Monday, February 4, 2013

Amazing! Madoff biotech investment pays off





For once, convicted Ponzi king Bernie Madoff has produced profits that aren’t too good to be true.
The NY Post reports that a $2.2 million investment that he made in a small biotech company years before his house of cards came crashing down in December 2008 more than doubled in value this week.

Stemline Therapeutics went public on Tuesday, selling 3.3 million shares at $10 a piece. The stock closed down 2 percent yesterday, at $10.75, valuing Madoff’s initial $2.2 million investment at $5.5 million on paper.

That’s good news for Madoff’s burned investors, who stand to benefit if Irving Picard — the court-appointed trustee tasked with clawing back money for victims — succeeds in grabbing those shares.
According to a lawsuit Picard filed against a Madoff family fund, the Stemline shares “rightfully belong to... customers…..”

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