Madoff Victims Sue KPMG for Negligence

Submitted by Chris Gaetano on Wed, 10/21/2009 - 10:14

Victims of disgraced financier Bernie Madoff’s multi-billion dollar Ponzi scheme are suing the U.K. branch of Big 4 accounting firm KPMG, alleging that auditors for the jailed billionaire’s financial operations failed to notice or ignored ample evidence of financial misconduct, making them, according to the complaint, the “primary players responsible for the fraud.”

Madoff himself help supply the plaintiff with the information that has allowed the lawsuit to go forward, gleaned during his only prison visit since his incarceration this past summer. Perhaps the billionaire, allegedly rooming with a drug dealer, fed by a child molester and pallin’ around with spies and mobsters, realized that he has nothing left to lose. Or maybe he’s decided that if he’s going down, he’s taking everyone else with him. Besides KPMG, “everyone else” may also include JP Morgan and Bank of New York, which were the custodians of key Madoff bank accounts. They, too, have been named in the complaint.

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