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A bankruptcy judge has blocked a proposed settlement between the families of Sandy Hook elementary school shooting victims and conspiracy theorist Alex Jones. Judge Christopher Lopez of the U.S. Bankruptcy Court for the Southern District of Texas stated on Wednesday that the deal, aimed at dividing Jones’s assets, exceeded his court's authority.
The settlement was intended to allocate 25% of Jones's future payments to the Texas families and 75% to those who won judgments in Connecticut courts, totaling nearly $1.3 billion. Lopez remarked, "At its core, this is something I can’t approve," emphasizing the need for resolution in state court rather than through bankruptcy proceedings.
Jones’s bankruptcy attorneys argued that the settlement aimed to secure funds before an appeal could potentially reverse the Connecticut judgments. Conversely, the Sandy Hook families’ lawyers viewed the agreement as a crucial step in addressing the claims and facilitating interim distributions from Jones’s bankruptcy estate. Lopez's ruling complicates the potential sale of Jones's Infowars platform and follows a December decision to block a similar auction.