Wednesday, December 17, 2008

More San Francisco fallout from Madoff collapse - SFGate.com

More local fallout from Madoff collapse From SFGate: “With reference to the unfolding $50 billion alleged Ponzi scheme perpetrated by Bernard Madoff, the following e-mail was sent to a number of Bay Area institutions Monday:

Dear Colleagues:

I regretfully write to inform you that due to a sudden financial crisis and the resulting loss of funding, the JEHT Foundation has stopped all grant-making effective immediately and will be closing its doors in early 2009. Unfortunately the funds of the donors to the JEHT Foundation were managed by Bernard L. Madoff, a financial adviser who was arrested last week for defrauding investors out of billions of dollars. ”

-- The ripple impact of this is huge. It goes to show what happens when wealth is concentrated in a few hands that are then fooled by one person. Stories like this are all over the World. And the credit crunch assures these nonprofits will be in dire straights for a while.

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