The Club No One Wanted to Join-Madoff Victims in Their Own Words

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Overview

It has been the public's perception that Madoff investors were all extremely wealthy and all belonged to exclusive clubs. This perception has been reinforced by the media and the powers that be. The truth is, with very few exceptions, such as Steven Spielberg, Jeffrey Picower and Stanley Chais-most were average, small time investors. They did not belong to exclusive private clubs or any other fancy clubs. They lived an average American life; they worked hard, contributed to society and saved for their retirement years. But in the end that was not enough. No one, it turns out, could protect them from the worst financial criminal in history, Bernard L. Madoff. As a result, they were all thrown tragically into one club they
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Overview

It has been the public's perception that Madoff investors were all extremely wealthy and all belonged to exclusive clubs. This perception has been reinforced by the media and the powers that be. The truth is, with very few exceptions, such as Steven Spielberg, Jeffrey Picower and Stanley Chais-most were average, small time investors. They did not belong to exclusive private clubs or any other fancy clubs. They lived an average American life; they worked hard, contributed to society and saved for their retirement years. But in the end that was not enough. No one, it turns out, could protect them from the worst financial criminal in history, Bernard L. Madoff. As a result, they were all thrown tragically into one club they never expected to join: the "club" of victims. This is their story.

It is the first book of its kind about the Madoff Ponzi scheme, in which twenty nine Madoff investors band together to tell their story without an intermediary, directly to the public and in their own words. Baring private details and exposing the truth about who the real victims are, they don't hold back as to who really enabled the scheme to continue for forty years. The readers need to know what the authorities would rather keep from them, or else they are destined to become the next victims. The book's message is: This can happen to anyone.

The authors are men and women just like the average reader. They come from all walks of life - blue collar, white collar- from all parts of the country and at different life stages. These are working class families, ex-multi millionaires, professionals, artists and retirees. They come from Florida, Minnesota, Vermont, New York, New Jersey, California, Pennsylvania, Texas and other states. They come from different ethnic and religious backgrounds. In short they are regular people, Americans who got sucked into a Ponzi scheme that even the federal government has yet to solve. They all have one thing in common: they were robbed of their life savings by the worst financial criminal in history, Bernard L. Madoff. It is time the public learns the truth.

This is a story of financial devastation, of lessons learned, of hope and rebirth. It has been more than a year since the fraud came to light and the survivors are now ready to share their experience and their hard learned lessons with the public. Though the financial disaster caused major transformations in their lives, transformations which are still ongoing, their spirit has not been broken. As one of the authors in this book summed up eloquently, "There will always be meaningful work to be done, more fun to be had and lots more people to love." And in the end, it is the message of hope the authors wish to convey.

What People Are Saying

Helen Davis Chaitman
This book is a must-read for Americans who mourn what America used to be. We are scandalized by politicians who pay for sex. Yet we tolerate the fact that our politicians sell their votes to the highest bidders. The contributors to this book understand the seriousness of this state of affairs.

These are honest Americans, of all walks of life, who worked hard, saved their money, and expected to retire in peace. Some were rich; some were poor. Some were young; some were old. These are people who only came together because America is broken.

It is easy to blame Madoff. But the Madoffs of the world are to be expected. That is why taxpayer dollars were used to fund the SEC. That is why taxpayer dollars were used to fund Congress which, in 1970 (before America was broken), enacted the Securities Investor Protection Act ("SIPA"), which created SIPC to establish a fund to insure victims of a broker's dishonesty.

We all know the story:

The SEC personnel accepted taxpayer-paid salaries and, instead of policing the securities industry, they sat at their computers watching pornographic movies until they put in enough time to earn themselves high-paying jobs on Wall Street.

FINRA, which was supposed to regulate the securities industry, became the protectors and perpetuators of corporate corruption.

SIPC, which was supposed to insure investors decided, instead, to provide free SIPC insurance to its members (a mere $150/year/firm) and to persecute investors whose funds were stolen by dishonest brokers.

Irving Picard, the SIPC trustee, who has a fiduciary duty to the investors, decided to sell his soul to SIPC for $1.4 million/week.

In sum, Madoff's victims were swindled by the system and the government. But the wonderful thing about this book is that its 29 contributors are not bitter. You cannot help but love these people when you read their stories. To take just a few:

"SM" grew up in a 1,200 square foot house surrounded by tomato fields. She went barefoot and never worried about clothes matching. She invested her total life savings -- $20,000 - in Madoff in 1992. It wasn't a huge amount of money in 2008 but it was enough to keep her comfortable in her old age. She has lost her financial security but she is still kind, loving and so much more.

Mary Thomajan was looking forward to retirement in Santa Fe, focusing on funding a Center for Community and Courageous Change. She lost everything. But she learned that "none of the stuff was me-not my money, nor my home, nor my clothes, my jaguar, my sassy red hair, my identity." The truth she came to recognize is that "we don't own anything...We are just tenants here, little columns of energy." But she has learned from a wise teacher in India who answered the question: "What does a man have when he has lost everything?" The answer was "Freedom."

You will love and admire Sarah Fisk. When she learned that friends of hers had lost money in Madoff, she felt sympathetic but superior - as if they must have done something wrong to have been so victimized. Then she learned that the fund in which she had put her life savings had invested all the money in Madoff. And she learned that the reaction of the press of finding fault with the victims is a totally human, but unfortunate reaction of people who would rather blame the victims than accept their own vulnerability.

You will weep with admiration for Emma De Vita, a woman born at the time of the Great Depression, from a working class background, who has turned her tragedy into political activism.

What all of these people have in common is that they have determined to try to fix America. For this we should all be very grateful because we need an awful lot of fixing.

Product Details

  • ISBN-13: 9780982250938
  • Publisher: Doukathsan Press
  • Publication date: 6/10/2010
  • Edition description: First Edition
  • Pages: 244
  • Sales rank: 184,341
  • Product dimensions: 5.90 (w) x 8.80 (h) x 0.70 (d)

Meet the Author

These are the twenty nine authors who contributed to this book, all were Madoff investors:

Maureen A. Ebel, Mary Thomajan, Richard M. Friedman, Cynthia Friedman, Stephanie Halio, Steven Norton, Emma De Vita, Michael De Vita, Joanne M., Stephanie E., Timothy Murray, NES, Ellen Bernfeld, Renee Rosen, Elisabetta Sandolo, Jeannene Langford, Joanna W., Sarah Fisk,Norma Hill, Lyn S., AKL, Robert Halio, LAS, Jackie S., SM, RV, Robin Jungreis Swernoff, Allan Goldstein, Alexandra Roth

Customer Reviews

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Sort by: Showing all of 8 Customer Reviews
  • Posted July 8, 2010

    Compelling - A MUST READ for all Investors

    I just finished reading this amazing book. I know many of the authors and knew much of their history before reading the book. I opened the first page with no expectations.

    The rest of the reading was incredible. I hate to use the word riveting because it seems so trite, but the book WAS riveting. The heartfelt words of each author were genuine and compelling.

    It's not an old story. It's an ongoing story-one of initial devastation followed by self discovery of strength and fortitude for each person. The transformation process is evident in each chapter.

    The theme, along with personal growth and a new found realization of humanity from support offered by their friends, family, fellow victims and even strangers, includes the depiction of the inept negligence and avoidance of our government.

    This makes the story current and ongoing. As victims, we see these people recovering. The government, however has not found that same growth process. In fact, they are retreating from their responsibilities to us and all investors.

    Until that changes, this is a current events story.

    I feel the book could be used as a means to help those who don't understand the devastation, the government's role and the reality of losing your financial security to a man who was trusted and condoned by the regulators to see how we were affected and how all investors are affected.

    I would suggest that every member of the House and Senatorial Finance, Banking and Judicial committees read this book. SIPC, the agency that Congress created more than 30 years to protect investors, is instead continuing to add to their devastation. SIPC is failing in it's duty to ensure safety from investment fraud. If SIPC failed the Madoff victims, it can fail every American Investor. The same holds true for the SEC - the agency created to monitor the securities industry.

    This book tells first hand stories of the effect of the failure of these agencies. The authors express their concern for all investors and wrote their stories in an effort to protect them from future failures of the SEC/SIPC/FINRA.

    Congratulations to all who contributed and helped make this book - you did a great job!

    2 out of 2 people found this review helpful.

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  • Posted June 25, 2010

    These investors look just like me

    A friend gave me a copy of this book. It was surprisingly interesting - just like reading stories about the lives of some members of my own family. I suppose the general theme was that what happened to these 29 investors could easily have happened to anyone. The stories show pretty much average Americans - not the sterotype of the priviledged, very well to do persons played up in the media. It must have been a real shock when Madoff was arrested. So many of them reported the genuine surprise they experienced on December 11th, 2008. From reading many of the stories it appears that these investors thought they made a very conservative investment that limited losses. Some said that they were aware of Madoff's reputation and knew of the SEC investigations of the company. I really expected that Madoff paid way above market rates and I was surprised to read the last chapter in the book that compared Madoff returns to some very large mutual fund returns over time. I fully expected madoff to outperfom all of them - I was mistaken.

    Overall, it was a pretty interesting book. I read it sitting on an airplane and it helped to pass the time very well.

    Frankly, I wish these 29 the very best and hope that they can at least recover a small part of their lives.

    2 out of 2 people found this review helpful.

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  • Posted October 16, 2010

    Highly Recommended read for your own financial protection

    This book will tug at your heart but will also open your eyes to the danger of relying on the government to protect your investments. The victims seem to be just like the average investors who could be your neighbors. They thought SIPC and SEC would protect them but it turns out from reading this that they are their biggest enemies now. It is really sad to see people in retirement realize that not only their lost their retirement savings but also that the government would rather defend wall street than the small investor. I will now review my investments and make some needed changes. Now I worry. I think it must have taken some guts to write this, I don't think I could have done this. Kudos to the victims.

    1 out of 1 people found this review helpful.

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