New York Stock
Exchange; Securities fraud--United States; Securities
industry--United States. Wall Street practices enable, encourage corruption, small
investor left holding bag.
Business History Links
Guide to Insider Trading: Online
Publications at the SEC
Publications about legal vs. illegal insider trading, the rules
on holding restricted stock, and rewards for tips on illegal
Virtual Museum and Archive of the SEC
and Securities History
On the surface, the subject may not seem terribly interesting,
but the importance of providing historical materials relating to
the growth and development of the Securities and Exchange
Commission (SEC) is tremendously important. Since 1999, the
Securities and Exchange Commission Historical Society has been
collecting materials in this area, and for the past several
years it have included many of these materials on this website.
On the site, visitors can view a timeline of the SEC's history,
peruse (and listen) to a number of oral histories, and view
crucial primary documents. The "Online Programs" area is also
worth a look, as it contains full broadcasts with experts on
such topics as "Developments in the Mutual Fund Industry" and
"Transformation of Wall Street". The site is rounded out by a
photograph archive, which can be browsed alphabetically.
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