Uniondale, Long Island, New York, December 12, 2008 – Ruskin Moscou Faltischek, P.C. announced today it has filed a class action suit against East Hampton resident Bernard L. Madoff and his investment business, Bermard L. Madoff Securities LLC, in what may rank as the largest fraudulent scheme in the history of Wall Street and the United States. The suit, filed in federal court in Suffolk County in the Eastern District of New York (EDNY), close to Madoff's Montauk residence, seeks to recover damages estimated to exceed $50 billion, all arising from Madoff's alleged Ponzi scheme.
On Wednesday, the Securities and Exchange Commission charged Bernard L. Madoff and his investment firm, Bernard L. Madoff Securities LLC with securities fraud. A representative of the SEC's New York regional office called the fraud of "epic proportions." Madoff himself reportedly told two senior employees that it was "basically, a giant Ponzi scheme." A Ponzi scheme is a swindle offering unusually high returns, with early investors paid off with money from later investors.
"We are seeking swift justice by filing suit today, on the heels of Mr. Madoff's arrest, on behalf of our clients and all the victims of this giant scheme," said Mark S. Mulholland, head of Ruskin Moscou Faltischek's Litigation Department and attorney of record for the plaintiffs in the case.
According to published reports, Madoff, a former chairman of NASDAQ, told FBI agents "there is no innocent explanation" and that he "paid investors with money that wasn't there." U.S. prosecutors charged Madoff, a resident of the Town of East Hampton, with securities fraud; the SEC filed separate civil charges against him.
For 40 years, Ruskin Moscou Faltischek, headquartered in Uniondale, has built a reputation as one of the region's leading providers of innovative legal services. Its attorneys are practical, experienced advocates who measure their success by their clients' success. Cornerstone groups in all major practice areas of the law are represented at the firm, including corporate & securities, financial services, commercial litigation, intellectual property, health care, real estate, employment and trusts & estates. Through its independent arm, Island Strategies, lobbying services are provided at all governmental levels. Clients include large and mid-sized corporations, privately held businesses, institutions and individuals.