Madoff’s Freedom Ignites Rage

U.S. Representative Anthony Weiner denounced a federal judge’s decision to allow Bernard Madoff to remain free on bond while awaiting trial for allegedly running a $50 billion Ponzi scheme. “He should not be living at home, he should be in a jail cell,” said Weiner, a Democrat from New York, at a press conference today in front of Madoff’s Manhattan apartment on East 64th Street. His comment followed the judge’s ruling in Manhattan federal court. “This judge doesn’t seem to get it.”

U.S. Magistrate Judge Ronald Ellis said Madoff, 70, may remain free on a $10 million bond, denying a request by federal prosecutors that he be jailed because he mailed a diamond necklace, Tiffany and Cartier watches and other jewelry to relatives. The mailing violated a court-ordered asset freeze.

Ira Sorkin, Madoff’s defense lawyer, said in court papers that his client didn’t know the order applied to personal items.

Some residents living near Madoff’s penthouse apartment at 64th Street and Lexington Avenue in Manhattan expressed outrage at the ruling. Dawn Pohl, a real estate broker who said she lives on 72nd Street, said Madoff deserves to be imprisoned. “Other people go to jail for much less severe offenses, while he is sitting in the lap of luxury,” Pohl said. “It’s almost as if he’s being rewarded for what he’s done. I think it’s a disgrace.”

Judge Ellis ruled Madoff may continue to live under house arrest and electronic monitoring. He set new conditions, ordering Madoff to compile an inventory of all items in his home and barring him from transferring property.

“Somebody caught selling bogus Louis Vuitton goes to jail, but not him,” said Risa Pilicer of Great Neck, New York, as she walked by the building. “He deserves jail -- three hots and a cot.”
Skyler Horowitz, a lawyer who lives near Madoff’s home, said today as he passed the investment adviser’s building that he was “insane to think he could get away with it.” “I woke up and said I don’t know if I can trust my stockbroker,” Horowitz said. “I don’t know who to trust.”

The case is U.S. v. Madoff, 08-mag-2735, U.S. District Court, Southern District of New York (Manhattan). Story here.