The Scammer of Wall Street

Few figures in the finance world can claim as much influence as Jordan Belfort over the reputation of Wall Street as a greedy, heartless place. In 1999, Belfort pleaded guilty to numerous crimes related to stock market manipulation and the running of a long-term scam involving penny stocks.

BY DHARMIK MADAAN | 2 mins read

   

Jordan Belfort is nicknamed as  ”The Wolf Of The Wall Street “ . Jordan Belfort made millions in the 1990s through his investment company named , Stratton Oakmont. In 1999, Jordon Belfort was found guilty to numerous crimes related to Stock market manipulation  and the running of a long-term scam involving penny stocks.

He was the  founder of Stratton Oakmont and Belfort committed the illegal activities which ultimately sent him to prison. Jordan Belfort followed the traditional “boiler room” model of using high-pressure sales techniques to sell shares to his investor .  In many cases, Stratton would  gain the trust of its clients in by allowing them to make a profit on their initial trade. It would also promise them a large  number of shares in an initial public offering, only to later claim that the shares were only available at a much higher price . At it’s peak, Stratton Oakmont is said to have employed about 1,000 stockbrokers overseeing investments of more than Billion  Dollars .

SOME FACTS ABOUT THE WOLF:

Belfort secretly owned STEVE MADEN.

Belfort escaped with only a two-year jail sentence because of his decision to co-operate with FBI. Belfort was also required to pay $110M in restitution.