One veteran of a Wall Street bank, said:
Our compliance group asked him 3 questions:
1. Who is your law firm (2 man shop)?
2. Who is your accounting firm (2 man shop)?
3. Where are the assets held ("we hold them")?
In 5 minutes they figured him out....and the U.S. Government could not.
This is recounted in the film starring Robert de Niro, â€œWizard of Liesâ€ â€“ an uncomfortable watch for the world of retail financial services. We deal in numbers for a lot of people â€“ they donâ€™t see their shareholdings, only their statements recording their shareholdings. Regulatory protection should not replace â€œCaveat Emptor.â€