Madoff Trustee Wants $5.2M From Jewish Charity

Law360, New York (October 14, 2011, 3:55 PM EDT) -- The bankruptcy trustee for Bernard L. Madoff Investment Securities LLC sued the Jewish Association for Services for the Aged on Friday to recover $5.2 million in phony profits the nonprofit allegedly took from Madoff's massive Ponzi scheme.

Trustee Irving Picard lodged an adversary proceeding in the Southern District of New York claiming the association withdrew money from Madoff that exceeded their actual investments with the imprisoned fraudster.

"Defendant was a beneficiary of this Ponzi scheme," Picard wrote in his complaint. "Defendant has received $5.2 million of...
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