{"id":3192,"date":"2008-12-16T11:07:55","date_gmt":"2008-12-16T17:07:55","guid":{"rendered":"http:\/\/www.sequence-inc.com\/fraudfiles\/?p=3192"},"modified":"2013-02-25T15:55:01","modified_gmt":"2013-02-25T21:55:01","slug":"bernard-madoff-ponzi-scheme","status":"publish","type":"post","link":"https:\/\/www.sequenceinc.com\/fraudfiles\/bernard-madoff-ponzi-scheme\/","title":{"rendered":"Bernard Madoff Ponzi Scheme Investor Losses: Recovery?"},"content":{"rendered":"<p><img decoding=\"async\" class=\"lazyload alignright\" alt=\"\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27202%27%20height%3D%27157%27%20viewBox%3D%270%200%20202%20157%27%3E%3Crect%20width%3D%27202%27%20height%3D%27157%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"http:\/\/www.sequence-inc.com\/images\/logos\/onthemoneytracy.gif\" width=\"202\" height=\"157\" \/>If you watch television, read the newspaper, or surf news sites, you&#8217;re sure to have hears about the $50 billion Ponzi scheme masterminded by Bernard Madoff.<\/p>\n<p>The $50 billion in losses is merely an estimate. Some experts (like me) think that the actual losses will be much higher.<\/p>\n<p>Stockbroker Fraud Blog <a href=\"http:\/\/www.stockbrokerfraudblog.com\/2008\/12\/madoff_victims_may_have_numero_1.html\">discusses several options victims have<\/a> for recovery:<\/p>\n<ul>\n<li>Securities Industry Protection Corporation (SIPC) could provide up to $500,000 per account. <em>(Although I think the customers of the &#8220;investment advisory&#8221; business which is allegedly where the Ponzi scheme occurred <a href=\"http:\/\/online.wsj.com\/article\/SB122912538713303083.html\">won&#8217;t qualify<\/a>. Only regular brokerage accounts would qualify. And fraud doesn&#8217;t qualify either, only unauthorized trading or theft. It will be interesting to see how this one pans out.)<!--more--><\/em><\/li>\n<li>Victims could go after Madoff personally, seeking to get their hands on his personal or company assets.<\/li>\n<li>There may be third parties that could be liable to the victims.<\/li>\n<li>Victims might be able to get some money back from the IRS for taxes paid on phantom capital gains in prior years. There&#8217;s also a possibility of claiming a theft loss on tax returns.<\/li>\n<\/ul>\n<p>So there is some potential recovery for victims, but that wouldn&#8217;t make me feel all that good, however. Investors are sure to lose money no matter how you slice it. Now they&#8217;re waiting to see how much they will lose.<\/p>\n<p>I talked about this fraud and Ponzi schemes in general on CNBC&#8217;s On the Money last night. <a href=\"http:\/\/www.sequenceinc.com\/bernard-madoff-and-ponzi-schemes\/\">Check out the videos here.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you watch television, read the newspaper, or surf news sites, you&#8217;re sure to have hears about the $50 billion Ponzi scheme masterminded by Bernard Madoff. The $50 billion in losses is merely an estimate. Some experts (like me) think [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1186,822],"tags":[1188,1187,1200,1201,1199],"class_list":["post-3192","post","type-post","status-publish","format-standard","hentry","category-ponzi-schemes","category-videos","tag-bernard-madoff","tag-bernie-madoff","tag-carmen-wong-ulrich","tag-cnbc","tag-on-the-money"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p6Z0e-Pu","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/posts\/3192","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/comments?post=3192"}],"version-history":[{"count":0,"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/posts\/3192\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/media?parent=3192"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/categories?post=3192"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sequenceinc.com\/fraudfiles\/wp-json\/wp\/v2\/tags?post=3192"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}