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Madoff Investor (And Possible Accomplice) Jeffry Picower Drown Due To "Massive Heart Attack"

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...according to his lawyer. Just like Seth Tobias (missed every day).

The lawyer, William Zabel, said in a statement that an autopsy showed Mr. Picower, 67 years old, drowned in his pool because of the heart attack. A spokeswoman said Mr. Picower suffered from Parkinson's disease, a neurological disorder that affects motor skills, as well as unspecified heart-related problems.
Mr. Picower, a billionaire, was one of several high-profile Madoff investors initially viewed as victims of Mr. Madoff's fraud who was later revealed to be among the biggest beneficiaries of it, having booked billions of dollars in profits. Federal prosecutors at the U.S. attorney's office in Manhattan are looking into whether Mr. Picower or several other longtime Madoff associates had knowledge of or complicity in the fraud, people familiar with the matter have said. Mr. Picower hadn't been charged with wrongdoing and had denied having any knowledge of fraud. Mr. Picower and his wife, Barbara, made $7.2 billion in profits from investing with Mr. Madoff since the 1970s, according to court documents filed by a court-appointed trustee who is recovering assets for victims of the fraud.

Picower Drowning Death Caused By Heart Attack, Lawyer Says [WSJ]


The Securities And Exchange Commission Requests A Little Credit Where Credit Is Due, Please!

Yesterday, the Wall Street Journal ran a front page story reporting that the Securities and Exchange Commission had "blown" the cover of whistleblower Peter C. Earle. The article claimed that Earle, a former employee of Pipeline Trading Systems turned government informant, had his identity "inadvertently" revealed through a "gaffe" on the part of an SEC lawyer, who showed a Pipeline exec "a notebook from the whistleblower filled with jottings about trades, calls and meetings." The executive was said to have recognized Earle's handwriting and told his colleagues, who had previously suspected but did not know for sure that "Pete's the whistleblower." The story was easy to believe because if you've been keeping up with the SEC over the last number of years, you know that this sound exactly like something they'd accidentally do. Except that whereas the regulator fully copped to, for example, missing Madoff while trying to access 385 times/day, it says that this accusation? Is bull shit. It did not "inadvertently" "blow" anyone. Here's its strongly worded letter to the Journal saying as much: The Securities and Exchange Commission in no way exposed Peter Earle as a whistleblower, and our use of his notebooks in an investigative deposition was neither "inadvertent" nor a "breach" or "gaffe" ("Source's Cover Blown by SEC," Page One, April 25). It was a deliberate decision, which SEC lawyer Daniel Walfish discussed in advance with his supervisor, who was present for the deposition in which the notebooks were exhibited. Nor did the fully authorized use of the notebooks in any way compromise Mr. Earle or the integrity of the SEC's investigation of the Pipeline Trading Systems matter. Although it was widely known among executives of Pipeline and Milstream Strategy Group that Mr. Earle had approached the SEC after he was terminated from Milstream—a fact volunteered by several witnesses and acknowledged by Mr. Earle long before any use of his notebooks—the SEC declined to confirm his identity and still treated his status as a cooperating witness as confidential. The SEC made sure to obtain all of the notes of the approximately six Milstream traders, and in the SEC's deposition of Gordon Henderson (the supervisor of Mr. Earle and the other traders), the SEC used other traders' notes along with those of Mr. Earle. The use of these traders' notes—highly relevant evidence prepared in the ordinary course of their work at Milstream—in no way revealed whether Mr. Earle or any other trader was or was not cooperating with the SEC. George S. Canellos Director New York Regional Office U.S. Securities and Exchange Commission New York SEC Did Not Blow Source's Cover [WSJ] Earlier: SEC Burns Whistleblower In The Most SEC Way Possible