The bankruptcy judge overseeing the Madoff case last week handed a victory to Irving Picard, the trustee seeking to claw back payments the Ponzi scheme made to “net winners”—investors who were paid more from the Madoff fund than they had put in to it.
Ruling on motions to dismiss filed by 233 of the claw-back defendants in Securities Investor Protection Corporation v. Bernard Madoff Investment Securities (In re: Bernard L. Madoff Investment Securities), 08-01789, Southern District Bankruptcy Judge Stuart Bernstein brushed aside most of the objections.
