The Identification of Ponzi Schemes
Can a Picture Tell a Thousand Frauds
Bibliographic Data
| ID | 14970918 |
|---|---|
| Authors | Jacqueline M Drew (0000-0001-5586-7873, Griffith University, corresponding author), Michael E Drew (0000-0002-2822-9611) |
| Year | 2010 |
| Volume | 19 |
| Issue | 1 |
| Pages | 51-70 |
| Publication date | 2010-01-01 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Griffith Law Review (JOURNAL) |
| Journal identifiers | ISSN: 1038-3441 • E-ISSN: 1839-4205 |
| Publisher | Informa UK Limited (PUBLISHER • GB) |
| DOI | 10.1080/10854668.2010.10854668 |
| OpenAlex | W1506425691 |
| Language | EN |
| Citations received | 2 |
| References cited | 4 |
There is voluminous commentary on the origins of the global financial crisis (GFC), international attempts to limit the contagion and the Herculean effort to stop the global economy sliding into a depression. However, in the fast-moving world of the GFC, the debate shifted to the search for answers to the most challenging question: can we stop this from occurring again? To date, a number of responses have been formulated, including the need for a more holistic approach to regulating the global financial system, more stringent controls on banks and new financial products and reform of executive remuneration practices that encourage excessive risk-taking. This article suggests that an additional issue in the reform debate warrants consideration. The adequacy and implementation of fraud-detection systems in the financial services industry must be addressed. The monthly returns from the largest feeder fund in the US$65 billion Ponzi scheme overseen by Bernard L Madoff are analysed to demonstrate how the performance characteristics of investment schemes can be used as a potential red flag indicator in a broad system of fraud detection. It is argued that performance characteristic analysis is likely to play an important role as one tool within a collection of quantitative and qualitative assessment controls able to identify fraud perpetration in the financial services industry
Business · Economics · Financial crisis · Financial services · Great Depression · Identification (biology · Investment (military · Investment banking · Macroeconomics · Political science · Politics · Project commissioning · Publishing · Remuneration · Crime, Illicit Activities, and Governance · Cybercrime and Law Enforcement Studies · Law · Spam and Phishing Detection · Accounting · Finance
| Unique citing works | 2 |
|---|---|
| Citations per year | 0.4 |
| Citation span | 2021 - 2021 (1) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 2 |