The politics of Ponzi schemes : history, theory, and policy

In the space of three years, from 2009 to 2012 Bernie Madoff, Tom Petters and R. Allen Stanford were all convicted for running multi-billion dollar Ponzi schemes. These three schemes alone have had the largest financial take in U.S. history. But what role does the economy and legislation play in the occurrences of Ponzi schemes? What is the nature of Ponzi schemes and what are their tools and mechanisms? What can we know about Ponzi perpetrators? Unraveling the answers to these questions (and many more), Marie Springer provides the first representative portrait of Ponzi schemes, their perpetrators, and their victims. Adopting a multidisciplinary approach, she begins by presenting an overview of different types of Ponzi schemes. She later explores perpetrators and victims of Ponzi schemes followed by a close examination of economic trends, regulatory changes, and the financial relationship with Ponzi schemes. Other key features include: • A non-technical overview of both offender based and offense-based approaches of studying this form of fraud. • Examples of Ponzi schemes and Ponzi schemers. • A wealth of descriptive statistics on known federal cases from the 1960s until the present to quantify this specific form of fraud. Broadening our understanding of Ponzi schemes as a form of white-collar crime, __The Politics of Ponzi Schemes__ provides an excellent foundation for students and practitioners of public administration, banking, as well as investors, finance and accounting, law enforcement officers, legislators and regulators. "In the space of three years, from 2009-2012 Bernie Madoff, Tom Petters and R. Allen Stanford were all convicted for running multi-billion dollar Ponzi schemes. These three schemes alone have had the largest financial take in U.S. history. But what role does the economy and legislation play in the occurrences of Ponzi schemes? What is the nature, tools and mechanisms of Ponzi schemes? What can we know about Ponzi perpetrators? Unravelling the answers to these questions (and many more), Marie Springer provides the first representative portrait of Ponzi schemes, their perpetrators, and their victims. Adopting a multidisciplinary approach, she begins by presenting an overview of different types of Ponzi schemes. She later explores perpetrators and victims of Ponzi schemes followed by a close examination of economic trends, regulatory changes, and the financial relationship with Ponzi schemes. Other key features include: A non-technical overview of both offender based and offense-based approaches of studying this form of fraud. Examples of Ponzi schemes and Ponzi schemers. A wealth of descriptive statistics on known federal cases from the 1960s until the present to quantify this specific form of fraud. Broadening our understanding of Ponzi schemes as a form of white-collar crime, The Politics of Ponzi Schemes provides an excellent foundation for students and practitioners of public administration, banking, as well as investors, finance and accounting, law enforcement officers, legislators and regulators"-- Provided by publisher This book comes to press 100 years after the namesake of all Ponzi schemes, Charles Ponzi, committed his fraud scheme in 1920. Cover 1 Half Title 4 Title Page 6 Copyright Page 7 Dedication 8 Table of Contents 10 List of Illustrations 12 Acknowledgments 14 List of Abbreviations 16 Introduction: Ponzi Scheme Research and Overview 18 Part I: The Ponzi Schemes 28 1 Ponzi Schemes and White-Collar Crime 29 2 Typological Categories of Ponzi Schemes 35 3 The Tools of Carrying Out the Ponzi Schemes 63 4 Ways, Manner, and Means Used to Carry Out the Schemes 83 5 The Money 127 Part II: The Perpetrators and Victims 140 6 Trust, Persuasion, Gullibility, and Greed 141 7 The Ponzi Perpetrators 155 8 The Victims 198 9 Sentencing and Sanctions 216 Part III: Laws, Economics, and History 226 10 Economic Theory and Financial Trends 227 11 Laws, Regulation and Legislative History 251 12 Significant and Unique Ponzi Schemes in History 275 Conclusion 298 Glossary of Terms 320 Index 328 Ponzi,Scheme,Research;,Typological,Categories;,Persuasion;,Economic,Theory;,Legislative,History Ponzi Scheme Research,Typological Categories,Persuasion,Economic Theory,Legislative History Adopting a multidisciplinary approach Marie Springer provides the first representative portrait of Ponzi schemes, their perpetrators, and their victims.