Madoff Cut Dead Client’s Payout With Fake Loss, Jury Told – Bloomberg

Bernard Madoff’s deputies made fake paperwork showing trading losses to save $1.7 million owed to an investor who died with “too much money” in his account even as the firm was being flooded with new customers and cash in the 1990s, the con man’s former finance chief told a jury.

While Madoff usually backdated trades to diminish payouts to the estates of clients who died, he couldn’t do that for Jacques Amsellem, a French customer since the late 1970s, because the man’s lawyer didn’t alert the firm to the death until two months later, Frank DiPascali, 57, testified yesterday at the federal trial of five former colleagues in Manhattan.

via Madoff Cut Dead Client’s Payout With Fake Loss, Jury Told – Bloomberg