Over 40 lawsuits connected to Bernard Madoff’s $65 billion Ponzi scheme are pending in Ireland.
The importance and urgency of the 42 cases was highlighted when Justice Peter Kelly, head of Ireland’s Commercial Court, announced that he would skip the Irish High Court’s summer vacation to hear the motions.
One of the major cases resulting from fraudster Madoff’s fallout involve Dublin-based Thema International Fund and the Irish branch of banking giant HSBC.
Much of the litigation has been stayed until October, when Judge Kelly will hear the case between Kalix, a British Virgin Islands-registered fund, and HSBC Institutional Trust Services (Ireland) Ltd.
Kalix Fund Ltd is suing HSBC Institutional Trust Services (Ireland) Ltd for $35 million, which was given by Kalix for investment purposes to a sub-fund of Thema International Fund plc, and later was put into Madoff investments by HSBC.
Kalix’s investment has been “wiped out,” and the company is accusing HSBC of wrongful conduct, stating that by investing with Madoff, HSBC breached its obligations to Kalix.
The case arose from a statement on behalf of Thema to the Irish Stock Exchange on December 17, 2008 after Madoff’s record breaking fraud was revealed, announcing that HSBC was unable to obtain confirmation on the safe custody of Thema’s assets.
Madoff is now serving the maximum prison sentence of 150 years for his unlawful actions.