Marc Dreier, the latest to fall from grace

First it was Bernie Madoff, and now it's Marc Dreier. Watching these New York icons fall from grace is a lot to take. Dreier, a prominent lawyer, has been arrested and stands accused of swindling some big-name investors. Prosecutors say $380 million is missing, most of it lost by hedge funds and other investors who had bought promissory notes that were "flat-out fictions," according to the New York Times. In addition, $35 million in escrow on behalf of Dreier's firm is also missing.

About 250 lawyers are out of work. Even the firm's expensive art is missing. In hindsight there were some red flags: Dreier was the only equity partner in the firm, and he had alone knew all aspects of deals. He also handled all administrative chores. In the end, he got desperate it seems, and reckless. So much so that his fraud was first noticed by a receptionist.

For more:
- here's the New York Times article

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