Securities

Recent Posts

The SEC, the Goldman Case and Critics
Posted on 27 Apr 2010 by Thomas O. Gorman

Sometimes the SEC is an aggressive market regulator and at other times it appears to be the gang that cannot shoot straight. In filing the Goldman case, discussed here , it not only brought the most significant enforcement action in years, but also responded... Read More

Supreme Court to Decide Whether to Hear Dispute Over Calculation of Madoff Victim Losses
Posted on 25 Jun 2012 by Jordan D. Maglich

The United States Supreme Court will meet last week to decide whether to hear the dispute over the calculation of victim losses stemming from Bernard Madoff's $65 billion Ponzi scheme. The court-appointed trustee, Irving Picard, has notched several... Read More

Fraud Professionals are the Real Winners in Madoff Case
Posted on 4 Apr 2011 by Mark Zimbelman

The fees paid to fraud professionals such as attorneys, consultants and accountants to clean up the mess that Bernie Madoff's famous Ponzi scheme left is projected to reach over $1 billion! According to the Washington Post the fees paid to such... Read More

This Week In Securities Litigation (Week ending June 30, 2012)
Posted on 2 Jul 2012 by Thomas O. Gorman

There were news reports this week that Ponzi king Bernard Madoff's brother, Peter, has agreed to plead guilty to criminal charges that will land him in jail for ten years. At the same time the NY AG settled a case against a the operator of Madoff... Read More

Madoff Losses Down from $65 Billion to $20 Billion
Posted on 12 Mar 2010 by Doug Cornelius

How do you value fraud? When the Madoff ponzi scheme collapsed the claim was that there was $65 billion in losses. That was the total dollar value on the account statements given to investors. Of course, that number was fictional because there were... Read More

‘Largest Single Forfeiture In U.S. History’ Announced In Madoff Lawsuit
Posted on 17 Dec 2010 by Timothy Raub

NEW YORK - (Mealey's) In what is being called the "largest single forfeiture in U.S. history," the U.S. attorney for the Southern District of New York and others announced Dec. 17 that they have reached a $7.2 billion settlement with the... Read More

Court Approves Second Distribution to Madoff Victims; Customers With Allowed Claims Set to Receive 33.54% Distribution
Posted on 28 Aug 2012 by Jordan D. Maglich

A New York federal bankruptcy judge approved a request by the trustee liquidating Bernard Madoff's now-defunct brokerage to make a second distribution to victims that could be as high as $2.4 billion. The ruling by United States District Judge Burton... Read More

Winners and Losers in the Madoff Case
Posted on 8 Mar 2011 by Mark Zimbelman

Irving Picard, the trustee in the Madoff case, was in court last week as a panel of three judges heard arguments on whether net winners in the Madoff case ought to be able to collect money from the government. Net winners are those who took more cash... Read More

Dealing with Losses From the Madoff Fraud
Posted on 4 Aug 2010 by Doug Cornelius

One of the many repercussions of the Madoff fraud is how to treat investors who had money in his Ponzi scheme. T here has been plenty written about how the trustee is treating the direct investors. He is only treating net cash. If you took out more... Read More

Latest Guilty Plea in Madoff Case Suggests Prosecutors Focusing on Peter Madoff
Posted on 8 Jun 2012 by Jordan D. Maglich

A former employee of Bernard Madoff's now defunct brokerage has pled guilty to federal charges related to his obstruction of the criminal investigation following the scheme's collapse. Craig Kugel, who oversaw the budget for the firm's market... Read More

"Officer, Arrest that Bank Account!" and Other Interesting Picower Settlement Details
Posted on 21 Dec 2010 by Kevin M. LaCroix

Even after two years, the Madoff scandal continues to fascinate. Following close on the heels of last week's news of Mark Madoff's tragic suicide is the absolutely arresting news of Jeffry Picower's estate's $7.2 billion settlement with... Read More

The Ghost of Scandals Past Continues to Haunt the SEC
Posted on 17 Jan 2012 by Thomas O. Gorman

The Madoff and Stanford debacles seems to never fade away for the Commission. Madoff of course is in prison but the litigation goes on. The failures of the Commission and others such as FINRA continue to linger. The Stanford case appears to be finally... Read More

Bernie Madoff News: NY Mets and JP Morgan Chase
Posted on 9 Feb 2011 by Mark Zimbelman

The past week has led to two new stories related to Bernie Madoff's massive Ponzi scheme. I'm going to provide a short blurb and a link to an article in case you want to read more. First, the NY Mets are being sued for about $1 billion... Read More

Madoff's Dealings with the Mets: Lookin' Shady to Me
Posted on 22 Mar 2011 by Mark Zimbelman

The New York Mets have made the news recently but, unfortunately for them, it's not because their spring season is boding well for the rest of the season. Instead, the Mets are finding serious opposition is coming from the trustee in the Madoff case... Read More

The Echoes of Madoff at the SEC
Posted on 29 Sep 2011 by Doug Cornelius

The Madoff scandal is one of the low points in the history of the Securities and Exchange Commission. Every Congressional hearing or SEC-basher inevitably uses the failure to catch Madoff as evidence of the ineffectiveness of the SEC. In a continuing... Read More