Madoff Scandal: Trustee Seeks Luxury Apartment Breakup

The hard-charging trustee of Bernie Madoff’s estate is pressing a New york city City power couple to break up their super-sized Manhattan apartment or condo– and sell two-thirds of its square video footage to make up the late Ponzi schemer’s sufferers, The Post has actually found out.

Couple’s Madoff Profits

Sage and his partner Lynne Florio– a cosmetics magnate who previously was a magnate at skin care brand name La Grassy field– reaped $16.9 million in profits from the unfortunate fund, according to records filed in New york city state Supreme Court.

Walling off and marketing those two systems would leave Sage and Florio with a 930-square-foot, one-bedroom apartment or condo on the 14th floor at 45 Christopher St.– an Art Deco design tower constructed in 1931 that declares to be one of the city’s “most-sought after” addresses.

Apartment Division Dispute

“The idea ‘to retreat’ to the confines of a one-bedroom apartment they physically incorporated with two various other units in the 1990s made no feeling since the units are not literally able to be separated,” they created.

“To establish the document straight, all Madoff targets were net losers and must have been treated therefore,” Sage wrote in his July 16 missive. “These targets should not need to hand over their possessions including their homes, via the activities of attorneys capitalizing on the suffering of those already suffering.”

Picard’s Recovery Efforts

Picard and his law practice were tasked in 2008 with recovering any gains from Madoff’s Ponzi scheme, an investment scam that pays early financiers with cash from later investors rather than from any kind of actual profits.

Sage and Florio, that utilized to keep up New York’s attractive set and were photographed with each other at the American Ballet Cinema gala in Might 2007– a year and a fifty percent prior to the Madoff rumor hit– are currently representing themselves without an attorney, according to court documents.

Victims of the Scam

The checklist of those scammed consisted of star Kevin Bacon, Hall of Fame baseball player Sandy Koufax, the Wilpon family members that formerly possessed the New York Mets and movie director Steven Spielberg’s charitable foundation, Wunderkinder.

Picard asserts he can buy the seizure of 2 of the apartments– which step 1,210 square feet and 902 square feet, respectively– due to the fact that they “remain legally distinct units and keep their original, appreciable block and lot numbers.”

Picard, however, convinced a government judge that those that withdrew more than they transferred with Madoff– that passed away behind bars in 2021 while offering 150 years for securities fraud– must give back the distinction.

Irving Picard– the attorney that has clawed back virtually $15 billion for Madoff customers melted in the fund’s 2008 collapse– is mosting likely to uncommon lengths to implement an April 2022 court ruling that located New York legal representative Malcolm Sage was a rare “internet victor” in the Madoff mess.