Saturday, January 03, 2009

The Bag Lady Papers

Alexandra Penney—a New York artist and former editor of Self Magazine—lost her life savings in the Madoff debacle. Now she shares her wrenching trauma in a Daily Beast exclusive.



Last Thursday at around 5 p.m., I had just checked on a rising cheese soufflé in my oven when my best friend called.

"Heard Madoff's been arrested,” she said. “I hope it's a rumor. Doesn't he handle most of your money?”

Indeed, he did. More than a decade ago, when I was in my late 40s, I handed over my life savings to Madoff’s firm. It was money I’d been tucking away since I was 16 years old, when I began working summers in Lord & Taylor, earning about $65 a week. Not a penny was inherited.

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