CJR Adds Some Interesting Context to SEC General Counsel, David Becker’s Madoff Connection

Via The SEC, Tangled Up in Madoff, Ryan Chitum at The CJR adds a bit more context to David Becker’s on and off-again career as an SEC lawyer, as well as his previous run-ins with Madoff whistleblower, Harry Markopolos.  

Well worth a look.

As per the New York Post’s article from earlier this week, SEC General Counsel and Senior Policy Director, David Becker is being sued for the return of $1.5 million received as fabricated profits from the Bernard Madoff pyramid scheme.  

While Becker had not invested directly with Madoff, he inherited his mother’s accounts with the swindler after her death 2004.  Becker has claimed that he was not initially aware of his mother’s involvement with Madoff’s fund, which amounted to about $2 million in total.

At some point he does seem to have become aware, as Becker did raise the issue with officials upon his return to the SEC in 2009.  According to an SEC spokesman, Becker was told by the SEC ethics office that having inherited a Madoff account did not preclude him from working on related matters at the agency.

Meanwhile, lawmakers are taking notice and talking investigation. In a letter sent to SEC Chair, Mary Schapiro several members of the House financial services committee questions the apparent conflict of interest.