Ponzi king Bernard Madoff is telling fellow jailbirds that he secretly funneled $9 billion in swiped funds to three people before he was nabbed, an inmate told The New York Post.
Madoff says that his partner in crime, Frank DiPascali, knows who the recipients are -- and that he suspects DiPascali is using that information to cut a better deal with the feds, according to the inmate at the medium-security prison in Butner, N.C.
"I think it was personal friends," the inmate said of the recipients of the mega-bucks.
DiPascali, 52, pleaded guilty last year to 10 felonies in connection with helping Madoff swindle investors out of more than $60 billion at his Manhattan financial firm.
Madoff, 72, is serving a life sentence, but DiPascali has reportedly been trying to avoid that fate by cooperating with prosecutors -- who argued strenuously for his release from jail pending sentencing despite a judge's initial reluctance to grant bail.
The inmate, who has witnessed the arch swindler's daily routine, also detailed how Madoff began attending sessions with a female prison psychiatrist last year after becoming depressed about a tell-all published in August by his former mistress, Sheryl Weinstein.