This one goes down in the category of “its good to be a Receiver or Trustee if there is a lot of money left to go after once the fraud is found out and stopped.” The fees, paid by the industry-backed Securities Investor Protection Corp., or SIPC, which is managing the case, have financed a team of lawyers who this week surpassed $10 billion in recoveries for victims, or almost 60 percent of the principal that vanished after Madoff’s arrest in December 2008.
“No one would have anticipated this recovery six years ago, and not a nickel of the fees has come out of the customer fund,” Stephen Harbeck, SIPC’s president, said today in a phone interview. “It’s a remarkable achievement.”
It’s a great rationale for a $1 billion in fees!!
Six years after Bernard Madoff’s fraud collapsed, the cost of liquidating his defunct investment advisory firm to repay thousands of victims has topped $1 billion, though the con man’s former customers aren’t footing the bill.
Read more at Bloomberg.com
The Brooklyn U.S. attorney’s office is panning “The Wolf of Wall Street.”
Prosecutors say Jordan Belfort —the man behind the Martin Scorsese movie who pleaded guilty in 1999 to bilking investors out of more than $200 million in a vast, seven-year pump-and-dump scheme—has been shirking court-ordered restitution to his victims