Getting your player ready...
NEW YORK — In the many years he spent as a trader at Bernard L. Madoff Investment Securities, David Kugel learned that investments that Madoff claimed to be making for clients were fiction.
Kugel, 68, knew that because he was instrumental in concocting the phony trades. But he always kept his mouth shut.
Madoff “was my boss,” he testified at the trial of five former Madoff employees in federal court in Manhattan. “I didn’t question him. … I believed him.”
Prosecutors want to use Kugel’s testimony — the first by a cooperator in the Madoff investigation — to show how he and other insiders purposely stayed blindly loyal to Madoff while becoming wealthy off his fraud.
