Bank Medici AG lost it’s banking license this past Thursday. The financial banking authority of Austria, the Financial Market Authority, took action because the bank’s starting capital mark dropped below the 5 million Euro requirement. Bank Medici claimed that it suffered huge losses due to Madoff’s massive Ponzi scheme. The bank noted on its website that it will still fight in the interest of its clients and make its decisions accordingly.
Read the full story here.
Tags: madoff, ponzi scheme, protect investments, recession, securities fraud, stock fraud, stock loss, sue broker
Posted in Business Disputes, Consumer Protection, International, Scams and Schemes, Securities Related Issues | No Comments »
The twist is not soo much that he got caught with his hand in the proverbial cookie jar.
Mark Bloom, the former manager of the North Hills Management hedge fund based out of New York, was able to start and operate North Hills separately while he was working for another money manager (which, by the way, is also involved in a $500+ million fraud complaint). Bloom claims that he will be using a public defender to defend the stock fraud charges against him. After one of the biggest investors in North Hills Management demanded redemptions and Bloom evaded those request, the investor, a charity, sued because the charity believed that Bloom was using hedge fund money for personal conspicuous consumption.
For more on the story, click here.
Tags: madoff, ponzi scheme, protect investments, recession, securities fraud, stock fraud, stock loss, sue broker
Posted in Business Disputes, Consumer Protection, International, Scams and Schemes, Securities Related Issues | No Comments »
Now more ‘feeder fund’ investors are suing Madoff along with others. These two feeder funds are looking to recoup approximately $3.5 billion in alleged losses. Kingate Global Fund Ltd. and Kingate Euro Fund Ltd. filed their lawsuit in US District Court in Manhattan this week.
The lawsuit alleges that “[r]eportedly, over $3 billion was invested in Kingate Global and Kingate Euro, and virtually all of those moneys were funneled to Madoff.” A few months ago these two Kingate funds were sued by the trustee of Madoff’s investment company. The trusteee, Irving Picard sued to recover $255 million withdrawn from Madoff’s firm between October and November 2008. Picard’s lawsuit named fund manager Kingate Management Ltd.; Grosso’s FIM Advisers LLP, which acted as a consultant to the funds; and others as defendants.
The feeder fund lawsuit is an attempt to deflect the allegations made by the Madoff investment firm trustee Irving Picard that these two funds illegally profited from their association with Madoff.
The feeder funds will try to defend by saying they were victims too.
Time will tell, but if these money managers are half as astute as they (used to) like the public to believe I am not sure they will make a strong case.
Tags: madoff, ponzi scheme, protect investments, securities fraud, stock fraud, stock loss, sue broker
Posted in Business Disputes, Scams and Schemes, Securities Related Issues | No Comments »
The Fairfield Greenwich Group is the latest target of the trustee’s clawback lawsuits. This time he is looking to get back $3.2 billion from the fund which was one of the biggest investors in the Madoff ponzi with more than $7 billion.
http://www.nytimes.com/2009/05/19/business/19madoff.html?ref=business
Tags: ponzi scheme, stock fraud, stock loss, sue broker
Posted in Business Disputes, Consumer Protection, Scams and Schemes, Securities Related Issues | No Comments »
Well, another supposedly strong and trustworthy company is being revealed as a ponzi scheme. This one ‘only’ involved about $8 billion and she was ‘only’ indicted for conspiracy and obstruction of justice. Is it just me or does it seem like the ones you should be able to trust in the financial markets you can’t trust.
Tags: ponzi scheme, protect investments, recession, securities fraud, stock fraud, stock loss, sue broker
Posted in Business Disputes, Consumer Protection, Scams and Schemes, Securities Related Issues | No Comments »
The SEC charged Pang with structuring charges for his scheme to make many transactions just below federal reporting requirements to gain access to huge sums of money without telling the government. Apparently kept the cash at his house until he bought gold bars with it (really!). The SEC is also alleging that he ran a huge ponzi scheme.
Tags: madoff, ponzi scheme, protect investments, recession, securities fraud, stock fraud, stock loss, sue broker
Posted in Business Disputes, Consumer Protection, Scams and Schemes, Securities Related Issues | No Comments »
All rights reseved by : The Savage Law Firm, Copyright 2009
