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TRANSCRIPT OF JUDGE SENTENCING BERNIE MADOFF

The following is a transcript of the sentencing read by Hon. Denny Chin at the sentencing of Bernie Madoff today in a Manhattan federal court. Madoff was given 150 years for his $65 billion Ponzi scheme.

THE COURT: Please be seated. Good morning. Mr. Madoff, would you please stand.

Mr. Madoff, you pled guilty on March 12th, 2009 to 11 counts of securities fraud, investment advisor fraud, wire and mail fraud, money laundering, making false statements, perjury, filing false documents with the SEC and theft from employee benefit funds You are here this morning to be sentenced for those crimes.

Have you reviewed the presentence report?

MADOFF: Yes, I have, your Honor.

THE COURT: Did you discuss it with your lawyers?

MADOFF: I have.

THE COURT: Mr. Sorkin, have you reviewed the presentence report and discussed it with your client?

MR. SORKIN: Yes, your Honor, we have.

THE COURT: Do you or your client have any objections to the factual recitations or the guidelines calculation?

MR. SORKIN: We do not, your Honor.

THE COURT: Thank you. You can be seated.

Ms. Baroni, does the government have any objections to the presentence report?

MS. BARONI: No, your Honor.

THE COURT: Thank you.

I accept and adopt the factual recitations set forth in the presentence report. I accept and adopt the guidelines calculation set forth in the presentence report with one

clarification which I will discuss in a moment.

The total offense level is 52, the criminal history category is I. The PSR concludes that the guideline range is life imprisonment. That is not quite accurate, however, because the guidelines range cannot be life imprisonment as no count carries the possibility of a life sentence. Rather the most serious counts carry a maximum of 20 years’ imprisonment.

I look then to Section 5G1.2(d) of the guidelines, which tells us that where there are multiple counts, and the guideline range exceeds the statutory maximum for the most serious count, the court must impose consecutive terms of imprisonment to the extent necessary to achieve the total punishment.

There is a little bit of ambiguity, however, as to what is meant by “total punishment” where the guideline calculation calls for life imprisonment, but Second Circuit case law makes clear that in such a situation, the district court is to stack or add up the maximum sentences for all the counts.

In United States v. Evans, for example, 352 F.3d 65, where the guideline calculation called for life imprisonment but no count carried a life sentence, the court held that the guideline range is 240 years, the maximum sentences for all the counts added together.

Accordingly, here the guideline range is not life imprisonment, but 150 years, the maximum sentences for each of the 11 counts added together. Of course, in light of Booker and the case law that followed, the guideline range is advisory only. While I must give the guideline range fair and respectful consideration, I am not bound by it. In fact, the Probation Department recommends a sentence of 50 years.

Instead I must make an individualized assessment based on all the facts and circumstances, including the factors set forth in the statute. In the end, I must impose a sentence that is reasonable.

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