Madoff Victims Cry Foul at Trustee Fees

Bernie Madoff’s victims want to get their money back faster. The New York Post reports that hundreds of Bernie Madoff’s investors are arguing in court that Irving Picard, the court-appointed bankruptcy trustee in the Madoff case, is raking in too much cash for his stewardship of the ill-gotten funds.

The bill for Picard’s service works out to around $5,000 a day, and fees for his law firm come to more than $283,000 a day, according to court filings. Madoff’s victims are objecting to the steep fees, what they call a lack of transparency in the work being done to handle claims, and the fact that Picard has yet to determine “2,995 customer claims constituting $14 billion of the $20 billion of claims the trustee has said he will recognize.”

Curiously, a spokesman for Picard told the Post that fees paid to Picard don’t come out of the Madoff victims’ funds. The Securities Investor Protection Corporation handles that, the spokesman said. Madoff Victims Cry Foul at Trustee Fees