The lawyers are beginning to circle around Walter Feeder Fund NoelYou Wont Read This In Hearst Media's Greenwich Time
Victims Of Bernie Madoff's 50 Million Dollar Fraud Have Another Target For Their Anger Greenwich Resident Walter Noel.
Financial Insiders Are Doubting That Madoff Insider Walter "Feeder Fund" Noel Did Not Know That The SEC Had Investigated "Credible And Specific Allegations".
Some Angry Fraud Victims Are Speculating That The SEC Investigators Had Contact With Walter "Feeder Fund" Noel About Madoff.
With Wall Street Icon Bernard Madoff facing possible prison time and and his empire of fraud in ruins, lawyers for duped investors are looking at the so-called feeder funds such as Walter Noel's Greenwich Fairfeild group, which steered it's client's cash to Madoff's closed investment fund.
The victims of Madoff's scheme are prepping to flood the courts with a wave of lawsuits against local investment firm Greenwich Fairfield and Walter "Feeder Fund" Noel. in a desperate effort to recoup their massive hedge fund losses.
For the record, we must say that Walter "Feeder Fund" Noel claims to be one of Bernie Madoff's victims and plans to defend himself against potential multiple multi-billion dollar lawsuits while seeking redress for himself.
Lawyers say that some investors had entrusted their entire retirement accounts with Greenwich resident Walter "Feeder Fund" Noel. These investors allegedly suffered losses of $500,000 to tens of millions of dollars.
Some victims are telling their lawyers that Walter Noel defrauded them and they were not told that Greenwich Fairfield was just a feeder fund - and that 100% of their investment was being handled by Bernie Madoff, who was a stranger to them.
However, those close to Walter "Feeder Fund" Noel claim that Greenwich Fairfeild investors were given a prospectus that the hedge fund could use third party investors.
Victims Lawyers Say Bernie Madoff Sent
Walter "Feeder Fund" Noel "Dated" Information
One lawyer says performance statements that Wall Street fraud Bernie Madoff 's firm sent to Greenwich Fairfield appear to be riddled with inaccuracies and other suspicious signs that should have raised red flags with Walter "Feeder Fund" Noels.
One major New York newspaper reports that a November of 2008 performance statement sent to Walter "Feeder Fund" Noel reports that Madoff's Fraud Fund bought Apple Computer shares on November 12th for $100.78. This was not possible, because even while allowing for a three day clearing period the stock never traded at $100 per share.
Why didn't Walter Feeder Fund" Noel notice something as glaring as the price of Apple stock?
The article further reports, and victim lawyers confirm, that these type of inaccuracies appear throughout the performance reports month after month. The November statement sent to Walter "Feeder Fund" Noel also says that Citigroup was purchased at $12.50 a share on November the 12th, but New York Stock exchange records show that the stock traded between $9.62 and 10.63 range.
Further, lawyers are saying that the reports sent to Greenwich Fairfield lack details and Walter "Feeder Fund Noel should have demanded more disclosure.
Victim's lawyers want to know why Walter "Feeder Fund" Noel was not dissatisfied on the quality of the reporting on the multi-million dollar investments entrusted to Greenwich Fairfield.
Walter "Feeder Fund Noel is going to have to explain how he accepted such bad and incomplete statements from fraudster Bernie Madoff.
Victim's lawyers say there is very little information in the reports. Forexample, there is virtually no information about any unrealized or realized gains.
Lawyers want to know why did Walter Noel easily accept incomplete statements and reports since he always told his investors that he was a huge supporter of full disclosure?
One lawyer said that the statements received by Greenwich Fairfield appear to be printed with a very outdated impact printer which hasn't been in use since laser printers came on the scene.
This type of printer even pre-dates the old dot matrix printers of the 1990s.
It very odd for Walter "Feeder Fund" Noel to be accepting Billion Dollar statements prepared on this type of antiquated technology.
But the biggest red flag that Walter "Feeder Fund" Noel should have caught was the deficiency in Bernie Madoff's overall investment strategy. Madoff claimed to be getting out sized gains from the bluest of the blue chip stocks.
Any student of Microeconomics 101 will tell you that the largest of the large capitalized stocks move the least, because they have all of the market information factored into them.
Walter "Feeder Fund" Noel knew full well that investing in blue chip stocks is not a strategy that produces above market returns.
This is causing Fairfield Greenwich fraud victims to wonder if Walter "Feeder Fund" Noel was blinded by greed or in on the massive
Madoff Ponzie Scheme.
PLEASE SEE:
THERE IS A LOT OF BUZZ ABOUT MADOFF ON GREENWICH BLOG AND FEEDS
Jane Genova: Speechwriter - GhostwriterMadoff - The Musical: "I'm so special" - No question the Bernard Madoff Caper is going to become a musical. The theme song for how so many at such high levels were conned will be: "I'm so special." ...
The New And Improved "For What It's Worth" (Wordpress Edition)One more odd Bernie Madoff story - From the 1992 Wall Street Journal, an article on a mystery money manager who was somehow beating the Street. That would be Bernard Madoff, of course. Update...
Tribune Company's Greenwich News FeedSwiss bank says it has $48M of client assets invested with US financier accused of fraud - GENEVA (AP) — A private Swiss bank says it has 56 million Swiss francs ($47.5 million) of client assets invested under the management of U.S. financier ...
Bernard “Bernie” Madoff arrested and charged with securities fraud- ponzi scheme - Dec. 11 (Bloomberg) — Bernard Madoff, president of Bernard Madoff Investment Securities, a market maker for hedge funds and banks, was charged with ......
ALSO PLEASE READ THIS:
Did Bernard Madoff act alone? Investors doubt it - NEW YORK - Bernard Madoff's contention that he pulled off one of the biggest financial frauds in history without any help is being met with disbelief by his investors and experts in the securities industry.
It normally takes a team of accountants, stock brokers, lawyers and more to operate the kind of multibillion-dollar investment fund that Madoff ran from the 17th floor of his Park Avenue headquarters. .....
....."Someone had to create them. Someone had to create the appearance that there were returns," said attorney Harry Susman, who represents several Madoff investors.
"The guy was 70 years old. Could he have done it himself? The computer systems would have needed to be extensive. Supposedly, he's selling puts, buying puts, selling calls, buying stocks. Somebody had to sit there and buy stocks. Where are these people?"
Federal investigators are still in the early stages of trying to answer those same questions as they decipher Madoff's operation. Already, they have discovered multiple sets of books and what appear to be fraudulent documents in his Manhattan offices, raising the question of who prepared them. It may take time before they can say whether he had accomplices.
Investigators have started serving grand jury subpoenas requiring witnesses to testify and seeking documents, according to an official familiar with the case. The official, who spoke on condition of anonymity because the investigation is ongoing, declined to identify who was served or specify what documents were wanted.
The investigation has been unfolding in a 17th-floor office in midtown Manhattan that was once Madoff's sanctuary but is now the site of a non-stop hunt for incriminating documents. The investigation is being led by the FBI and Securities and Exchange Commission _ agencies already challenged with unearthing other financial scandals since the Wall Street meltdown.......
.....Investigators were also expected to look at the potential involvement of several Madoff relatives who worked for his firm, including his brother, two sons and other relatives who worked for his various business entities. His wife has also come under scrutiny.
To date, however, they also have not been formally accused of any wrongdoing.
The law firm representing Bernard Madoff's sons, Andrew and Marc, released a statement saying they first learned of the fraud just days ago, when their father tearfully confessed, and immediately turned him in. The two are said to have worked predominantly in another division of their father's company, not in the secretive unit that handled investor money. ....
....Much of the recruiting of new investors to his funds was done informally, by friends, or through a group of large, independently managed feeder funds, who also took most of the management fees for handling the investments. They included the Fairfield Greenwich Group, which put all $7.3 billion of its Fairfield Sentry Fund in Madoff's hands.
It was unclear whether authorities were looking to see whether any of those funds, whose investors have emerged as some of Madoff's largest victims, may have been complicit in the scheme. Each has claimed no knowledge that anything was amiss. .....
....."He was still doing it the way you did it in the 1960s, with a paper ticket," said Suzanne Murphy, a hedge fund consultant who had examined Madoff's business two years ago before deciding not to invest in it.
"In most hedge funds, you have many partners in deals, but he was doing everything in a self-contained way," said Jake Walthour, head of advisory services for the due diligence firm Aksia LLC, which also examined Madoff's operation and decided something was wrong......
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