Investment News reports that adviser Kenneth Starr has been arrested. At this point we’re almost desensitized to news such as this. Another Ponzi scheme, more victims, more pain. What else is new?
The twist here is that the victims were “celebrities” (whatever that means. When a guy who can’t dance is a celebrity because of the number of hits on Youtube, it makes you wonder what the word really means.) The other twist is that the victims apparently gave the money manager power of attorney! Not very cautious, these celebrities. I guess they really didn’t care what happened to their money.
The one thing in the article that bothered me most was the term used by the US Attorney to describe some of these victims. He said that anyone could be a victim, including “sophisticated celebrities.” Spare me. Among the victims were a jeweler who was convicted of falsifying records in 2008. And Sylvester Stallone – that’s right folks, Rocky Balboa (although I preferred his character in Demolition Man). Just because you may qualify as a “celebrity” doesn’t make you “sophisticated.” In fact, giving this guy the right to sign your name may be a sign of exactly the opposite.
By the way, if you click here you will see that Bernie Madoff is not scheduled to get out until the year 2139. And I thought reaching 50 was an accomplishment.
That’s the view of one Lawyer from Jupiter, Palm Beach County, Florida, I’m Marc Dobin.