The Committee of European Securities Regulators (CESR) coordinates its Members’ actions to investigate the alleged investment fraud of Bernard Madoff and is engaged in an ongoing dialogue with the relevant US sister authority, the Securities and Exchange Commission (SEC). As part of these activities, CESR also took the opportunity to issue a public statement and provide information on necessary steps investors possibly directly or indirectly affected by the Madoff collapse should take to safeguard their interests:
- Investors that were direct customers of the US-based firm Bernard L. Madoff Investment Securities LLC: You should file your claims with the trustee appointed by the US authorities by 4 March 2009 at the latest. More detailed information can be found on his website www.madofftrustee.com as well as in the CESR statement. After this deadline claims may still be filed by 2 July 2009, but this may result in less protection. The trustee will strictly disregard any claim received after 2 July 2009.
- Financial service providers and investors indirectly affected by the alleged fraud of Madoff:
- CESR urges financial service providers who are aware of potential losses to themselves or their customers to proactively advise their customers of any significant developments and to communicate the steps they are taking and any information on next steps.
- To customers of financial service providers and retail investors who have not yet been informed, CESR proposes the following:
- As a first step, contact the firm with whom you have been dealing asking it to clarify if losses have incurred or might incur as a result of the alleged fraud of Madoff. If this is the case, ask them to inform you of the steps that the firm has taken or will be taking to ensure the recovery of your assets.
- If you are dissatisfied with the responses given, file a formal complaint with the firm.
- If you are unsuccessful with your complaint or if you have general doubts, please contact the complaints scheme of your home regulator. In Austria, this would be the FMA (+43/(0)1/24959, extensions 5108 or 5124, FMA consumer information,fma(at)fma.gv.at).
CESR expressly states that it is legally unable to assist investors directly in enforcing their claims, which also applies to home regulators. The information and recommendations provided therefore do not constitute legal advice and are given with no responsibility taken.
The CESR’s 12-page public statement is available via the following link: www.cesr-eu.org/index.php