Madoff fraud

Madoff Fraud

Due to Bernard Madoff the philanthropic world including charities and foundations in the US have lost billions of dollars. A meeting was held by the Jewish funders Network to decide on further procedures. Many charities have lost everything and were forced to close completely. These foundations are racing to refund the loss from the Madoff fraud. The economic situation made it hard for foundations and charities to raise money, due to the fraud it is nearly impossible for them to raise the needed money to stay above water.

The fraud effected nonprofit organizations as well; they had received funds from Madoff investors which “literally vanished overnight”. Jeff Salomon the president of the Andrea and Charles Bronfman Philanthropies, said: “This is the ultimate triple header. Numerous generous high-end donors have lost their asset base; foundations have lost their investments, and the charities themselves have directly lost money ... The impact is unprecedented, there is no question there will be more closures.”

Mr. Salomon forecasts merges of the left over nonprofit organizations a as a final act to survive. Several foundation funded by Jewish philanthropists have closed, they were part of the US nonprofit world. Many Jewish individuals and organizations invested most or all of their funds in Madoff. Many health charities are searching for new investors as many big donors were hit hard by the Madoff fraud. Days after the fraud analysts calculated that over 30 organizations were forced to close and 20 others are on the brink of closure after losing several millions.