Madoff Recovery Reaches Almost $1 Billion

The recovery of assets for Madoff victims is going much better than expected. It was initially feared that there may be just tens of millions of dollars remaining from the Ponzi scheme. It seems that Madoff was actually skimming much more than suspected, storing hundreds of millions in cash and assets for himself. That turns out to be good news, since it means there is now more left to recover for the victims.

From Bloomberg:

The assets of Bernard L. Madoff Investment Securities LLC that investigators have tracked to Gibraltar are worth about $75 million, raising to $1 billion the amount a trustee has recovered for investors, a lawyer said.

David Sheehan, a lawyer for Irving Picard, who was appointed by the Securities Investor Protection Corp. to unwind Madoff’s businesses, also said at a court hearing today that French authorities may soon seek to seize Madoff’s French chateau, worth about $1.6 million.


Sheehan’s disclosure came at a court hearing in which he urged a judge to award SIPC power of attorney over Madoff’s U.K. unit. U.S. prosecutors probing Madoff urged U.S. District Judge Louis Stanton in New York to hold the power in escrow and not grant it to Picard. Stanton didn’t rule.

“These things happen almost daily,” Sheehan said, telling Stanton about the Gibraltar discovery and the possible action by French authorities. “We are seeking to recover assets.”

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