Baker Hostetler as Counsel to the SIPA Trustee is currently in its fourth year of the liquidation of Bernard L. Madoff Investment Securities LLC (BLMIS). SIPA Trustee and Baker Hostetler Bankruptcy Partner Irving H. Picard oversees the liquidation proceeding of BLMIS in collaboration with his court-appointed Baker Hostetler counsel led by Litigation Partner David J. Sheehan. The Madoff Recovery Initiative is a challenging, multifaceted mission that requires thorough investigation of global banking practices, the feeder fund industry and financial instruments, among countless other issues surrounding this unprecedented financial fraud.

As of May 2012, the SIPA Trustee has recovered or entered into agreements to recover more than $9.1 billion, representing approximately 52 percent of the approximately $17.3 billion in principal estimated to have been lost in the Ponzi scheme by BLMIS customers who filed claims. These recoveries exceed prior restitution efforts related to Ponzi schemes both in terms of dollar value and percentage of stolen funds recovered. The SIPA Trustee has distributed approximately $330 million from the Customer Fund, which, when combined with the advances the SIPA Trustee has requested and received from the Securities Investor Protection Corporation (SIPC), amounts to more than $1.1 billion returned to BLMIS customers to date.

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