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Husband Burned by Madoff Wants New Divorce Deal

He lost his share of settlement in Ponzi scheme

By John Johnson,  Newser Staff

Posted May 31, 2011 2:44 PM CDT

(Newser) – Bernie Madoff is messing up divorce settlements now, too. A husband wants his wife to give him back millions of dollars because he lost his share of their combined wealth in Madoff's Ponzi scheme, reports the New York Times. Steven Simkin and Laura Blank split up in 2006 and divvied up $13.2 million in assets. She took hers in cash, while he kept his under the care of Madoff. When Madoff's scheme went poof, Simkin filed papers to revise their settlement. His wife refused, and the matter has now reached New York state's highest court.

That's a rarity in the world of divorce settlements, and Peter Lattman writes that the state's legal community is fascinated. “The decision could open the floodgates for people who want to challenge agreements after they go sour,” says one divorce lawyer. “Deals are done every single day based on assumptions about what things are worth. If the court allows this lawsuit to go forward, how can we be certain that deals will hold up?”

Bernie Madoff in a file photo. His Ponzi scheme has messed up a divorce settlement.
Bernie Madoff in a file photo. His Ponzi scheme has messed up a divorce settlement.   (AP Photo/Louis Lanzano, file)
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COMMENTS
Showing 3 of 4 comments
Elephant
May 31, 2011 9:13 PM CDT
What the...that's hat happens in the last episode of Curb Your Enthusiasm - the Seinfeld Finale show!  George and his ex-wife have an argument about the fact that he left his share of the divorce settlement in Madoff's Ponzi scheme and she took her share out! Maybe this guy should try suing Larry David and Jerry Seinfeld for appropriating his life - he probably has as bleak a chance as he does with this plan.
lasano
May 31, 2011 3:17 PM CDT
The wife made a wise choice and the husband didn't. That's probably a lot to do with why they got divorced in the first place. What a whiner. 
DSW
May 31, 2011 3:14 PM CDT
WOW!!!!!  HE WANT'S BURNED AGAIN!!

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