Harry Markopolos - The Securities and Exchange Commission Ignored His Warnings — Transcript

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1. 0:00my team and I tried our best to get the
2. 0:02SEC to investigate and shut down the
3. 0:04madof Ponzi scheme with repeated
4. 0:07incredible warnings to the SEC that
5. 0:09started in May 2000 when the manof Ponzi
6. 0:12scheme was only A3 to7 billion do fraud
7. 0:16we knew then that we had provided enough
8. 0:19red flags and mathematical proofs to the
9. 0:21SEC for them where they should have been
10. 0:24able to shut him down right then and
11. 0:26there at under $7 billion but
12. 0:29unfortunately Ely the SEC staff lacks
13. 0:32the financial expertise and is incapable
14. 0:35of understanding the complex financial
15. 0:36instruments being traded in the 21st
16. 0:39century in October 2001 when manof was
17. 0:42still in a 12 to2 billion range again we
18. 0:46felt confident that we had provided even
19. 0:49more evidence to the SEC such that he
20. 0:51should have been stopped at well under
21. 0:53$20 billion and again in November 2005
22. 0:57when Mr manof was at $30 billion 29 red
23. 1:00flags were handed to the SEC and yet
24. 1:03again they failed to properly
25. 1:04investigate and shut down Mr mof's
26. 1:07operation unfortunately as they didn't
27. 1:10respond to my written submissions in
28. 1:122000 2001 2005 2007 and 2008 here we are
29. 1:19today a fraud that should have been
30. 1:21stopped at under $7 billion in 2000 has
31. 1:23now grown to $50 billion I know that you
32. 1:27want to know why there were over $40
33. 1:28billion and additional damages and I
34. 1:31hope to be able to provide some of those
35. 1:33answers to you
36. 1:35today