(Dec. 18, 2008) As more info comes in regarding the Madeoff scheme, news from several sources say that Madeoff and his clients were the largest bank account holders listed on a computer disk leaked by a Swiss bank worker regarding US persons with hidden Swiss bank accounts.

As the IRS approached him regarding the repayment of taxes from his hidden Swiss account, Madeoff reportedly became adamant that his wealth would not be taxed by the US. He also realized that once the Swiss records were exposed that his and his client's wealth were also within reach of seizure or judgment by a US court regarding past frauds of him or his clients.

Realizing that he was be certain to arrested on other securities and market making fraud issues in the near future, insiders say that it was at this point he made the decision to just say it was all lost in trading and move it directly to Israel.

Insiders also report that he was ready to pay the taxes on the money in Israel but was adamant that taxes in the US would not be paid nor would any of the money be available for US court judgments in subprime, fraudulent trading and misrepresentation charges in the future.