Madoff accountant faces jail term
Thursday 19 March 2009
The accountant for Bernard Madoff has become the second person to be charged over Wall Street's biggest swindle. David Friehling faces up to 105 years in jail for criminal fraud, and his family firm, Friehling & Horowitz, also faces civil charges by the US Securities and Exchange Commission.
Mr Friehling was paid up to $14,000 a month by Madoff but only "pretended" to audit his business, the legal filings allege. After Madoff turned himself in last December, finance professionals said his use of such a tiny audit firm, based in a suburb of New York, should have been a red flag to investors. Investigators from the SEC and the FBI believe Madoff had not invested his clients' money in a single share for more than 20 years. Cash from new clients was used only to pay investors who cashed out. The total of $65bn that Madoff's thousands of clients believed was theirs was a fictitious number, and most can expect to have lost almost all the money they entrusted to the swindler.
Prosecutors are going after assets held in the name of Madoff's wife, Ruth, who formally owns most of their homes and yachts. That includes Mrs Madoff's $2.6m of jewellery and her husband's designer watches.
- 1 Woman 'suffocates newborn baby in plastic bag and puts it in her desk minutes after giving birth'
- 3 Company breaks open Apple Watch to discover what it says is 'planned obsolescence'
- 5 Chinese student carries disabled friend to school every day for three years
Nepal earthquake in pictures: Photos show devastation caused by 7.8 magnitude earthquake
Royal baby: Live updates as superbug closes ward at St Mary's Hospital in London where Duchess of Cambridge is due to give birth
Nepal earthquake: Rescuers forced to dig with their bare hands in search for survivors as images show damage to historic buildings
Ed Miliband and Boris Johnson in angry clash live on BBC's Andrew Marr Show
Bali Nine executions: British grandmother on death row in Indonesia Lindsay Sandiford says she 'just wants to get it over with'
General Election 2015: Chuka Umunna on the benefits of immigration, humility – and his leader Ed Miliband
The sickening truth about food banks that the Tories don't want you to know
Migrant boat disaster: Ukip candidate mocks victims in sickening Twitter post
Nigel Farage wants the BBC to stop making programmes like Doctor Who, Strictly Come Dancing, and Top Gear
Global warming: Scientists say temperatures could rise by 6C by 2100 and call for action ahead of UN meeting in Paris
General Election 2015: Britain would become a 'communist dictatorship' under Ed Miliband and Nicola Sturgeon, claims wife of Michael Gove
£26000 - £28000 per annum + benefits : Ashdown Group: Senior Accounts Assistan...
£24000 - £26000 per annum + benefits : Ashdown Group: A highly successful, glo...
£22000 - £40000 per annum: Recruitment Genius: This company is part of a Group...
£16000 - £18000 per annum: Recruitment Genius: Are you a a young, dynamic pers...