The Montauk beach house isn't the only home that Ruth Madoff has lost.
On July 1, federal marshals kicked her out of the Madoffs' Manhattan penthouse apartment and changed the locks. At the time, a source familiar with the Madoff case who didn't want to be identified said Madoff planned to live with relatives in the New York City area.
Madoff is facing her own legal troubles. Special bankruptcy trustee Irving Picard already has sued Ruth Madoff to recover $45 million and has said he plans to sue other family members.
In a complaint filed in late July in U.S. Bankruptcy Court in Manhattan, Picard claimed Madoff, who has maintained she wasn't involved in husband Bernard Madoff's Ponzi scheme, received tens of millions in fraudulent transfers.
Ruth Madoff's attorney has said the lawsuit is "wrong as a matter of law and fairness."