In a new panel interview with former Hollywood agent Michael Ovitz, which is sure to enrage women's rights campaigners and misconduct activists, the "Lost in Translation" star insists his Tootise castmate is just a terrible flirt.
"He's crazy, a Borscht Belt flirt, has been his whole life," Murray said at the 92nd Street Y event, according to the New York Post. "(But) he's a really sweet man."
Seven women have accused Hoffman of sexual misconduct, but the actor has repeatedly denied any wrongdoing.
The accusers joined forces at the end of last year (17) to write a statement thanking TV host John Oliver for confronting the actor about their allegations at another 92nd Street Y event in December.
The comedian was moderating a discussion at a 20th anniversary screening of Hoffman's political film "Wag the Dog", when he decided to tackle the misconduct allegations head on, and the two men became engaged in a heated exchange.
Oliver refused to back down as he quizzed Hoffman about sexual harassment claims writer Anna Graham Hunter had made as she recalled working with the veteran actor on TV movie "Death of a Salesman" in 1985, when she was 17, while the stunned actor accused the moderator of putting him "on display", adding, "You have indicted me".
Hunter, Wendy Riss Gatsiounis, Kathryn Rossetter, Melissa Kester, Cori Thomas, and two anonymous women, who all claim to have personally experienced inappropriate behaviour while working with Hoffman, wrote: "We want to thank you for confronting Dustin Hoffman. While the questions you asked may not have led to the constructive conversation you hoped for, the fact that you asked them all is what matters most."
The joint statement was posted on Hunter's Twitter page.
She claimed, in a The Hollywood Reporter article, she was working as a production assistant when Hoffman made unwelcome advances, asking her to give him a foot massage during her first day on set, grabbing her butt, and continuously talking about sex.
In one incident, which happened when she went to his dressing room to take his breakfast order, she alleged Hoffman said, "I'll have a hard-boiled egg... and a soft-boiled clitoris", adding, "His entourage burst out laughing. I left, speechless. Then I went to the bathroom and cried."
She also claimed the "Tootsie" actor ordered the "left breast" of another assistant for lunch one day and on one occasion Hunter alleged he touched her butt four times as she walked him to his limo, prompting her to hit him.
"(I) told him he was a dirty old man," she recalled. "He took off his hat and pointed to his head (shaved for the part) and said, 'No, I'm a dirty young man, I have a full head of hair'."
She went public with her accusations in November (17), prompting Hoffman to issue an apology, insisting he has the "utmost respect" for women and adding the alleged behaviour "is not reflective of who I am".
Chevy Chase also publicly defended Hoffman earlier this year, revealing he has spoken to his pal since the allegations were made.
"We just had a long talk about that, I knew him back then, it just didn't really happen," Chase told Britain's ITV. "He was explaining to me what they (Hoffman's accusers) were talking about. I’ve known him forever, so I've never known him to be that way... groping or whatever the hell that is."