[nikos1121]

If the investor knew of the Ponzi scheme I agree, but let's say you and I invested 1 million dollars with Madoff ten years ago...and after 5 years we cashed in for 5 million. We had no knowledge of any fraud on Madoff’s part. We took our profit and reinvested them elsewhere....with other proftis from other sources. From that time to the present we made money but we also lost 6 million.

Are you telling me, that you and I would be in jeopardy of owing 5 million to those who kept their money in?

Nonsense.

I believe the key here is “knowing of the fraud” thereby you are an accomplice Now if this guy cashed in all his chips recently, then that smacks of being on the inside. Seems like the attorney representing the losers, is going after anyone or anything (banks etc) who made any money from Madoff at any time. I guess they have no other alternative. So then in the end only the losers are reimbursed? This is silly.

[SpaceBar]

I believe the key here is “knowing of the fraud”

Then you believe wrong.