Statement Regarding Claims Filed by the Trustee of Bernard Madoff against 2020 Medici (Formerly Bank Medici) (“Medici”) ,

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AUSTRIA, Vienna--(BUSINESS WIRE)-- 2020 Medici issues statement on claims filed by Irving H. Picard.

The allegations made in the complaint filed by Irving H. Picard against Medici and Mrs. Sonja Kohn are completely unfounded and untrue and have no basis in fact or in law.

Medici and Mrs. Sonja Kohn were defrauded by Madoff like so many other leading financial institutions and sophisticated investors.

Neither Medici nor Mrs. Sonja Kohn was complicit in Madoff's fraudulent conspiracy and Ponzi scheme.

On the contrary, Mrs. Sonja Kohn is herself a victim of the Madoff fraud as an investor in the Herald Funds, as an entrepreneur and shareholder and as a person who has since Madoff’s confession had to deal with aggressive and untrue allegations made against her that are both discrediting and demonizing.

In fact, neither Medici, Mrs. Kohn nor any member of her family redeemed or received any withdrawals from the Herald Funds or any other Madoff investment fund before Bernard Madoff confessed to his fraud. The only redemptions paid were to independent shareholders of the relevant funds and in line with the normal course of business and all accepted international standards and practice in the financial services and funds industry. Neither Medici nor Mrs. Sonja Kohn received "secret kickbacks". All services provided were in accordance with the law and normal business practice.

Mr. Picard filed hundreds of civil law suits before the expiration of limitations runs out (December 15, 2010), regardless of the missing substance and legitimization of the claims and substance.

Of the several hundred lawsuits filed by Mr. Picard, two include Medici and Mrs. Kohn, contradicting one another in several material respects.

Until Madoff confessed he was one of the most reputable brokers on Wall Street and, among other things, the former Chairman of the NASDAQ and an advisor to the SEC (the U.S. Securities and Exchange Commission) and like many, neither Medici nor Mrs. Kohn had any reason to know or suspect Madoff’s fraud. All the allegations now being made against Medici and Mrs. Kohn are being made of hindsight and not taking into consideration the reputation that Bernard Madoff enjoyed until the moment when his confession was reported.

The SEC, responsible for supervision, control and regulation investigated Bernard Madoff and his entities multiple times between 1992 and 2008. In 2006/07 the SEC conducted an investigation over a period of 18 months and its report ended with the conclusion: "The staff found no evidence of fraud".

This is a case in which normal business relationships and practices are being distorted viciously in order to create and spread a fictional innuendo of suspicion which is producing an international witch-hunt that does no credit to the US civil justice system.