Madoff 'Used London Office as Piggy Bank'

Brits considering charges against Madoff's UK employees
By Rob Quinn,  Newser Staff
Posted Mar 28, 2009 4:35 AM CDT
Bernard Madoff exits Manhattan federal court in New York, March 10, 2009.    (AP Photo/Louis Lanzano)
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(Newser) – British investigators believe Bernard Madoff's London operation played a central role in his Ponzi scheme, the Times of London reports. Authorities suspect the business was either "a cog in the giant washing machine" laundering Madoff's billions, his personal piggy bank, or both. Ruth Madoff received $2 million from Madoff's London office weeks before his arrest.

Madoff insisted in court that his London business was above board but investigators say the office—largely run by a core group of executives who had worked for Madoff for many years—may have used its legitimate trading operations as a front. Regulators are trying to determine how much the London workers knew and are considering a variety of charges.