Bad investment in Madoff

Bernie Madoff, the man behind the largest Ponzi scheme and probably the world’s most hated man in history. I knew many large companies domestically and internationally invested in his business but I never knew that Stony Brook was one of his many victims in that fraudulent investment. Jim Simons, a mathematician, a successful hedge fund manager, and former chairman of the Stony Brook Foundation who helped put Stony Brook on the map had encouraged the university to invest in Madoff. Initially investing $500,000 back in 1991 and grew to $8 million by 2004.

His arrest came in 2008 when he confessed to his sons about the truth of his firm’s business and told the authorities of this “big lie”. Stony Brook had pulled $3.5 million of its $8 million back in 2004 when Simons became suspicious of the lack of transparency of his firm and wanted them to pull out all of its money but they didn’t. The university claims that the $5.5 million loss will have a “slight” impact on scholarships, research, and academic support. However, I believe that the loss has an impact on the school, particularly the academic side as the Foundation manages donations for the benefit of the University and Medical Center and Veterans Home.

Being here since 2007, it has become more difficult to register for classes as there are fewer classes to register and fewer choices to choose from. The time slots for the classes get ridiculous but you have no choice but to take it because the minute you don’t add it, it will be gone and you’re stuck on a waitlist. Or better yet, choosing a class that you absolutely hate but need it to finish your degree and get out. Even when your class enrollment is the 4^th day, almost all of your main classes are filled. You get stuck with an 8:20am class in a bi-level room in Javits 100, all crammed into every seat available, and trying not to think about sending a very nasty email to the school as to why the system has become so screwed up. Students are no longer graduating the typical 4 years and staying longer because of the lack of funding to add more classes and how only certain classes can be taken in a particular semester. No student want to stay here longer than they should, accumulating more student debt with the lack of scholarships and not receiving the support needed to go above and beyond.