Victims of Bernard Madoff’s multi-billion dollar scheme are set to get $349 million in a fresh round of payments by the trustee unwinding his firm.
Bloomberg reported that the payments, which need approval from the U.S. Bankruptcy Court in New York, will bring total compensation to nearly $6 billion, or 34% of the principal lost in Madoff’s $17.5 billion fraud through Bernard L. Madoff Investment Securities. The distribution is the fourth one since Madoff’s arrest in 2008.
Bernard L. Madoff Investment Securities trustee Irving Picard said that he hopes to fully reimburse victims, including about $3.5 billion in claims from UBS, HSBC Holdings and UniCredit SpA, which it claims benefitted from the fraud. The banks have denied the allegations.
Five former Madoff aides were convicted on Monday of assisting their boss hide his multi-billion Ponzi scheme for years.
Arrested in December 2008 and pled guilty three months later, Madoff is currently serving a 150-year term in a North Carolina federal prison.