Bernard L. Madoff's life of country clubs and luxury homes ended when U.S. federal agents arrested him at his Manhattan penthouse apartment exactly one year ago. But he is adjusting to his new life behind rows of gleaming silver razor wire in this small Southern town.

Inmate No. 61727-054 shares an unlocked cell at the medium-security prison at Butner Federal Correctional Complex with a younger man named Frank. He wears khaki prison garb and has been spotted walking on an outdoor track. He plays bocce, chess and checkers. He scrubs pots and pans in the prison kitchen.