A US judge has agreed to a $17m (£12.4m) compensation to women who accused disgraced movie mogul, Harvey Weinstein of sexual misconduct.
Weinstein, 68, was convicted last year in New York and jailed for 23 years for rape and sexual assault.
The payout for his victims will come from the liquidation of Weinstein Co, a company he co-owns with his brother, which filed for bankruptcy in 2018.
Judge Mary Walrath of the bankruptcy court said without the settlement, the plaintiffs would get “minimal, if any, recovery” and overruled an objection from some accusers looking to pursue appeals outside of bankruptcy court.
The company collapsed in late 2017, following widespread claims of sexual misconduct against Weinstein, who was convicted of sexually assaulting a former production assistant and raping an actress.
The judge said 83% of sexual misconduct claimants in the bankruptcy have;
Expressed very loudly that they want closure through acceptance of this plan, that they do not seek to have to go through any further litigation in order to receive some recovery, some possible recompense… although it’s clear that money will never give them that.
The $17m fund will be divided among more than 50 claimants, with the most serious allegations resulting in payouts of $500,000 or more.
The settlement was put to a vote of Weinstein’s accusers, with 39 voting in favour and eight opposed.
They will have the option to forgo most of their payout under the plan if they want to continue pursuing their claims.
Insurers contributed $35m under the liquidation plan, which also provides $9.7m to the former officers and directors of the Weinstein Co, allowing them to pay a portion of their legal bills over the last several years.
The directors and officers, who include Weinstein’s brother, Bob, also received releases that absolve them of any potential liability for enabling Weinstein’s conduct.
Weinstein Co sold its assets to Lantern Entertainment, which later became Spyglass Media Group, for $289m.
In October 2017, the Times reported that several women had accused the Oscar-winning producer of sexual assault. The allegations led to a number of further claims of sexual assault against Weinstein in The New Yorker and other publications.
The allegations against the producer went on to spur accusations against various prominent men in Hollywood and around the world under the #MeToo hashtag on social media, which became a movement.
More than 80 women, including actors Angelina Jolie, Gwyneth Paltrow, and Rose McGowan have opened up about similar stories against Weinstein. Some accused him of using physical force to compel them to have intercourse, while others said he tried to exchange parts in movies for sex or threatened to ruin their careers if they did not comply with him.
The convicted sexual assaulter is currently spending time in a New York jail.
