The Madoff fund appears to have run dry
The $50 billion investment fund fraud which has come to light on Wall Street may well end up costing investors more than many had initially thought. The SEC in America has been investigating the fund and it looks as though the business has been running insolvent for a number of years. It would also appear there is little left of the $50 billion invested into the scheme and while $17 billion was apparently under management by Madoff investment securities at the start of the year these funds seem to have disappeared.
The SEC has confirmed that when the complaint was issued against Mr Madoff it was believed he had between $200 million and $300 million which he was looking to distribute to friends, family and clients. It would appear he had been possibly tipped off prior to his arrest and was looking to dispose of assets in the final hours. Mr Madoff's sons have now been brought into the equation and while they worked for their father they are believed to be the party who blew the whistle on the fraud.
Quite how the scheme was able to run for a number of years undetected is a mystery although there appears to be much more to this story than meets the eye.
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