• United States Court of Appeals for Second Circuit Holds that Section 546(e) Safe Harbor Protects from Avoidance Transfers of Fictitious Profits in Connection with Madoff Ponzi Scheme
  • February 27, 2015 | Authors: Joel Moss; Brian Trust; Richard G. Ziegler
  • Law Firms: Mayer Brown LLP - New York Office ; Mayer Brown LLP - Chicago Office
  • In In re Bernard L. Madoff Investment Securities LLC (“Madoff”), the United States Court of Appeals for the Second Circuit reaffirmed its broad and literal interpretation of section 546(e) of the Bankruptcy Code, which provides a safe harbor for transfers made in connection with a securities contract that might otherwise be attacked as preferences or fraudulent transfers.