Bloomberg News by TOM LIDDY - January 31, 2009
Bernie Madoff's lawyer served up a sweet deal for a convicted fraudster - who moonlights as a chef - keeping him free on bail so he can help cater the Academy Awards. Vincent Montagna, who is represented by Ira Sorkin, pleaded guilty to defrauding his hedge-fund investors of $10 million in 2006, but has been out on bail ever since. In December, Montagna, 36, who freelances for celebrity chef Wolfgang Puck, was sentenced to just a third of the nine-year maximum and is being allowed to begin his sentence after he caters an event for the Oscars.
Madoff's banks to hand over $535M in assets
THE ASSOCIATED PRESS - January 30, 2009
JPMorgan Chase & Co. and Bank of New York Mellon Corp. agreed to transfer a combined $534.9 million from accounts owned by Bernard Madoff's investment firm to a trustee overseeing the liquidation of the company's assets. Madoff is accused of running a $50 billion Ponzi scheme. JPMorgan agreed to transfer $233.5 million it held in an account in the name of Madoff's investment firm, Bernard L. Madoff Investment Securities LLC, to Irving Picard, who is overseeing the liquidation of the company. BNY Mellon is set to transfer about $301.4 million from an account at its bank, according to court documents filed Thursday. The transfers will be completed by Feb. 6, according to the documents. The money will likely be used to help settle claims and repay allegedly defrauded investors.
In late December, BNY Mellon agreed to transfer $28.1 million to Picard to help cover expenses tied to the liquidation of the company. The $28.1 million transferred, though, will not affect any potential recovery for investors. Another $883,000 was transferred by BNY Mellon earlier in December to cover expenses as well. Madoff, 70, a former Nasdaq stock market chairman, is accused of running a scheme that paid fictitious returns to certain investors out of the principal received from others. Madoff remains under house arrest in his apartment in New York as part of an earlier bail agreement.