From the Jewish Federation of Los Angeles:
LOS ANGELES, Ca. (December 15, 2008)—The Jewish Federation of Greater Los Angeles has been advised by The Jewish Community Foundation of Los Angeles that it, together with a number of other major philanthropic institutions, as well as individuals and for profit investment companies, is included among those which have been victimized by an alleged fraud perpetrated by the New York based firm, Bernard Madoff Investment Securities LLC.
The Jewish Federation, together with other local charitable bodies, has for decades participated in a Common Investment Pool (CIP) managed by the Jewish Community Foundation. The CIP invests, with the input of professional advisors, significant funds on behalf of the Federation’s United Jewish Fund Endowment Fund in a range of investment classes and vehicles. Among these has been Bernard Madoff Investment Securities LLC
We have been informed by the Jewish Community Foundation that the Federation’s United Jewish Fund Endowment Fund may have sustained a loss of $6.4m as a result of the actions of Bernard Madoff Investment Securties LLC. This constitutes approximately 11% of Federation’s endowment funds as of December 2008.
Stanley Gold, Chairman of the Board of the Jewish Federation stated, "We are both shocked and saddened to learn of this alleged fraud. The Jewish Federation is exploring various options to fully understand its exposure as well as how this occurred. We intend to aggressively protect and recover as much of Federation’s investment with Bernard Madoff Securities LLC, as possible. We will take all necessary actions to assure this type of action so hurtful to those who depend on our charitable organization never happens again."
The Jewish Federation will continue to utilize the funds in the United Jewish Fund Endowment Fund to support its essential life saving work, at home and abroad, on behalf of the Los Angeles Jewish Community.
