Prosecutors want Madoff jailed, say he sent away jewelry

The government wants Bernie Madoff behind bars pending the next phase of his fraud case, citing the accused money manager’s decision to send valuable personal jewelry and other items to third parties in recent weeks.

Madoff, 70, disposed of five items including "very valuable jewelry," Assistant U.S. Atty. Marc Litt told a federal judge at a hearing in Manhattan today, Bloomberg News reported. The government apparently got three of the items back.

Despite that revelation, the judge, U.S. Magistrate Ronald Ellis, said he wanted more information from both sides before deciding whether Madoff should be detained.

From Bloomberg:

Bernard Madoff, awaiting trial for securities fraud, remained free on bail while a federal judge considered a request by prosecutors to send him to prison for mailing $1 million of valuables in violation of an asset freeze.

Defense lawyer Ira Sorkin said the objects, including watches and cuff links, were heirlooms innocently sent to Madoff’s relatives. Sorkin said he told his client to retrieve them and alerted the government.

Litt, arguing for Madoff's incarceration, told the judge that "the case against the defendant is strong, and it’s getting stronger," making it more likely Madoff will flee, Bloomberg reported.

"In the face of a direct and clear order of a court, [Madoff] violated the order" against transferring assets, Litt said.

But Ellis wasn’t immediately persuaded that Madoff’s decision to send off the personal items was enough to warrant a change in his bail status.

Madoff, accused of running a $50-billion Ponzi scheme, is under house arrest at his New York apartment, and his movements are monitored.

-- Tom Petruno

Photo: Bernie Madoff leaving court today (credit: Kathy Willens / Associated Press)

Comments

[Larry Linn]

Anyone that steals a vacant automobile worth +/- $1,500, would be sitting in jail. It appears to be a double standard.

[DVS]

You're kidding me, right? This Magistrate wants more information about Madoff before deciding whether he should be "detained"! He thinks this guy is not a flight risk!? He just disobeyed a direct court order and this Judge wants to hear more in his defense!? Who does this Judge think he's dealing with!? This puke is a one-man Enron scandal and this idiot wants to let him walk away until he finds out more!? I'm not a conspiracy-theorist, but I'm thinking Billionaire-boy got to this judge.

[Timber]

No bail.

[martscan]

I am not defending Madoff, but I can understand his actions concerning the jewelry and heirlooms. I'm certain their monetary value played no part in his wanting to preserve some shred of his identity, of who he once was. Perhaps his father's watch, or his grandmother's pearls...whatever. As it is, the man no longer exists and probably now lives in a surreal fog. He is no threat to society, nor is he going anywhere. Effectively, he is already dead.

[Brian]

A million dollars worth of jewelry won't pay off $50 billion in stolen funds, but I guess it could be a start.

[lisa]

This sounds like a second ruse, to convince the credulous of the family's "innocence"-- they turn dad in AGAIN, this time for mailing them trinkets.

This family LIVES by duping others. It's all a pantomime.

[Jamaa Fanaka]

It is abundantly clear to me from the Madoff travesty and FROM EXPERIENCE that the justice system in America is for the rich and powerful. If something is not done to correct this corrupt system, human beings will become feral and begin defining and exacting their own justice. Now, that's frightening!

[Sky]

We now live in a world where morals, laws, court rulings and ethics are all out the window for the highest dollar. Madoff has *only* admitted to 50 Billion Dollars. All financial elite & wealthy individuals always plead very conservatively in terms of true amounts of money accumulated, which could easily amount to Madoff's take of $100 Billion dollars with most squirreled away in off-shore accounts.

Mr. Madoff may in fact be reading this!!! That is the funniest ironic point of all of these posts to me!!! He has full FREEDOM of Internet & Phone & his wife's laptop/computer/wire transfers etc. He could very easily be transferring funds or even continuing his Ponzi Scheme through his wife's account(s) even now when everyone is ridiculing him, hence him always smiling & optimistic now. He could be talking and engaging with ANYONE in ANY WAY through these Internet & Phone privileges!!!

"Hypothetical" Next Steps for Mr. Madoff: Madoff could very easily BRIBE the Honorable Judge Ellis during this entire process. Why attempt to Bribe multiple entities such as the Feds guarding him, the CORPORATE security guard company or individuals, etc. when such an intelligent man such as Madoff knows his future is EXTREMELY secure and freedom is guaranteed via this liberal judge? Madoff is a schemer and a true Mastermind regardless of his short-comings. An offer of $10 billion dollars or so, all going through a non-direct route (such as judge Ellis's lawyer on call, which could be "considered" confidential Attorney-Client privilege today) for a small fee of, say, 5 Billion dollars to judge Ellis's Attorney, would do the trick. Now, via a three second search on the Internet, they can choose where all three of them want to retire from!!! YES, IT IS REALLY THIS SIMPLE CONSIDERING MADOFF'S INTELLIGENCE, DISPOSABLE INCOME SQUIRRELED AWAY & COMPLETE LACK OF GUILT CONSCIENCE. Here are their choices:

Source: http://answers.google.com/answers/threadview?id=27692

Countries which have neither diplomatic relations nor extradition
treaties with the US are Andorra, Angola, Bantu Homelands, Bhutan,
Bosnia, Cambodia, Ciskei, Cuba, Iran, Korea (North), Libya, Maldives,
Serbia, Somalia, Taiwan, Transkei, Vanuatu, and Vietnam."

Personally, I would choose Cuba due to the proximity :--) hahahaha of a deep egotistical satisfaction of being so close to the USA and retiring with Cuban Cigars & sipping Martinis while lounging in my cabana on the beautiful beach the rest of my life if I was 70+ years old. Madoff has nothing to fear at all, and I guess I would be smiling and happier than a lark as well due to these FACTS.

[martscan]

Sky:

Pie was never more appropriate.