A recent Law.com story, “Bankruptcy Trustee Settles With Former Rothstein Firm Lawyers Over Future Fees” reports that the trustee in the bankruptcy case of Ponzi operator Scott Rothstein’s defunct law firm has settled disputes with seven attorneys over future legal fees from cases they handled while employed at Rothstein Rosenfeldt Adler (RRA).  RRA dissolved last November following disclosures that Rothstein was running a Ponzi scheme based on phony settlement financing out of his Fort Lauderdale law office. 

The settlement agreement, submitted to U.S. Bankruptcy Judge Raymond Ray, provides for the trustee, Herbert Stettin to get a percentage of the recoveries on unresolved cases the former RRA attorneys are handling for clients in the door before Rothetein’s $1.2 billion fraud collapsed last November.  No dollar amounts are listed, but Gary Farmer, a former RRA attorney, said the total uncollected fees could exceed $10 million.