News

Only recently, the ‘Madoff’ scheme was explained in detail and compellingly in a multi-part documentary on Netflix.

Since 2009, AdvoFin has been financing the pursuit of claims for several hundred victims who had invested in products of the Madoff fraudulent enterprise via so-called ‘feeder funds’.

Among other things, this involved financing and undertaking the complex registration with the so-called Madoff Victim Fund (MVF). This is a creditor compensation facility that was established by the US government after the collapse of the Madoff empire.

After years of communication and submission of documents, compensation payments to the victims financed by AdvoFin finally began in 2021. The MVF has now announced that, with the achievement of a 93.71% recovery rate (!!!) and the final disbursement tranche D10 carried out in early 2025, the MVF will cease its operations as the available capital has been distributed.

An important piece of information for our Madoff clients:

The Madoff Victim Fund applies a so-called “Imputed Recovery Amount” as a deduction when calculating compensation amounts. This represents the maximum expected proceeds from the liquidation of the underlying funds (Primeo, Herald, or Alpha Prime). This is done because the MVF does not want to risk exceeding the targeted 93.71% total recovery of the incurred/recognized damages.

As of today, we cannot estimate when a recovery from the liquidation of the primary funds themselves will actually occur.

Recoveries from the primary funds are not subject to AdvoFin’s participation quota or litigation financing, as this represents a repayment from the underlying investment. According to the information from the representing attorneys, no active steps need to be taken here, as the liquidation proceedings are still ongoing. For any questions, please feel free to contact us at any time.

We are pleased to have contributed to the restitution of losses for Austrian victims of the largest fraud scandal in history.

AdvoFin – Handles your claim and ensures your rights. Since 2001.