Bankruptcy is nothing compared to the power of forfeiture vested in the Department of Justice. So why bother letting the assets slip into the expensive, time-consuming morass of bankruptcy? Let's just take them all, no?
The Securities and Exchange Commission asked a federal judge on Wednesday to block an effort by a group of customers to force convicted Ponzi-scheme operator Bernard Madoff into involuntary bankruptcy.
In a court document filed Wednesday, the securities regulator asked U.S. District Judge Louis Stanton in Manhattan to reject a motion to lift a stay in the SEC case against Mr. Madoff that prevents the former clients of Bernard L. Madoff Investment Securities LLC from pursing a bankruptcy action against him personally.
SEC Seeks to Block Bid to Force Madoff Bankruptcy [The Wall Street Journal]