Bernard Madoff told Rosenman the fund was closed until Jan. 1, 2009, but he could wire money to an account where it would be held

According to the complaint dated Jan. 1 by Rosenman Family LLC, its managing member, Martin Rosenman, talked to Madoff on the phone on Dec. 3 about investing in his investment advisory fund.private New York company has sued the trustee who is liquidating accused fraudster Bernard Madoff's firm for the return of $10 million it invested six days before Madoff was arrested.
Madoff told Rosenman the fund was closed until Jan. 1, 2009, but he could wire money to an account where it would be held, the complaint in U.S. Bankruptcy Court in Manhattan said.It said that the family transferred $10 million to a JPMorgan Chase account on Dec. 5.Madoff was arrested and charged with securities fraud on Dec. 11 and is currently under house arrest.Authorities have said in court documents that Madoff confessed to running a Ponzi scheme for years that had losses of $50 billion in what would be Wall Street's largest fraud. A Ponzi scheme is one in which early investors are paid off with the money of new clients.
"Family seeks a mandatory injunction requiring Chase to turn over $10 million," the complaint in bankruptcy court said.
"Family demands judgment that the funds deposited by Family in the Chase Account on December 5, 2008 are not property of the debtor's estate and the debtor has no interest in these funds."The investment adviser's firm, Bernard L. Madoff Investment Securities LLC, is being liquidated under court-appointed trustee Irving Picard, a lawyer.Rosenman, who is also president of the Stuyvesant Fuel Service Corp in New York, sued Picard and JP Morgan Chase Bank for recovery of his money.A lawyer for Picard declined to comment. A representative of the bank was not immediately available for comment.The complaint said that Rosenman had neither invested nor conducted business with Madoff or his firm before the Dec. 3 phone conversation.
The cases:Rosenman Family LLC v Irving Picard, as Trustee for the liquidation of Bernard L. Madoff Investment Securities LLC and JP Morgan Chase Bank - number not yet assigned; U.S. Bankruptcy Court, Southern District of New York (Manhattan).
Securities Investor Protection Corp. v. Bernard L. Madoff Investment Securities LLC, 08-01789, U.S. Bankruptcy Court, Southern District of New York (Manhattan).