Feeds

Feds pinch two Madoff geeks

Due in court today

New hybrid storage solutions

The FBI has arrested two programmers in connection with falsifying records at Bernie Madoff's investment firm.

The pair, Jerome O'Hara and George Perez, had worked for the firm since the early 90s. They were arrested at their homes this morning and will be charged with conspiracy, falsifying books and records of a broker-dealer, and falsifying books and records of an investment adviser.

Preet Bharara, US attorney for the Southern District of New York, said: "Jerome O'Hara and George Perez allegedly helped construct Bernie Madoff's house of cards.

"The computer codes and random algorithms they allegedly designed served to deceive investors and regulators and concealed Madoff's crimes. Today they have been charged for their roles in Madoff's epic fraud, and the investigation remains ongoing."

O'Hara and Perez face possible sentences of up to 30 years.

They're accused of producing fraudulent monthly reports and client statements, as well as allowing other employees to alter computer programs in order to create false records and books.

The Feds allege that the scam came to a head in fall 2006 when they told Madoff they could no longer lie for him. He gave them 25 per cent pay rises and bonuses of $60,000.

Bernie Madoff was sentenced to 150 years for his role in masterminding the fraud. US authorities are auctioning much of the Madoffs' jewellery and watches - more here.

The full FBI statement is here. ®

New hybrid storage solutions

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Apple Pay is a tidy payday for Apple with 0.15% cut, sources say
Cupertino slurps 15 cents from every $100 purchase
Huawei ditches new Windows Phone mobe plans, blames poor sales
Giganto mobe firm slams door shut on Microsoft. OH DEAR
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Forget silly privacy worries - help biometrics firms make MILLIONS
Beancounter reckons dabs-scanning tech is the next big moneypit
Microsoft's Office Delve wants work to be more like being on Facebook
Office Graph, social features for Office 365 going public
Alibaba swings a large one with STONKING IPO legal bills
Chinese e-commerce beast searches for $21bn from investors
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.