WASHINGTON, D.C. -- The victims of former hedge fund manager Bernie Madoff – the man convicted of perpetrating the largest Ponzi scheme in history – will receive a third disbursement of nearly $700 million as part of ongoing restitution payments, the Department of Justice announced Thursday.
Madoff, who served as chairman of Bernard L. Madoff Investment Securities LLC (BLMIS) from the 1960 until his arrest in December 2008, is currently serving a 150-year prison sentence for defrauding clients in 49 states and the District of Columbia, as well as 121 other countries, of as much as $64.8 billion.
To date, including the newly announce disbursement, the Department of Justice has returned or earmarked nearly $2.8 billion to Madoff’s victims. The DOJ estimates the victims have recovered 56.65 percent of their principal investments since Madoff’s arrest.
“While today’s distribution of funds is indeed significant in scope, we understand no amount of money could ever restore the damage done by Madoff as a result of his selfish behavior and unforgivable financial crimes,” said FBI Assistant Director William F. Sweeney, Jr. “To all of his many victims and their families, we realize this gesture may not provide the consolation necessary to remove the pain and suffering you have been brought to bear, but we are hopeful it provides some sense of relief, and we remain committed to achieve justice for all victims of inexcusable financial crimes.”
The DOJ estimates $4.05 billion will eventually be made available to victims – approximately $2.2 billion of which was collected from the estate of deceased Madoff investor Jeffry Picower. Another $1.7 billion was collected from Madoff’s longtime bank, JP Morgan Chase Bank N.A., as part of a deferred prosecution agreement.
The DOJ’s Madoff Victim Fund site says there are 183 victims of the scheme in Maryland and 176 in Virginia. A WUSA9 analysis of the complete Madoff victim list found an additional 46 victims in Washington, D.C.
If you or a family member lost money in an investment with Bernard L. Madoff Investment Securities LLC, WUSA9 would like to talk to you. Please contact investigative reporter Jordan Fischer at jfischer@wusa9.com or reach out to him on Facebook or Twitter at @JordanOnRecord.
