GO
Loading...

Racketeering Suit Raises New Questions About Madoff Son

In addition to Mark Madoff's children being sued—three days before his suicide—by Bankruptcy Trustee Irving Picard, Mark Madoff himself was implicated in another lawsuit Picard filed on Friday.

Financier Bernard Madoff with his wife Ruth Madoff and son Mark Madoff during November 2001 in Long Island, NY.
Getty Images
Financier Bernard Madoff with his wife Ruth Madoff and son Mark Madoff during November 2001 in Long Island, NY.

Unlike the suit against the children, which seeks just $274,000, the suit on Friday is massive.

It seeks more than $19 billion in a racketeering claim against Austrian banker Sonja Kohn, who Picard says was the major source of funds for Bernard Madoff's Ponzi scheme.

While Mark Madoff is not a defendant in the Kohn suit, Picard targets him as the link between Kohn and the scam. The suit points to a fax sent by a Kohn employee to Mark Madoff on Jan. 6, 2000, including Italian newspaper articles about Kohn's Milan-based online brokerage.

"This correspondence," Picard writes, "evidences Kohn's coordination with BLMIS in relation to the solicitation of investors for the Ponzi scheme."

Mark Madoff has denied any involvement in the scheme, as has Sonja Kohn.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More

Don't Miss

U.S. Video