Madoff Accountant Pleads Guilty To Fraud

Nov 3rd, 2009 - Wall Street Journal

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(Adds details from plea.)

NEW YORK (Dow Jones)--David Friehling, the former accountant to convicted Ponzi-scheme operator Bernard Madoff, pleaded guilty to fraud and other charges Tuesday in connection with his auditing work for Madoff's firm, but he denied knowing about the underlying Ponzi scheme.

Friehling, at a hearing before U.S. District Judge Alvin K. Hellerstein in Manhattan, pleaded guilty to securities fraud, aiding or abetting investment-adviser fraud, three counts of obstructing or impeding the administration of Internal Revenue laws, and four counts of making false filings with the U.S. Securities and Exchange Commission.

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