Bernard Madoff Benefited From That Timeless Classic: The Old Boys Club

Dean Baker wrote an interesting piece this week about the fact that the only two regulators over the past decade who actually did their jobs were women. He speculates that it was because they weren't members of the boys club.

He uses Bernard Madoff's scheme as an example:


If we needed any further evidence that the financial industry suffered from too much deference to insiders, Bernard Madoff filled the gap. He apparently ran a simple-minded Ponzi scheme for 30 years, stealing tens of billions of dollars from wealthy individuals, private charities and even large banks.

When some investors and reporters raised suspicions about Mr. Madoff, no one bothered to seriously investigate because he was such a good guy. After all, he belonged to all the right clubs, generously supported charities and was even a founder of the Nasdaq.

The regulators don't investigate respectable people like Madoff, and this is precisely the problem.

Enjoy this piece?

… then let us make a small request. AlterNet’s journalists work tirelessly to counter the traditional corporate media narrative. We’re here seven days a week, 365 days a year. And we’re proud to say that we’ve been bringing you the real, unfiltered news for 20 years—longer than any other progressive news site on the Internet.

It’s through the generosity of our supporters that we’re able to share with you all the underreported news you need to know. Independent journalism is increasingly imperiled; ads alone can’t pay our bills. AlterNet counts on readers like you to support our coverage. Did you enjoy content from David Cay Johnston, Common Dreams, Raw Story and Robert Reich? Opinion from Salon and Jim Hightower? Analysis by The Conversation? Then join the hundreds of readers who have supported AlterNet this year.

Every reader contribution, whatever the amount, makes a tremendous difference. Help ensure AlterNet remains independent long into the future. Support progressive journalism with a one-time contribution to AlterNet, or click here to become a subscriber. Thank you. Click here to donate by check.

Close
alternet logo

Tough Times

Demand honest news. Help support AlterNet and our mission to keep you informed during this crisis.