Appeals Court Bars Lautenberg Suit Against Peter Madoff

The charitable foundation of U.S. Senator Frank Lautenberg cannot continue a $9 million lawsuit against Bernard Madoff’s brother Peter, an appeals court ruled.

Affirming lower court decisions, the appeal judges said “there would ensue a chaotic rush to the courthouse” by parties seeking assets that by law belong to the Madoff estate, if such private suits were not stopped.

The Lautenberg appeal is In re Bernard L. Madoff, 11- cv-02135, U.S. District Court, Southern District of New York (Manhattan).

To contact the reporter on this story: Linda Sandler in New York at lsandler@bloomberg.net

To contact the editor responsible for this story: John Pickering at jpickering@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.