Madoff is accused of burning investors in a US$50 billion (S$74 billion) fraud.

He and his wife sent US$1 million worth of jewelry and heirlooms to relatives and friends over the holidays. Prosecutors say he's trying to hide assets. His lawyers deny that.

The bail decision by Magistrate Judge Ronald Ellis comes amid complaints by some investors that the man accused of history's largest fraud has been staying in a $7 million Manhattan apartment.

Defense lawyers say Madoff doesn't pose a threat to the community and isn't a risk to flee.

A Monday deadline for an indictment against Madoff recently was extended 30 days. -- AP