The latest news coming out of the Madoff Trustee and Creditors meeting that started at 10 am this morning in the auditorium of the United States Bankruptcy Court, Southern District of New York is simply staggering.
- Madoff’s operation was enormous, taking in 2,350 clients.
- For at least 13 years, no securities at all were purchased on behalf of those clients. That means that every single transaction recorded, every cent of gain was simply made up out of thin air.
- The Trustee has no idea how long it will take to figure out what assets may be recovered for the victims.
There are some bright spots.
- Trustee Irving Picard said he has recovered $650 million.
- Victims could qualify for up to $500,000 in funds from the Securities Investor Protection Corp.
- Picard says he wants to sell off its market-making operation in “a matter of weeks.”