Date
20 August 2017
Bernard Madoff is serving a 150-year prison term after pleading guilty to running a Ponzi scheme. Many of his victims are still awaiting their dues from the liquidator of his estate. Photo: Bloomberg
Bernard Madoff is serving a 150-year prison term after pleading guilty to running a Ponzi scheme. Many of his victims are still awaiting their dues from the liquidator of his estate. Photo: Bloomberg

Payout to Madoff victims tops US$7.2 bln

The trustee liquidating Bernard Madoff’s firm said on Monday that he is distributing an additional US$355.8 million to the victims of the Ponzi scheme, bringing the total payout to more than US$7.2 billion.

The trustee, Irving Picard, said the payout began on Feb. 6, and covers claims by fraud victims with 1,077 accounts at Madoff’s former securities investment firm, Reuters reported.

Most of the payout comes from November settlements with some “feeder funds” that have been accused of sending customer money to Madoff to further his Ponzi scheme.

Claimants on 1,160, or 52 percent, of the 2,216 accounts where Picard found valid claims have been fully paid, according to the report.

Madoff, 76, is serving a 150-year prison term after pleading guilty to running a decades-long fraud that was uncovered in December 2008.

Picard has recouped roughly US$10.55 billion for Madoff victims, or about 60 percent of the estimated US$17.5 billion of principal he estimates they lost.

Some of that money has been held back because of pending litigation, including by former Madoff customers who challenge Picard’s authority to block their competing claims.

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CG/RC

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