Long Island, NY – Family Ripped-Off by Madoff Might Get All Their Money Back

Long Island, NY – A family that was one of the last to invest with finance fiend Bernard Madoff might end up with the best return – all their money back.

A trustee overseeing Madoff’s businesses agreed to set aside the Rosenman family’s $10 million from the rest of the $50 billion Ponzi-scheme king’s assets, according to court documents.

The Rosenmans own a Bronx-based fuel-service company. Earlier this month, family members, who live in Great Neck, sued trustee Irving Picard to reclaim its investment.

Picard is overseeing the $50 billion in assets. Whatever is left after the scheme is unwound is to be liquidated and distributed among thousands of swindled investors, who are likely to receive only pennies on the dollar.

According to a lawsuit filed by the Rosenmans, they sent $10 million to a Madoff account at JPMorgan Chase & Co. on Dec. 5, just days before the federal authorities arrested the disgraced businessman.

Martin Rosenman, the president of the family’s company, received a notice four days after the wire transfer saying it had been invested in US Treasury bills, the lawsuit stated. But the transaction was never made.

“We are pleased that the bankruptcy court has stipulated that when the money comes to the trustee, he will hold that until our claim is resolved,” said Howard Kleinhendler, the Rosenmans’ lawyer. “The money can be traced because it was deposited soon before Madoff’s assets were frozen.”

While the Rosenmans may recover their full investment, thousands of others will only regain a fraction of what they gave to Madoff.