5 Men Who Fueled Madoff's Ponzi Scheme

By Harry Kimball,  Newser Staff
Posted Dec 27, 2008 1:14 PM CST
5 Men Who Fueled Madoff's Ponzi Scheme
Investors inquiring about their money and others gather in the lobby of the building where Bernard L. Madoff Investment Securities LLC has their offices.   (AP Photo)

Government investigators are turning their eye to the middlemen who led clients into Bernard Madoff's long-running Ponzi scheme. The Wall Street Journal profiles five of them:

  • Robert Jaffe: A dashing Florida philanthropist, he funneled tony clients to ex-boss Madoff. Jaffe says he is a "victim of these tragic events."
  • Stanley Chais: His exclusive fund, "The Arbitrage," was secretly a pipeline to Madoff. Chais' family foundation is "wiped out" by the scandal, its director said.

  • Jeffrey Tucker: A former SEC enforcement officer, he enabled the partnership between Madoff and Fairfield Greenwich Group—which lost about $7.3 billion.
  • Andres Piedrahita: After marrying into Fairfield Greenwich, he spread Madoff's reach to the high society in Europe and Latin America.
  • Robert Schulman: An old Wall Street hand, he encouraged investors with his track record at firms like Smith Barney and Shearson Lehman Brothers. His clients lost $3.3 billion.
(More Bernard Madoff stories.)

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