It’s one down and a gazillion to go for Walter Noel’s hedge fund firm Fairfield Greenwich in its legal battles over the $7.2 billion it had invested in Ponzi King Bernard Madoff.

After seeing its $6 million settlement offer to Massachusetts Secretary of State William Galvin rejected last month, the state has now agreed to be paid $8 million, including a $500,000 fine.

The settlement comes a day before the first scheduled hearing in the case. Fairfield settled without admitting or denying the allegations.