|
|
| Madoff Jailed After Admitting Epic Scam |
| By online.wsj.com |
| Published: 03/13/2009 |
|
By ROBERT FRANK, AMIR EFRATI, AARON LUCCHETTI and CHAD BRAY Bernard L. Madoff was sent to jail Thursday after confessing to one of the largest frauds in history, telling a courtroom filled with people he cheated that he was "sorry and ashamed" for bilking so many out of their life savings. "As the years went by, I realized that my arrest and this day would inevitably come," said the 70-year-old Mr. Madoff, dressed in a crisp white shirt and charcoal-gray suit. "I am painfully aware that I have deeply hurt many, many people, including the members of my family, my closest friends, business associates and the thousands of clients who gave me their money." How did one of the largest financial scandals of our time go on for so long without being detected? WSJ reporters offer insight into Bernard Madoff's alleged Ponzi scheme. "I cannot adequately express how sorry I am for what I have done," he added. The jailing of inmate No. 61727-054 marked the climax of three months of international intrigue after Mr. Madoff confessed his epic crime to his sons, leading to his arrest on Dec. 11. Mr. Madoff's decline and fall added to a national crisis of confidence and distrust of the financial system. The human costs have also been severe, with some investors losing all their money and at least one committing suicide. The moment was reminiscent of the arrests of Enron executives Ken Lay and Jeffrey Skilling, symbols of the corporate crime wave that followed the boom of the late 1990s. Mr. Madoff pleaded guilty to 11 felony counts and for the first time publicly described how he managed the global, multibillion-dollar Ponzi scheme and concealed it from federal authorities and investors for more than a decade. He pleaded guilty after waiving a grand-jury indictment and criminal trial in hopes of receiving a more lenient sentence from the judge. He faces a maximum sentence of 150 years, but is more likely to get about 20 years in prison, if sentences run concurrently. Financier Bernard Madoff passed the press outside Manhattan federal court Thursday. U.S. District Judge Denny Chin revoked Mr. Madoff's bail, no longer allowing him to remain in his $7 million Manhattan penthouse where he has been living under 24-hour security guard since mid-December. He was sent directly to jail, pending his sentencing June 16. The decision drew a burst of applause from a crowd of Madoff investors and other spectators in the courtroom. A small group of burned investors were given time to speak. One of them, George Nierenberg, walked toward Mr. Madoff at the defense table and demanded that he face his victims in the galleries. As Mr. Madoff briefly turned to look at Mr. Nierenberg, two marshals directed the investor back to the podium. Mr. Madoff, known for his icy composure, showed occasional signs of pressure during the hearing. He nervously twiddled his thumbs just before the proceeding started, and his eye twitch -- a longtime condition -- became more pronounced during his statement. He spoke so quietly that the judge had to ask him to speak up. His wife, Ruth, an employee with his firm, did not appear at the hearing. After the judge said, "Tell me what you did," Mr. Madoff spent 12 minutes discussing his crime. Some details conflicted with the claims of prosecutors. For example, Mr. Madoff said the fraud began in the 1990s. Prosecutors stated they believe the fraud dates back to at least the 1980s. Bernard L. Madoff was sent to jail Thursday after confessing to one of the largest frauds in history, telling a courtroom filled with people he cheated that he was "sorry and ashamed" for bilking so many out of their life savings. "As the years went by, I realized that my arrest and this day would inevitably come," said the 70-year-old Mr. Madoff, dressed in a crisp white shirt and charcoal-gray suit. "I am painfully aware that I have deeply hurt many, many people, including the members of my family, my closest friends, business associates and the thousands of clients who gave me their money." How did one of the largest financial scandals of our time go on for so long without being detected? WSJ reporters offer insight into Bernard Madoff's alleged Ponzi scheme. "I cannot adequately express how sorry I am for what I have done," he added. The jailing of inmate No. 61727-054 marked the climax of three months of international intrigue after Mr. Madoff confessed his epic crime to his sons, leading to his arrest on Dec. 11. Mr. Madoff's decline and fall added to a national crisis of confidence and distrust of the financial system. The human costs have also been severe, with some investors losing all their money and at least one committing suicide. The moment was reminiscent of the arrests of Enron executives Ken Lay and Jeffrey Skilling, symbols of the corporate crime wave that followed the boom of the late 1990s. Mr. Madoff pleaded guilty to 11 felony counts and for the first time publicly described how he managed the global, multibillion-dollar Ponzi scheme and concealed it from federal authorities and investors for more than a decade. He pleaded guilty after waiving a grand-jury indictment and criminal trial in hopes of receiving a more lenient sentence from the judge. He faces a maximum sentence of 150 years, but is more likely to get about 20 years in prison, if sentences run concurrently. U.S. District Judge Denny Chin revoked Mr. Madoff's bail, no longer allowing him to remain in his $7 million Manhattan penthouse where he has been living under 24-hour security guard since mid-December. He was sent directly to jail, pending his sentencing June 16. The decision drew a burst of applause from a crowd of Madoff investors and other spectators in the courtroom. A small group of burned investors were given time to speak. One of them, George Nierenberg, walked toward Mr. Madoff at the defense table and demanded that he face his victims in the galleries. As Mr. Madoff briefly turned to look at Mr. Nierenberg, two marshals directed the investor back to the podium. Read more. If link has expired, check the website of the article's original news source. |
Comments:
Login to let us know what you think
MARKETPLACE search vendors | advanced search
IN CASE YOU MISSED IT
|
Waco has developed a reputation for a rocket-docket in patent litigation. It’s an important choice to find the right lawyer in Waco for your important patent litigation matter. When people in the know make the hire, they hire Dunnam & Dunnam. Lawyers that are competent, hard-working, focused are a rare find. Few attorneys have the commitment to quality, collegiality, and loyalty of the Waco accident attorney, You can search for attorneys with loyalty, leadership, accountability. These attorneys show financial generosity and a sense of fairness to their colleagues. For nearly 100 years, people in Waco have hired the firm when the results matter. at Dunnam & Dunnam are among the most respected in the Central Texas area. They have the experience in trials and mediations to guide your case in the right way. There are few important decisions at the outset of the case that can turn the tide in your favor. Choosing the right lawyer is one of them.