A bankruptcy judge has cleared a crucial settlement between the victims of Scott Rothstein's $1 billion-plus Ponzi scheme and creditors of his law firm, blessing a deal that will put money in both groups' pockets, Dow Jones Daily Bankruptcy Review reported today. Bankruptcy Judge Raymond B. Ray on Tuesday approved the settlement, calling it an "exceedingly fair" way to resolve the two groups' battle over the fruits of Rothstein's fraud. Since Rothstein's arrest and the bankruptcy filing of his Florida law firm in late 2009, prosecutors and bankruptcy lawyers have battled over whether Rothstein's luxury cars, watercraft, jewelry, cash, real estate and other assets were his personal property or property of the law firm.
