Real estate investor Mort Zuckerman said 10 percent of his charitable trust was invested with Madoff and estimated the losses at about $30 million.
“That was still a big chunk of money that was intended to go to worthier causes than shall we say Mr. Madoff,” Zuckerman told CNBC’s Erin Burnett. “This will reduce the amount of money that in the future can be allocated to charitable causes, which breaks my heart.”
Fund managers failed to show proper due diligence, said Zuckerman.
“I was not very happy, particularly when I found out that the fund manager put the entire fund and the entire funds, not just mine, but something like a billion six-hundred million dollars in one manager,” he said. “These are astonishing numbers to be placed with one fund manager.”
Zuckerman also said he would stay out of the stock market.
“I’m going to be a lot more risk averse,” he said.
More on the Madoff scandal on CNBC.com: