Found this website of US’s House Committee on Financial Services.
This committee oversees all components of the nation's housing and financial services sectors including banking, insurance, real estate, public and assisted housing, and securities.
(refer to "Who we are" for more details)
US House Committee on Financial Services had a meeting to discuss and assess Bernard Madoff’s Ponzi scheme and the need for regulatory reform.
Quite a good read. There are testimonies from representatives from SEC, Securities Investor Protection Corporation (SIPC), Bernard Madoff’s investor and some academics.
Some info from the opening statement:
red flags raised by others on Bernard’s investment:
1. outsiders like Mr. Markopolos could not create a model that matched the results of Mr. Madoff’s purported strategy
2. Others published articles as early as 2001 raising questions about Mr. Madoff’s firm.
3. unrealistically steady investment returns
4. auditor the size of a mouse examining a fund the size of an elephant.
agency’s enforcement unit is chronically understaffed:
1. 433 people in the office of compliance and examinations looking at 8,000 advisers two years ago, today it has 400 people looking at 11,000 advisers and thousands of mutual funds:
2. number of investment advisers subject to the Commission’s oversight has doubled since 1997
How will they "restructure the regulatory system for the financial services industry and enhance investor protection" ?