FBI Forced To Divert Antiterrorism Agents To Help Untangle $50 Billion Madoff Swindle

Bloomberg:

The FBI has engaged in "triage," taking agents off terror and other crimes to respond to a cascade of financial frauds such as the alleged Bernard Madoff Ponzi scheme, the head of the bureau's New York criminal division said.

Read the whole story: Bloomberg

Comments

[mhelburn]

Who does the FBI employ? see requirements http://newark.fbi.gov/careers.htm
The FY 2007 budget for the FBI totals 31357 positions enacted with recissions and supplementals
The FY 2008 budget for the FBI totals 29373 positions (actual) and $6.4 billion.
The FY 2009 budget for the FBI totals 31340 positions and $7.1 billion,

Employee and budget requests up by 7% and 11%

Budgets are hard to decipher. In 2008 requests, the agency reported employees as actuals and then in 2009 requests, the numbers are recorded as enacted there is a disparity. How many actual employees were there? Or is this the actual request without rescissions and supplementals? Note: 2008 budget request had 203 pages and 2009 requests had 302 pages.

Everyone is up in arms that private persons were bilked out of 50 billion dollars. Where is the outrage when 59 billion went missing at HUD in 1999? The DOD had trillions missing... Where is the outrage when it is taxpayer money that can't be accounted for? Bernie is not the biggest Ponzi scheme in history....

[PhilipTaylor]

GOOD: Now the Rich, the Middle Class, and the Poor have COMMON GOALS:

1. Weed out CORRUPTION in Government and Wall Street.
2. Stop Corporate GREED - Limit Max Incomes to US President's total income-approx. $2 million.
3. Regulate Industries and Markets to prevent "TRICKS" and Corruption from controlling Systems.
4. Set positive MESSAGE for AMERICANS: HONESTY and CARING about others is National GOAL!
5. Reduce dependency on BANKS which led us into this CRISIS! Direct Loans from Government!
6. Increase Industrial Sector (reduce Financial) & increase Wealth Adding Exports/Reduce US Debts!
7. Reduce Oil Dependency to improve trade imbalances and reduce US Debts!

[nomadicexpat]

i simply do not see what government regulating and/or dictating private sector incomes accomplishes

[Amennyc]

when the economic situation gets to the point that american children are scooping up grain from the side of a road, fallen from a truck.... then we can talk. hearing about billionaires having to downgrade to millionaires doesn't do it.

[loki]

So while Bush was protecting us from the so called "terrorist attacks" he was really leading his own terror attack on the economy.

[Amennyc]

americans dont care. look what Bush has done these last 8 years. if americans cared Bush would have been out years ago. americans are an abused society that never leaves the attacker. guess the the sx must be good, seems they like getting f+u+c+k+e+d.

[Mnemanth]

Ahhhhh! The sky is falling the sky is falling!!!
Call the Army! Call the Navy! Call the National Guard!
Idiots aren't doing their homework and investing their money with charlatans!
Save the rich! Save the RICH!!!

Now, how do you suppose the government would react if it was the poor and middle class getting robbed? Oh, wait- that's happening everyday. What was I thinking?

[imusintheevening]

"Now, how do you suppose the government would react if it was the poor and middle class getting robbed? Oh, wait- that's happening everyday. What was I thinking?"

They call it a "bailout", print money for the uberrich and the rest of us are left with the bag.

[MsAttitude]

When it's the poor or middle class, they throw tid-bits of money in the form of welfare instead of skills and knowledge. Give a man a fish and he'll eat for a day, teach him to fish and he'll eat for a lifetime.

[sansego2000]

the biggest threat is Paulson, Bernanke and the Bush administration. They are taking the bailout money and throwing it down the toilet .

[aMadEnthusiast]

uh.., possibly..., but if they are I'm pretty sure they'd be converting the cash to gold rather than flush it down the crapper...

[Space Walker]

First off the FBI should have enough man-power to look about our safety and focus on the scam artists during this economic turmoil. This sounds nothing more like a false flag in the making and the economic crisis will be used as the scapegoat as to why they didn't see it coming. And you thought Nazi Germany no longer exists.

[aMadEnthusiast]

...and the IRS can't do this because...?

[1dogs2]

Imagine how many more FBI agents, highly qualified to track financial crime, could have been hired with the billions wasted on the illegal way in Iraq.

[Lilly06]

The FBI don't have officers with the calibre to understand financial crime. Some of the most intelligent banks, entrepeneurs and fund managers invested in Madoff and noone thought anything was wrong. To be honest consistent returns over such a long period is completely unrealistic and it is truly stupid noone noticed.

The fact is, the FBI can in no way make this better. The only way it can be achieved is to hire some of the best academics, ex traders and experienced fund managers who really understand this business and the extensive business models designed to predict market movements. These are the people that can make an impact and to be honest they should not be the FBI but work as the regulator in SEC. SEC needs serious funding to hire the best candidates so maybe they might have a fighting chance in improving financial crime.

[Libarchist]

It is not that complicated; the powers that be, should simply forgive all personal debts, and give everyone, $10,000 -- and let the banks, autos, and unions fail.

It will be, good and fair, for the economy and the environment.; and, it would get America back on the path too striving for a true liberal democracy.

[WIpatriot]

Before you get that pushed through Congress, let me wrack up some personal debt please....I don't have any at this time and I'd like my fair share of the free booty.

[Carolab]

That's where I'm at.

[Pdubya]

there will be a few scapegoats, but I don't see Paulson or Bernanke being tried for treason any time soon.

http://www.youtube.com/watch?v=6880qCFgm98&eurl=http://www.dailypaul.com/node&feature=player_embedded

[memphispaul]

Only after there is an admission of guilt does the FBI decide to get involved. I suppose the FBI needs to beef up its fleet of confidential informants working for coke to get some information on what is happening around the corner from their offices. After all, without paid information the FBI has no clue about how to conduct an investigation. Especially in financial services. Heck, most FBI agents are in awe and a little envious of Wall Street financiers and wish they could be a big money person that is above the law. I doubt that there are any active duty FBI agents around that have ever worked a serious financial services investigation. For that matter, after all of these years of government coddling I wager that there is not anyone in government that has a clue as to how to conduct a serious financial services investigation. After all, folks in government have been told for decades that financial services is off limits.

[gorideabike]

As if terrorists could do the damage w's friends have done to the U.S. and the world.

[vigilantwarrior]

Sometimes financial fraud and "terror" go hand-in-hand, don't they FBI?

Btw, whatever happened to that Convar data?

http://michaelfury.wordpress.com/2008/08/20/the-ghost-in-the-machines-the-mystery-of-the-wtc-hard-drive-recoveries/

[totaldisbelief]

at least the FBI has finally figured out where the real terrorism is coming from.