What is your view on this paragraph? Please see below.

Trust was a big factor contributing to Mr. Armstrong's fraudulent practices. Trust, combined with a poor internal control environment and a lack of segregation of duties, can be a recipe for fraud. This makes you wonder where are those controls in place for this sort of large fraud to even occur. Mr. Armstrong was obviously well-known in the investment community so the trust was there for him but even so there should be controls in place to mitigate this level of fraudulent practice. To lose $295 million between 1997 to 1999 is an extremely large amount of money to lose in a two year period, especially all investors' money. You would think internal controls within his firm would have caught this type of failure to perform well before it hit that level of lose.