Financial Times FT.com

Madoff scandal

Scale of harm key to bail refusal

By Brooke Masters in New York

Published: August 12 2009 00:27 | Last updated: August 12 2009 00:27

US District Judge Richard Sullivan’s unexpected decision to jail Frank DiPascali, the former lieutenant to Bernard Madoff, before sentencing is highly unusual and reflects the extraordinary size and scope of the harm caused by the $65bn Ponzi scheme, legal experts said.

After Mr DiPascali pleaded guilty to 10 criminal charges, both prosecutors and his attorney, Marc Mukasey, had urged the judge to release the 52-year-old father of four on $2.5m bail secured by pledges from three relatives and the equity in his sister’s house.

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