madoff?" and they all said, "no. we don't think he's for real." >> kroft: could you find anybody? >> i found no one that ever traded with mr. madoff, and i traded with the largest equity derivative service in the world. >> kroft: and that's because madoff's investment fund never actually made any trades, at least going back to 1993 and probably further, a fact confirmed at a meeting of madoff investors by the trustee charged with liquidating his assets. no one knew the depth of the fraud, but a lot of people had questions. who else figured this out besides you? >> i would say that hundreds of people suspected something was amiss with the madoff operation. if you look at who the victims were not, you'll notice that the major firms on wall street had no money with mr. madoff. >> kroft: i mean, you write-- this is the letter. i'm quoting from the letter to the securities and exchange commission, red flag number 20: "madoff is suspected of being a fraud by some of the world's largest, most sophis

. >> will i knew that because of the situation that i was dealing with, which was bernard madoff fraud and alan stanford fraud

bernie madoff is offering sage advice on how market regulators can stop scams on wall street. he spoke to a marketwatch reporter from prison, where he is serving time for cheating investors out of billions of dollars in an elaborate ponzi scheme. madoff says the sec needs more resources to protect investors, hedge funds are a danger to the market and need to be registered, brokerages and advisors should have independent custodians, and accounting firms should audit other accounting firms. in today's cover story, the future of family foundations is evolving rapidly as millenials take the reins of their predecessors. this week, dozens of philanthropic leaders of families, businesses and universities are gathering to chart out new ways to invest and give. "we are constantly trying to push the envelope on how to make that impact." ellie frey is changing the way her family gives back after nearly 40 years of traditional philanthropy. banking and insurance magnate edward frey first established the frey foundation to help the grand rapids arts and civic community by donating to the o

telling you about the victims of the bernie madoff ponzi scheme. they cannot sue big banks for billions of dollars on behalf of madoff's victims. the court claiming there is not enough evidence that the banks were aware of the scheme. >> all female juries will consider the murder case with george zimmerman. laura inge gals has the latest. >> a jury has been selected in the second degree murder trial of george zimmerman. prosecution and defense teams officially meeting the 6 jurors in central florida. the decision combing on day 9th high profile case. >> stand up and raise your right hand. do you solemnly swear... >> they are made up of women five white and one hispanic. five of the six have at least one child. out of the four alternative jurors one is a white male in his 50s one a hispanic mail in his 50s. two females one middle aged the other in her 20s. they reached a pool of w40 potential jurors. defense attorney mark omara asked point blank whether they agree he was innocent until proven guilt without a reason of doubt. >> it is not reasonable

adam: why is white-collar crime -- i'm going to use bernie madoff.lly, but it wiped out. al is that any difference? key white peeple of. hal is what he did less worried -- realize life is absolutely the key. but it is pretty darn close. >> we have to make decisions. these guidelines are giving up the same sentences that we give to people commit those crimes. i think that that is just and proper. there are some white-collar %-i agree, of very seriousious. sentence is appropriate. madoff should have done a lifetime. and the differences, his crimes were going on for decades. a systematic method that showed psychopathic lack. adam: at the end of the day the hormuz the same. you had people like dow, and some of whom may never be able to recover because of the point that they were in their lives. >> i agree. the impact was the same, but the law also punishes intention. by kill somebody a car accident accidently the person i killed is as dead as if i shot them with a gun on purpose of my intention was different. his intentions or not the same as a madoff. a

could this man be brooklyn's own bernie madoff?hood never conceived that this schlubby-looking guy was going to hurt them. >> narrator: because, unlike madoff, philip barry's no fancy billionaire flaunting the high life in front of his victims. he's one them. >> he was wrapping himself in the mantle of the hardworking work ethic of that neighborhood and using it to lure people in. >> narrator: and he's quietly building what may be the longest-running ponzi scheme in

museum from a 1940s chain letter to this, a promotional cigar box given away to clients of bernie madoff. for attendees that come from all types of businesses and companies their goal, compare notes. >> i know what is going on in the indums industry hestry bett myself. >> reporter: fraud fighters will never run out of things to talk about. >>> hope francis named a new commission to look into the vatican banks governing structure a mid charges of corporation and a new investigation into a money laundering ring there. the bank not only handles millions of dollars to run the vatican's operations and charitable works but manages the pension system for thousands of vatican employees. >>> and finally tonight, christi's auction house in london sold elizabeth taylor's very first wedding dress to an anonymous buyer for twice the estimate, $187,000. the oscar winning actress wore the dress which included 25 yards of satten and a 20-inch waist at her 1950 wedding conrad nicky hilton junior. >> congratulations to susie gharib who today received a gracie award for her profile sometime ago of harvard

. >> a federal appeals court ruled the trustee for the banks involving the madoff case cannot sue those banks to recover some of that money. there was fears, also, from that story moving to charities despite the concerns that higher taxes and sluggish economic growth would take a big bite out of charitable give thing year, it turns out american generosity is growing. >> they dug digger despite looming tax increases and hitting an all time record of $316 billion, up 3.5% from 2011. high profile billionaires like warren buffet and bill gates grabbed the biggest headlines and mark zuckerberg is joining with nearly $500 million in givings. but by the masses helped drive a lot of the 2012 increase. gifts from individuals rose 3.9% to $228 billion. rose by 12%. the u.s. is the most charitable country in the planet but not as we were before the crisis. on an inflation add justed basis giving in america is down 8% compared to the all-time peak in 2007. religion captures the biggest, a third with the $101 billion. education ranks second with $41 billion. education was also among the fastest grow

and what i do see is ben bernanke's policies are like bernie madoff and alan stanford on steroids. they have been artificially stimulating the marketplace because when people get fewer return on their bank account, they're forced to take some risk and get return in the marketplace. so he's forced people into the markets and that bubble is existing, that bubble is getting bigger. and i think i know everyone thinks i'm a little pessimistic, but -- >> okay. all right. a little. >> 2.8 million jobs over the last 37 months. it that is a fundamental fact that we need to address. and that was addressed by bernanke in his speech on wednesday. >> well, gary, do you agree that the economy is on solid fatting? >> i think it's kind of mushy. let's put it that way. i think the only number that we need to know, john identified it, that bernanke's not going to take the foot off the accelerator until unemployment is 6.5%. now, we all know, i think everyone here, that under the current administration, we're never going to see 6.5% unemployment. so party on until 2016. >> but rates have gone up. if

san jose is playing hardball, hiring a high profile lawyer who sued enron, bernie madoff and the bush administration. >> it's all about greed. this is not only a legal case, this is a moral outrage. you see what's happen iing. this is the tenth largest city in the nation. they're being subjected to a cold shoulder by bud selig. we're taking this case to the community, santa clara county, the people of san jose, and everyone who lives in that area. >> many feel this case will not go to trial. there will be a settlement between san jose, the league and the san francisco giants. they're not charging san jose for his services. there are other ballpark proposals on the table and off the table. the freemont plan was scrapped in 2009 and three others, each of which would keep the a's in oakland, the idea to build a stadium in jack lemmon square died in 2010, there's still talk of a waterfront ballpark site at the port of oakland. in march, oakland mayor announced a plan called coliseum city, which would mean demolishing the current facility along 880. the a's have made it clear they want to

i reckoned what bernie madoff, fast and furious money making hits the barrier. alan stanford, man of money ii or maybe global financial crisis, the hangover, somebody else who's gone to prison for their misdeeds in the financial industry. >> thank you very much on this tuesday. >>> still ahead on "way too early," for the first time this year, the bruins and blackhawks close out a game without going to overtime. we'll show you who got the edge in the fight for the stanley cup. >>> another bruins putting on a show off the ice. a hunter has a close encounter with an american black bear. we'll show you how that ended up. "way too early" will be right back. >> we have made engine start and the ignition and liftoff! liftoff and america's first woman astronaut and the shuttle has pulled the tower. [ female announcer ] made just a little sweeter... because all these whole grains aren't healthy unless you actually eat them ♪ multigrain cheerios. also available in delicious peanut butter. healthy never tasted so sweet. also available in delicious peanut butter. if you've

." >>> san jose has hired a high-profile lawyer who has successfully sued enron, bernie madoff and alsoe bush administration. joe kochet has taken the case on pro bono because he is that upset. >> it's all about greed. this is not only a legal case, this is a moral outrage. you see this happening. the tenth largest city in the nation, they are being subjected to a cold shoulder by bud selig. he has refused to talk to them. we are taking this case for the community of not only santa clara county, the people of san jose and everybody who lives in that area. >> kochet and many baseball insiders feel this case will not go to trial. instead, they think there will be a settlement between san jose, the league and the san >> we will be keeping our eye very close on that one. >>> it is a flag aimed at celebrating gay pride but now in one bay area city it's causing some controversy. the calistoga city council agreeing to raise that flag for pride week after a resident suggested doing it at a meet bug just a few days later, some people started complaining about it. the mayor says residents want to

thank you all right francine mckenna your latest piece in forbes magazine is called the bernie madoff of muni's tell us about it this is a story i've been wanting to write since last year when rita kron well who is the comptroller of the city of dixon illinois was found out to have stolen fifty three million dollars from that small town fifteen thousand people fifty three million dollars over twenty years she used the money to buy four hundred race horses to build ranches to buy lots of spangle e cowgirl outfits and jewelry and outfit her home with tons of doodads in the western motif and when some of the municipalities some of the state local governments really started to fill the meredith whitney prediction of more defaults a few more failures the mismanagement corruption more corruption charges i thought this is a really good opportunity to write about. municipal fraud and the potential impact on municipal bond holders it's already killing the taxpayers and i thought perhaps the bondholders might be next to suffer from mismanagement mixed with fraud. all right so when you say compa

. >> will i knew that because of the situation that i was dealing with, which was bernard madoff fraudnd alan stanford fraud and potential cyber compromise of second stock computerstock ea foreign add ver adversary thereo way -- >> how do you stumble upon this? >> i came upon this because i was told information with regards to the inappropriate relationships and with regards to cyber compromise. neil: how did the relationship stage impact what was going to at sec, a lot of people have affairs, were you drawing connection between that and all other neff airouousous stuff. >> the relationship was with key witnesses, it would have tainted the cases, inspectors general and agencies necessarily, have standards of conduct for conducting investigations. we want to know that those investigating are doing it in a straightforward way, that was not being gone. to learn there was a compromise of our investigation, of largest fraud in united states, nobody raised their hand, i knew that night, i would have to raise my hand, and if i did not, i would not be doing a my duty. neil: god bless you. you

you've had successful lawsuits against enron, bernie madoff and the bush administration. why take on this place. it's been a house of horrors for years. >> let me tell you something, raj. this is an economic rape and pillage. it's all about greed. this is not only a legal case, this is a moral outrage. you see what's been happening. the tenth largest city in the nation. they're being subjected to a cold shoulder by bud selig. he has refused to talk to them. we're taking this case for the community of not only santa clara county, the people of san jose and everybody who lives in that area. look, we live in a country that's all about competition. and they hide behind an exemption to the anti-trust laws that was developed some 90 years ago that's not relevant today. but more important, they hide behind other laws and they're not going to get away with it here in california. we decided -- >> if i can interject here. we've been doing this song and dance for four years. i think people want an answer. we'll have this conversation one year from now. where are we going to be with

he is the bernie madoff of the religious world. he almost got himself in jail through scamming an indian tribe casino deal that actually did put lobbyists in jail. he was part of that. he now comes back and resurfaces with a group of people who talk about morality. but apparently will allow themselves to be convened in a meeting by someone who in most cultures would have been criminally prosecuted, except in america where we give a lot of latitude to people who fly under the banner of religion. the second thing going on, this is an evangelical fundraising fest. these people need to stay relevant to the folks back home, even though they know what they're doing publicly will lose them the next election because they have divorced themselves from mainstream america. the third thing that is going son a denial of the christian faith. it's no coincidence that they picked out poor and single people as the enemy. these are the folks that they no longer represent. so what is so odd is if you actually go to the teachings of jesus christ, you

during the madoff affair the palm beach post has to close the comment section because of the anti-semitic comments before jews and money were rampant. this week cnn posted a clip of my appearance on youtube, and the comments to that appearance kind of proves our point. for most of us, hate speech is the equivalent or at most is online pollution. but it's common and you pick quick to us appearance gives some the impression that opinions are acceptable and we are especially worried about the effect of that on vulnerable children. from what we call cloaked web sites, supposedly has historical information about martin luther king but is actually lie is, and online games that attack -- kids are at risk because of online hate. vulnerable children believe what they read and they are misled or worse. they are carefully taught to hate in the words of that famous south pacific song. also disturbing is that many people react to the common appearance of online hate by treating it as the norm. so in viral hate, abe and i do not just show how bad things are on the internet. we don't stop there. we try

simpson and bernie madoff we've forgiven almost everybody, okay, who's made huge transgressions.forgive her but she is never coming back whole. her empire will never be as big and robust as it was. she will never make as much money. she will never have as much respect and the day she dies this will be in her obituary. she has to wear the stain the rest of her life and she's earned it. >> what should she do now, howard? what she should do is a couple things. she should circle the wagons with her team. she should go to, you know, paula has a huge empire. she has mattresses, furniture, ham, restaurants, food. she should go to every person that's there, make a specific, personal apology, a trip if she needs to, say i'm there. talk about what she's willing to do going forward. the second strategy is probably take some of the empire and shift it over to her sons. when the food network let her go they didn't let her sons go. so you change it from paula deen empire to the deen family empire. let her sons be the face of some of the endorsements, be the face of the tv show, and try and kee

now keep in mind the regulars had been it for 10 years on bernie madoff that he was doing stuff but they turned a blind eye, and the courts found that the regulars could not be held accountable for the. they were shielded by the discretion of function exception, and the court did express, regrettable disdain or the actions, but nothing happened. now, so we are trying to decide on fairly small nuances here, but there's no nuance in taking segregated customer accounts, and yet jon corzine still hasn't had anything to do. he took $1.5 billion, the regulars were sitting in the room watching them, multiple regulars, and not one thing going. so we're having this protracted discussion here today on should the regulations be tweaked here or tweak there. if we can't know the regulators accountable, i will guarantee you it does not matter if too big to fail is in place or it's not in place. with the regulars will have in their discretion in your terms, their discretion to determine whether or not think should be duncan was that they should get bailed out, and there's nothing that we as the america

it is this justice department that continues the prosecution of the madoff brothers, peter madoff on june 29, 2012, one of the most -- oh, my god -- i'd use the word sad but that's certainly not a strong enough word, but i did use the word tsunami. one of the most catastrophic attacks on people who innocently invested with someone who they thought would maximize their savings for the good old days of their sunset years. he continued to secure justice for victims of mortgage fraud. he worked on a number of issues regarding service members. and what i think was particularly important, what you wanted him to do is he went after international cartels, domestic conlution conspiracies, -- conclusion, conspiracies, bid rigging. he was, along with his team, committed to serving the american people. i see my colleague is here, and i just want to mention a few others before i yield to her. because as i mentioned, his passion for people's lives are so moving that i'd need to get this on the record. the department has charged a record number of human trafficking cases. i gave you the story but i

. >> that's like bernie madoff. >> totally. 56 are out of business? come on. the government should not be in the venture capital business. they are not good at it? >> move on to sunday headlines now. we start with a fox news alert. former massachusetts government paul lost his long battle with lieu gehrig's disease. known for strong bipartisanship and working with democrats to pass laws in his state. his death so significant it sparked this statement from two former presidents george h.w. bush and george w. bush. we were deeply saddened to learn of paul cellucci. he was a close and loyal friend. a superb public servant and family man. cellucci was 55 years old. 23-year-old john swarhi went into the santa monica college library and prepared for battle. one of his victims spoke from the hospital. >> he seemed like a person on a mission. and he just turned and looked at me and the next thing i knew, glass was shattering. >> we are told he carried over 1300 rounds of ammunition, an assault rifle and combat gear. he is accused killing four people including his fath

. $3.65 billion, the second argest in history after bernie madoff. those are a few of the examples jones oversaw dd as the u.s. attorney in minnesota. qualified and has a range of accomplishments that lev him more than ready to lead atf on a fulltime basis. not on a temporary or interim basis. he's a hardworking public servant who served his country military and civilian agencies. i look forward to hearing from both of our nominees today and discussion about their past experiences and their utlooks on the positions to which they have been nominated. thank you both of you. i'll turn it over to senator grassley, the ranking member. >> thank you very much. as the chairwoman knows and as i told her yesterday, i objected to holding this hearing today nd requested the hearing be postponed. regarding mr. holmes' conduct. >> members of the committee are the public interest demands resolution of these issues. members of the committee are to know that if these charges have any merit. one way for that to happen is for the committee to undertake investigation. t

that is $3.65 billion, the second biggest ponzi scheme in united states history after bernie madoff. those are just a few of the examples of the cases that todd jones oversaw as u.s. attorney in minnesota. he is well-qualified and has a range of experiences and accomplishments that leave him more than ready to lead the atf on a full-time basis. not on a temporary basis, not on an interim basis. he is a talented, dedicated and hard-working public servant who has served his country in both the military and in civilian agencies. i look forward to hearing from both of our nominees today and having a discussion about their past experiences and their outlook on the positions to which they have been nominated. thank you both of you, and i will turn it over to senator grassley, the ranking member. >> thank you very much. as the chairwoman knows and as i told her yesterday i've checked into holding this hearing today and requested the hearing be postponed. as we sit here today there remains an open investigation by the office of special counsel regarding mr. jones' conduct as u.s. attorney. g