Wilpon & Katz May Have Lost $300 Mil In Ponzi Scheme

The Bernard Madoff $50 billion scandal lists among its many victims Mets owners Fred Wilpon & Saul Katz.   Their company, Sterling Equities, may havelost $300 million in the scheme, CNBC reports.

The real estate investment firm Sterling Equities, co-founded by New York Mets owners Fred Wilpon and Saul Katz, had money invested with Bernard Madoff’s firm, CNBC has confirmed.

“Among our various investments, we have accounts managed by Madoff Securities,” the company said, in a statement. “We are shocked by recent events and, like all investors, will continue to monitor the situation.”

Madoff had $17 billion in his investment advisory firm last month, but the 70-year-old former NASDAQ chairman told his employees earlier this week that he had actually lost $50 billion in what he said was a ponzi scheme. Madoff told authorities that he “paid investors with money that wasn’t there.”

It’s believed Madoff and the Mets owners have been connected for at least 20 years. Records show that Madoff first rented space at 885 Third Avenue in Manhattan, also known as “The Lipstick Building,” in 1989. While Sterling Equities has since sold its stake of the building, Madoff Investment Securities was still based there.

The Mets have issued a statement regarding the situation:

“This news does not affect the day-to-day operations and long-term plans of the Mets organization and the Citi Field project.”


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