Madoff aide denies implicating former co-workers

NEW YORK — Former Bernard Madoff finance chief Frank DiPascali Thursday denied he implicated five co-workers in his boss' massive Ponzi scheme in a bid to win a lighter prison sentence.

Under cross-examination by defense lawyers, the lead prosecution witness against the former Madoff employees testified he hopes his cooperation with federal prosecutors will lighten the 125-year prison term he faces for his self-confessed role in the $17.3 billion scam that victimized thousands of charities, celebrities, ordinary investors and others.

But DiPascali testified that his mission is to testify truthfully, because lying would subject him to a new perjury charge and stop federal prosecutors from writing a letter to his sentencing judge detailing his cooperation.

"I certainly was not trying to implicate anyone," said DiPascali during his seventh day on the witness stand.

WHEN THEY WERE RICH: Madoffs' 2004 tax return

But defense lawyers, continuing to attack his credibility, questioned details of what and when he told prosecutors about two former computer programmers who worked for Madoff. The pair, Jerome O'Hara and George Perez are charged in the conspiracy and fraud case with Annette Bongiorno, the disgraced financier's ex-assistant; JoAnn Crupi, who worked with her, and former Madoff manager Daniel Bonventre.

The five have said they were unaware of the fraud and were fooled by Madoff.

Perez defense lawyer Larry Krantz pressed DiPascali about whether he alerted investigators during early meetings about a cooperation deal that he'd lied to the computer programmers about the legality and purpose of work he'd assigned them. DiPascali testified earlier he told Perez and O'Hara a false cover story about their work preparing Madoff firm records for a 2004 Securities and Exchange Commission audit. The records the programmers ultimately produced were falsified.

DiPascali said he didn't recall whether and when he told prosecutors about the lie.

"So if they didn't a! sk that specific question at that time, you weren't telling them," said Krantz.

The questioning is part of a continuing defense team effort to discredit DiPascali, whose testimony has enabled prosecutors to give jurors first-hand details about the fraud's inner workings and alleged involvement by the five defendants.

Madoff was arrested and the scam imploded five years ago this week. He pleaded guilty without standing trial, and is now serving a 150-year federal prison term.