MANHATTAN (CN) - Bernard L. Madoff Investment Securities accountant David Friehling pleaded guilty Tuesday to nine counts of securities fraud, investment adviser fraud, obstruction and filing false audit reports. Friehling, 49, faces up to 114 years in prison but has agreed to cooperate with prosecutors.
Friehling agreed to forfeit $3.2 million, the "total amount of compensation he received from BLMIS for his accounting and tax services, plus the amount that he, his wife, and his children withdrew from their BLMIS investment advisory accounts," the U.S. Attorney said in a statement.
After the guilty plea, U.S. District Judge Alvin Hellerstein freed Friehling on $2.5 million bond. The accountant must stay in the Southern and Eastern Districts of New York. He already has surrendered his passport; so has his wife.
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