{"id":5082,"date":"2010-11-23T00:00:00","date_gmt":"2010-11-23T06:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2010\/11\/class_action_securities_fraud_1"},"modified":"2022-03-09T16:02:36","modified_gmt":"2022-03-09T22:02:36","slug":"class-action-securities-fraud-1","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/class-action-securities-fraud-1\/","title":{"rendered":"Class Action Securities Fraud Lawsuit Accuses SEC of Gross Negligence Related to Bernard Madoff Ponzi Scam"},"content":{"rendered":"<p>Three individuals, Judith Welling, Robert Mick, and Charles Mederrick, have filed a purported<a href=\"https:\/\/www.investorlawyers.com\/index\"> securities class action<\/a> against the Securities and Exchange Commission over financial losses related to investments they made in Bernard L. Madoff Investment Securities LLC. In their amended complaint, the plaintiffs are seeking damages sustained because of the \u201cgrossly negligent acts of the Defendant in connection with the SEC&#8217;s deficient review of complaints and information\u201d that Madoff was running a Ponzi scheme. Mick, Welling, and Mederrick contend that their investments, which they made over a 16-year period, caused them to suffer \u201ccatastrophic\u201d consequences.<\/p>\n<p>In their complaint, the plaintiffs accuse the SEC of \u201crepeatedly and grossly failing to adequately apprise itself\u201d of the facts related to the Madoff Ponzi scam allegations despite the fact that for years there had been numerous complaints. Last year, the SEC\u2019s Inspector General put out a 457-page report detailing the agency\u2019s failure to detect Madoff\u2019s fraud scheme despite the signs. <\/p>\n<p>The class action lawsuit is on behalf of those who invested in Madoff Investment Securities between November 1992 and December 2008 and have filed administrative damage claims seeking to recover damages for the SEC\u2019s alleged negligence. The class could be comprised of more than 100 victims. The plaintiffs\u2019 securities fraud lawyer says that to his firm\u2019s knowledge, this is the first class action filed against the SEC over its handling of Madoff.<\/p>\n<p>Madoff\u2019s $50 billion Ponzi scam defrauded many institutional and individual investors. Some of these investors lost everything.<\/p>\n<p>\n<strong>Related Web Resources: <\/strong><br \/>\nSEC Hit With Class Action Alleging Gross Negligence in Oversight of Madoff, BNA Securities Law Daily<\/p>\n<p><a href=\"https:\/\/www.dailyfinance.com\/story\/investing\/madoff-investors-sue-sec-for-incompetence\/19714585\/\">Madoff Investors Sue SEC for Incompetence<\/a>, Daily FInance, November 12, 2010<\/p>\n<p><a href=\"https:\/\/www.forbes.com\/2008\/12\/12\/madoff-ponzi-hedge-pf-ii-in_rl_1212croesus_inl\">Bernie Madoff&#8217;s $50 Billion Ponzi Scheme<\/a>, Forbes, December 12, 2008<\/p>\n<p> <a href=\"https:\/\/www.investorlawyers.com\/blog\/class-action-securities-fraud-1\/#more-5082\" class=\"more-link\">Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Three individuals, Judith Welling, Robert Mick, and Charles Mederrick, have filed a purported securities class action against the Securities and Exchange Commission over financial losses related to investments they made in Bernard L. Madoff Investment Securities LLC. In their amended complaint, the plaintiffs are seeking damages sustained because of the \u201cgrossly negligent acts of the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3804,3792,3741],"tags":[],"class_list":["post-5082","post","type-post","status-publish","format-standard","hentry","category-class-action-lawsuits","category-ponzi-scams","category-securities-fraud"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Class Action Securities Fraud Lawsuit Accuses SEC of Gross Negligence Related to Bernard Madoff Ponzi Scam &#8212; Investor Lawyers Blog &#8212; November 23, 2010<\/title>\n<meta name=\"description\" content=\"Three individuals, Judith Welling, Robert Mick, and Charles Mederrick, have filed a purported securities class action against the Securities and Exchange &#8212; November 23, 2010\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/class-action-securities-fraud-1\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Class Action Securities Fraud Lawsuit Accuses SEC of Gross Negligence Related to Bernard Madoff Ponzi Scam &#8212; Investor Lawyers Blog &#8212; November 23, 2010\" \/>\n<meta name=\"twitter:description\" content=\"Three individuals, Judith Welling, Robert Mick, and Charles Mederrick, have filed a purported securities class action against the Securities and Exchange &#8212; November 23, 2010\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Class Action Securities Fraud Lawsuit Accuses SEC of Gross Negligence Related to Bernard Madoff Ponzi Scam &#8212; 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