Madoff's Wife is Sued for Benefits Received from Madoff's Ponzi Scheme

The bankruptcy trustee in the bankruptcy proceedings resulting from Bernard Madoff's failed investment company has recently filed a lawsuit against Mr. Madoff's wife, Mrs. Ruth Madoff. 

• The lawsuit seeks to recover $44.8 million.
• The Trustee 's lawsuit is based on a federal bankruptcy law that allows the trustee to recover assets withdrawn from Mr. Madoff's company within the last six years.
• Mrs. Madoff's attorney said that Mrs. Madoff has not been implicated in her husband's fraud and that she has already forfeited many of the assets the suit seeks to recover.
• The trustee, however, is seeking the monetary value of the benefits Mrs. Madoff received from her husband's fraudulent investments, not the actual assets.

See Zachary Kouwe, Trustee Sues Ruth Madoff for Nearly $45 Million, NY Times, July 29, 2009.