Appraisal Economics Inc. valued the legal right to receive court-ordered restitution due to the victim of a Ponzi scheme. The operator of the Ponzi scheme was ordered to pay restitution to his victims after his release from prison. Appraisal Economics reviewed the legal memoranda of the U.S. District Court and interviewed representatives of the court and the attorney who represented the architect of the scheme. We considered restitution payments made to date, and we projected future payments and an appropriate discount rate to reduce the restitution payments to present value. Our analysis was based, in part, on our previous experience valuing the right to receive a portion of assets recovered related to the liquidation of Bernard L. Madoff Investment securities LLC.

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