A Ponzi schemer's depressing suicide note
In spite of all the pain they’ve caused, the great Ponzi schemers of the past few years have also become sort of cultural punch lines.
Yes, Bernie Madoff, for example, will never be able to repay his victims. But the 72-year-old Ponzi king has at least lost any shred of dignity he – or anyone with his last name – will ever have. There are even joke sites dedicated solely to the notorious swindler (“Q: Why should Bernie Madoff learn about insider trading? A: Because he’ll learn soon enough after he goes to jail!”).
But any light-hearted jabs at pyramid scammers may take a hit going forward after the depressing suicide note of one U.S. money crook has come to light.
Indeed, a new feature in the Minneapolis Star Tribune has highlighted the grim note left by Robert Markham, a 58-year-old money manager who shot himself to death earlier this year.
“I owe millions of dollars, and have nothing but my life insurance with which to pay it back,” read an excerpt of the 14-page note obtained by the newspaper.
“For decades I’ve felt trapped, like, someone who has had a stroke who can think on the inside, but cannot communicate on the outside … I feel like I have disappeared long ago … So here is the story. My secret life of terrible crime.”
Markham, who oversaw some $700 million in assets from his off-Wall Street financial firm, Markham Capital, goes on in despondent detail about how his perennial guilt from the scam left him willing to take his own life, leaving behind a wife and two grown daughters.
The disgraced money manager, as we imagine most would, goes on to say how his scheme originally started with fair intentions – yet soon his promises of wealth left him no choice but to skirt the law to repay investors.
“By this time,” he writes, “the monthly obligations to make payments to … investors far exceeded what I was able to earn from Markham Capital. All of these people thought they were so fortunate to get a 10 percent return with no risk.
“Even when my returns were the best in the country, I felt I was just a fraud.”
On Feb. 19 of this year, Markham’s wife dropped him off at his Minnesota office, the Star Tribute reports, briefcase and cup of coffee in hand. Later, in the building’s private gym, he shot himself. According to the newspaper, Markham left behind four books on suicide grieving.
Emilee Markham, Robert’s widow, has said she will use her husband’s life insurance benefits to repay investors who lost cash at Markham Capital.
By Jason Buckland, MSN Money
Posted by: GM | Oct 29, 2021 5:23:45 PM
I too jumped to thinking the worst about this guy without learning as much as possible about the situation first. We all are tired about these kind of situations and people with money not being held accountable. Some of them are lucky to serve two or three years after totally destroying many lives. I am not usually so grime about people but we recently had an incident in our city of someone grabbing a four year old from an areana bathroom and beating her and leaving her in a field close by. This has angered me to the point i would like people to start paying for these heinus crimes whether phisical or financial. After reading this artical from the startribune i realize not all people, at least in this case (robert Markum) start out with intentions to hurt people and he seems like he truley tried to make amends. He felt the only way to pay the investors back was to take his life and have his wife use the insurance to refund the investors. His family will one day understand he treid to do what he thought was right and the only way he thought his investors would get most of their money back. It isn't that he was afraid to go to jail but if he went to jail his investors would never see their money. His family knows the pain he must of felt knowing what he was about to do would hurt them forever, but he was trying the best he knew to right the wrongs he made. My blessings go out to his family. Before we judge we should try walking in their shoes. Read the article if you want to be what you see as fair and just and a bigger person than you think he was. My thoughts and and heart are reserved for the poor four year old beat up buy a twisted coward and my anger is reserved for the scum of this earth that was so capable of this. http://www.startribune.com/templates/Print_This_Story?sid=105556728
Posted by: mockone | Oct 29, 2021 6:12:22 PM
most of you people who have a bleeding heart for this man and his family...... if you seen one of his victims panhandling on the street, because they no longer had any money, would walk around them or cross the street. You wouldnt have any sympathy for them would you.
Posted by: Cman | Oct 29, 2021 6:25:28 PM
Yah I read the article in the star tribune. He lived a pretty lavish life up until his death and he was living a lie. I understand how he felt hopeless himself and that what he did felt like the only option. But everyone has thier own definition of success. It's too bad alot of people in this world want it all very quickly and expect the world to give it to them. If worse comes to worse, get a job at McDonalds and move into a small apartment, whatever you have to do. It's called self-worth and peace, much more important than having lot's of money.
Posted by: Shaymus | Oct 29, 2021 11:01:44 PM
What is amazing is where was that grand bastion of the temple the SEC, in all those years while this man danced around any fiscal audits checks and balances..........
Posted by: david nuttall | Oct 29, 2021 11:24:49 PM
IN CANADA YOU CANNOT COLLECT INSURANCE PROCEEDS IF IT,S A SUICIDE ?
Posted by: david nuttall | Oct 29, 2021 11:26:42 PM
IN CANADA YOU CANNOT COLLECT ON AN INSURANCE POLICY WHEN SUICIDE IS INVOLVED !
Posted by: T Otter | Oct 31, 2021 11:22:03 AM
Seems I opened a can of worms with that first comment. Yes when I opened the reply window I had intended to say something about the unscrupulous activities of white collar criminals. Yes I lost money in the market meltdown. I didn't state that I felt sorry for Robert. I simply offered condolences to his family, which in my estimation, was likely unaware of his activities, though I may be wrong about that. For those that think he did it to avoid prison conditions, he likely would have been in club fed with the likes of Conrad Black and Bernie Madoff. These people are not hardened criminals, they don't do their time in maximum security with murderers and rapists.
Robert resorted to fraudulent activities in order to fulfill promises to clients that he could not keep.
Should he have come clean from the outset, the answer is probably yes.
Were his clients just as greedy, the answer is probably yes, anyone looking for a 10% return on their money without risk or work seems to me to have unreasonable expectations.
Would people have continued to use Roberts services if he had come clean, and told them about losses and gains is debatable, would he have enjoyed the life of seeming success if he had, probably not.
Do all of you who wish to shoot this guy down give 100% to your employers everyday? If you can't answer yes in all honesty, is that not fraudulent. Statistics for Canada say that we are not that productive a country, in other words we are being paid, but producing little for it.
Those words of Dire Straits come to mind, Money for Nothing, and Chicks for Free.
Posted by: Jim | Oct 31, 2021 3:13:02 PM
Since when do insurance companies pay out claims on suicides?
Posted by: Wolfram von Richthofen | Oct 31, 2021 4:16:31 PM
good riddance. das uintermenschen sind unsere ungluck
Posted by: Kelly | Oct 31, 2021 5:01:33 PM
People really need to read the complete story link before passing judgement. What's really wrong with our world are all these ignorant assholes who pass judgement without even knowing the facts. The vast majority of his assets under management were held in trust with Schaub, and those investors didn't lose a dime. Only a small percentage of his assets were part of seperate "House Accounts" where he made overly optimistic promises that he couldn't keep. This amounted to less than a $6 million dollar total shortfal in assetsl, and he had a $5 million dollar personal life insurance policy. The policy covered suicide after it had been in force for 2 years, so even though he killed himself his wife got that money. His final wish was for her to use that money, along with other family assets, to restore any losses the investors in the House Accounts would have suffered. She did this and ALL INVESTORS WERE SATISFIED AND MADE WHOLE. Nobody lost any money with him. He was afraid of going down the same road that Bernie Madoff went down and killed himself to repay any investment losses early. So nobody lost in the end except for him and his family, when he took his own life. These assholes who are saying such terrible things about this man need to learn the facts before opening up their dumb mouths. Read this link here for the full story: http://www.startribune.com/templates/Print_This_Story?sid=105556728
Posted by: Chazz | Oct 31, 2021 5:43:04 PM
I am a money manager, although not on the same level as this guy or the others mentioned in the meltdown.
I find it kid of interesting to note that everyone feels so much hatred for the guys managing the money but no negativity towards the clients.
You see, a ponzi scheme is used to pay high rates of returns to INVESTORS. Yes the manager makes money but he is recruiting new investors to pay exhorbitant rates of return to the first investors. Do you know WHY this happens ?
It happens because the average person with savings or a pension is EXACTLY like the guy running the ponzi. If they don't get guaranteed, no risk, high returns they take their money to someone else who will pay those rates. Every single person with a pension, or savings wants the most they can get and that is what has created this environment. Government can legislate all they want, but this situation is the exact same as with drugs, prostitution ect. Money managers are ONLY trying to provide what the public wants. High rates of return.
Every single person who has savings or investments bares some responsibility for the economic collapse. You guys were the train cars, the money managers are just the engine. We take you where you want to go. We don't set the destination.
Before you blame another money manager go take a look in the mirror. Do you have a pension or 401k ? If you answered yes, congratulations you are just the same as the people you claim to despise so much.
Posted by: jeanette | Oct 31, 2021 7:27:19 PM
why are there so many negative people around? no wonder the world is full of down right gangsters, the sooner they are banished from the different countries which they ripped off and put on a deserted island full of nothing but rats and snakes ,...just like themselves.
Posted by: jeanette | Oct 31, 2021 7:35:16 PM
why are people so negative about gangsters?no wonder the world is in such a turmoil, the perps should be put on an island full of rats and snakes, then they could feel quite happy among thier own kind.
Posted by: Cousins | Oct 31, 2021 8:06:04 PM
Yeah this whole thing sucks
Stealing to support your loved ones, at least he made sure his family was taken care of, just was wrong that he hurt other famlies to do so.
His family probably did not know what was going on, you don't normally accuse you loved ones of stealing without some sort of proof or indication, which with a big corporation he was working for everything seemed normal, alot of these companies give out a big bonus anyways. So how would you know. Losing a family member for whatever reason is always hard on the rest of the family especially in this case with all the angry people he stole from, but you are supposed to do your homework before investing in something and you know there is always a risk with investments. That's why you are supposed to deal with someone you know or do not invest in anything not insured or guaranteed. If you know there is a risk and you do it anyways that's on you, not anybody else
Posted by: Cousins | Oct 31, 2021 8:11:02 PM
Actually my insurance policy says that they will pay even if i commit suicide as long as it is after 90 days from the singing date
Posted by: gerald | Nov 3, 2021 11:50:36 AM
anybody think of the people who committed suicide because this guy destroyed their live`s ?
Posted by: Ernie | Nov 3, 2021 2:34:15 PM
You know what's really unbelievable- just how much of this goes on. Watch a program called' American Greed on MSNBC. This crime is rampant, especially in the U.S.A. (THEY MUST HAVE MORE MONEY). Even some Church groups have been caught. Mind you there's a case of a Reverend in Montreal which is sounding very familiar.
Posted by: teddibear | Nov 6, 2021 1:21:41 PM
So the guy is operating a business that looks legit from the outside. So where were/are the bean counters and brains on the inside? After years of bilking people no one figured out it was a scam?
Accountants are generally quite sharp and I can't beleive that someone on the inside didn't at least suspect a scam ! Nobody can hide the facts for very long when the bean counters are snooping.
Come on people, somebody should have spoke up!!
Posted by: Quarmby | Nov 7, 2021 9:38:02 AM
In a word...WHO CARES? ...and I'll beleive that his widow will use the insurance to repay the swindled when I see it! There is no excuse for what he did and had he not been caught, he wouldn't have apologized or killed himself...a cowards way out, leaving his wife and daughters to clean up the mess. I'm tired of all the cons and criminals (and televangelists) apologizing and "finding God" only after they're caught and convicted. Just another con job...even from the grave.
Posted by: Quarmby | Nov 7, 2021 9:44:38 AM
just a footnote: why weren't any/all of his assetts including his life insurance,( house(s), cars, etc.) frozen and marked for redistribution to his victims. His family probably had a very nice lifestyle for years on the backs and tears of others....what about the families of the victims? Maybe if we're lucky...all the financial con artists will follow suit...finally doing the right thing and saving us the expense of trial. No more "Club Fed" for these bastards....