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Madoff's Wife Pulled $15M Before Arrest

AP
posted: 285 DAYS 9 HOURS AGO
comments: 328
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BOSTON (Feb. 11) - The wife of disgraced money manager Bernard Madoff withdrew more than $15 million from a firm co-owned by her husband — including $10 million on the day before his arrest on charges he ran a $50 billion Ponzi scheme, the top security regulator in Massachusetts said Wednesday.
Secretary of State William Galvin said Ruth Madoff, 67, withdrew $5.5 million on Nov. 25 and $10 million on Dec. 10 from Cohmad Securities Corp., a New York firm co-owned by her husband.
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The secretary cited reports produced by Cohmad as proof of the withdrawals.
A telephone number listed to Ruth Madoff in Palm Beach, Fla., rang busy and a number in New York had been disconnected. Messages left for the Madoffs' attorney were not immediately returned. A Cohmad spokeswoman in New York said the company had no comment.
In New York, meanwhile, the government and lawyers for Madoff agreed to a 30-day delay in the Wednesday deadline for obtaining a grand jury indictment against the money manager.
The new deadline is March 13.
Since Madoff's arrest Dec. 11, investigators have been assessing the financial damage inflicted on thousands of people who lost money investing with Madoff.
The victims identified so far have included ordinary people and Hollywood celebrities, along with large hedge funds, international banks and charities in the U.S., Europe and Asia.
Madoff was arrested after investigators said he confessed to his sons that he had swindled investors of a mammoth Ponzi scheme — early investors are paid with money raised from new investors.
The 70-year-old former Nasdaq stock market chairman remains confined to his Manhattan penthouse under house arrest.
Galvin made his disclosure in a complaint asking Massachusetts state regulators to stop Cohmad from doing business in Massachusetts because it failed to provide information to Galvin about its relationship with Madoff. Galvin said Cohmad officials have ignored subpoenas or given incomplete responses as part of the state's probe of how Massachusetts investors lost money in the Madoff scheme.
An associate of Madoff, Robert Jaffe, appeared last week before officers of the Massachusetts Security Division, but officials declined to say what Jaffe discussed. Galvin has described Jaffe as a registered agent and principal of Cohmad, which is in the same New York City building as Madoff's firm.
Jaffe's lawyers have said he had no knowledge of Madoff's actions and was himself a victim who lost millions of dollars.
Galvin said the discovery of Ruth Madoff's withdrawals raises questions about whether there was a broader conspiracy behind Bernard Madoff's actions. Madoff has projected himself as someone who acted alone.
"As you know, the tale is being told that it was just Mr. Madoff who apparently worked 24 hours a day, shooting out false invoices and statements to people," Galvin told The Associated Press in an interview.
"It would seem as if some of the facts that we've discovered would raise, at least, some questions on that. I certainly am not questioning the thoroughness of my colleagues in other jurisdictions, but I think our findings, which we're sharing with them, would hopefully spur them on to be very thorough in looking over all the parties involved here and not to accept facile explanations about how this happened," Galvin added.
He also cited a $526,000 Cohmad payment to a woman he said was associated with Madoff — but not licensed in Massachusetts or ever a Cohmad employee — as more potential evidence of a conspiracy.
"It suggests to us that this is one big entity," Galvin said.
Copyright 2009 The Associated Press. The information contained in the AP news report may not be published, broadcast, rewritten or otherwise distributed without the prior written authority of The Associated Press. Active hyperlinks have been inserted by AOL.
2009-02-11 13:41:16
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Recent Comments

1 - 10 of 328
328 comments

SKYWESTMTN 02:32:01 PM Feb 27 2009

VISIT WWW.CROSCONNECT.COM OR WWW.THECROSSINGMALL.COM

mexbeachrentals 04:30:05 PM Feb 24 2009

I, for one, am tired of hearing what the Madhoffs have gotten away with and not hearing anything about what the authorities have done to them. Next we'll hear that the courts have granted BM permission to vacation in the Islands due to all the stress he's under. He deserves to be out of the penthouse and in the big house awaiting sorting out the mess he created.

Littlemattiem 08:03:17 PM Feb 20 2009

We ought to do as the Chinese, the greatest capitalists in the world would do--"kill the pigs to warn the monkeys". That includes that **** wife Ruth Madoff and their entire "inner circle" aka family.

JCDSDP 04:34:44 PM Feb 17 2009

Shame Madoff is NEVER going to go to trial. The prosecutors don't want the country to know how sick our financial markets are and how easy it is for people to be robbed. Bernie will get 5 years and a 50 million dollar fine.

Bluezz Bytes 09:51:14 PM Feb 13 2009

Your absolutely correct Orish. The goal is to have us all RFID chipped which would make it impossible for us to ever revolt. Our children and grandchildren and all future generations will be brutalized and starved. All of our children will spend a lifetime fighting wars. All to feed the machine. Unless we somehow wake everyone around the world up. SAY NO TO RFID PLEASE!!!

AHCROD 04:32:58 PM Feb 12 2009

Let's deport Orish1 to where there is no computer hookup

Orish1 02:51:49 PM Feb 12 2009

RELIGION IS ALSO USED TO DIVIDE AND CONQUER.......THESE PEOPLE KNOW THE BOTTONS TO PUSH, THE NEED FOR US TO BE DIVERTED FROM WHAT IS IMPORTANT BY THE CONSTANT ENTERTAINMENT BEING HEAPED ON US.....FROM SPORTS TO MOVIES TO MUSIC TO BOMBARDMENT OF NEWS, T.V. THRU COMMERICALS, THE SPONSORS ARE THE CONTROLLERS, AND WELL AS THE 5 MEN WHO CONTROL THE MAJORITY OF THE SO-CALLED MAINSTREAM NEWS OUTLETS.........IT IS ALL A DIVERSONARY TACTIC.....TO DIVIDE AND CONQUER US. YOU AND ME.....

Orish1 02:43:55 PM Feb 12 2009

THIS CURRENT FINANCIAL CRISIS IS NOTHING NEW, IT HAPPENED BEFORE MANY TIMES, IT WAS THE REASON FOR WW1 AND WW2, VIET NAM, AND NOW THE MIDDLE EAST WARS.....THE OLD MONIED FAMILIES AND BANKS WILL NEVER, NEVER GIVE UP THEIR POWER AND CONTROL.......WE THE PEOPLE SLAVES WILL ALWAYS WORK AND TOIL TO KEEP THEM IN THE LIFESTYLE THEY ARE ACCOUSTOMED TO LIVING IN......IT HAS ALWAYS BEEN THAT WAY......AND WHEN THE WORLD IN NEAR COLLAPSE, THEY WITH COME THROUGH WITH THE PITIFUL LITTLE JOBS FOR US AND CHAMPION THEMSELVES AS HEROS.....STOP THE NAME CALLING, WHETHER IT BE LIBERALS, NEO/CONS, WACKOS RIGHT OR LEFT, RACIST OR BIGOTS., JEWS, BLACKS, PEOPLE OF COLOR.....IT'S IS CRAZY MAIKING TACTICS......DON'T BE FOOLED.......THAT'S NOT WHAT IT'S ABOUT, THAT IS ONLY TO DIVIDE AND CONQUER US, IT'S DIVERSONARY! .......KEEP VIGILANT....

Orish1 02:34:31 PM Feb 12 2009

DON'T BE FOOLED BY THE NAME CALLING, AND THE RACIST OR BIGOTRY BEING SPEWED ABOUT.....THAT'S NOT WHAT THIS FINANICAL CRISIS IS A BOUT,....IT'S ABOUT MONEY, POWER AND CONTROL.....WHEN CONTROL IS CONTAINED BY CONTROL OF ENERGY, WATER, FOOD SOURCES, GAS, ARMIES, NUCLEAR WEAPONRY.... IT IS OVER.....WATCH OUT FOR CHINA, RUSSIA, INDIA, EGYPT, THESE ARE THE CURRENT POWER PLAYERS.....THE MIDDLE EAST IS CURRENTLY WHERE THE ACTION HAPPENS TO BE TODAY, IT IS NECESSARY FOR THE U.S. TO BE IN THE HEART OF THE ACTION, TO PROCESS THE CONTROL OF ENERGY (GAS,OIL),....TO BE A POWER PLAYER AND NEGTIONATOR.......DON'T BE FOOLED BY THE NAME CALLING IT'S JUST A DIVERSIONARY TACTIC.....TO DIVIDE AND CONQUER US.....WE THE PEOPLE...

Orish1 02:27:28 PM Feb 12 2009

AND WHEN THE BANKS ARE PROPEROUS AND SOLVENT, AND THE WORLD NEAR CHAOS, AS IT IS IN MANY COUNTRIES OF THE WORLD NOW, LOOK AT THE RIOTS AND DEPTH OF STARVATION, WAR, BRUTALITY, WHEN ALL THE WORLD'S PRECIOUS METALS, WATER AND FOOD , AND ENERGY SOURCES ARE UNDER CONTROL BY THE BANKS AND THEIR AGENTS AND ARMIES (BLACKWATER, ETC), WE WILL BE UNDER TOTAL DOMINATION, AS IS PREDICTED IN '1984', THEY WILL HAVE WHAT THEY WANT....POWER! AND CONTROL!.....THEY ARE THE 'MASTERS OF THE UNIVERSE' IT IS THEIR GAME...IT IS THEIR GOAL....IT IS THEIR FOCUS......LITTLE BOYS IN MEN'S BODIES PLAYING A GLOBAL GAME .....

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