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Settlement Talks Between Mets and Madoff Victims Collapse

By Adam Nichols | February 3, 2011 6:26pm | Updated on February 4, 2011 6:49am
Mets owner and CEO  Fred Wilpon (left) and COO Jeff Wilpon speak to press about plans to sell part of the team in January.
Mets owner and CEO Fred Wilpon (left) and COO Jeff Wilpon speak to press about plans to sell part of the team in January.
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Kathy Kmonicek/AP Images

By Adam Nichols

DNAinfo News Editor

MANHATTAN — Settlement talks between the Mets owners and the man responsible for recovering money lost by the victims of Ponzi schemer Bernie Madoff broke down Thursday.

The move came after an argument over the leaking of confidential information in a sealed lawsuit, said the New York Post.

The collapse means the lawsuit is no longer sealed. Documents were expected to be made public Thursday.

"We are no longer pursuing settlement negotiations,' said David Sheehan, a lawyer working with Irving Picard, the trustee who filed the lawsuit against Mets owner Fred Wilpon and his partners.

The lawsuit seeks $300 million from the Mets, which is alleged to have made a profit from dealings with Madoff.

Details of the lawsuit leaked last week after Wilpon announced he was looking to sell a stake in the club because of financial pressure caused by the legal action, the Post reported.

Sheehan asked for the documents to be unsealed because of Wilpon's criticisms of the leaks.

"Defendants cannot cry confidentiality to this court while publicly attacking the complaint and continuing to frustrate the public's right to know the contents of the same complaint they disparage," he said.

The Mets consented to the unsealing, according to a letter obtained by the Post.