The Financial Industry Regulatory Authority didn’t fully probe Bernard Madoff’s firm and repeatedly failed to investigate tips about R. Allen Stanford’s alleged $7 billion fraud, an internal report found. In 2006, Finra examiners noticed Madoff was making payments to Cohmad Securities Corp., but didn’t pursue the matter, according to the report. On Stanford, Finra got an anonymous letter calling Stanford’s business a “massive Ponzi scheme,” but it took six years to reach Finra’s enforcement staff.
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