Madoff admits $50bn fraud

Disgraced financier Bernard Madoff is facing the prospect of spending the rest of his life behind bars today after admitting a massive investment fraud.

In a court in New York, the 70-year-old pleaded guilty to all 11 charges relating to an estimated US$50bn (€39.14bn) “Ponzi” scheme.

Prosecutors have indicated that they will push for the maximum sentence for Madoff – 150 years imprisonment.

Madoff's admission came three months after he admitted that his investment fund was merely a pyramid scheme, but one that involved billions.

As the hearing began, Madoff asked if he could have some water.

Judge Denny Chin asked him how he was pleading. After Madoff said he was pleading guilty, the judge explained that he would ask a series of questions before deciding whether to accept the plea.

“Mr Madoff, you can be seated. Pour yourself some water,” the judge told him.

Madoff told the judge his Ponzi scheme began in the early 1990s in response to a recession.

He said he understood that he could be sentenced to as many as 150 years in prison.

“I am actually grateful for this opportunity to publicly comment about my crimes, for which I am deeply sorry and ashamed,” he told the court.

He said that he started the fraud but believed it would be short and he could extricate himself.

“As the years went by, I realised my risk, and this day would inevitably come,” he said in a steady voice. “I cannot adequately express how sorry I am for my crimes.”