Judge Investigating Iceland Collapse Says Red Flags Ignored “Exactly Like Madoff”

eva_joly230French judge Eva Joly, the chief investigator probing Iceland’s financial collapse, says that international regulators ignored a series of red flags about Iceland’s financial health.

“The Icelandic central bank made it quite clear in 2007 that it would not be able to stand behind its banks if they had problems. There were other analysts, too, who pointed out all the obvious problems. It was exactly like Madoff — the warnings were there,” she stated.

The Times Online reports that Joly said that both the UK’s Financial Services Authority and authorities in the Netherlands shared the blame.  Joly is advising Iceland’s specially-appointed prosecutor Olafur Hauksson on the matter.

Read the Times Online article.