Saturday, April 14, 2012

Judge to review moving hundreds of Madoff cases




Will the Madoff saga ever die?   In the sprawling litigation to recover money related to Bernard Madoff's fraud, a federal judge said he would decide whether a 2011 U.S. Supreme Court ruling prevents a bankruptcy court from resolving hundreds of lawsuits brought by the Madoff firm's trustee. Reuters writes.

Defendants in those cases have sought to transfer their cases to district court from bankruptcy court, citing the U.S. Supreme Court decision involving the estate of former Playboy model Anna Nicole Smith that limited the power of bankruptcy judges to review claims.

In an order published Friday, U.S. District Judge Jed Rakoff said he will review how that decision affects cases brought by the trustee, Irving Picard, against people he believes benefited improperly from Madoff's fraud.   Rakoff consolidated 341 cases in his order and gave the defendants until June 11 to appoint lead counsel to argue on their behalf. He scheduled oral argument for June 18…

Read more at http://www.cnbc.com/id/47045328

No comments:

Post a Comment