Ex-Bernie Madoff workers plead not guilty, deny involvement in Ponzi

Ex-Bernie Madoff workers plead not guilty, deny involvement in Ponzi
Three ex-employees of Bernie Madoff -- including operations chief Daniel Bonventre (above) -- say they played no part in the fraudster's $65 billion scheme
DEC 29, 2009
A former executive with disgraced financier Bernard Madoff's investment firm and two other ex-employees pleaded not guilty on Thursday to charges that they were in on his massive Ponzi scheme. Former operations chief Daniel Bonventre was arrested last month on securities and tax fraud charges accusing him of concealing Madoff's multibillion-dollar swindle. An indictment unsealed on Wednesday added a new charge against Bonventre — who ran the back office of Madoff's firm for 30 years — of falsifying the records of an investment adviser. Bonventre was named in the indictment, along with the programmers, who had been previously charged with helping Madoff churn out fictitious account statements for thousands of investors. The three, who are free on bail, pleaded not guilty in federal court in Manhattan. They were ordered to return to court on April 12. Prosecutors and the Securities and Exchange Commission have alleged Bonventre knew that the billions of dollars Madoff was collecting from investors were not being used to buy securities, and that he doctored the books to hide the scheme. The SEC says Bonventre cashed in on the fraud by taking $1.9 million in profit from bogus backdated trades that had not occurred. A criminal complaint also accused him of failing to report hundreds of thousands of dollars in income to the IRS. Madoff, 71, is serving a 150-year prison sentence after admitting that he operated his scheme for at least two decades, cheating thousands of individuals, charities, celebrities and institutional investors out of billions.

Latest News

The 2025 InvestmentNews Awards Excellence Awardees revealed
The 2025 InvestmentNews Awards Excellence Awardees revealed

From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.

Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty
Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty

Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.

Edward Jones joins the crowd to sell more alternative investments
Edward Jones joins the crowd to sell more alternative investments

“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.

Record RIA M&A activity marks strong start to 2025
Record RIA M&A activity marks strong start to 2025

Sellers shift focus: It's not about succession anymore.

IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients
IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients

Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.