A sample of some cases where we have represented clients are:

Some investors may have been lucky enough to exit with their initial investment and a profit. These investors may be characterized as "Profiteers" or "Early Redemptions" and are targets of clawback litigation, wherein the bankruptcy trustee will seek the recovery of the "False Profits" that were paid to Profiteers in order to redistribute these funds to investors that lost the principal on their investment.

In many of these cases, the trustee or receiver is likely to try to recover donations and contributions made by Profiteers to charities and foundations. By their nature, these types of transfers bolstered the standing of the perpetrator of the ponzi scheme (the "Ponzi") in the community as a wealthy benefactor and only further imbued investors with confidence to invest in the Ponzi's hedge funds. The problem for the recipients of these transfers is that if they were made with the Ponzi's intent to defraud creditors (like the investors that have now lost money), like the False Profits, they may be recoverable by the Receiver as fraudulent transfers.

For further information on defending the recovery of False Profits or other defenses for clawback litigation click here.

For immediate assistance call 954-929-1899, or click here.