In unusually dramatic language, the lawsuit calls Chase, which for over 20 years, served as the principal banker for Madoff's operation, "complicit" in his crimes. But how, exactly?
In short, the trustee, Irving Picard, alleges that Chase should have known that Madoff's profits were fraudulent, and failed in its duty to adequately monitor his account's activity. The suit documents how senior bank executives expressed serious suspicions about Madoff's operation, but continued to do business with him anyway. Picard's complain also charges that when Chase finally did begin to remove most of the money it had invested in Madoff-linked funds, the bank still didn't alert government regulators to its suspicions, or freeze Madoff's account.Read More »from Chase exec in 07: Madoff returns ‘are speculated to be part of a Ponzi scheme’