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WEDNESDAY, NOVEMBER 25, 2009
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Cuomo Charges Madoff Feeder With Fraud

Says 'investment guru' Merkin was really just 'master marketer'

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(Newser) – New York AG Andrew Cuomo has charged J. Ezra Merkin, a prominent New York philanthropist who funneled $2.4 billion into Bernie Madoff’s Ponzi scheme, with fraud, the Wall Street Journal reports. The complaint doesn’t accuse Merkin of knowing about the scheme. But it alleges that he lied to his clients, including many charities and universities, about how exposed they were to Madoff and failed to disclose his conflicts of interest—all while pocketing $470 million in fees.

“Merkin held himself out to investors as an investing guru,” says Cuomo. “In reality, Merkin was but a master marketer.”

In this Thursday, Dec. 11, 2008 file photo, New York Attorney General Andrew Cuomo speaks during a news conference in Albany, N.Y.
In this Thursday, Dec. 11, 2008 file photo, New York Attorney General Andrew Cuomo speaks during a news conference in Albany, N.Y.   (AP Photo/Mike Groll)
Ezra Merkin, managing partner of Gabriel Capital Group, shakes hands with Ariel Sharon as the sale of the Israel's Leumi Bank is completed, in this Jan. 4, 2006 file photo.
Ezra Merkin, managing partner of Gabriel Capital Group, shakes hands with Ariel Sharon as the sale of the Israel's Leumi Bank is completed, in this Jan. 4, 2006 file photo.   (AP Photo/Eliana Aponte, Pool/File)
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TerrifiedCitizen
Apr 6, 09 3:00 PM CDT
Sorry Cuomo, you're not valid till you take on B of A face to face... Let's see if your religious background gets in the way of clamping the manacles on the church... Reply
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