At the Securities and Exchange Commission, it seems that totally dropping the ball on Bernard Madoff's massive is not a fire-able offense. The Wall Street Journal reports, "Eight Securities and Exchange Commission employees have been disciplined over their handling of the $50 billion Bernard Madoff Ponzi scheme, but none were fired, an agency spokesman said Friday. A ninth individual left the agency after receiving notice of a proposed disciplinary action, according to the spokesman."
After the scam was revealed—by Madoff's sons—the SEC Inspector General released a report, "Despite numerous credible and detailed complaints, the SEC never properly examined or investigated Madoff’s trading and never took the necessary, but basic, steps to determine if Madoff was operating a Ponzi scheme." The SEC was warned six times, but no one did anything, even when they noted his actions could be "indicia of a Ponzi scheme." Instead, investigators ignored basics like checking Madoff's clearinghouses and accounts.
No wonder bankers don't give a shit about SEC regulations!
