Bankruptcy judge approves deal in Madoff case
U.S. bankruptcy judge Burton Lifland approved a $7.2 billion deal this week which would help investors recover thousands of dollars worth of lost funds they lost from Bernie Madoff's record-setting ponzi scheme.
U.S. bankruptcy judge Burton Lifland approved a $7.2 billion deal this week which would help investors recover thousands of dollars worth of lost funds they lost from Bernie Madoff's record-setting ponzi scheme.
Lawyers representing Madoff's customers who opposed the settlement said that they would move to appeal the decision, which they believe could harm many victims who lost their life savings.
"This is a unique and great day for customers of [Madoff's firm]," trustee attorney David Sheehan said at the hearing, according to The Associated Press.
Federal prosecutors reached the settlement with the estate of Jeffry Picower last month, and represents the entire sum that the deceased businessman earned from Madoff's crimes. Picower's widow, Barbara, says he never learned that the funds were in fact from stolen investors.
However, some investors will be unable to qualify for this settlement's payments, because they invested with Madoff and his firm indirectly.
Madoff is currently serving a 150-year prison term for tricking investors into believing that they held billions of dollars worth of stock with his company.
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