First there were the litigation funders. Next we saw whistleblower funders. Now, the WSJ reports, we have Madoff trustee recovery funders.
According to an article today, a company called ASM Capital has has been approaching victims of Bernard Madoff’s Ponzi scheme with offers “to buy them out at a discount for their claims to what is eventually recovered by Irving Picard,” the court-appointed trustee. ASM is reportedly offering two options: (1) an immediate payment of 20% of claims in exchange for the full claim; or (2) an upfront payment of 16% of the claims, with the investor keeping 33% of future recoveries.
