Anybody get screwed by Madoff?

I agree, most of those caught up were blindly following $$$,= greed, if it is to good to be true, one has to investigate, and if you are afraid to know it is the investors responsibility. And whether it is political connections, friends, etc, they all had a hand in it, and I would expect more to be identified as this investigation continues.

 

"All the big players on the street were on to his game, most avoided him, that's why he started scamming in Europe. You are correct about the SEC not having the balls to investigate, but it was due to Maddof being politically connected, not because the competition was out to destroy him.... thats the rub, the guy was a bad apple, and MANY knew about it, but did nothing."

Bernie brought home the Bacon!!!

I didn't read this thread much, only the first few posts.. but have any of you seen who his daughter is married to?!!!

I didn't read this thread much, only the first few posts.. but have any of you seen who his daughter is married to?!!!

 

 

Do you mean who his niece is married to?

Do you mean who his niece is married to?

http://www.economicpolicyjournal.com/2008/...son-in-law.html

http://www.newyorksocialdiary.com/nysd/socialdiary

 

They have more references to him in the Social section, including the tidbit about his son who had been separated for a year and the divorce papers that were filed the day of the 'bad news'. Including the house that was transferred to her (in Fl) and how anything she gets won't be subject to collection by the feds/ investors. Gotta love Florida.

http://www.economicpolicyjournal.com/2008/...son-in-law.html

 

 

Yeah, that is who I was referring too. (she is his niece, not his daughter as the article states)

 

When I read that, well I thought it was "interesting"

In this week’s eSkeptic, we present an insider’s look at Ponzi schemes by an expert on human gullibility who not only just wrote a book on the subject, but with considerable irony just lost a good chunk of his retirement savings in the Madoff Ponzi scheme. This is one of the most insightful articles we’ve ever published that puts the lie to the belief that intelligent and educated skeptics and scientists can’t be fooled. Read on and be amazed … and then watch the television special on “The Art of the Con” that features Michael Shermer’s look at how con games work, and how he pulled off one of the most famous cons (called “the pigeon drop”) on a busy street corner in Los Angeles.

 

http://www.skeptic.com/eskeptic/08-12-23.html#feature

this is turning into market-ticker.net. what a depressing topic to discuss.

this is turning into market-ticker.net. what a depressing topic to discuss.

 

 

True, its not such an exciting time for some right now. I met two people last week that lost $20 and $8 million to this character. Sickening.

My parents' retired neighbor, who trusted this schmuck for around 30 years, was absolutely, 100%, wiped out... They have put one of their last remaining assets, their home, up for sale to cover expenses from here on out (of course this has lost 30+% of its value over the last year too).

 

It is very easy to say "Well, they were stupid to put all their eggs in one basket", but if you heard the story behind why their money was there I'm sure you would have a little more sympathy for them.

My parents' retired neighbor, who trusted this schmuck for around 30 years, was absolutely, 100%, wiped out... They have put one of their last remaining assets, their home, up for sale to cover expenses from here on out (of course this has lost 30+% of its value over the last year too)..

 

 

Where is the house located?

Where is the house located?

 

 

Its a condo actually... The Gables Club. I haven't followed the market too closely since I moved, but from what I can tell these buildings have fared much better than the rest as they seem to act as the go to spot for all of the folks that lived in the Gables / Grove area who's kids left for college.

My parents' retired neighbor, who trusted this schmuck for around 30 years, was absolutely, 100%, wiped out... They have put one of their last remaining assets, their home, up for sale to cover expenses from here on out (of course this has lost 30+% of its value over the last year too).

 

It is very easy to say "Well, they were stupid to put all their eggs in one basket", but if you heard the story behind why their money was there I'm sure you would have a little more sympathy for them.

 

Tell us the story please.

Tell us the story please.

 

Read what I posted earlier.

 

http://www.skeptic.com/eskeptic/08-12-23.html#feature

Its a condo actually... The Gables Club. I haven't followed the market too closely since I moved, but from what I can tell these buildings have fared much better than the rest as they seem to act as the go to spot for all of the folks that lived in the Gables / Grove area who's kids left for college.

 

 

Gables club and the surrounding areas of the Gables aren't hurt anywhere near what the rest of south florida is getting hit like, there are more units for sale than normal though. If you were affluent in this area and like you said had the kids grown up this is where you moved to, these aren't your "usual" condos. I can't even imagine being of that age and that stature in life only to have the rug pulled out from under you. I guess the accumulation of that kind of wealth perhaps makes you lax about how and who you invest it with?!

Tell us the story please.

 

It isn't all too interesting or scandalous. It just involves a couple that invested with Madoff in the fund's early years and a widow trusting him with everything after her husband passed away. If you put yourself in her shoes it probably wouldn't seem like to bad of an idea... Leave your good pal Bernie with 10-15 $mil and live off of a portion of the 10%-12% interest while reinvesting the rest for the kids. I can't really elaborate much because I just heard this story over dinner, but that is the general background of what happened.

 

Gables club and the surrounding areas of the Gables aren't hurt anywhere near what the rest of south florida is getting hit like, there are more units for sale than normal though.

I was just guessing the 30% number off the top of my head... From what I have heard the recent sales are closing in the $750 / sf range as opposed to the $1,000+ /sf they were going for at the peak of the market. The buildings are very well occupied and I don't think many more distressed seller's will show up so this project should keep its head above water through the whole mess.

Forgive my ignorance, but is there anyway one could be insured in such cases? Of fraud/bankruptcy etc?

I can't believe this guy!

http://www.crainsnewyork.com/apps/pbcs.dll.../FREE/901079996

Here is the list of Madoff's clients (victims)... 163 pages long

 

http://image.guardian.co.uk/sys-files/Busi...madoff_list.pdf

Yep, Another major fraud case coming out. Allen Stanford... around $8 Billion.

 

Snippet of article

Stanford is accused of cheating some 50,000 customers out of $8 billion dollars. Thursday's action comes after raids Tuesday of his financial empire in Houston, Memphis, and Tupelo, Mississippi.

 

The Securities Exchange Commission alleges Stanford ran a fraud promising investors impossible returns, much like Bernard Madoff's $50 billion alleged Ponzi scheme.

 

The fallout from Stanford's dealings are felt overseas. Authorities in five Latin American countries have taken action against Stanford businesses.

 

http://www.cnbc.com/id/29286397

 

I wonder how many more will be exposed?

When I get super wealthy, I will be watching it like a hawk. In the old days, it took years to build a big fortune, but it also was tougher to lose it.

 

Today, the benefit of today's economy is you can make a huge fortune in a relatively short amount of time (or could, right now, I don't know). They call it an "instapreneur."

 

However, the bad thing is you can also lose said fortune far more quickly as well because the fortunes today are not held strictly in things like chemicals, steel, etc...but the rather volatile financial markets.

 

So if you make a huge fortune today, it behooves you to watch it like a hawk.

We need more people like this in our country.

 

A 90 year old loses 700k and goes back to work!

 

http://cosmos.bcst.yahoo.com/up/player/pop...&ch=4226713

"only" $700k? I guess I was under the impression Madoff only dealt with the upper end of the spectrum, well into the 7 figure range for the portfolios he would oversee.

 

 

Forgive my ignorance, but is there anyway one could be insured in such cases? Of fraud/bankruptcy etc?

Unfortunately there is no way to actually have a policy on money that you have invested in the markets. It has been explored in the past and would never work. The possbility of loss to an insurer is too high to actuarily calculate into a 'maturity to expectancy' scale for insurer profitability... Policy lapse rate would be too low and especially with this Madoff shit, no one would be willing to underwrite an investment fund...