Suburban D.A. Ends Probe Of Madoff Auditor

Dec 29 2008 | 3:22am ET

One investigation of Bernard Madoff’s alleged $50 billion Ponzi scheme has come to a premature end. The Rockland County, N.Y., district attorney has ended his probe into Madoff’s auditor to avoid a “duplication” of the federal effort.

“Following our discussion with the U.S. Attorney’s Office, it’s apparent our efforts would be a duplication of theirs,” Thomas Zugibe told Bloomberg News. “We’re satisfied the federal government is properly exploring Mr. Friehling’s involvement.”

Mr. Friehling is David Friehling, the sole partner of Friehling & Horowitz, the accounting firm that signed off on Madoff’s books. The firm, which operates out of a storefront in the Rockland hamlet of New City, N.Y., has been the subject of much interest in the wake of Madoff’s arrest earlier this month. The firm—cited by some would-be Madoff investors as a red flag that helped convince them not to invest with Bernard L. Madoff Investment Securities—approved Madoff’s Oct. 31, 2006, statement of financial condition, even though it has told the American Institute of Certified Public Accountants that it has not conducted audits for 15 years.

Last week, the firm’s 550-square-foot office 30 miles north of New York City had a “for rent” sign on the door, Bloomberg News reports.


In Depth

Change In 'Accredited Investor' Definition Could Hurt Crowdfunding Space

Jul 25 2014 | 8:14am ET

The Securities and Exchange Commission is considering changes to its 30-year-old...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

The Truth About Track Record Portability

Jul 24 2014 | 5:55am ET

The number of private funds converting to mutual funds has increased significantly...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    Jul 8 2014 | 10:48am ET

    The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…

Publisher's Note