More Central New York labor unions say they were burned by Bernard Madoff investments Fact vs. ficti

[Omaha Steve]

http://www.syracuse.com/business/index.ssf?/base/business-14/123097678420810.xml&coll=1

Additional CNY unions tell members they had money invested in pyramid scam.
Saturday, January 03, 2009
By Charley Hannagan
Staff writer

The list of Central New York union pension funds that lost money in the $50 billion fraud allegedly perpetrated by Bernard L. Madoff continues to grow.

The United Union of Roofers Waterproofers & Allied Workers Local 195 in Cicero, Plumbers & Steamfitters Local 73 in Oswego and the Empire State Carpenters Fringe Benefit Funds recently sent letters telling members they lost money in investments in Madoff.

Many of the funds are trying to figure out how much money was stolen. "It's not that easy to unravel," said Patrick B. Morin, secretary, treasurer and business manager for the Empire State Carpenters Union.

One of the union's money managers, J.P. Jeanneret Associates of Syracuse, used the Madoff fund in its portfolio of investments, he said.

Madoff (pronounced MAY-doff) was arrested Dec. 11 in New York City. He was charged with securities fraud after reportedly confessing to his sons that his investment fund, Bernard L. Madoff Investment Securities LLC, was a pyramid scheme. Madoff estimated the losses at $50 billion. In a pyramid scheme, money from new investors is used to pay returns to existing investors.

The Empire State Carpenters Fringe Benefit Funds was formed by the merger of funds from carpenter locals across the state, Morin said Friday. The impact of the losses varies because not all of the locals were invested in Madoff products, he said. And the length of time varies for those that were invested in Madoff, Morin said.

FULL story at link.

[Muttocracy]

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