Judge blocks Sandy Hook families' settlement in Alex Jones' bankruptcy

FILE PHOTO: Robbie Parker, whose daughter was killed in the Sandy Hook Elementary School Shooting, addresses the media after the jury awarded the victims' families $965 million in damages in a second defamation trial against Alex Jones over Sandy Hook claims in Waterbury, Connecticut, U.S., October 12, 2022. REUTERS/Michelle McLoughlin/File Photo

NEW YORK (Reuters) - A U.S. bankruptcy judge on Wednesday blocked a settlement between families who have sued Alex Jones over his false claims about the 2012 Sandy Hook Elementary School mass shooting, saying their attempt to divide the bankrupt conspiracy theorist's assets exceeded his court’s authority.

The decision complicates a proposed sale of Jones' Infowars platform, and could spur divisions between families who sued Jones and won nearly $1.3 billion in Connecticut court cases and those who won $50 million in Texas courts. The two groups of families had proposed a settlement that would guarantee the Texas families a 25% share of Jones' future payments made to the Sandy Hook families, with the Connecticut families taking 75%.