gerri: a ponzi scheme, the old-fashioned ponzi scheme we have seen so often, basically the money that put into the pot is then used to pay back investors. some money is not really invested to make is just moved around the board. and at the end of the date it doesn't make anything except for the founders to run away from the money and apparently that may be what happened. what i don't understand is why the fellow at the center of this , the sec has left him alone other than to ask for money back. there have been no charges filed why? >> well, these types of cases take time. this gentleman is someone who is cooperating with the sec. in my opinion he will be brought down sennar later, probably sooner as a result of this crime . gerri: if you could give folks one bit of advice because the thing that caught my attention in this story was, it was lawyers, doctors, and all of the leaders of lexington were pulled into this thing. how you avoid these scams? >> the first and most important thing is to speak with an investment professional, an accountant, someone the you know that does your tax

million dollars the most ever spent by an american yeah well this is great because you have a money ponzi scheme this guy steve cohen breaks the law just going to the bathroom everyone in the industry knows it is he's a huge percentage of volume of the new york stock exchange he feeds a lot of those hungry brokers a j.p. morgan goldman and they feed him fish every day of the legal trading but he's got a lot of money in his pocket and he's to convert it into something that won't crash when the bubble he's inflating crashes so he buys a picasso some people buy gold silver bitcoin things that have intrinsic value real value and he's smart in that he's parting the money he steals and let me say i'm using this word literally steals as an eric holder would prosecute him if eric holder wasn't in stevie cohen's pocket looking as botox he put that money into something that's going to maintain its value i salute you stevie cohen of all the terrorists out there you are the primo de la da the primo terrorist you're doing a fantastic job ok but i want to compare this to the american dream why it is li

growing population that produces and consumes ever more stuff and that's a ponzi schemes work right keep finding more and more suckers to find the disagreement to keep everything afloat and you can keep this scheme alive so long as the future remains full of new consumers will be five but we live in interesting times my friend and we're starting to face lowered the rates in developing countries and a growing aging population take europe for example the last period for which the un data showed europe's total fertility rate of of the replacement rate was in the seventy's and as the recession continues people are reproducing less than last in the u.s. the birth rate fell to its lowest level in modern history in twenty eleven and before you start thinking well just look at the chinese there are of billion of them we clearly don't have a fertility problem let me cut you off rate there and tell you that fertility rates in china are lower than those in europe the birth rate in china currently is one point five five well below the fertility rate of two point one or more which is what is nee

scheme of lettuce that's the definition of a ponzi scheme that's how it works it doesn't there is no value it's just more suckers in this case the people of cyprus the way the global banking system is connected these days the people of cyprus who had their money stolen a part of that money not all that but a part of that money ends up going into the the inflated price of this because because you've got guys like stevie cohen who are the trolls or the bridge of the global banking system have got co-opted the entire legal system and the banking system who are able to access money from the central banks at less than zero percent while the central banks to the commercial banks affiliates are charging people twenty percent thirty percent forty percent it's interest rate apartheid so get used to it let's look at what another hedge fund manager was on reddit dot com he's the hedge fund manager and provides economic analysis to bloomberg t.v. and huffington post his name is neil grossman and he did this read it and i've found it interesting about this american dream that i said like. the pic

. >> what i did was not a ponzi scheme. bernie madoff was a ponzi scheme. >>> 11 stories tall, occupying half a city block in downtown cleveland, the cuyahoga county correction center houses 2200 men and women that present a wide range of security issues. some like charles evans. >> the broom was on the floor. he fell on the floor. >> present more issues than most. >> person of interest i want to talk a little bit about, who's a familiar name to all of us is mr. charles evans. mr. evans was placed in lockup and did extensive lockup time for assault on officer may. he was released from lockup and went down to general population. a couple of days ago he got involved in a verbal altercation with an inmate that led to also some verbal confrontation with staff. he was placed down in lockup. he's saying once again he's in fear for his life. >> he's been all through this once before with him and placed him in pc. we have acquiesced to every request he's tried to make and we've placed him all throughout this facility. >> he's been

. >> what i did was not a ponzi scheme. bernie madoff was a ponzi scheme. showers with it.e make our coffee with it. but we rarely tap its true potential and just let it be itself. flowing freely into clean lakes, clear streams and along more fresh water coast line than any other state in the country. come realize water's true potential. dive in-to the waters of pure michigan. your trip begins at michigan.org. by the armful? by the barrelful? the carful? how about...by the bowlful? campbell's soups give you nutrition, energy, and can help you keep a healthy weight. campbell's. it's amazing what soup can do. >>> 11 stories tall, occupying half a city block in downtown cleveland, the cuyahoga county correction center houses 2,200 men and women that present a wide range of security issues. some like charles evans. >> the broom was on the floor. he fell on the floor. >> he presents more issues than most. >> the person of interest i want to talk a little bit about -- who's a familiar name to all of us -- is mr. charles evans. mr. evans was placed in lockup and did extensive lock

. >> what i did was not a ponzi scheme. bernie madoff was a ponzi scheme. thank you orville and wilbur... ...amelia... neil and buzz: for teaching us that you can't create the future... by clinging to the past. and with that: you're history. instead of looking behind... delta is looking beyond. 80 thousand of us investing billions... in everything from the best experiences below... to the finest comforts above. we're not simply saluting history... we're making it. they have no idea what it was like before u-verse high speed internet. yeah, you couldn't just stream movies to a device like that. one time, i had to wait half a day to watch a movie. you watched movies?! i was lucky if i could watch a show. show?! man, i was happy to see a sneezing panda clip! trevor, have you eaten today? you sound a little grumpy. [ laughter ] [ male announcer ] connect all your wi-fi-enabled devices with u-verse high speed internet. rethink possible. >>> 11 stories tall, occupying half a city block in downtown cleveland, the cuyahoga county correction center houses 2200 men a

finance, but not ponzi scheme. >> at the end of the day -- at the end of the day, what happens with the stock? >> it's in a defined down trend since topping out in september at 703. i think that down trend is still intact. as i said last night, i think a close around or above 450 for a couple of days then puts us in a level where maybe that down trend is broken and maybe it's free to go back towards $500. i think to dan's point, i don't think the company's changed. i think it has the same hurdles it did before, it just dampens the volatility. >> yes. curious what the options market is pricing in for apple at this point. >> yeah, i think sort of to dan's point, this was a stock that actually priced in much more volatility than a company with so little leverage as this one did for quite a long time. that expectation does, interestingly enough, seem to be mitigating a little bit because they're adding a little bit of leverage with a debt deal like this. if everybody is hunting for yield and the argument is that rates are too low, then companies should obviously be looking at their bala

regulators could be closer to putting the clamps on jp morgan because of its dealings with ponzie schemer bernie madoff. madoff is serving a 150-year prison term for costing investors millions of dollars in a massive money scheme. the office of the comptroller of the currency could issue a cease-and-desist order later this year against the bank. a trustee for madoff's victims accuses jp morgan chase of turning a blind eye to signs madoff was a fraud. "people are going after banks right now because they have a history of looking the other way. there's another case recently filed and pending in florida involving scott rothstien, who conducted one of these ponzi schemes, and his banks were successfully sued." that was attorney hugh totten of valorem law group. jp morgan served as madoff's main bank for two decades. bank officials contend there was no evidence of a scheme. the european parliament has voted in favor of reforms to its banking sector. this week members of the e.u. appoved changes, including a controversial bonus cap designed to discourage risk- taking for short-term gain. the ne

. >> he is the master mained on one of the largest ponzi schemes in history. bernie madoff's victims won't be able to sue the organization that should have stopped him in the first place. we are talking about the regulatory body the fcc. elizabeth is here to explain. those suing not happy about this. >> federal appeals court is not happy. they cannot hold the fcc responsible for failing to expose the ponzi scheme. they received complooifrnts years this went on for 16 years. fcc employees were disorganized sdmunt kate with one another they allowed credible complaints to go relatively unchecked. the fcc's actions along with the regretable interaction are shielded by rules protecting government employees. madoff pleaded guilty back in 2009 currently serving 150 years in prison. >> shielding government employees i think we all understand that one but government agencies that's a different things especially regulatory bodies. >> the attempt to go after the fcc failed by a second court. >> give us good nis we are expecting lower gas prices in the summer. >> summer d

they say it exposed the ponzi scheme nature of product.out you, gregg, i like to hear the change jingling in my pocket. >> gregg: unless i can't put it under my pla mattress i don't want it. thanks a lot. its bit risky, don't you think. >> arthel: i would say. is it possibly confusing. >> gregg: bit coins. i could say it all day. >> arthel: moving on, coming from the u.s. and china, they are calling for new talks. senator kerry is looking for a peaceful solution. >> gregg: and house blown off its foundation. what is left of it. that is next. >> when your wife says you are bleeding, i seen her whole face and hair full of blood. [ male announcer ] how do you measure happiness? by the armful? by the barrelful? e carful? how about...by the bowlful? campbell's soups give you nutrition, energy, and can help you keep a healthy weight. campbell's. it's amazing what soup can do. >>. >> arthel: back to the top story the u.s. embarking on a series of high stake meetings to help calm the crisis on the korean peninsula. john kerry remains in the region

to me it sounds like ponzi scheme. >> it has no moneyness. >> most people don't understand what it is. >> there has to be a moneyness of money in order to do this kind of thing and they don't have it. that's why i suggested the cold play. can you buy stocks with bitcoin? that's a serious question. >> i haven't heard of a way to buy stocks. >> that would put leverage under the markets. >> you'll be able, to but there will be double pink sheet stocks. >> can you go out and make a transaction online and pay in bitcoin with any degree of confidence, larry? >> no, not now, with confidence, and also the regulators are going to flock to this because you have transactions that are going on yesterday. when one of the dealers, the pc went down, that's a bad thing because that means people are getting hung up. >> in you leave your pipes open to it, it's a lot of fraud. they are coming in and they are picking your pocket. >> right. >> so they are just tacking you to death. >> larry mcdonald, bull, bear, some place in between, real quick. >> well, real quick. i'm bearish on the financials. i like

the madoff ponzi scheme cost investors $17 billion dollars. there will be no golden parachute to rescue former jc penney ceo ron johnson. johnson, who came from apple, was dismissed this week from jcp due to poor performance. johnson had a deal with penney to be paid mostly in stock when he became ceo in 2011. he owns 900,000 shares of penney stock.. but it only has value if penney stock climbs above $29 dollars. the stock closed last at $14. hedge fund manager bill ackman who has a major stake in jcp gave the stock a bit of a lift yesterday when he told reporters he's standing by the retailer. investors rolled out the welcome mat for taylor morrison this week. shares of the homebuilder opened up 6.1% yesterday, from its ipo price of 22 dollars and closed at $23.04. the return of the housing market has sparked an interest in home building stocks. also new to the market this week, shuttle tank operator knot offshore partners. that stock rallied nearly 4% on its opening day. chimerix, kye-mare-ix ipo-s today. the company is developing a drug for

is it a ponzi scheme or is it the future for money? the question still remains to be answered. and i'll throw it back to you. we have weak markets here in europe as we look ahead to banking reports from jpmorgan and wells fargo later in the session. >> all right. we've been on such a good upwards ride. we can take a little step back today anyways, geoff. have a great weekend. >>> let us know why you're awake. shoot us an e-mail or tweet me at bill karins. we'll read the best responses later in the show. >>> still ahead -- can the youngest player ever to tee off in the masters become the youngest ever to make the cut? your masters update is up next. >>> and jay-z isn't waste anything time rapping about his trip to cuba. we'll hear the new song and the white house response to it. why is the white house responding to a rap song? that story and a check on weather when "way too early" comes right back. >> in massachusetts health care institutions in the broadest sense and their leaders and their people are the -- probably the most respected in the entire world. all of you will be pa

growth yes that were growth has exceeded debt rate of increase but starting it but it is a bit of a ponzi scheme in two thousand and seven two thousand and eight the music stopped and for five years now no matter what they do there's no growth the growth rate is going rapidly in reverse and no matter how much money they print them out how much debt they inject there's not any growth above the route of debt that's growing now i think we have about a minute left let me just touch briefly on mark carney who's coming in to run the bank of england he wore an economy small me company smarmy carney ok you heard it here first any thoughts you got about twenty seconds on what might be we expect from a savings point of view imagine he's going to try and push inflation up even higher but that's no aunts ritually dumb passmore i'm thinking on any sunday the cover of the bank of england's no they have to choose the chancellor i think he's going to work behind the scenes he's going to get rid of us more he's got the regulatory purview now so easy you cumulating power he's a power mad psycho ex hockey p

twins have invested they own one percent coin apparently and cameron winklevoss says people say it's a ponzi scheme it's a bubble people really don't want to take it seriously at some point that narrative will shift to virtual currencies are here to stay or in the early days now max you have a patent on virtual currencies and this is what we're going to talk about the next episode because we have heard that the people who now own that patent are actually using that patent to create a better more efficient market making technology system on bitcoin well potentially cantor fitzgerald who owns my market making technology for virtual securities with virtual currency are rumored now to be getting into this space but that's could be a negative because corporations and banks use pat. law just for innovation and to kill industries so for show which has already been exposed as a bad actor we don't watch lea want them in the space and i hope that we'll be able to defeat them and then finally on this chris dixon a partner anderson horowitz an investor in the tax base says why he's investing a big coin

million dollars the most ever spent by an american yeah well this is great because you have a money ponzi scheme this guy steve cohen breaks the law just going to the bathroom everyone in the industry knows it is he's a huge percentage of volume of the new york stock exchange he feeds a lot of those hungry brokers a j.p. morgan goldman who they feel.

that's a ponzi scheme. >> alistair. >> it's the development of dick tall currency. in an evolutionary sense, bitcoin may not be the answer, because it has a lot of flaws, but i think the tendency towards map flare is a good one. >> they're going to introduce bitcoin atms, websites accepting this as a form of payment. people need to be extremely careful here before they fully integrate it into the payment system. >> i can tell you, i think no central bank, no pension funds, no institutional investor will ever put a dollar into this thing. it's a way of smuggling money because no one knows who you are and basically tomorrow someone else can take you out. people can -- it's been varied since human nature has been that in the 1700s. this is more ridiculous. >> david, thanks for that. alistair, thanks very much for joining us. do you have any particular affiliation with prada? >> no. >> no. we'll let you go. >>> now, the market showed its appreciation. toshiko has more of the story from tokyo. >> hi, ross. the tokyo market soared today on the bank's full easing measures.

now, just to get this right up front, some skeptics on this call it a ponzi scheme.f businesses are now starting to accept these things as currency. my next guest says, it is the real thing and says it will explode even further over the next 15 years. he is quoin center founder and ceo, joining me now in a fox business exclusive. first off, you are on the inside here. right now what is a bitcoin worth? >> just under $100. liz: 199? >> opinion on the exchange their worth anywhere from $85 tough about $97. liz: who decided that? >> the market. it's like any other asset. you know, a common question i get is, you know, what is katie backed by? and the answer is is that when you really think about it, is backed by it just as much as anything else to me know, it has the value based on what people place on it. it is just like gold. it is just like cars, you know, a people place value on it and in my particular case there are certain intrinsic properties that bitcoin has verses other assets that make a valuable to me in the the people. liz: it's valuable to you and it is val

. >> thanks you steve. 5:50 is the time, jp morgan chase played a roll in the ponzi scheme.y made out in business for 20 years and jp morgan chase failed to report the suspicious activity and will have to put a top to practice -- stop to practices that allowed that to happen. jc penny can sell martha stewart products until the lawsuit and only if they don't have her name on the products. macies says they have the right to sell her products under an agreement that runs through 2018. >>> today chick fell lay is taking steps to get healthier foods into its restaurants and they will start serving an entirely new lineup which is focused on fresh ingredients and it will offer romaine instead of iceberg lettuce an offer low calorie dressings which will cost more. it always costs more to be healthier. >>> more on what he did on the basketball court, isaiah thomas is a reason to come here to the bay area and it has nothing to do with sports. >>> you can see how the bay area winds are shifting and causing major problems. you kids should count yourselves lucky. we didn't have u-verse b

so basically a governmental ponzi causing more and more debt to be build up by our government to keep the markets propped up. >> read some esteems from what he -- items from what he had to say. i predict the latest wall street bubble will explode. here's another one. when they latest bubble pops there will be nothing to stop the collapse -- note the word collapse. if this sounds like advice to get out the markets and hide out in cash. it is. there's a lot of fringe people who are saying something like this, but you can't dismiss david stockman as a fringe guy. he is ronald reagan's budget director, successful investment banker you. can't just dismiss it, can you? >> you can't dismiss him, and we have been saying this for years but when he says is, you should perk up and listen. the u.s. economy is forcing investors into the market, which is creating an artificial confidence that our economy is doing well. but our economy right now is some rinking, -- shrinking and what is happening bond yelleds are low, interest in the bunk is near zero and it's like ben bernanke created a tri-lateral

he says the shame of his father's $65 billion ponzi scheme contributed to the development of his stage lymphoma which was in remission for ten years before returning when his father went to prison. >> toyota, honda, nissan and mazza recalling nearly 3.4 million cars this morning. the companies say front seat air bags on the drivers side of the vehicles may not inflate in a crash. so far no injuries reported. >>steve: it has always been an american tradition for decades students in schools recite the pledge of allegiance at the start of each school day. remember that when you were going to school? in recent years more of our public institutions are moving away from reciting the pledge for fear that it might offend or anger children and/or their parents. in the state of oregon, schools only make time for students, they give them the opportunity to say the pledge once a week and one lawmakers says that's not enough. oregon's state republican representative escoval say if schools receive national dollars they should be reciting the owing on a daily basis. he joins us this morning. i unders

appiles court ruled defrauded investors can not hold the sec for failing to expose bernie madoff's ponzieme. the court said government employees are protected from lawsuits when they carry out a discretionary function or duty. >>> india's car sales fall for the first time in 10 years in 2012 as the industry struggles to cope with the sluggish economy. they dropped 32% cord to the society of automobile manufacturers. >>> nissan calls variety of vehicles for a variety of problems. the it affects chrysler 300 dodge challenger and sedans from the 2012 model years. >>> post office backs off the plan to suspend saturday delivery service. the agency want to begin the new schedule in office. >>> apple may start ipad 5 production in august. the new tablet may be lighter and thinner. that is today's speed read. [buzzer] ashley: right at edge. liz: very annoying to change chargers. ashley: we like to make money. wouldn't we love to invest like big-time investors? warren buffetts or john paulsons. now you might be able to with the tap of an app. i-bill area -- i-billionaire is a new happen that trac