Today, Bernie Madoff gave a guilty plea for a Ponzi scheme that is worth up to $50 billion. So far, it could be one of the biggest financial scandals in the history of the late 20th and early 21st century. Many people had gotten burned: big and small. Individuals, businesses, charities and so forth got a major burn from Madoff.
As a result, Madoff is forever disgraced. Before getting hauled off to the slammer, Madoff said he was sorry and that he was ashamed. Perhaps the apology came a wee bit too late. But then again, the scandal has done quite a lot of financial damage. Overall, there looks that the chances of Madoff being able to atone and redeem himself is slim to none at best.
“I am actually grateful for this opportunity to publicly comment about my crimes, for which I am deeply sorry and ashamed,” Madoff said before getting hauled off to the slammer. He was ordered to jail by U.S. District Judge Denny Chin until sentencing scheduled for June 16.
However, it seems that almost nobody is convinced. According to investor DeWitt Baker, he wants to stone Madoff to death.
In regards to the Ponzi scheme, Madoff said his arrest was inevitable. He pleaded guilty to eleven counts. Each count carries a hefty jail sentence. On top of that, penalties include fines and restitution. Put all these charges and penalties together, it definitely adds up.
While Madoff is getting hauled off to prison, it is far from over. The damage has been done and it will take long to recover from. According to Miller Tabak & Co. analyst Dan Greenhaus, it has given Wall Street a bad taste.
“This man has single handedly put the nail in the coffin for millions of baby boomer investors with respect to their desire to invest in the stock market. Billions of dollars have been lost and untold billions have been pulled from equities, never to return,” Greenhaus explains.
He explains that baby boomers are losing confidence in the stock market because of Madoff’s Ponzi scheme. Overall, this can eventually affect and hurt the stock market. Plus, it should concern United States President Barack Obama as he is working to stabilize the country’s economy.
As for Madoff, he may have to deal with angry prisoners.
According to Larry Levine, who served ten years for securities fraud gave the possible scenario on what could happen to Madoff. Levine explains that the prison population has family members and parents at risk of losing homes and jobs. Should that be the case, they can’t send money to loved ones behind bars.
According to forensic psychiatrist Park Dietz, prisoners are going to be tormenting Madoff day-in and day-out. In all respects, this incident is far from over. The financial, legal, and political fallout is devastating for all parties. Overall, this is not over. It may never be over.