Madoff Contacts Congress: ‘JPMorgan and Other Major Banks Were Complicit In My Crime’

Madoff email to MarketWatch: Banks knew all along




Bernard Madoff, speaking out from prison, says the banks knew of his Ponzi scheme all along. The perpetrator of a history-making $50 billion Ponzi scheme wrote in a letter to MarketWatch from jail that he is now telling government committees the story.


Madoff: “From my first interview to the media I have said that ‘the banks must have known,’ and were complicit and contributing to my crime.”


In the emailed letter, he pointed to J.P. Morgan Chase & Co. JPM +0.50%, Bank of New York Mellon Corp.  BK +0.50%, HSBC Holdings PLC  HBC +1.04% and Citigroup Inc. C +0.87% as having access to information about his scam. He added that other banks also knew.

Bernie Madoff says he is frustrated.

Writing to me from the federal prison where he is serving a life sentence for his epic fraud, Madoff said he is not getting credit for what he calls his “instrumental” role in returning money to his victims. Madoff wrote that he is so frustrated, he is having second thoughts about having pleaded guilty four years ago.


NYT: JPMorgan Faces Multiple Criminal Investigations

Jamie will meet with prosecutors later this month.  At least 8 federal agencies are investigating the bank.

JPMorgan Faces Full-Court Press of Federal Investigations

NYT Dealbook

As the nation’s strongest bank, JPMorgan Chase used to be known for carrying special sway with regulators. Now it increasingly finds itself in the cross hairs of federal authorities.

At least two board members are worried about the mounting problems, and some top executives fear that the bank’s relationships in Washington have frayed as JPMorgan becomes a focus of federal investigations.