May 19, 2009 Broadside: Latest Madoff twist Play video

(NECN) - On this segment of Broadside, a surprise update on the Bernie Madoff scandal.

Jim Braude is joined by Peter S. Cohan, President of Peter S. Cohan & Associates. He's author of the book "You can't order change" looking at stories of executive success and failure.

The trustee overseeing the liquidation of Bernard Madoff's assets is suing a major Connecticut investment firm. The complaint asks the Fairfield Greenwich group to return $3.5 billion dollars to pay off claims from Madoff's investors. The firm argues that its an innocent Madoff victim.

To ensure that this couldn't happen again, Cohan says he would take away the ability of investment firms to produce account statements, and he would give it to an independent government body.