Ruth Madoff Sued For "Living Life Of Splendor"


More woes for newly homeless Ruth Madoff, who was last reported to be staying with a friend on Long Island. 

Trustee Irving Picard’s going after that last $2.5 million.

Patrick Fitzgerald, Wall Street Journal: The court-appointed official in charge of recovering money for Bernard Madoff’s investors is suing Ruth Madoff for more than $44 million, claiming she lived a “life of splendor” on the gains from the fraud perpetrated by her husband.

Irving Picard, the court-appointed trustee, Wednesday sued Ruth Madoff, 68 years old, for at least $44.8 million, saying she “knew or should have known” that vast sums of money she received from her husband’s investment firm — Bernard L. Madoff Investment Securities LLC, or BLMIS, — rightly belonged to the firm and to her husband’s customers.

“For decades, Mrs. Madoff lived a life of splendor using the money of BLMIS’s customers,” Mr. Picard said in a lawsuit filed in U.S. Bankruptcy Court in Manhattan. “Regardless of whether or not Mrs. Madoff knew of the fraud her husband perpetrated at BLMIS … she received tens of millions of dollars from BLMIS for which BLMIS received no corresponding benefit or value and to which Mrs. Madoff had no good faith basis to believe she was entitled.”

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