Academic

Madoff Victims Get Holiday Surprise -- $7 billion

By Gordon Smith, Christine, Hurt, Vic Fleischer, Fred Tung, Lisa Fairfax, David Zaring

I didn't see this one coming!  Trustee Irving Picard, who has recaptured less than $2 billion in the past two years to compensate Madoff victims, is expected to announce today that the estate of Jeffry Picower has agreed to a settlement with Picard and federal prosecutors that will add $7 billion or more to the moneys to be distributed to Madoff victims.  Picower was a frequent withdrawer from his fund with Madoff, and money was always there to distribute to him, probably as compensation for luring others to the fund.  He seemed to keep his real money with Goldman, Sachs.  Picower, who had a history of health problems, was found dead in his swimming pool last year.

Full post as published by Conglomerate on December 17, 2010 (boomark / email).