GE shares drop after Madoff whistleblower Harry Markopolos raises red flags on its accounting

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From the GE statement: > “The allegations we have heard are entirely false and misleading,” GE said in a statement. “The Company has never met, spoken to or had contact with Mr. Markopolos, **and we are extremely disappointed that an individual with no direct knowledge of GE** would choose to make such serious and unsubstantiated claims. ” If I’m not mistaken, GE just put in writing that you have no direct knowledge of GE if you are examining only their financial reports. And to be fair, that is kind of what Harry Markopolos is also saying.


I skimmed halfway through the report. It’s very detailed and pulls in news articles about reinsurance from the early 2000s. Really good work. I never knew much about the LTC insurance business until now. Recommended read.


Markopolous-to-market accounting


Isn’t a lot of the uncertainty about their accounting already priced in? Wasn’t that a factor in how it went from $31 to $6 in the first place? I know that it’s why I didn’t buy the dip


As usual, the Seeking Alpha comments on news articles associated with this are full of bagholders questioning the motives behind this report… yet no one is debunking what’s said.