Message #2409 From:
MAILMAN Date: October 20, 2009 03:25:11 PM
ANOTHER PR WAITING IN THE WINGS
By: gusjarvis 20 Oct 2009, 03:15 PM EDT Rating: You rated it:
Msg. 879297 of 879299
ANOTHER PR WAITING IN THE WINGS OR FIRST
this will also be our template for our suit if need be and maybe pr'd, from omega. And I have been in contact with this ex sec lawyer:
The following pargraph is from page 2 and 3 of the Madoff lawsuit:
Through its negligent actions and inactions (herein collectively referred to as "the SEC's negligence"), the SEC caused Madoff's scheme to continue, perpetuate, and expand, eventually resulting in billions of losses by investors, and directly caused plaintiffs to lose more than $2.4 million. The SEC owed a duty of care to all of those investors, including plaintiffs, because it was reasonably foreseeable that they would rely on the SEC to remove the danger posed by Madoff if the SEC had information confirming the existence of that danger. The SEC breached its duty of care and, in doing so, proximately caused Plaintiffs' injuries, in that those injuries were the natural, probable, and foreseeable outcome of the SEC's failure to terminate Madoff's Ponzi scheme despite its multiple opportunities to do so. The fact that Madoff's own actions also contributed to Plaintiffs' injuries does not protect the SEC liability, because the SEC's negligence was both a substantial factor in bringing about those injuries, and because those injuries would not have occured but for the SEC's negligence. Had the SEC carried out its functions with even a minimum of reasonable due care, many, if not most, of Madoff's victims would have been spared the financial ruin they face today.
The following is the same paragraph with "CMKM" substituted for "Madoff" and "pump and dump" substituted for "Ponzi."
Through its negligent actions and inactions (herein collectively referred to as "the SEC's negligence"), the SEC caused CMKM's scheme to continue, perpetuate, and expand, eventually resulting in millions of losses by investors, and directly caused plaintiffs to lose more than $2.4 million. The SEC owed a duty of care to all of those investors, including plaintiffs, because it was reasonably foreseeable that they would rely on the SEC to remove the danger posed by CMKM if the SEC had information confirming the existence of that danger. The SEC breached its duty of care and, in doing so, proximately caused Plaintiffs' injuries, in that those injuries were the natural, probable, and foreseeable outcome of the SEC's failure to terminate CMKM's pump and dump scheme despite its multiple opportunities to do so. The fact that CMKM's own actions also contributed to Plaintiffs' injuries does not protect the SEC liability, because the SEC's negligence was both a substantial factor in bringing about those injuries, and because those injuries would not have occured but for the SEC's negligence. Had the SEC carried out its functions with even a minimum of reasonable due care, many, if not most, of CMKM's victims would have been spared the financial ruin they face today.
Point out the above to Elisofon when you speak with him because it shows the similarities in Madoff and CMKM.
In fact, the above paragraph could be a paragraph in the PR.
