(NEW YORK) — Bernie Madoff’s younger brother was sentenced Thursday in New York to 10 years in prison for his role in the biggest-ever Ponzi scheme.
Peter Madoff listened as victims of the fraud spoke in court about the damage it had caused; retirees told the judge of their daily struggle to pay the bills after their savings were lost.
Peter Madoff, 67, served at Bernard L. Madoff Investment Securities as the senior legal counsel and chief compliance officer, according to DealBook, a financial news site published by the New York Times. Madoff the younger pleaded guilty to falsifying records on this brother’s behalf, but denied knowing about the Ponzi scheme.
DealBook reports that in a written letter to the court, Peter Madoff’s lawyer wrote, “Peter truly believed that his brother was a brilliant securities trader and as a result he encouraged his own family to invest millions of dollars in accounts managed by his brother.”
One woman told the judge Thursday that her anger has subsided but she still believes the Madoff brothers and anyone else involved should rot in jail.
DealBook reports that, according to a Madoff bankruptcy trustee, more than $17 billion was lost by the Madoff fraud victims. Just $9.3 billion has been recovered, and only about $3.7 billion has been distributed to victims of the massive swindle.
Copyright 2012 ABC News Radio
Kathryn Vasel, CNN Newswire
Herb Scribner, Deseret News