Mortgage Servicing Fraud
occurs post loan origination when mortgage servicers use false statements and book-keeping entries, fabricated assignments, forged signatures and utter counterfeit intangible Notes to take a homeowner's property and equity.
Articles |The FORUM |Law Library |Videos | Fraudsters & Co. |File Complaints |How they STEAL |Search MSFraud |Contact Us
Inside Federal Reserve
Elie Wiesel Levels Scorn at Madoff

By STEPHANIE STROM
Published: February 26, 2009

What does Elie Wiesel, the Nobel Peace Prize laureate and Holocaust survivor who has dedicated his life to fighting hatred and intolerance, think about Bernard L. Madoff?

“ ‘Psychopath’ — it’s too nice a word for him,” Mr. Wiesel said in his first public comments on Mr. Madoff and the Ponzi scheme he is accused of perpetrating on thousands of individuals and charities, including the Elie Wiesel Foundation for Humanity.

“ ‘Sociopath,’ ‘psychopath,’ it means there is a sickness, a pathology. This man knew what he was doing. I would simply call him thief, scoundrel, criminal.”

Mr. Wiesel’s charity lost $15.2 million, and he and his wife, Marion, lost their life savings. “This was a personal tragedy where we discovered all of a sudden what we had done in 40 years — my books, my lectures, everything — was gone,” said Mr. Wiesel, who shared his story as part of a panel discussion on the Madoff scandal on Thursday.

He said he began investing with Mr. Madoff at the suggestion of an old friend whom he declined to name, “just a wealthy man, not in the financial business.” Mr. Wiesel said, “He too lost $50 million.”

The Wiesels met Mr. Madoff on only two occasions, he said, adding that during one encounter Mr. Madoff had tried to persuade Mr. Wiesel to abandon his post at Boston University, where he teaches the humanities, philosophy and religion, for a chair at Queens College, alma mater of Mr. Madoff’s wife, Ruth.

“We must have spoken about ethics,” Mr. Wiesel said. “Some learn, and some don’t.”

After seeing how consistently Mr. Madoff generated handsome returns buying fairly plain-vanilla securities — “He bought 100 shares of Coca-Cola and sold 500 shares of Pfizer,” Mr. Wiesel said, describing his understanding of the Madoff strategy — the Wiesels decided to invest their charity’s assets with him as well.

“We checked the people who have business with him, and they were among the best minds on Wall Street, the geniuses of finance,” Mr. Wiesel said. “I am not a genius of finance. I teach philosophy and literature — and so it happened.”

Mr. Wiesel spoke on a panel at the “21” Club moderated by Joanne Lipman, the editor in chief of Portfolio, the Condé Nast magazine devoted to business and finance.

Another panelist, James Chanos, who specializes in short-selling, or betting that certain stock prices will fall, said Mr. Madoff’s investors bore some responsibility for not heeding the warning signs.

“Every checklist of responsible behavior on behalf of fiduciaries broke down here: ‘we’re not going to tell you what we’re in,’ ‘you can’t see where we’re investing,’ the statements weren’t clear, the strip-mall accounting firm,” Mr. Chanos said.

Harvey L. Pitt, former chairman of the Securities and Exchange Commission, said that Madoff investors were not the only ones hoodwinked in the last several years, that investors in Wall Street firms also tolerated less-than-ideal transparency. “I really do believe that there was criminality at a lot of these firms,” Mr. Pitt said, citing the different valuations that financial institutions placed on the same financial instruments.

“It’s not per se fraudulent to have different values for different purposes, but someone has to look at that and figure out what was going on,” he said. “These kinds of things reflect more than happenstance or carelessness; they reflect criminality.”

Mr. Wiesel said, however, that spotting problems was not easy. “Remember, there was a myth he created around him, that everything was so special, so unique that it had to be secret,” he said, adding that his charity’s accountants had not identified potential concerns about Mr. Madoff.

He said he was amazed at the outpouring of support for his charity in the wake of the scandal. “Unsolicited, hundreds of people, literally, hundreds of people we have never known sent us money through the Internet, $5, $18, $100, one even $1,000,” he said.

The Elie Wiesel Foundation will hold a benefit concert on May 26 to raise more money, and Mr. Wiesel has a book, “A Mad Desire to Dance,” coming out soon.

Asked what punishment he would like to see for Mr. Madoff, Mr. Wiesel said: “I would like him to be in a solitary cell with only a screen, and on that screen for at least five years of his life, every day and every night, there should be pictures of his victims, one after the other after the other, all the time a voice saying, ‘Look what you have done to this old lady, look what you have done to that child, look what you have done,’ nothing else.”
Quote 0 0
    Perhaps Mr. Wiesel should look into the case of Irwin Schiff who is
rotting away in a federal prison for trying to prevent things like the Madoff
scandal from happening in the first place.
    Mr. Schiff wrote a book in 1974, "The Biggest Con" which is must reading
for anyone who wants to truly understand what has happened to the World's
economic system. Instead of a prison sentence, he should have received
a Nobel Prize for exposing the truth about the unconstitutional monetary
system which was imposed on the US by Congress in 1968.
    Mr. Schiff testified before Congress in 1968, opposing the removal of
the 25% gold backing to Federal Reserve Notes. His argument fell on deaf
ears and the actions of Congress back then led to the numerous frauds
that have brought the World financial system to the brink of collapse.
    Without fiat currency, the swindle by Madoff and others of his ilk would
have been impossible. Fiat currency allows some individuals, (the insiders)
to create money out of nothing, and loan it to others (the outsiders) at
interest and turn the outsiders into the slaves of the insiders.
Quote 0 0
.
Mike H. wrote:
    Perhaps Mr. Wiesel should look into the case of Irwin Schiff who is
rotting away in a federal prison for trying to prevent things like the Madoff
scandal from happening in the first place.


Schiff is in prison for promoting tax evasion.
Quote 0 0
Illegal or not ms fraud would be impossible and fantastically stupid without taxpayer backed fractional reserve money, and government backing.

Instead of panicking and bailing out a broken system people should really think about a better way to transfer assets.

Doesn't it really makes sense the spend 30 years paying back a loan that you backed in the first place? Does it really make sense to pay interest on money creation when Congress can just plain print or mint the money.

The reason for fractional reserve money in the first place is to allow the bankers to lend the borrowers money back to them and get them to pay interest on it. The two main implementations of fractional reserve money are to fund wars and welfare, is it really a good idea to have an incentive for banks to promote wars and poverty?





Quote 0 0
     I wasn't aware of the exact reason for Irwin Schiff's imprisonment, but encouraging tax evasion would fit into his theory of what ails the
US and world economy. He argued that fiat currency is not real money
and therefore earnings in fiat currency must be converted to real money
before tax rates are applied. Obviously, this kind of reasoning was bound
to get him in trouble with the IRS.
     My feeling is that his main crime was writing a book, which if widely
read, would cause a Revolution and bring down the Pigs who stold the
original American Revolution. (This is a referral to the book "Animal Farm"
by George Orwell)
     Right now, the whole Pig System of debt slavery is unraveling before
our very eyes, just as Irwin Schiff predicted it would. Schiff understood
the mind set of the insiders, because he was raised as an insider himself, but
like Jesus, rose up against his own kind. Consequently, he is being harshly
treated as a traitor to his own kind, which is why he needs to be sprung
from prison before he dies there.
Quote 0 0
Moose
Mike H wrote:
     I wasn't aware of the exact reason for Irwin Schiff's imprisonment, but encouraging tax evasion would fit into his theory of what ails the
US and world economy. He argued that fiat currency is not real money
and therefore earnings in fiat currency must be converted to real money
before tax rates are applied. Obviously, this kind of reasoning was bound
to get him in trouble with the IRS.
     My feeling is that his main crime was writing a book, which if widely
read, would cause a Revolution and bring down the Pigs who stold the
original American Revolution. (This is a referral to the book "Animal Farm"
by George Orwell)
     Right now, the whole Pig System of debt slavery is unraveling before
our very eyes, just as Irwin Schiff predicted it would. Schiff understood
the mind set of the insiders, because he was raised as an insider himself, but
like Jesus, rose up against his own kind. Consequently, he is being harshly
treated as a traitor to his own kind, which is why he needs to be sprung
from prison before he dies there.


This is getting really, really far afield. Schiff is a nutcase, and all this socio-political conspiracy stuff about fractional reserve banking and mythological "fiat currency" stories going around on the internet AREN'T GOING TO SAVE ONE PERSON'S HOME from a predatory servicer.

There are plenty of places to go and promote whatever theory you have, but we're driving ordinary victims of mortage servicing fraud away with these alternate agendas.

Moose

Quote 0 0
Dear Moose,
    I respect your opinion, but my feeling is that unless the victims of mortgage fraud understand how the present system came about, they
will be helpless to effectively defend themselves against it.
    Also, unless we get rid of the "fiat money scam" the same thing will
happen again in the future. The mental condition of Irwin Schiff is of
little importance in the long term since all of us will be subject to mental
deterioration in the long term. The important point is that he wrote a
book in 1974 "The Biggest Con" which thoroughly explained how the scam
works and what needs to be done about it. Most Americans under 50 know
nothing about American financial history and the battles that were fought
in the past to undo this kind of injustice. All the progress that was made
from 1789 to 1933 was lost in 1968, the year America slipped back into
bondage to the so called "money trusts". Just as in Orwell's book 1984,
the powers that be have tried to throw the lessons of the past into the
"memory hole" in order to more thoroughly enslave the masses through usury.
Quote 0 0
Write a reply...