A judge in New York has challenged the government to prove that jailed financier Bernard Madoff's former finance chief is a valuable cooperator, saying he might just be continuing the nation's biggest fraud.
Federal Judge Richard Sullivan turned down a bail request for Frank DiPascali a second time Wednesday. He rejected a $10 million bail package as insufficient to ensure he does not flee.
Sullivan said he was slow to trust a government that failed to detect what he called the biggest fraud in U.S. history. He challenged prosecutors to prove DiPascali's cooperation would be productive.
DiPascali pleaded guilty in August to helping Madoff's multi-decade Ponzi scheme that cost thousands of investors billions of dollars. Madoff is serving a 150-year prison sentence.