The US Supreme Court has rejected an appeal by the liquidator of Bernard Madoff’s firm to pursue lawsuits against major banks for their role in Madoff’s massive fraud.
Irving Picard, the trustee liquidating Bernard L. Madoff Investment Securities, sought to sue HSBC, UniCredit and UBS to recoup billions of dollars for Madoff investors.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
In his petition, Picard argued that the fraud could not have persisted for so long without "a network of financial institutions, feeder funds and individuals who participated in his fraud or acquiesced in it – just like any large-scale financial fraud."
The decision, issued without comment, left intact lower court rulings that Picard lacked legal standing to pursue the banks on behalf of investors, who lost an estimated US$20 billion in the decades-long scam.
The banks, in their defense argued that they had no way of knowing Madoff’s investment business was a fraud.
Mr. Madoff, who pleaded guilty in 2009, is serving a 150-year prison sentence for the fraud.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData
