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What ProPublica is Still Wondering About the Bernie Madoff Ponzi Scheme

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Jake Bernstein and Marian Wang of the superb non-profit investigative journalism outfit ProPublica write:

"In his first published prison interview, Ponzi schemer Bernard Madoff told the New York Times that the banks and hedge funds he dealt with "had to know" about the fraud he was perpetrating but behaved with 'willful blindness.'

"'I am saying that the banks and funds were complicit in one form or another', Madoff told the Times. He had earlier claimed that he was the only person involved, though as we noted, allegations made by federal authorities and the trustee appointed to recover funds for Madoff's victims had already cast doubt on whether that was true."

Here are a few questions still on Bernstein and Wang's minds:

* Was Jeffrey Picower, Madoff's largest beneficiary, in on the scam, and if so, how?

* Who was "Client A," who in 2005 helped to bail out the Ponzi scheme? Were there others?

* If JPMorgan issued securities based on Madoff feeder funds, was anybody shorting those notes? Who?

* As alluded to in the JPMorgan lawsuit, were Colombian drug lords involved with Madoff in some way?

* Apart from those who worked directly for Madoff, who else knowingly participated in Ponzi?

And one more question, from us here at the Daily Feed:

Will anyone ever really know?

Read the rest of ProPublica's reportage HERE.

POSITION:  No positions in stocks mentioned.