Echenique Gordillo, Rodrigo, 206
Echevarria, Manuel, 178
E.F. Hutton & Company, 72
Ellis, Ronald, 237–39
Engler, Mendel “Mike,” 66–69, 84, 92, 137, 231, 334–35
Engler & Budd, 66–67
Enron, 122
“Equitable Treatment of Investors Act,” 324–25
Erko company, 167
Euro-Dutch Management, 171
Europe, 9, 119, 172, 239, 299–300
banks, 150, 211–12, 320, 330–31
hedge funds, 136, 166–71, 331
Eurovaleur, 167
Everlast Sporting Goods, 30–31
Fairfield, Conn., public pension funds, 130
Fairfield Greenwich Group, 1–3, 89, 104–10, 117, 119, 132, 134, 146–47, 166, 171, 175, 319
audits of, 149
crisis of 2008
and, 187–88, 190–93, 195–96, 199–202, 205
fees of, 109
lawsuits vs., 257
Madoff losses disclosed, 211
redemptions by, 146–51, 161
Risk Assessment Committee, 193
SEC investigations and, 153, 157–58
Fairfield International fund, 90
Fairfield Sentry fund, 3, 90, 106–7, 120, 147, 160, 173–74, 176, 201–201, 235, 257
withdrawals by, 187–88, 190–92, 195, 200–202, 204–5
Fairfield Sigma funds, 174
Fannie Mae, 20, 193–94, 206
Federal Bureau of Investigation (FBI), 10, 12–17, 20, 208, 223–24, 241, 245, 248, 250, 255, 259, 309–10, 315, 329
Federal Deposit Insurance Corporation (FDIC), 196, 219
Federal Reserve, 172, 186–87, 194, 196, 228
Federal Tort Claims Act, 303–4
feeder funds, 58, 92
chains of, 171, 175
crisis of 2008 and, 197
derivatives and, 173–75
early suspicions of Madoff and, 148–51, 177, 185
European, 166–71
fees and commissions, 171
investigations of, 299–300
lawsuits vs., 257–58, 295–97, 300, 313, 318, 320
Madoff liquidation and, 211–12, 231–32, 235, 243, 305, 325–26
Madoff on, 333
rates of return and, 176
withdrawals of 2008, 190
Feinberg, Jay, 3–4
Fidelity, 106, 221, 296
Fifth Avenue Synagogue, 111, 137
financial crisis of 2008, xxi, 4–5, 20–21, 177–78, 193–209, 241, 266–67
financial panic of 1907, 174
Financial World, 82
FINRA (Financial Industry Regulatory Authority), 14, 17, 125, 162–63, 229
Fiserv Inc, 127
Fitzmaurice, Thomas, 276
Fix, Charles, 169
Flumenbaum, Martin, 9–11, 283–84, 322
Forbes, 133
foreign currency, xxiii, 68, 200, 335
foreign securities, 68, 82
Fortis, 175
401(k)s, 126, 343
Foxman, Abraham, 213
Foxton, William, 243–44
France, 74–75, 84, 212, 242, 245, 299–300
Frangipane, Noelle, 270
fraudulent conveyances, 256
Freddie Mac, 20, 193–94, 206
Friehling, David, 254–55, 301, 309, 326
Friehling & Horowitz, 89, 149–50, 254–55
Frisch, Andrew, 310
front-running, 123, 143–44, 146, 154, 156–57, 166, 272
Gabelli, Mario, 130
Gabriel fund, 111–12
Gateway fund, 76, 85, 94, 117, 123
Geffen, David, 212
General Accounting Office (GAO), 121, 220
Genevalor, Benbassat & Cie, 168
Gibraltar, 1, 168, 245
Gibraltar Securities, 31, 35–36
Gift of Life Bone Marrow Foundation, 3–4
Glantz, Richard, 95, 98
Goldman Sachs, xxiii, 118, 133, 302, 336
Goldstein, Allan, 267–68
Goodman, Jerry, 52
Gorenstein, Gabriel W., 226, 238
Great Britain, 212, 242, 245
Serious Fraud Office (SFO), 239, 299
Serious Organised Crime Agency (SOCA), 203
Great Depression, 30, 32, 62, 232
Greenberg, Alan C., 186
Grosso, Carlo, 130, 169, 178, 257
Hadassah, 214, 277, 288, 320, 341
Halio, Robert, 232
Halio, Stephanie, 232
Halliburton, 301
Halpern & Mantovani, 89
Harley fund, 169
Harris, J. Ira, 4
Hebrew University of Jerusalem, 257
hedge funds, xxiv. See also feeder funds; and specific banks, funds, and managers
Bayou scandal and, 147–49
crisis of 2008 and, 193
derivatives and, 172–77
fee structure, 104, 147
growth of, 125–29, 171–72
insider trading and, 301
lack of regulation of, 121, 126–27, 172–73, 296
lawsuits vs., 295–96, 319
Madoff and, 104–13, 136, 144–46, 150, 184, 211, 214, 216, 336–37
offshore, 87–88, 90–91, 110, 117, 130, 169, 185, 201
pension funds and, 129–32
Picard lawsuit vs., 318–19
suspicions about Madoff in, 117–25, 128–29, 138, 140, 142–43, 157
hedging, 84–85, 122, 145, 190
institutional trading and, 83
options trading and, 76
Herald funds, 169, 171, 197, 202, 243
Hirschhorn, Carla, 276
Hofstra University, 178
Hong Kong, 212
Hooper, Catherine, 284, 323
Horowitz, Jerome, 51, 149, 254
Horwitz, Daniel J., 15–16, 18–20, 224
housing bubble, 126, 173, 176, 181, 268. See also mortgage default crisis
HSBC, 175, 185, 192, 211–12, 318–19
Igoin, Albert, 65, 74–75, 170
inflation, 52–54, 78, 130
Infovaleur, 167–68
insider trading, 73, 79, 111, 133, 143, 156, 301
Institute for Jewish Research, 213
insurance companies, 177, 266
interest rates, 52–53, 172–73
Internal Revenue Service (IRS), 37, 64, 178–79, 329
International Olympic Committee, 212
IPO market, 27
IRAs, 130–31, 343
Roth, 172
self-directed, 126–27
Israel, 168, 257
Israel, Samuel, III, 147–48
Ivy Asset Management, 127–29, 138
Jaffe, Robert “Bob,” 4, 72–73, 137, 184, 320
Jewish charities, 4, 60, 88–89, 114, 191–92, 214–15
Jewish Community Foundation of Los Angeles, 214
Joel, Martin J., Jr, 43, 57–58, 293, 314
Joel, Zuchs & Company, 43
Johnson, William F., 15–16, 224
Jones, Alfred W., 104
JPMorgan Chase, xxiii, 186–87, 199, 201–4
derivatives and, 174–75, 177
lawsuit vs., 318
Madoff slush fund and, 146, 149–51, 157, 161, 177, 207
Justice Department, 16, 218, 241, 259, 301, 304
Kaiser Steel, 25
Kang, B. J., 12–15
Katzenberg, Jeffrey, 212
Kay Windsor Inc, 61–62
Kelly, Keith, 250
Khuzami, Rob, 302
King, Larry, 215
King Arthur Account, 94–98, 101
Kingate funds, 1, 130, 132, 166, 169, 178, 201, 257
Kohn, Erwin, 166
Kohn, Sonja Blau, 1, 166–70, 175, 197, 299, 320–21
Konigsberg, Paul, 69
Konigsberg Wolf, 69, 89
Korea, 31, 171, 212
Kotz,
H. David, 228, 270–72, 302–3
Koufax, Sandy, 212
Kugel, David, 314
Kurland, Lola, 95–97
labor union pension funds, 127–29, 171–72, 198, 215
Lambeth Company, 58–59
Lamore, Peter, 139–40, 143–46, 156–57, 163–65
Lankler, Andrew, 255
Latin America, 171, 174
Lautenberg, Frank, 217, 293–95
Laventhol & Horwath, 64
Lawson, Ernest, 317
Lax & Nevill, 267–68
“legitimate expectations,” 262
Lehman Brothers, 20, 33, 186, 192, 194–95, 197, 206, 221, 228, 234, 256
Leukemia for Chickens (Roger Madoff), 135
Levy, Frank, 179
Levy, Norman F., 61–63, 65, 68, 73–74, 85, 92, 100–101, 148, 179, 305, 335, 340
Levy family foundations, 100–101, 211, 340
Lichtenstein, Roy, 189, 245
Lieberbaum, Michael, 35, 62
Lieberbaum, Sheldon, 62
Lifland, Burton R., 239–40, 306–9
Lipkin, Carole, 43, 314
Lipkin, Eric, 314
Lipkin, Irwin, 43, 314
Lissauer, Sharon, 276
Litt, Marc, 18, 19, 224, 226, 230, 237–38, 248–52, 297–99
Littaye, Patrick, 170–71, 178, 300
Littlestone Associates, 108
Loebs, 33
London, Martin, 9
London bankruptcy court, 318
London Stock Exchange, 71
Lux-Alpha funds, 170
Luxembourg, 212, 245, 300
Lynch, Peter, 60, 130
Madoff, Andrew (son), 47, 69, 82–83, 136, 152, 178, 193, 276
accusations vs., 281–91
brother’s suicide and, 321–24
divorce of, 284
father’s arrest and, 5–13, 19, 226, 230, 274, 324
illness of, 3, 135, 285
lawsuits vs., 285–87, 294–95, 321, 324
loans to, 161, 179, 198
Madoff, Bernard L. See also Bernard L. Madoff Investment Securities; Madoff Securities International, Ltd.; Madoff victims; and specific agencies, funds, and individuals
arbitrage and, 38–41, 52
arrest of, 12–16, 19–22, 209, 211, 216–17, 222
assets of, frozen and sold, 230, 238, 245, 305, 316–18
audits of, 149–50, 254–55
automation and, 42–49, 103
Avellino & Bienes and, 50–56, 77–78, 102
bail and, 18–20, 224–27, 237–39, 252
bankruptcy problems exposed by arrest of, 327
Bayou scandal and, 147–49
Bear Stearns and, 186–87
beginning of fraud by, xxiii, 29–30, 41, 81, 85–86, 90–94, 113, 225, 251–52, 271, 274, 298, 333–35
brokerage firm founded by, and OTC market, 24–27, 34–36
cash crisis of 1962 and borrowing by, 24–30, 225, 335
cash crisis of 1987 and, xxiii, 84–87, 90–91, 335–36
cash crisis of 1992 and, 94–95
cash crisis of 2005–6 and near exposure of, 146–62
cash crisis of 2005–6 and recovery by, 166–67, 173–76
cash crisis of 2008 and lead-up to collapse of, 21, 193–209
cash flows of 1990s, 81, 90–94
cash flows of 2002, 132–33
cash flows of 2007, 182–83
cash withdrawal requests of 2008 and, 1, 183, 187–88, 190–93, 197, 200–209, 256
cash withdrawals of 1994–2003, 132–36
charities and, 3, 88, 110–11, 114, 183, 337
checks written before confession, 6, 18, 314
childhood and education of, xxii–xxiii, 24, 30–35
Cincinnati Stock Exchange and, 68, 76, 86
civil lawsuits by victims of, 299–302
clawback lawsuits and, 257–58, 266–67, 288, 294–95
Cohmad formed by, 70–75, 149
commission payments and, 117, 136, 151
confession of, xxi–xxii, 1–12, 207–9, 282
congressional hearings on, 267–68
death of parents and, 48
death of son Mark and, 323
derivatives and, 174–76
DiPascali and fraud of, 81–82, 207–9, 297–99
DTCC and, 119–20, 150–51, 159, 164, 245, 255, 272, 296
early investors and introducers and, 43, 57–69, 92, 100–102, 110–15, 148
economic weakness in 2007 and, 176–80
employee money managed by, 182
employee salaries and, 178–79
exclusivity and secrecy and, 59–60, 93, 116–17, 134
extramarital affair allegations and, 277, 288–89
Fairfield Greenwich and, 89–91, 104–10, 187–88, 190–93
falsification of records by, xxiii, 41, 99–100, 102–3, 117–20, 122–27, 129, 139–46, 150–51, 153, 158–59, 163–64, 179, 272–73, 296, 309–10
family illnesses and, 135–36
family of, and impact of crime, 278, 281–90
family of, and questions about knowledge of fraud, 281–84, 333, 337
family wealth and, 160–61, 178, 182, 258, 321, 334
father’s brokerage failure and, 31–32, 35–36
feeder fund fees and, 87, 117
feeder funds begun by father-in-law, 36–39, 41, 50
feeder funds begun by nonfamily members, 102, 104–6, 119–21, 123, 130–32
feelings of, for family, 272
feelings of, for victims, xx, xxii, 333
foreign funds and, 65, 74–75, 84, 166–71, 243–44, 335
French town house, 177, 194, 239, 274, 318
guilty plea of, 247–53, 326
hedge funds and, 87–88, 90–91, 104–5, 119, 123, 125–32, 136, 144–46, 171–73
house arrest of, and gifts to family, 229–30, 237–38
humanity of, xxi, 345–48
IRAs and, 126–27
Jewish connections and, 88–89, 111, 114, 212–15
lawsuits arising from, 295–97
lessons of, for investors and regulators, 339–47
Levy estate executor, 63, 148
Lipstick Building office of, 2, 71–72, 81, 90, 103, 112, 120
loans by, to family and staff, 179, 181, 189–90
London office opened by, 48, 68–69, 82
losses of, and final account statements, 256
losses of, and length of fraud, 279
losses of, and number of victims, 211–16
lying by, xxii–xviii
Manhattan penthouse of, 18, 80–81, 274, 280–81, 305, 316