A US federal judge on Tuesday dismissed a civil complaint by the US SEC against a New York broker it accused of channelling investors into Bernard Madoff’s Ponzi scheme. The SEC alleged last June that Cohmad Securities and three top employees participated in suspicious practices indicative of fraud when they were paid millions of dollars to bring investors to Madoff. But Judge Louis Stanton said there was insufficient evidence that Maurice Cohn, Cohmad chairman, and two other executives knew of, or recklessly disregarded, Madoff’s scheme.

This entry was posted by Gwen Robinson on Wednesday, February 3rd, 2010 at 5:03 and is featured in The 6am Cut London (3 Feb 2010) . Tagged with Bernard Madoff, Cohmad, sec. Edit this entry.