California will recover $15 million related to the massive Ponzi scheme engineered by Bernard Madoff as part of a larger agreement liquefying the $277 million estate of a Beverly Hills investment adviser, The Associated Press reported. The settlement ends a 7-year-old lawsuit filed by the state attorney general against Stanley Chais, who charged what officials called astronomical fees to invest hundreds of millions of dollars from more than 460 often-elderly victims. Chais, who died in 2010, collected nearly $270 million in fees between 1995 and 2008 while presenting himself as an "investment wizard.“ In fact, he simply funneled investors' life savings to Madoff. The agreement settles separate lawsuits against Chais that trustees said will essentially turn over his estate to his victims.
