Leaders Debate Actions to Recover Madoff Funds
Brad Greenberg writing in The LA Jewish Journal:
The Bernard Madoff investment scandal tore a hole through L.A. Jewry that is a long way from healing.
Many of the community’s leading organizations, including The Jewish Federation of Greater Los Angeles, were invested in Madoff through the Jewish Community Foundation (JCF), which manages the endowments of participants in its common investment pool. The JCF lost its $18 million investment overnight, which meant that The Federation forfeited a $4.5 million investment.
Around the globe, victims of the biggest Ponzi scheme in history – from investors in foreign banks to the Elie Wiesel Foundation for Humanity – have been looking for answers as to what went wrong and who is to blame.
The obvious question might seem to be whether the affected L.A. organizations could sue the JCF to recover at least some of their money from its insurers, but that is not the question being asked. Rather, leaders locally are questioning whether they should sue.
Here’s the complete article.