Bankruptcy Judge Stuart Bernstein ordered that Bernard Madoff must submit to a deposition by lawyers for some former customers who lost money when the imprisoned swindler's firm collapsed in December 2008, Reuters reported on Friday. Judge Bernstein restricted questions to the meaning of more than 91,000 transactions recorded as "profit withdrawal" on the books of the former Bernard L. Madoff Investment Securities LLC. The judge also said whatever Madoff says can be used only in litigation over the profit withdrawal issue, and that Madoff must be instructed in advance not to wander off topic. Madoff would be deposed at the North Carolina prison where he is serving a 150-year sentence for running a huge Ponzi scheme, though it is unclear when the deposition will take place. Read more.
For a further analysis of commercial fraud, make sure to pick up a copy of ABI’s Fraud and Forensics: Piercing Through the Deception in a Commercial Fraud Case.
