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.
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.