At a Meeting of Creditors held on February 20, 2009, counsel for the trustee overseeing the liquidation of Bernard L. Madoff Investment Securities, LLC, announced the advent of "clawback" suits seeking to recover sums paid out to defrauded investors.' This Essay explains the legal framework for the clawback suits and anticipates that many investors in the Ponzi scheme 2 will not have submitted claims by the July 2, 2009 deadline, which may result in clawback litigation before multiple courts. The Essay then discusses ways to streamline clawbacks and other Madoff-related litigation so that investors who have already been defrauded are not further damaged by the measures taken to compensate them. It closes with an invitation for additional proposals.
Tally M. Wiener,
On the Clawbacks in the Madoff Liquidation Proceeding,
15 Fordham J. Corp. & Fin. L. 221
Available at: http://ir.lawnet.fordham.edu/jcfl/vol15/iss1/5