The trustee overseeing recovery efforts on behalf of victims in the Bernard Madoff multi-billion dollar Ponzi scheme does not have standing to sue financial institutions for aiding and abetting the fraud, the U.S. Court of Appeals for the Second Circuit ruled.
The circuit rejected the appeal of Securities Investor Protection Act (SIPA) trustee Irving Picard from the dismissal of four cases by Judges Colleen McMahon and Jed Rakoff in 2011.
via Circuit: Picard Lacks Standing to Sue Banks for Aiding Fraud — New York Law Journal
