Bernard Madoff’s Victims Collect $4.3B as US Government Fund Completes Payouts

A U.S. authorities money to compensate radical swindled by Bernard Madoff announced its tenth and last organisation connected Monday, saying it volition person paid retired $4.3 cardinal to 40,930 of the late Ponzi schemer’s victims.

Richard Breeden, the erstwhile U.S. Securities and Exchange Commission president who oversees the Madoff Victim Fund, said a last $131.4 cardinal payout volition spell to 23,408 claimants, and people the organisation of each disposable forfeited assets.

Victims including 38,860 individuals, arsenic good arsenic schools, charities and pension plans, volition person recouped an mean 93.71% of their proven losses erstwhile the money created by the U.S. Department of Justice closes successful 2025.

An further $14.72 cardinal has been recouped for customers of the erstwhile Bernard L. Madoff Investment Securities LLC by Irving Picard, the trustee liquidating that steadfast pursuing its 2008 bankruptcy.

Related: Bernie Madoff Is Long Gone. The Lawyers Are Going Strong

That boosts the full payout to Madoff victims to astir $19 billion. Unlike Picard, Breeden besides returned wealth to victims who mislaid wealth indirectly, specified arsenic done “feeder” funds. Payouts went to claimants successful 127 countries.

“Our nonsubjective was to find each of the victims, and cognize what everybody lost, to deploy the assets we had successful the fairest and astir equitable way,” Breeden said successful an interview. “Nobody got near behind.”

Breeden besides said it was important not to hide Madoff’s “complete depravity,” though it happened galore years ago, and that radical “remain wary and cautious astir however they put their wealth and defender their savings.”

The money was created chiefly from settlements betwixt the Justice Department and Madoff’s erstwhile slope JPMorgan Chase JPM.N, and betwixt the liquidator of Madoff’s erstwhile steadfast and the property of erstwhile Madoff capitalist Jeffry Picower.

It primitively held $4.05 billion, but grew due to the fact that the Justice Department recovered further assets.

Madoff’s fraud was estimated arsenic precocious arsenic $64.8 billion.

It went undiscovered for galore years until Madoff confessed to his sons successful December 2008, 1 time aft his firm’s Christmas party.

Madoff yet pleaded blameworthy to 11 transgression counts. He died astatine property 82 successful April 2021 portion serving a 150-year situation sentence.

Photo: AP Photo/Stuart Ramson, File

Topics USA