09/26/2013 11:38 am ET Updated Sep 26, 2013

Ex-Madoff Accountant Paul Konigsberg Arrested


Sept 26 (Reuters) - A former accountant for Bernard Madoff was arrested on Thursday, nearly five years after the imprisoned swindler's huge Ponzi scheme was uncovered, an FBI spokesman said.

Paul Konigsberg, the accountant, had helped Madoff open an office in London during the 1980s, and was also a former senior partner at Konigsberg Wolf & Co.

Reed Brodsky, a lawyer for Konigsberg, did not immediately respond to requests for comment.

Brodsky told The New York Times, which earlier reported the arrest, that his 77-year-old client was an "innocent victim" of Madoff's fraud who looked forward to clearing his name at trial.

A spokeswoman for U.S. Attorney Preet Bharara in New York, where Madoff's firm was based, declined to comment.

Madoff was arrested on Dec. 12, 2008 for running a Ponzi scheme at Bernard L. Madoff Investment Securities LLC over several decades and is serving a 150-year prison sentence.

Several others charged in the scandal have pleaded guilty.

Five former employees of Madoff's firm who prosecutors said aided the fraud have pleaded not guilty, and are scheduled to go to trial in federal court in New York on Oct. 7.



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