In 1920, Charles Ponzi pulled off a new type of pyramid scheme which came to be known by his name. 90 years later, Bernie Madoff managed to pull the same trick again, and dragged some big-time investors down with him.
Today, Madoff pleaded guilty to the 11 charges of fraud against him and was immediately sent to jail. The 70-year-old was refused bail and will now face a 150-year sentence for his crimes.
This video shows how Madoff pulled the Ponzi Scheme off, details some of the known victims of the fraud, and talks to a few people involved. Altogether, it’s estimated that Madoff defrauded his clients to the tune of $65 billion.
This failed Ponzi Scheme not only cost individuals money but took down charities too. It even allegedly cost two people their lives after they committed suicide when they discovered they’d lost everything.
Jail is probably too good for this guy.
