Federal prosecutors in Manhattan say there is a criminal investigation under way of a prominent California investment manager who did business with Bernard Madoff.

The prosecutors made the disclosure as they asked Friday for a delay in civil proceedings already brought against investment adviser Stanley Chais.

He’s a longtime Beverly Hills philanthropist.

The Securities and Exchange Commission earlier this year announced civil fraud charges against Chais. They say he oversaw three funds that invested all of their assets with Madoff.

Madoff pleaded guilty earlier this year, and was sentenced to 150 years in prison on June 29, 2009.

(Source: CBS2 HD)