> This isn’t always the case. People who took cash out of Madoff’s ponzi scheme had to return it & [...]
Quite true. And I've not followed the details about SBF's schemes...but it sounds like he's different from Madoff in three important respects, all of which seem likely to make claw-backs less viable:
- Diverting funds to cover trading losses at an allied & now-bankrupt firm. If Madoff had (say) directly lost $1B by buying some stock which then fell in value, would there have been any possible claw-back on that $1B? I'd bet "no".
- Lots of funds were "laundered" through various sorts of crypto transactions. Anything "crypto" is probably a far greasier pig, to try to wrestle the real money back.
- Layers of corporate structure, HQ'ed in an offshore tax haven. IANAL, and certainly not a lawyer qualified in tax haven corporate securities law, but this sounds more like a gold mine for the lawyers than good news for the victims.
Quite true. And I've not followed the details about SBF's schemes...but it sounds like he's different from Madoff in three important respects, all of which seem likely to make claw-backs less viable:
- Diverting funds to cover trading losses at an allied & now-bankrupt firm. If Madoff had (say) directly lost $1B by buying some stock which then fell in value, would there have been any possible claw-back on that $1B? I'd bet "no".
- Lots of funds were "laundered" through various sorts of crypto transactions. Anything "crypto" is probably a far greasier pig, to try to wrestle the real money back.
- Layers of corporate structure, HQ'ed in an offshore tax haven. IANAL, and certainly not a lawyer qualified in tax haven corporate securities law, but this sounds more like a gold mine for the lawyers than good news for the victims.