|
|
Congress Holds Hearing on H.R. 757, Ron Stein Testifies on Behalf of Victims
MESSAGE FROM THE NIAP PRESIDENT
I recently testified on behalf of victims before the U.S. House Financial Services Subcommittee on Capital Markets and Government Sponsored Enterprises. This hearing marked an important milestone in our advocacy and policy efforts congruent to H.R. 757. Below you’ll find a brief summary on the hearing and my testimony. For a full length summary, including comments of several of the Congressmen who understand our [...]
Sometimes, even in federal court, it is not whether you win or lose—it’s how you play the game. So when reporters challenged David Sheehan, the lead counsel for the Madoff bankruptcy trustee, about why he agreed Monday to a $162 million settlement on terms seemingly favorable to the owners of the New York Mets, he said: “This is a settlement for all the investors. It’s not whether we win or lose; it is about enhancing the recovery for investors.” More in the Daily Beast [...]
The Financial Industry Regulatory Authority (“FINRA”) just issued a press release: “FINRA Fines Citi International Financial $600,000 and Orders Restitution of $648,000 for Excessive Markups and Markdowns”(March 19, 2012), which heralds the settlement by Wall Street’s self-regulatory organization with Citi International Financial Services LLC, a subsidiary of Citigroup, Inc. What struck me most about FINRA’s million-dollar plus settlement was this solitary line in its press release: “In concluding this settlement, Citi International neither admitted nor denied the charges.” Hmmm, why does that refrain sound familiar? Where have we heard that same line before? See Forbes report [...]
Enforcement actions and fines by the Financial Industry Regulatory Authority Inc. jumped sharply last year, with the latter rising to $68 million, from $45 million in 2010, a new study shows. Much of that surge came from penalties for improper advertising. Finra filed 1,488 disciplinary actions last year, up from 1,310 cases in 2010, according to the Finra sanctions survey released last Monday by Sutherland Asbill & Brennan LLP. The number of brokers barred by Finra rose to 329 last year, from 288 in 2010.
Read more in Investment News [...]
The settlement between the owners of the Mets and the trustee representing the victims of the fraud orchestrated by Bernard L. Madoff ends a rancorous legal fight between two parties that were willing to dig in their heels and openly point fingers. But in a twist, the former adversaries are now on the same side. That is because the settlement calls for Fred Wilpon and Saul Katz, the Mets’ owners, to receive $178 million from the trustee for money they lost in some of their Madoff accounts. That money will be used to pay back the trustee to cover the $162 million in fictitious profits that Wilpon and Katz received in other accounts. See New York Times report [...]
The owners of the Mets scored a major legal victory — one that might well preserve their control of the team — when the trustee for the victims of Bernard L. Madoff’s vast fraud agreed to abandon hundreds of millions of dollars in claims against them. In a settlement reached Friday and announced Monday morning just before their federal trial was to begin, the owners agreed to pay the trustee $162 million, but that figure is likely to be reduced or wiped out altogether as the complex bankruptcy litigation involving Mr. Madoff’s investment operation plays out. Read New York Times report [...]
In a typical civil courtroom proceeding, if recorded testimony is lost or tampered with, one can expect the case to be dismissed and an investigation begun. It seems hard to imagine that the case would proceed in court without such missing evidence, especially if it could be interpreted as exculpatory and if a verdict rendered against a defendant could destroy his career and force him into bankruptcy. But, as I have previously written, the arbitration process forced on bankers and customers who have a dispute with a Wall Street firm is about as far as you can get from a court of law. Indeed, mandatory arbitration with the Financial Industry Regulatory Authority may be the single largest ongoing abdication of legal rights — affecting millions of people — that exists in this country. More on Bloomberg [...]
A veteran Wall Street investigative journalist, Henriques needed some of the correspondence for her 2010 book, The Wizard of Lies. But she wasn’t taken in by his manipulation and self-deception. You can read the best of those newly exposed letters and e-mails in Henriques’ story in the Apr. 9 issue of FORBES, which goes live at forbes.com at 6 p.m. on Wednesday Mar. 21. Meantime, you can watch my interview with Diana on her unusual relationship with the biggest thief in American history. More in Forbes [...]
Fred Wilpon and Saul Katz, the owners of the Mets, on Monday settled the lawsuit brought against them by Irving H. Picard, the trustee for the victims of Bernard L. Madoff’s Ponzi scheme, for $162 million. The agreement is binding. Picard had accused Wilpon and Katz of ignoring warnings that Madoff was running a fraud during their many years of investing with him. They had said they were unaware of any “red flags” and had charged that Picard fabricated and distorted evidence against them. More in the New York Times [...]
The owners of the New York Mets baseball team have reached a settlement in which they will pay $162 million to resolve litigation by the trustee seeking to recover funds for victims of Bernard Madoff’s fraud. Irving Picard, the court-appointed trustee for Mr. Madoff’s firm, had sued the Mets owners, Fred Wilpon and Saul Katz, as well as their families and business associates for more than $300 million they invested with Mr. Madoff, who pleaded guilty to fraud charges three years ago. Read more in the Wall Street [...]
|
|
