Yes, every penny that he took from people should be given back to those he stole from. He was nothing but a common thief, that got lucky and stole millions of dollars from the public. All these people who were stolen from should get as much money back as possible.
Bernie Madoff scammed a lot of people out of there hard earned money which is never right. Justice and equality in law was made for everyone and that should never be forgotten. These people have suffered a lot of stress financially and should be fully compensate for their troubles how ever it may come.
Madoff's victims in many cases not only lost money, but lost all of their money. All the money they were going to give to their families, to businesses, to charities etc. It is only fair that they be reimbursed for the amounts they lost. Damage like this should never go unfixed.
Like all legal settlements in the United States, victims get compensation based upon a percentage of the total money reclaimed from the person or company that duped them. Bernie Madoff's victims should be fully compensated, but they won't be because of the vast number of claimants and the lack of capital gained from his holdings. Madoff will pay, just not monetarily. What's even worse is that taxpayers are paying for his current lodgings in federal prison. There will never be enough money to compensate Madoff's victims that were thrown under the bus during the Great Recession.
Bernie Madoff's victims should not be fully compensated. Although they lost a lot of money, financial prospectuses always list that investments "may lose value" at any time. They took the risk with Madoff and so they should not get money back. If they did, then it would only be fair that every non-Madoff investor out there get their money back as well.