CNNMoney is reporting that Bernie Madoff is not the first in his family tree to have a little issue with the SEC. His mother tangled a bit, too. In 1963. Wasn't kicking around back then, but jeez at the idea of an early 1960's style lady/wife/mom interacting with the SEC.
Short story (full story here) is this:
A broker-dealer firm registered in the name of Madoff's mom, Sylvia, was effectively forced to close by the SEC over 40 years ago.
In August 1963, the SEC announced it was "instituting proceedings...to determine whether" 48 broker-dealers, including "Sylvia R. Madoff [doing business as] Gibraltar Securities," had "failed to file reports of their financial condition...and if so, whether their registrations should be revoked."
An SEC litigation release a month later announced hearings in the case of Madoff and many of the other firms in question.
Then, in January 1964, the SEC dismissed administrative proceedings against a number of the firms, including Madoff's, in what appeared to be a deal like this: no penalties if you promise to stay out of business.
Understanding it would violate every right we cherish as Americans, but consider how spendid for so many Americans and charities if the dismissal of Mrs. Madoff's proceeding was also conditioned on her offspring becoming plumbers.
Just found your blog and have been reading it to my sister long distance in Minnesota. That's for an enjoyable Saturday afternoon. I have the sudden urge to send Mrs. Madoff some coupons for L'Oreal. Those roots are going to show any day now!
Posted by: Susan Bickert | January 24, 2009 at 01:48 PM