CBS2-Header-Logo WFAN 1010WINS WCBS tiny WLNYLogo

News

Former Madoff Deputy Testifies On 5th Anniversary Of Ponzi Schemer’s Arrest

Frank DiPascali Wrote In Diary 'Madoff Implodes'
Bernard Madoff

Bernard Madoff (Photo by Mario Tama/Getty Images)

TRI-STATE NEWS HEADLINES

From our newsroom to your inbox weekday mornings at 9AM.
Sign Up

NEW YORK (CBSNewYork/AP)New York financier Bernard Madoff’s former right-hand man summed up his boss’ arrest exactly five years ago with two words: “Madoff Implodes.”

The words were in Frank DiPascali’s diary entry for Dec. 11, 2008. The diary was shown to jurors Wednesday on the five-year anniversary of Madoff’s fall. The jurors are hearing evidence in the trial of five of Madoff’s former employees.

Madoff was arrested for running a massive Ponzi scheme on the day after the company Christmas party.

DiPascali says Madoff called him that morning to say the FBI was in the Manhattan office of Madoff’s brother Peter. DiPascali says he asked Madoff “why are you calling me?” and threw the phone across the room.

He testified that he went to the office shaking. He said he had known this moment was coming. One of his last acts, DiPascali testified, was to make up a lie to get defendant Annette Bongiorno to write out checks to all the employees who’d invested with Madoff.

DiPascali testified that he recalled seeing Ruth Madoff come in to the office. Instead of cheerfully handing out gifts, Mrs. Madoff looked catatonic, DiPascali told the jury.

DiPascali later pleaded guilty and cooperated with the government. He said he faces 125 years in prison if he does not tell the truth.

You May Also Be Interested In These Stories

(TM and © Copyright 2013 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2013 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)