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Friday, 3 August 2012

Post: Trustee Irving Picard wants to undo Ezra Merkin's settlement with NY State

Posted on 13:05 by Unknown
Trustee Irving Picard wants to undo Ezra Merkin's settlement with NY State.
The trustee tasked with unwinding Bernie Madoff’s fraud is trying to block the state from paying $410 million to investors with fallen money manager Ezra Merkin. 
Irving Picard, the court-appointed lawyer responsible for clawing back money for Madoff victims, wants a bankruptcy judge to block a settlement between New York Attorney General Eric Schneiderman and Merkin, who has been accused of secretly steering client money to Madoff’s massive Ponzi scheme. 
In a sharply worded motion filed with the US bankruptcy court in Manhattan, Picard said Schneiderman’s settlement will “wreak havoc” on his efforts to recover funds for Madoff victims.

“Every victim should be treated equally,” Picard said. “That fundamental principle cannot be abrogated by the state of New York.”
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