Madoff feeder fund: buyer beware

Apparently, one of Madoff's investors actually warned its clients he (or someone else) might abscond with their money:

Kingate Global, which channelled its money to Bernard L Madoff Investment Securities to manage, highlighted the risk of giving custody of its assets to its investment manager - Mr Madoff, although he was not named in the documents - and said they would not check the accuracy of statements he provided.

No doubt whoever wrote that disclosure is patting himself on the back for protecting his firm from the lawsuits that are undoubtedly about to ensue.  But I imagine at least one trial lawyer is rubbing his hands and asking, "What did they know and when did they know it?"