Ponzi Schemer, Bernie Madoff’s Trading Co. Sold at Auction

April 29, 2009

(ChattahBox)—While convicted Ponzi schemer, Bernie Madoff sits in jail, his once successful trading business, the talk of Wall Street, was sold this week at auction for a mere $25.5 million, just a fraction of its former worth. Madoff”s business interests are under the receivership of a court appointed trustee, tasked with winding down Madoff Investment Securities to compensate the victims of the Ponzi scheme.

Just three potential bidders showed up at the auction, with Castor Pollux, a Boston financial company, posting the winning bid. Castor Pollux will put up just $1 million at the closing, with the remainder of the purchase price paid out in deferred compensation through December 2013. How far Madoff Investment Securities has fallen. The company was once valued in its heyday at $1 billion.

Trustee Irving Picard said the terms of the deal, provide payouts to Madoff’s victims from future profits of the trading unit. Picard has recovered about $1 billion in assets to date, which will go to compensate the Ponzi scheme victims. Many of the defrauded investors of Madoff lost their life savings.

Madoff is scheduled for sentencing in June, when he is expected to receive a life sentence in prison.

Source


Comments

One Response to “Ponzi Schemer, Bernie Madoff’s Trading Co. Sold at Auction”

  1. Jay Patton on May 1st, 2009 3:04 pm

    Kick the judge in the Ass who protected this man from going bankrupt, When Michael Vick went to court for his bankrupt hearing he was forced to file, and pay for his transportation to court…….SUCH DUMB ASS JUDGES…who put the law in their hands? my opinion is THEY ARE NOT GOD…SO STOP TRYING TO BE HIM. WHEN YOU CAN’T GET IT RIGHT.

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