Friday, December 5, 2014

Anniversary Note: A Madoff Letter to Judge Swain

To: The Honorable Laura Taylor Swain
From: Bernard Madoff
re: Dec 8 Sentencing

Dear Judge Swain:

We all know that we are days away from the 6 year anniversary of my "coming out" and acknowledging being the ring leader of a scheme that swiped serious bucks from a bunch of people. The fact that the sentencing date for several members of my staff is falling 3 days shy of that 6 year anniversary is likely a coincidence, but its more than likely this milestone date will influence your decision as to the severity of whatever prison sentence(s) that you will be handing down this coming Monday.

That said, I am compelled to appeal to your compassion and to remind you of my recent letter in which I repeated that the only people who were knowingly complicit in the scheme was Dimes Dipascali. It would seem obvious that among others, Nan Bongiorno (whose picture on the above left required a wide-angle lens) would not be a good candidate for a lengthy (or even a short ) stay in any prison, if only because it would cost the government thousands of dollars to retrofit any federal facility to facilitate her needs.

Aside from the fact that Nan couldn't possibly fit into a traditional, prison cell bunk bed, whatever venue she would be sent to would certainly have to reconfigure the commodes in order to accommodate her.  Otherwise, her attorneys will have plenty of ammo to appeal any sentence you hand down on the grounds of 'cruel and unusual punishment' were "Nan" to have to serve time. And, let's not forget the additional costs to feed her. As you can easily see, this is a woman with an outsized appetite and trust me when I tell you that she could not possibly subsist on the menu that is typically available to inmates at most Federal 'camps'.

The irony is that Dimes is still dancing around thanks to his 'cooperation'...Based on my own knowledge of sociopathy, the fact that his "testimony" was the principal factor that brought these defendants to your court room is merely a classic example of how crazy the world is.

With those thoughts, I extend to you warm season's greetings.

Butner Camp

Friday, November 21, 2014

Best Laugh of Day: CNBC Kernen and Sorkin Square Off : SEC Staffer Personal Trading Accounts

So far, the best laugh of the day comes courtesy of CNBC aka "Stock Market's Cartoon Channel" re exchange between Andrew Sorkin and Joe Kernen on the topic of whether SEC staffers should continue to be allowed to trade in their "PAs" (personal trading account), when considering their unique access to inside information:
 Sorkin: "So, you think that prohibiting SEC employees from trading for their personal accounts is a good or a bad idea?"

Kernen: "Hey, if we (CNBC employees) can't, and if members of Congress are now subject to new rules that prohibit their trading in their PAs, I don't think SEC staffers should be allowed to, either."

Sorkin: "Do you think if the SEC introduces rules that prohibit that type of activity, it will impact the caliber of folks that they hire?"

Kernan: "The caliber of folks that work there?? It couldn't get any worse, can it?"

Enough said on that topic..

Friday, November 14, 2014

More Millions for Madoff Trustee: What About The Victims Waiting For Payment?

...this comes from the WSJ:
 I'll preface this by posing the rhetorical question to Irv P. on behalf of those who are still communicating with me: "WHEN IS THE NEXT DISTRIBUTION TO CLAIMANTS GOING TO BE RELEASED?"

A Manhattan bankruptcy judge will consider a settlement Tuesday that raises millions of dollars for Bernard Madoff‘s cheated investors.

Under the deal, real-estate developer Edward Blumenfeld, as well as his family and company, will return $32.75 million in cash that they received from investing with Mr. Madoff before the 2008 collapse of his Ponzi scheme.
They’ll also surrender $29.35 million in claims against Mr. Madoff’s investment firm.

The settlement, the product of multiple mediation sessions, resolves litigation that trustee Irving Picard brought in December 2010 to recover $88 million that Mr. Blumenfeld and the other defendants received from Mr. Madoff in the six years before his arrest, including $27 million in false profits. The lawsuit also sought to knock out the claims the defendants brought against Mr. Madoff’s firm.

Mr. Blumenfeld and his fellow defendants disputed the lawsuit and denied that they received the payments from Mr. Madoff’s investment firm with any knowledge or suspicion of fraud.
Mr. Picard, who is overseeing the liquidation of Mr. Madoff’s firm, says the deal will avoid the need for costly and time-consuming litigation.

Mr. Picard has recovered or struck deals to recover more than $9.8 billion of the $17.3 billion in principal that Mr. Madoff was convicted of stealing from investors. More than half of the recovered funds have been returned to investors.

Tuesday, October 7, 2014

Libor Scandal Scoop..Happy Anniversary To...From Bernie Madoff

First, I need to extend kudos to my gal pal Erin Arvedlund for once again being the first to offer the most in-depth look at yet another global banking scandal.  You don't need to look far to find it..just scroll to the left!!

Erin Arvedlund
Erin's book, which is scheduled to hit the store shelves shortly (and one that I have a first edition of next to my nightstand) is head and shoulders above all of the news reports that are only now finding their way in large block trades to the front pages of the NY Times and Wall Street Journal. Were it not for Erin, this story wouldn't make it past the New York Post's Page 6. Trust me on this!

Speaking of Page 6, extending anniversary greetings to my second favorite author. I liken his style to the likes of Norb Vonnegut, David Baldacci and Scott Turow. Today apparently marks the 12th anniversary of events that led to his penning a fascinating read.

Saturday, September 13, 2014

Defending Andrew Madoff's $16million estate-Dead Men Tell No Lies

Regarding the "just revealed" news that my recently-deceased son Andrew Madoff left behind an estate valued at $16 million (give or take), let me say this about that:

1. One could argue whether the estate, approximately 1/3 of which represents the value of residences he acquired courtesy of personal loans that I extended to him in the year preceding my firm's collapse, should be subject to "claw back" efforts by Irv Picard.

2. One could further debate whether the additional $11 million in "personal property" was attained via smartly investing the income he made while working for my brokerage firm. Yes, that firm was not so profitable during the 5-7 years leading up to its closing, leading some to question how he could have earned so much from his job if the firm was not really very successful, and certainly not to the extent that his out-sized compensation could be justified.

3. What many might further wonder about is how Irv Picard and Co have never been able to claw back the millions of dollars that his account at my firm grew to after an initial deposit of a few hundred thousand that I put into that account.

4. Did his side investment in a sport fishing equipment company produce outsized gains, or just some Cod? Did his foray into other private investments produce Icahn-style returns? 

4. Because Andrew insisted, up until the day he died, that I was effectively dead to him because of the shame I brought upon my house, I was still his father. And, as his father, I think its unfair to speak poorly of the deceased.

5. More important, he's leaving behind a hottie girl friend who is surely entitled to $50k a month for her living expenses. After all, she stayed by his side throughout the past 6 years without even having an understanding of what she might inherit in the event of his death. And let's face it, it costs alot of money to have a nice lifestyle these days.

6. And let's not forget his wife, who filed for divorce the day I turned myself in (thanks to the the advice of some shrewd lawyers) and who since withdrew that motion in February of this year, is surely entitled to be compensated for the embarrassment she suffered from, as should the two daughters Andrew left behind. Nobody should have to work too hard, and nobody should have to subsist on a few measly shekels, and certainly, everyone should have something to look forward to as a cushion.  

Sunday, September 7, 2014

Bernie Madoff's Next Book: Open Secret

Talk about global financial schemes!...There's only a few real investigative journalists who know how to peel back the onion and deliver a prose that is worthy of a Pulitzer. Erin Arvedlund, the gal who pushed out the only book about me that was based on old-fashioned research has done it again..

For those who haven't had the 'insider info' and advance look, below review of Arvedlund's latest, due out Sept 25, hits the bulls eye.

“Gaming the LIBOR—that is, fixing the price of money—had become just that: a game. Playing it was the price of admission to a club of men who socialized together, skied in Europe courtesy of brokers and expense accounts, and reaped million-dollar bonuses.”

In the midst of the financial crisis of 2008, rumors swirled that a sinister scandal was brewing deep in the heart of London. Some suspected that behind closed doors, a group of chummy young bankers had been cheating the system through interest rate machinations. But with most eyes focused on the crisis rippling through Wall Street and the rest of the world, the story remained an “open secret” among competitors.

Soon enough, the scandal became public and dozens of bankers and their bosses were caught red-handed. Several major banks and hedge funds were manipulating and misreporting their daily submission of the London Interbank Offered Rate, better known as the LIBOR. As the main interest rate that pulses through the banking community, the LIBOR was supposed to represent the average rate banks charge each other for loans, effectively setting short-term interest rates around the world for trillions of dollars in financial contracts.
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