Merkin Settles with New York State

from Reuters:

Merkin settles Madoff-related suit with New York

Money manager Ezra Merkin has agreed to pay $410 million to settle a lawsuit brought by the New York attorney general that accused Merkin of steering client money to Ponzi schemer Bernard Madoff…

The settlement does not resolve a separate case brought against Merkin by Irving Picard, the trustee seeking money for all of Madoff’s victims. Picard is trying to claw back $500 million that Merkin and his funds withdrew from accounts with Madoff.