Feds investigate some Madoff victims

Updated

Federal investigators of the Madoff ponzi scheme expanded their criminal investigations to include some high profile investors who may have known about Bernie Madoff's massive fraud. Two philanthropists who invested heavily with Madoff, Jeffry Picower and Stanley Chais, are among the investors now being scrutinized by the U.S. attorney's office in Manhattan, according to a report in The Wall Street Journal this morning. Also on the investigative list is Carl Shapiro one of Madoff's oldest friends.

Prosecutors have not charged anyone with criminal activity. A lawyer for Picower said he wasn't complicit in the fraud and that he lost billions. A lawyer for Chais told the Journal that Chais "has cooperated fully" with investigators. A representative for Shapiro says he had no knowledge of the fraud.

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