Bernard Madoff’s Finance Chief Frank DiPascali Locked Up After Pleading Guilty To Fraud

August 12, 2009

(ChattahBox) — Frank DiPascali the former chief financial officer for Bernard Madoff’s investment advisory business, pleaded guilty Tuesday to conspiracy in the $65bn Ponzi scheme. Before accepting his admission of guilt a federal judge demanded and heard DiPascali recount that he participated in defrauding thousands of people by lying to investors and testifying falsely when it seemed that the fraud might be discovered.  Clients say DiPascali was their main contact with Madoff’s company, a fact that he admitted as he pleaded guilty in federal court in Manhattan on Tuesday to the 10 charges ranging from conspiracy and securities fraud to perjury, tax evasion and falsifying records, contained in a criminal information charging document. The charges carry a maximum sentence of 125 years, though a cooperation deal still could earn leniency. With his guilty plea, DiPascali waived his right to a trial.

DiPascali now 52, had worked for Madoff since he was 18, eventually becoming his chief financial officer, faked stock trades and fabricated client account statements for more than 20 years out of loyalty to Madoff who gave him a job. DiPascali repeatedly stated that he perpetrated the massive fraud in collusion “with others,” though he specified neither who those other were nor how many they numbered. Federal District Court Judge Richard J. Sullivan, refused to release Mr. DiPascali on bail after his plea, a great surprise to both the government attorneys and the defense lawyers, despite pleas by prosecutors that he remain free to better assist their complex wide-ranging investigations. Madoff himself pleaded guilty to 11 counts and was sentenced to 150 years in prison for masterminding the scheme.



2 Responses to “Bernard Madoff’s Finance Chief Frank DiPascali Locked Up After Pleading Guilty To Fraud”

  1. Twitted by mynetbizness on August 12th, 2009 7:34 am

    […] This post was Twitted by mynetbizness […]

  2. joe jones on August 12th, 2009 2:21 pm

    Yes, we are all glad Madoff and his clan have been put in their place. Terrible GREED that took place and must be stopped b/f others think they can get away with it…

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