Law Center - POSTED: 2009/03/26 15:46
The brother of convicted Ponzi scheme mastermind Bernard Madoff had his assets frozen by a New York state judge as part of a $2 million lawsuit filed by an investor who lost $470,000 in Madoff’s fraud.
New York Supreme Court Justice Stephen Bucaria yesterday signed an order temporarily freezing assets of Peter Madoff, who was chief compliance officer of Bernard L. Madoff Investment Securities LLC, according to a copy of the order. Bucaria will hold a hearing on April 3 in Nassau County.
Peter Madoff served as trustee for a $470,000 inheritance that 22-year-old law student Andrew Samuels received in 2003, his father, Howard Samuels, said in an interview. The judge issued the order in a lawsuit filed yesterday by the younger Samuels, who is suing Peter Madoff for $2 million for breaching his fiduciary duty by investing his inheritance with Bernard Madoff.
“All of his assets” are frozen, Howard Samuels said. “Everything.”
The order prohibits Peter Madoff, who lives in Old Westbury, New York, on Long Island, from removing, transferring or encumbering any funds or property and requires him to disclose all assets he owns. Andrew Samuels’ lawyer, Steven Schlesinger, said the freeze order reaches all of Madoff’s assets.