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1 00:00:03,187 00:00:04,253 New york city. New york city.
2 00:00:04,505 00:00:07,122 [woman] happy new year! [woman] happy new year!
3 00:00:07,124 00:00:10,342 At the dawn of the 80s, it was exploding with opportunity. At the dawn of the 80s, it was exploding with opportunity.
4 00:00:11,345 00:00:13,962 [newsreader] boom times, that's what the numbers signal today, [newsreader] boom times, that's what the numbers signal today,
5 00:00:13,964 00:00:16,682 An economy that's on a roll in this country. An economy that's on a roll in this country.
6 00:00:16,684 00:00:20,185 A place to seek money, power, fame. A place to seek money, power, fame.
7 00:00:20,187 00:00:24,690 Amid the glitz and greed, five titans seized their moment. Amid the glitz and greed, five titans seized their moment.
8 00:00:27,311 00:00:30,645 By the mid 80s, they'd figured out that to get what they wanted, By the mid 80s, they'd figured out that to get what they wanted,
9 00:00:30,647 00:00:33,190 They just had to go to the media. They just had to go to the media.
10 00:00:33,192 00:00:36,285 And the media was more than happy to oblige. And the media was more than happy to oblige.
11 00:00:38,039 00:00:40,822 A wall street magician was basking in the spotlight. A wall street magician was basking in the spotlight.
12 00:00:40,824 00:00:43,450 [ivan boesky] I predict that this is just the beginning. [ivan boesky] I predict that this is just the beginning.
13 00:00:43,452 00:00:45,952 Even as his crimes grew more and more brazen. Even as his crimes grew more and more brazen.
14 00:00:45,954 00:00:48,547 [james b stewart] this was gonna come crashing down on him. [james b stewart] this was gonna come crashing down on him.
15 00:00:48,549 00:00:50,883 A real estate mogul was waist-deep in red ink. A real estate mogul was waist-deep in red ink.
16 00:00:51,552 00:00:54,503 [natalie byfield] trump was particularly good at playing the media. [natalie byfield] trump was particularly good at playing the media.
17 00:00:54,505 00:00:57,056 Even as he convinced the world it was just the opposite. Even as he convinced the world it was just the opposite.
18 00:00:57,058 00:01:00,175 Oh donald, oh donald, you are a big deal. Oh donald, oh donald, you are a big deal.
19 00:01:00,177 00:01:05,180 [emily fox] it is the greatest charade that donald trump ever pulled off. [emily fox] it is the greatest charade that donald trump ever pulled off.
20 00:01:05,182 00:01:07,516 The hotel queen was winning over the public. The hotel queen was winning over the public.
21 00:01:07,518 00:01:09,184 [leona helmsley] look at the shape of the head, [leona helmsley] look at the shape of the head,
22 00:01:09,186 00:01:12,187 You can see the brain just sits there. I'm very serious. You can see the brain just sits there. I'm very serious.
23 00:01:12,189 00:01:16,316 But behind her castle walls, she was nothing but wicked. But behind her castle walls, she was nothing but wicked.
24 00:01:16,318 00:01:20,329 And as a publicity-hungry prosecutor plotted his next heroic act for the papers... And as a publicity-hungry prosecutor plotted his next heroic act for the papers...
25 00:01:20,581 00:01:25,367 I mean, it was crazy. Us attorneys aren't supposed to do that kind of stuff. I mean, it was crazy. Us attorneys aren't supposed to do that kind of stuff.
26 00:01:25,369 00:01:28,703 A newly christened mob boss mocked him in those very same pages. A newly christened mob boss mocked him in those very same pages.
27 00:01:28,705 00:01:32,415 [newsreader] outfoxing the foxes in a big stakes game of cops and robbers [newsreader] outfoxing the foxes in a big stakes game of cops and robbers
28 00:01:32,417 00:01:34,426 That has made gotti kind of a legend. That has made gotti kind of a legend.
29 00:01:34,428 00:01:36,762 [george gabriel] the downside to the real mobsters is, [george gabriel] the downside to the real mobsters is,
30 00:01:36,764 00:01:38,097 Who needs this attention? Who needs this attention?
31 00:01:38,099 00:01:39,932 We're a secret organization. We're a secret organization.
32 00:01:40,884 00:01:43,009 [bryan burrough] even for a crook, he was a smart guy. [bryan burrough] even for a crook, he was a smart guy.
33 00:01:43,011 00:01:46,230 But he made the mistake of dealing with people who weren't. But he made the mistake of dealing with people who weren't.
34 00:01:46,890 00:01:50,517 [bill dowling] she would lash out at you and I saw it happen to a number of people. [bill dowling] she would lash out at you and I saw it happen to a number of people.
35 00:01:50,519 00:01:58,358 [tony schwartz] was the story that I told completely, ultimately false? Yes. [tony schwartz] was the story that I told completely, ultimately false? Yes.
36 00:01:58,360 00:02:03,363 These five titans would reshape the city and the world we live in today. These five titans would reshape the city and the world we live in today.
37 00:02:03,365 00:02:07,075 By the mid 80s, they'd mastered the art of fame. By the mid 80s, they'd mastered the art of fame.
38 00:02:07,077 00:02:10,712 But soon they'd learn that exposure can burn. But soon they'd learn that exposure can burn.
39 00:02:34,062 00:02:36,396 [newsreader] when new yorkers pick up their tabloids, [newsreader] when new yorkers pick up their tabloids,
40 00:02:36,398 00:02:40,567 The daily news and the post each morning, they expect the headlines to pack a wallop. The daily news and the post each morning, they expect the headlines to pack a wallop.
41 00:02:40,569 00:02:42,402 And they do. And they do.
42 00:02:42,404 00:02:44,163 For died-in-the-wool new yorkers, For died-in-the-wool new yorkers,
43 00:02:44,165 00:02:46,948 There's nothing quite like a good juicy scandal There's nothing quite like a good juicy scandal
44 00:02:46,950 00:02:50,502 And in the mid 80s, the press served up one after another. And in the mid 80s, the press served up one after another.
45 00:02:50,913 00:02:54,789 [jonathan mahler] crime, money, power, what was happening in this country [jonathan mahler] crime, money, power, what was happening in this country
46 00:02:54,791 00:02:58,886 Created the sort of perfect for tabloid journalism and for this kind of moment. Created the sort of perfect for tabloid journalism and for this kind of moment.
47 00:03:00,130 00:03:02,964 [fox] every day it was just a back and forth [fox] every day it was just a back and forth
48 00:03:02,966 00:03:05,184 Between the daily news and the new york post Between the daily news and the new york post
49 00:03:05,186 00:03:08,637 And it helped the new york tabloids have constant fodder, And it helped the new york tabloids have constant fodder,
50 00:03:08,639 00:03:10,939 Which they desperately needed every day. Which they desperately needed every day.
51 00:03:11,975 00:03:14,976 [michael musto] the 80s is when the tabloids really started battling it out. [michael musto] the 80s is when the tabloids really started battling it out.
52 00:03:14,978 00:03:20,073 And the people that emerged certainly had a knack for working the media. And the people that emerged certainly had a knack for working the media.
53 00:03:20,317 00:03:22,525 [byfield] there was a lot of attention in the media [byfield] there was a lot of attention in the media
54 00:03:22,527 00:03:25,946 To business and the captains of industry. To business and the captains of industry.
55 00:03:25,948 00:03:28,165 They became celebrities. They became celebrities.
56 00:03:28,325 00:03:30,542 [glenn plaskin] this was better than dynasty. [glenn plaskin] this was better than dynasty.
57 00:03:30,544 00:03:33,828 [blake carrington] damn you alexis, I'm gonna kill you. [blake carrington] damn you alexis, I'm gonna kill you.
58 00:03:33,830 00:03:35,047 Don't! Don't!
59 00:03:35,382 00:03:37,966 [glenn plaskin] this was real life dynasty. [glenn plaskin] this was real life dynasty.
60 00:03:38,168 00:03:43,472 [charles bagli] at this point, developers had almost supplanted movie stars in the gossip column [charles bagli] at this point, developers had almost supplanted movie stars in the gossip column
61 00:03:43,724 00:03:47,676 Everything they did was so amusing, so wonderful. Everything they did was so amusing, so wonderful.
62 00:03:47,678 00:03:49,895 [david cay johnston] and one of the biggest people [david cay johnston] and one of the biggest people
63 00:03:49,897 00:03:52,231 Who's benefited from this is donald trump. Who's benefited from this is donald trump.
64 00:03:54,643 00:03:59,688 He came, he saw, he conquered. And as the decade pressed on, He came, he saw, he conquered. And as the decade pressed on,
65 00:03:59,690 00:04:03,316 The young developer from the outer boroughs was only growing bolder. The young developer from the outer boroughs was only growing bolder.
66 00:04:03,318 00:04:06,078 [johnston] he had built trump tower, which made a tremendous amount of money. [johnston] he had built trump tower, which made a tremendous amount of money.
67 00:04:06,080 00:04:09,998 He had two casinos that were throwing cash at him like crazy. He had two casinos that were throwing cash at him like crazy.
68 00:04:10,367 00:04:15,087 [michael kruse] but he also wants more. More, more, more. [michael kruse] but he also wants more. More, more, more.
69 00:04:15,089 00:04:18,707 He was determined to see his name splashed across the sky line. He was determined to see his name splashed across the sky line.
70 00:04:18,709 00:04:22,002 But first, he'd need his name splashed across the headlines. But first, he'd need his name splashed across the headlines.
71 00:04:22,004 00:04:28,174 The fact that new york was the media capital of the world allowed him The fact that new york was the media capital of the world allowed him
72 00:04:28,176 00:04:34,147 To create the persona, to create the celebrity, create the name donald trump. To create the persona, to create the celebrity, create the name donald trump.
73 00:04:34,725 00:04:36,850 The whole ethos of donald trump's life has been, The whole ethos of donald trump's life has been,
74 00:04:36,852 00:04:39,278 "look at me, how rich I am, look how successful I am." "look at me, how rich I am, look how successful I am."
75 00:04:39,855 00:04:42,531 It's this mythology that has been built up. It's this mythology that has been built up.
76 00:04:43,284 00:04:45,450 [newsreader] you cannot walk far in manhattan these days [newsreader] you cannot walk far in manhattan these days
77 00:04:45,452 00:04:48,570 Without seeing a piece of real estate bearing the trump name. Without seeing a piece of real estate bearing the trump name.
78 00:04:48,572 00:04:51,957 It looked like a hugely successful operation. It looked like a hugely successful operation.
79 00:04:51,959 00:04:58,130 It was important to maintain that image because image was reality. It was important to maintain that image because image was reality.
80 00:04:58,281 00:04:59,965 [newsreader] donald trump has become [newsreader] donald trump has become
81 00:04:59,967 00:05:02,917 One of america's best known and most successful builders. One of america's best known and most successful builders.
82 00:05:02,919 00:05:05,137 [newsreader] turning a $40 million real estate business [newsreader] turning a $40 million real estate business
83 00:05:05,139 00:05:07,547 Into a billion dollar empire. Into a billion dollar empire.
84 00:05:07,549 00:05:10,475 [letterman] ...Has enough money to give everyone in the audience tonight a million dollars. [letterman] ...Has enough money to give everyone in the audience tonight a million dollars.
85 00:05:10,477 00:05:14,271 [applause] [applause]
86 00:05:14,556 00:05:18,266 [newsreader] ok. Ok, we'll see what kind of mood he's in. [newsreader] ok. Ok, we'll see what kind of mood he's in.
87 00:05:18,268 00:05:20,360 [laughter and applause] [laughter and applause]
88 00:05:21,155 00:05:25,106 [johnston] at the time, bankers were doing many more loans based on reputation [johnston] at the time, bankers were doing many more loans based on reputation
89 00:05:25,108 00:05:29,736 And so when donald gets magazine covers and tv shows about how rich he is And so when donald gets magazine covers and tv shows about how rich he is
90 00:05:29,738 00:05:33,498 And featuring his helicopter, bankers feel some sense of confidence in him. And featuring his helicopter, bankers feel some sense of confidence in him.
91 00:05:33,500 00:05:37,502 That's why he really wanted to be on the forbes 400 list. That's why he really wanted to be on the forbes 400 list.
92 00:05:50,851 00:05:55,470 [sue carswell] back in the 1980s this john barron guy was one of his publicists. [sue carswell] back in the 1980s this john barron guy was one of his publicists.
93 00:05:55,472 00:05:59,191 He was the go to guy to get, you know, trump goods. He was the go to guy to get, you know, trump goods.
94 00:06:04,147 00:06:05,980 [carswell] and he would say, "well, you know, [carswell] and he would say, "well, you know,
95 00:06:05,982 00:06:09,201 "I'm just calling for donald and I need to tell you this story." "I'm just calling for donald and I need to tell you this story."
96 00:06:15,042 00:06:17,992 But they were always him. It was donald trump. But they were always him. It was donald trump.
97 00:06:17,994 00:06:20,286 It's not like he has a subtle voice. It's not like he has a subtle voice.
98 00:06:20,288 00:06:23,757 Donald trump as john barron, it's just donald trump. Donald trump as john barron, it's just donald trump.
99 00:06:24,000 00:06:30,055 [barbara res] john barron is trump's alter ego, I guess, I don't know. It was his alias. [barbara res] john barron is trump's alter ego, I guess, I don't know. It was his alias.
100 00:06:30,057 00:06:33,558 He was doing the press, he was doing the pr. He was making the phone calls. He was doing the press, he was doing the pr. He was making the phone calls.
101 00:06:33,560 00:06:39,013 [ken auletta] he just concocted this whole false reality. [ken auletta] he just concocted this whole false reality.
102 00:06:39,015 00:06:43,068 So he goes to forbes and tells them, "I have all this money." So he goes to forbes and tells them, "I have all this money."
103 00:07:11,765 00:07:13,890 And forbes puts him on this list. And forbes puts him on this list.
104 00:07:14,935 00:07:20,555 [res] I mean, trump was lying so that he could move himself up on the forbes 400, [res] I mean, trump was lying so that he could move himself up on the forbes 400,
105 00:07:20,557 00:07:22,515 You know, talking about his wealth. You know, talking about his wealth.
106 00:07:22,517 00:07:25,193 Wealthy people don't do that, they keep that to themselves. Wealthy people don't do that, they keep that to themselves.
107 00:07:26,280 00:07:30,023 [tony schwartz] his life underneath that persona and sheen [tony schwartz] his life underneath that persona and sheen
108 00:07:30,025 00:07:33,860 Was arguably falling apart economically. Was arguably falling apart economically.
109 00:07:33,862 00:07:39,073 He was over extended on a lot of his loans, both in atlantic city and in new york. He was over extended on a lot of his loans, both in atlantic city and in new york.
110 00:07:39,075 00:07:44,245 At the same time he was buying all the accouterments of the wealthy. At the same time he was buying all the accouterments of the wealthy.
111 00:07:44,247 00:07:50,210 The plane, the football team. His second casino hotel, the castle. The plane, the football team. His second casino hotel, the castle.
112 00:07:50,212 00:07:54,714 Actually he had lost a staggering amount of money, Actually he had lost a staggering amount of money,
113 00:07:54,716 00:07:57,592 A billion dollars in ten years, A billion dollars in ten years,
114 00:07:57,594 00:08:00,929 More than any other individual in the united states. More than any other individual in the united states.
115 00:08:00,931 00:08:06,267 One of the most amazing things about all of this was he's also writing and publishing One of the most amazing things about all of this was he's also writing and publishing
116 00:08:06,269 00:08:12,398 The art of the deal while he is losing money on every deal that he was making. The art of the deal while he is losing money on every deal that he was making.
117 00:08:12,400 00:08:15,994 Donald just talk for a minute, if you would, about the art of the deal Donald just talk for a minute, if you would, about the art of the deal
118 00:08:15,996 00:08:17,946 And your business philosophy. And your business philosophy.
119 00:08:17,948 00:08:22,075 [donald trump] okay. You've either got it or you don't. [donald trump] okay. You've either got it or you don't.
120 00:08:22,077 00:08:25,787 The book the art of the deal was the first thing that gave donald trump The book the art of the deal was the first thing that gave donald trump
121 00:08:25,789 00:08:29,082 A sort of national audience and it sold millions of copies. A sort of national audience and it sold millions of copies.
122 00:08:29,084 00:08:31,426 It was actually written by tony schwartz. It was actually written by tony schwartz.
123 00:08:32,796 00:08:39,809 Trump was not involved for even a minute in any aspect of writing the book. Trump was not involved for even a minute in any aspect of writing the book.
124 00:08:40,971 00:08:46,608 I wrote the book and miraculously, he read the book. I wrote the book and miraculously, he read the book.
125 00:08:47,477 00:08:48,693 How you doing? How you doing?
126 00:08:50,030 00:08:53,481 From the very first interview that I did with him for the book, From the very first interview that I did with him for the book,
127 00:08:53,483 00:08:59,153 It was clear that there was almost a complete inability It was clear that there was almost a complete inability
128 00:08:59,155 00:09:00,989 To sit still and answer questions To sit still and answer questions
129 00:09:00,991 00:09:02,999 For more than a few minutes at a time. For more than a few minutes at a time.
130 00:09:03,785 00:09:07,879 Because I couldn't get from trump detail on the deals he was doing, Because I couldn't get from trump detail on the deals he was doing,
131 00:09:07,881 00:09:12,292 I would ultimately go to other players in those deals and try to flesh it out. I would ultimately go to other players in those deals and try to flesh it out.
132 00:09:12,294 00:09:16,504 What I would discover is that their version of what happened in the deals What I would discover is that their version of what happened in the deals
133 00:09:16,506 00:09:18,339 Was quite different than his version. Was quite different than his version.
134 00:09:18,341 00:09:21,801 And his version was always the most self aggrandizing version And his version was always the most self aggrandizing version
135 00:09:21,803 00:09:24,813 And it was often an inaccurate version. And it was often an inaccurate version.
136 00:09:25,732 00:09:30,652 So was the story that I told completely, ultimately false? So was the story that I told completely, ultimately false?
137 00:09:31,238 00:09:33,738 Yes. It was. Yes. It was.
138 00:09:34,241 00:09:40,528 It was an invented story, invented at a level far beyond what I recognized even It was an invented story, invented at a level far beyond what I recognized even
139 00:09:40,530 00:09:46,034 At the time, but it was never anything close to the reality of who he was. At the time, but it was never anything close to the reality of who he was.
140 00:09:46,036 00:09:50,663 People who read the book uncritically come away thinking, "what a genius he is." People who read the book uncritically come away thinking, "what a genius he is."
141 00:09:50,665 00:09:52,707 It really put donald on the map. It really put donald on the map.
142 00:09:52,709 00:09:56,836 [kathleen] trump is taking on new meaning. Tycoon, billionaire, maverick. [kathleen] trump is taking on new meaning. Tycoon, billionaire, maverick.
143 00:09:56,838 00:10:01,099 It's written all over new york and atlantic city and now it's on the cover of a book. It's written all over new york and atlantic city and now it's on the cover of a book.
144 00:10:01,551 00:10:04,936 How important is your word and your handshake in a deal? Or does everything have to be-- How important is your word and your handshake in a deal? Or does everything have to be--
145 00:10:04,938 00:10:06,271 Very important. Very important.
146 00:10:06,273 00:10:07,981 What? How does it make the difference? What? How does it make the difference?
147 00:10:08,683 00:10:11,901 Handshake and deals are just to me very important, kathleen. Handshake and deals are just to me very important, kathleen.
148 00:10:12,613 00:10:16,564 This was a man who is portraying his great wealth, This was a man who is portraying his great wealth,
149 00:10:16,566 00:10:19,951 His enormous success, his growing businesses, His enormous success, his growing businesses,
150 00:10:19,953 00:10:24,864 But the reality was is that he was losing more money But the reality was is that he was losing more money
151 00:10:24,866 00:10:28,242 Than I think any american was at that time. Than I think any american was at that time.
152 00:10:28,244 00:10:30,870 What do you think people are gonna get out of it, if they read it? What do you think people are gonna get out of it, if they read it?
153 00:10:30,872 00:10:33,706 I mean, what can someone at home on a $30,000-- I mean, what can someone at home on a $30,000--
154 00:10:33,708 00:10:38,011 It's really a study of life, kathleen. How do to it and how to really make life. It's really a study of life, kathleen. How do to it and how to really make life.
155 00:10:39,089 00:10:41,047 How to make life. How to make life.
156 00:10:41,049 00:10:43,892 How to make life. How to be with life and how to live with life. How to make life. How to be with life and how to live with life.
157 00:10:45,762 00:10:50,106 It is the greatest charade that donald trump ever pulled off. It is the greatest charade that donald trump ever pulled off.
158 00:10:52,268 00:10:57,271 This is a time period where we're celebrating money, This is a time period where we're celebrating money,
159 00:10:57,273 00:10:59,532 And who could make the most of it. And who could make the most of it.
160 00:11:00,276 00:11:06,906 And the media was very complicit in exposing how brilliant and great And the media was very complicit in exposing how brilliant and great
161 00:11:06,908 00:11:11,452 And wonderful these people were, it didn't have to be true. And wonderful these people were, it didn't have to be true.
162 00:11:11,454 00:11:14,130 And that is on us. And that is on us.
163 00:11:14,841 00:11:18,126 [michael kruse] for donald trump some of that started to go to his head [michael kruse] for donald trump some of that started to go to his head
164 00:11:18,128 00:11:21,846 And he considered himself utterly invincible. And he considered himself utterly invincible.
165 00:11:21,848 00:11:26,434 He was going to do exactly what he wanted for as long as he could get away with it. He was going to do exactly what he wanted for as long as he could get away with it.
166 00:11:31,191 00:11:33,024 [mahler] there had always been a culture of money in new york. [mahler] there had always been a culture of money in new york.
167 00:11:33,026 00:11:34,642 There had always been rich people in new york There had always been rich people in new york
168 00:11:34,644 00:11:36,945 But there had never been a donald trump before. But there had never been a donald trump before.
169 00:11:37,689 00:11:40,481 There had always been luxury hotels in new york There had always been luxury hotels in new york
170 00:11:40,483 00:11:43,243 But there had never been a helmsley palace. But there had never been a helmsley palace.
171 00:11:43,537 00:11:45,870 And there had always been gangsters in new york. And there had always been gangsters in new york.
172 00:11:45,872 00:11:48,373 But there had never been a john gotti, But there had never been a john gotti,
173 00:11:48,375 00:11:52,794 A guy who was in the tabloids all the time and seemingly loved it. A guy who was in the tabloids all the time and seemingly loved it.
174 00:11:56,216 00:11:59,459 He was the capo who wanted to be don. He was the capo who wanted to be don.
175 00:11:59,461 00:12:02,762 And he decided he wouldn't wait for his due, he'd seize it. And he decided he wouldn't wait for his due, he'd seize it.
176 00:12:07,177 00:12:10,303 [newsreader] you are looking at the body of paul castellano, [newsreader] you are looking at the body of paul castellano,
177 00:12:10,305 00:12:14,182 The boss of all bosses of american organized crime. The boss of all bosses of american organized crime.
178 00:12:14,184 00:12:16,851 [newsreader] paul castellano, a man authorities say [newsreader] paul castellano, a man authorities say
179 00:12:16,853 00:12:19,353 Was the most horrible mafia boss in the nation, Was the most horrible mafia boss in the nation,
180 00:12:19,355 00:12:23,074 Was shot and killed in front of a new york city restaurant tonight. Was shot and killed in front of a new york city restaurant tonight.
181 00:12:24,319 00:12:27,495 [mahler] within hours everybody knew that gotti was responsible. [mahler] within hours everybody knew that gotti was responsible.
182 00:12:28,490 00:12:31,624 We understood what was going on through fbi informants. We understood what was going on through fbi informants.
183 00:12:32,252 00:12:34,368 [george gabriel] killing the boss is like the cardinal rule. [george gabriel] killing the boss is like the cardinal rule.
184 00:12:34,370 00:12:36,871 You can't do that. You don't do that. You can't do that. You don't do that.
185 00:12:36,873 00:12:39,090 [michel chertoff] it was a very bold attack. [michel chertoff] it was a very bold attack.
186 00:12:39,092 00:12:43,261 [newsreader] authorities believe the brutal process of succession is already underway. [newsreader] authorities believe the brutal process of succession is already underway.
187 00:12:47,926 00:12:50,185 [gabriel] gotti called a meeting of all the captains. [gabriel] gotti called a meeting of all the captains.
188 00:12:53,181 00:12:56,524 And they say, "all right, we're not sure what happened to paul. He's dead." And they say, "all right, we're not sure what happened to paul. He's dead."
189 00:12:58,353 00:13:01,529 But we're here tonight to pick another boss. But we're here tonight to pick another boss.
190 00:13:02,774 00:13:04,532 [bruce mouw] everyone in the room knew who did it. [bruce mouw] everyone in the room knew who did it.
191 00:13:06,402 00:13:09,287 But they had to play along with this farce. But they had to play along with this farce.
192 00:13:11,282 00:13:12,916 Frank decicco stands up. Frank decicco stands up.
193 00:13:14,369 00:13:16,336 He says, "I nominate john gotti to become boss of the gambino family." He says, "I nominate john gotti to become boss of the gambino family."
194 00:13:18,414 00:13:21,916 [gabriel] the captains that he conspired with were walking around them all, [gabriel] the captains that he conspired with were walking around them all,
195 00:13:21,918 00:13:24,544 Basically they were there armed and if anybody was gonna oppose it, Basically they were there armed and if anybody was gonna oppose it,
196 00:13:24,546 00:13:26,054 That was gonna be a problem. That was gonna be a problem.
197 00:13:28,591 00:13:34,729 Everybody in the room, okay, we're good. The family's intact. Everybody in the room, okay, we're good. The family's intact.
198 00:13:35,431 00:13:36,940 Everybody leaves happy. Everybody leaves happy.
199 00:13:38,819 00:13:41,143 [newsreader] john gotti allegedly runs an enterprise [newsreader] john gotti allegedly runs an enterprise
200 00:13:41,145 00:13:42,987 As powerful as many giant corporations. As powerful as many giant corporations.
201 00:13:44,491 00:13:48,910 [sean deveney] once he got to power, gotti now wanted to be the peacock. [sean deveney] once he got to power, gotti now wanted to be the peacock.
202 00:13:50,113 00:13:55,408 Because he'd spent so long feeling underappreciated within the gambino family, Because he'd spent so long feeling underappreciated within the gambino family,
203 00:13:55,410 00:13:59,420 When he gets to the top of it, it almost wants to make up for lost time. When he gets to the top of it, it almost wants to make up for lost time.
204 00:14:00,957 00:14:06,135 [ed mcdonald] he became much more noticeable. He craved the attention he was getting. [ed mcdonald] he became much more noticeable. He craved the attention he was getting.
205 00:14:06,629 00:14:10,682 [gabriel] all of a sudden he starts wearing the $2000 suits and the handmade ties. [gabriel] all of a sudden he starts wearing the $2000 suits and the handmade ties.
206 00:14:11,009 00:14:15,144 And he's going out to the finest restaurants, clubs. And he's going out to the finest restaurants, clubs.
207 00:14:15,972 00:14:19,181 He's attracting page six attention. He's attracting page six attention.
208 00:14:19,183 00:14:20,775 He's living the life. He's living the life.
209 00:14:21,019 00:14:23,352 [newsreader] gotti has become quickly recognizable, [newsreader] gotti has become quickly recognizable,
210 00:14:23,354 00:14:28,199 If only for his custom-made suits and his frequent stops at the stylarama hair salon. If only for his custom-made suits and his frequent stops at the stylarama hair salon.
211 00:14:28,526 00:14:35,197 [vito bollettieri] he's got very good taste. He likes his hair extremely perfect. [vito bollettieri] he's got very good taste. He likes his hair extremely perfect.
212 00:14:35,199 00:14:38,543 This is against everything that the mafia has ever done This is against everything that the mafia has ever done
213 00:14:38,545 00:14:41,045 And the way it's conducted business. And the way it's conducted business.
214 00:14:41,047 00:14:45,291 There's a term in italian called omerta , which basically means "silence." There's a term in italian called omerta , which basically means "silence."
215 00:14:45,293 00:14:49,128 If you're a boss you don't want anybody to know you're a boss. If you're a boss you don't want anybody to know you're a boss.
216 00:14:49,130 00:14:54,517 And that's why generations of mafia heads before him hadn't acted that way. And that's why generations of mafia heads before him hadn't acted that way.
217 00:14:55,011 00:15:00,640 He is handsome, he does wear $2000 suits. He is well groomed. He is handsome, he does wear $2000 suits. He is well groomed.
218 00:15:00,642 00:15:03,234 Every hair is always in place. He's quick with one liners. Every hair is always in place. He's quick with one liners.
219 00:15:04,228 00:15:07,188 [mcdonald] john gotti was loved by the tabloids. [mcdonald] john gotti was loved by the tabloids.
220 00:15:07,190 00:15:09,649 And by the television stations, they just couldn't get enough of him. And by the television stations, they just couldn't get enough of him.
221 00:15:09,651 00:15:13,152 I mean, he was good copy. And john gotti fed into this. I mean, he was good copy. And john gotti fed into this.
222 00:15:13,154 00:15:16,998 People just, people loved watching him, loved seeing this whole spectacle unfold. People just, people loved watching him, loved seeing this whole spectacle unfold.
223 00:15:17,083 00:15:23,254 We have here john gotti's top ten tax tips. John gotti's top ten tax tips. We have here john gotti's top ten tax tips. John gotti's top ten tax tips.
224 00:15:23,256 00:15:28,259 I've met him, I think he's a wonderful man. I think he's probably largely misunderstood. I've met him, I think he's a wonderful man. I think he's probably largely misunderstood.
225 00:15:28,261 00:15:30,261 [laughter] [laughter]
226 00:15:30,263 00:15:34,173 Quite frankly there were a lot of people, you know, they just dismissed Quite frankly there were a lot of people, you know, they just dismissed
227 00:15:34,175 00:15:38,177 How bad of a guy he was. And that was the knack that he had. How bad of a guy he was. And that was the knack that he had.
228 00:15:38,179 00:15:42,523 Number nine: Guys who escape from the trunk of your car may be considered business losses. Number nine: Guys who escape from the trunk of your car may be considered business losses.
229 00:15:42,609 00:15:44,016 [laughter] [laughter]
230 00:15:44,602 00:15:46,936 And number eight: No matter how much he relies on your business, And number eight: No matter how much he relies on your business,
231 00:15:46,938 00:15:49,280 A funeral director does not count as a dependent. A funeral director does not count as a dependent.
232 00:15:49,449 00:15:50,740 [laughter] [laughter]
233 00:15:55,530 00:16:00,291 But he was a killer. I mean, this was not a tv show. But he was a killer. I mean, this was not a tv show.
234 00:16:02,954 00:16:05,630 Under his leadership, as with all the bosses, you know, Under his leadership, as with all the bosses, you know,
235 00:16:05,632 00:16:08,257 People who got in the way wound up getting hurt. People who got in the way wound up getting hurt.
236 00:16:08,626 00:16:10,343 He was ruthless. He was ruthless.
237 00:16:11,805 00:16:14,138 Gotti's executed someone because he didn't show up when gotti summoned him. Gotti's executed someone because he didn't show up when gotti summoned him.
238 00:16:14,757 00:16:17,258 And he severed his head off. And he severed his head off.
239 00:16:17,260 00:16:22,888 James mcbratney, robert dibernardo, tommy spinelli, big gus sclafani James mcbratney, robert dibernardo, tommy spinelli, big gus sclafani
240 00:16:22,890 00:16:25,817 Gotti was just a blood thirsty, violent criminal. Gotti was just a blood thirsty, violent criminal.
241 00:16:25,819 00:16:27,986 As the gambino family head, As the gambino family head,
242 00:16:27,988 00:16:33,649 It has become a much more violent, violent institution than it was previously It has become a much more violent, violent institution than it was previously
243 00:16:33,651 00:16:35,493 Because gotti, that's his outlook, Because gotti, that's his outlook,
244 00:16:35,495 00:16:39,038 Is if I can't get my way, I'm just gonna kill you. Is if I can't get my way, I'm just gonna kill you.
245 00:16:39,657 00:16:41,907 He was the jekyll and hyde if you will, right, He was the jekyll and hyde if you will, right,
246 00:16:41,909 00:16:45,411 The guy that the public got to see and what they didn't see The guy that the public got to see and what they didn't see
247 00:16:45,413 00:16:48,956 Was the ruthless guy behind those closed doors Was the ruthless guy behind those closed doors
248 00:16:48,958 00:16:52,501 Who's ordering hits, taking over business, Who's ordering hits, taking over business,
249 00:16:52,503 00:16:55,555 Who's doing whatever he wants in a very strong way. Who's doing whatever he wants in a very strong way.
250 00:16:56,257 00:16:59,759 Downside to the real mobsters is who needs this attention? Downside to the real mobsters is who needs this attention?
251 00:16:59,761 00:17:03,980 This isn't what we do. We're a secret organization. But for john, it worked. This isn't what we do. We're a secret organization. But for john, it worked.
252 00:17:04,524 00:17:08,443 If you're going to be that public, it makes him a target to law enforcement. If you're going to be that public, it makes him a target to law enforcement.
253 00:17:08,862 00:17:13,105 And this was a guy who was not careful, this was a guy who was violent And this was a guy who was not careful, this was a guy who was violent
254 00:17:13,107 00:17:16,200 And this was a guy who was basically doomed And this was a guy who was basically doomed
255 00:17:16,202 00:17:19,787 To take the mafia and see it implode on itself. To take the mafia and see it implode on itself.
256 00:17:22,492 00:17:25,034 In the mid 80s, new york was booming In the mid 80s, new york was booming
257 00:17:25,036 00:17:28,546 And the biggest winners were putting on the greatest show on earth. And the biggest winners were putting on the greatest show on earth.
258 00:17:28,548 00:17:31,290 And yet they faced increasingly stiff competition And yet they faced increasingly stiff competition
259 00:17:31,292 00:17:34,844 Because a revolution in television was about to change everything. Because a revolution in television was about to change everything.
260 00:17:36,172 00:17:38,380 I want my mtv. I want my mtv.
261 00:17:38,382 00:17:40,308 I want my mtv. I want my mtv.
262 00:17:40,560 00:17:43,552 [announcer] mtv music television [announcer] mtv music television
263 00:17:43,554 00:17:46,180 It was the ultimate springboard for fame. It was the ultimate springboard for fame.
264 00:17:46,182 00:17:50,610 Transforming local celebrities from new york's music scene into television superstars. Transforming local celebrities from new york's music scene into television superstars.
265 00:17:52,522 00:17:55,406 We've gotta look at the ramones and their triumphant return We've gotta look at the ramones and their triumphant return
266 00:17:55,408 00:17:58,785 To their original starting place right here in new york city. To their original starting place right here in new york city.
267 00:17:59,529 00:18:04,198 [kurt andersen] mtv did express a certain kind of new york inflected cool. [kurt andersen] mtv did express a certain kind of new york inflected cool.
268 00:18:04,200 00:18:10,371 And the density of club culture and street culture and graffiti as art adding to the sense of, And the density of club culture and street culture and graffiti as art adding to the sense of,
269 00:18:10,373 00:18:14,708 "look at all this innovative, stylish stuff that is happening in the city." "look at all this innovative, stylish stuff that is happening in the city."
270 00:18:14,710 00:18:18,879 And in the same way that a lot of new york city and the kind of cultural excitement And in the same way that a lot of new york city and the kind of cultural excitement
271 00:18:18,881 00:18:22,716 Was uptown meets downtown, mtv kind of expressed that. Was uptown meets downtown, mtv kind of expressed that.
272 00:18:22,718 00:18:25,394 [michael musto] and it was exciting. I watched it day and night. [michael musto] and it was exciting. I watched it day and night.
273 00:18:25,772 00:18:29,890 And to be a music star at this point, you couldn't just be a good singer. And to be a music star at this point, you couldn't just be a good singer.
274 00:18:29,892 00:18:31,150 You had to have a personality. You had to have a personality.
275 00:18:32,703 00:18:37,073 You had to be a self made cyndi lauper. It was perfect for the 80s. You had to be a self made cyndi lauper. It was perfect for the 80s.
276 00:18:37,784 00:18:42,069 [lizzy goodman] there was brilliant art being made in the form of music videos [lizzy goodman] there was brilliant art being made in the form of music videos
277 00:18:42,071 00:18:45,739 By all of the artists that became the biggest pop stars of this age. By all of the artists that became the biggest pop stars of this age.
278 00:18:45,741 00:18:50,294 Madonna, who had come from this underground club world in new york, Madonna, who had come from this underground club world in new york,
279 00:18:50,296 00:18:54,132 Understood a visual medium in a way that artists before her had not. Understood a visual medium in a way that artists before her had not.
280 00:18:54,134 00:18:58,794 And mtv had this role of populating a stage And mtv had this role of populating a stage
281 00:18:58,796 00:19:01,139 That was, all of a sudden, enormous That was, all of a sudden, enormous
282 00:19:01,141 00:19:05,977 With like, really weird, beautiful, odd pop art. With like, really weird, beautiful, odd pop art.
283 00:19:05,979 00:19:10,764 [darryl mcdaniels] in the 80s, mtv was able to put hip hop into living rooms [darryl mcdaniels] in the 80s, mtv was able to put hip hop into living rooms
284 00:19:10,766 00:19:13,234 Not only across the nation, across the globe. Not only across the nation, across the globe.
285 00:19:13,769 00:19:15,436 [michael holman] from hip hop's humble beginnings, [michael holman] from hip hop's humble beginnings,
286 00:19:15,438 00:19:17,572 With the reach and the power of mtv, With the reach and the power of mtv,
287 00:19:18,107 00:19:22,034 You have artists like run-dmc appearing on them and just changing everything. You have artists like run-dmc appearing on them and just changing everything.
288 00:19:22,162 00:19:24,078 You know, with "walk this way" or "my adidas." You know, with "walk this way" or "my adidas."
289 00:19:24,447 00:19:26,914 [run-dmc rapping] [run-dmc rapping]
290 00:19:29,827 00:19:36,624 They knew to take adidas shoes and make a song out of it and it becomes a hit record They knew to take adidas shoes and make a song out of it and it becomes a hit record
291 00:19:36,626 00:19:39,927 And kids go to the concert holding their adidas shoes up in the air. And kids go to the concert holding their adidas shoes up in the air.
292 00:19:40,129 00:19:43,631 Run-dmc exploded, we was the first to do everything. Run-dmc exploded, we was the first to do everything.
293 00:19:43,633 00:19:47,134 First to go gold, first to go platinum, first on the cover of rolling stone . First to go gold, first to go platinum, first on the cover of rolling stone .
294 00:19:47,136 00:19:50,313 First on mtv, which was huge here in new york city. First on mtv, which was huge here in new york city.
295 00:19:51,307 00:19:55,193 [holman] they become international sensations. And the world comes to them. [holman] they become international sensations. And the world comes to them.
296 00:19:55,195 00:20:00,522 The world comes to hip hop. That's how big it is. That's how important it is. The world comes to hip hop. That's how big it is. That's how important it is.
297 00:20:00,524 00:20:04,652 It was a brave new world and whether you were a rock star or a titan of industry, It was a brave new world and whether you were a rock star or a titan of industry,
298 00:20:04,654 00:20:07,488 Talent alone was no longer enough. Talent alone was no longer enough.
299 00:20:07,490 00:20:11,334 It was about selling an image, and image was everything. It was about selling an image, and image was everything.
300 00:20:11,544 00:20:13,827 The 80s redefined what success meant. The 80s redefined what success meant.
301 00:20:13,829 00:20:17,632 You could be a self-made millionaire if you radiated something. You could be a self-made millionaire if you radiated something.
302 00:20:19,502 00:20:23,837 [tina brown] they were colorful, they were rich. They were calling out to be covered. [tina brown] they were colorful, they were rich. They were calling out to be covered.
303 00:20:23,839 00:20:29,176 You know, this was the beginning of making ceos celebrities, which they really weren't before You know, this was the beginning of making ceos celebrities, which they really weren't before
304 00:20:29,178 00:20:30,886 Before they were just boring people Before they were just boring people
305 00:20:30,888 00:20:32,897 Who sat behind desks that you didn't wanna write about. Who sat behind desks that you didn't wanna write about.
306 00:20:32,899 00:20:36,183 Now all of a sudden they're posing with manhattan skylines behind them, Now all of a sudden they're posing with manhattan skylines behind them,
307 00:20:36,185 00:20:38,569 Thrusting themselves over the desk. Thrusting themselves over the desk.
308 00:20:38,571 00:20:42,356 It then became not enough to be in the fortune 500. It then became not enough to be in the fortune 500.
309 00:20:42,358 00:20:45,025 I mean, you wanted to be the face of your company. I mean, you wanted to be the face of your company.
310 00:20:45,027 00:20:48,621 The ultimate example of that was, of course, leona helmsley. The ultimate example of that was, of course, leona helmsley.
311 00:20:51,534 00:20:54,585 Whether you knew her as the queen of mean or the queen of the palace, Whether you knew her as the queen of mean or the queen of the palace,
312 00:20:54,587 00:20:58,080 She was a woman reigning supreme in a man's world. She was a woman reigning supreme in a man's world.
313 00:20:58,082 00:21:02,093 And with the limelight firmly fixed on her, she'd never let you forget it. And with the limelight firmly fixed on her, she'd never let you forget it.
314 00:21:02,095 00:21:05,179 Am I comfortable? I make a living. Am I comfortable? I make a living.
315 00:21:06,382 00:21:10,059 [woman] leona helmsley was her own brilliant public relations person. [woman] leona helmsley was her own brilliant public relations person.
316 00:21:12,430 00:21:15,931 [newsreader] leona helmsley, the emblem of the helmsley hotel empire. [newsreader] leona helmsley, the emblem of the helmsley hotel empire.
317 00:21:15,933 00:21:19,026 [newsreader 2] leona helmsley, the hotel queen billionaire. [newsreader 2] leona helmsley, the hotel queen billionaire.
318 00:21:20,780 00:21:24,940 [glenn plaskin] nobody had ever taken their name and their face [glenn plaskin] nobody had ever taken their name and their face
319 00:21:24,942 00:21:30,779 And turned it into such a personal brand, much less in real estate. And turned it into such a personal brand, much less in real estate.
320 00:21:30,781 00:21:33,949 Trump would follow in her footsteps, in a sense, Trump would follow in her footsteps, in a sense,
321 00:21:33,951 00:21:36,076 Because he would start putting his name Because he would start putting his name
322 00:21:36,078 00:21:40,581 On trump tower, trump palace, trump park, trump everything. On trump tower, trump palace, trump park, trump everything.
323 00:21:40,583 00:21:46,795 And so she had just the right face, name, and personality. And so she had just the right face, name, and personality.
324 00:21:46,797 00:21:51,425 The pillows were gonna be perfect. The rooms were gonna be impeccably clean. The pillows were gonna be perfect. The rooms were gonna be impeccably clean.
325 00:21:51,427 00:21:55,271 The flowers, the carpet, everything was gonna be perfect. The flowers, the carpet, everything was gonna be perfect.
326 00:21:55,982 00:22:00,818 [elaine silverstein] this wealthy, regal woman was going to be attending [elaine silverstein] this wealthy, regal woman was going to be attending
327 00:22:00,820 00:22:03,771 To the details in the hotel and people believed it. To the details in the hotel and people believed it.
328 00:22:03,773 00:22:08,108 [elaine taylor-gordon] what could be more fabulous than being treated like royalty. [elaine taylor-gordon] what could be more fabulous than being treated like royalty.
329 00:22:08,110 00:22:13,414 But while her guests may have reveled in her attention, others were left frozen in fear. But while her guests may have reveled in her attention, others were left frozen in fear.
330 00:22:14,116 00:22:17,668 [bill dowling] she had an incredibly good sense of how to build a bond [bill dowling] she had an incredibly good sense of how to build a bond
331 00:22:17,670 00:22:21,955 With the customers of the hotel chain. But everyone was scared of leona. With the customers of the hotel chain. But everyone was scared of leona.
332 00:22:21,957 00:22:25,501 She would lash out at you and I saw it happen to a number of people She would lash out at you and I saw it happen to a number of people
333 00:22:25,503 00:22:27,428 Who had worked with her for years. Who had worked with her for years.
334 00:22:28,130 00:22:30,631 At the restaurant of the helmsley palace, At the restaurant of the helmsley palace,
335 00:22:30,633 00:22:33,934 If there was as speck of dust on a glass or a saucer, If there was as speck of dust on a glass or a saucer,
336 00:22:34,136 00:22:39,973 She would call the waiter over, she would fire him and smash the saucer on the floor. She would call the waiter over, she would fire him and smash the saucer on the floor.
337 00:22:39,975 00:22:45,312 If service was slow or if the soup was cold, she would just go nuts. If service was slow or if the soup was cold, she would just go nuts.
338 00:22:45,314 00:22:47,523 "now you're fired, goodbye." "now you're fired, goodbye."
339 00:22:47,525 00:22:51,652 Just like the queen of hearts in alice in wonderland. Just like the queen of hearts in alice in wonderland.
340 00:22:51,654 00:22:54,163 Off with their head! Off with their head!
341 00:22:56,876 00:22:58,250 Off with your head. Off with your head.
342 00:22:58,828 00:23:01,796 Leona was a petty tyrant, really. Leona was a petty tyrant, really.
343 00:23:02,665 00:23:06,008 [dowling] leona helmsley was the most vain person I've ever known [dowling] leona helmsley was the most vain person I've ever known
344 00:23:06,377 00:23:13,265 And this queen stands guard campaign fed into that like pouring gasoline on a flame. And this queen stands guard campaign fed into that like pouring gasoline on a flame.
345 00:23:14,343 00:23:19,897 She was addicted to fame. She was no longer the immigrant girl, She was addicted to fame. She was no longer the immigrant girl,
346 00:23:19,899 00:23:22,525 Scrambling up the ladder. Scrambling up the ladder.
347 00:23:23,894 00:23:26,895 She wanted to step out there in the gorgeous gown She wanted to step out there in the gorgeous gown
348 00:23:26,897 00:23:30,157 And have the klieg lights and be on harry's arm. And have the klieg lights and be on harry's arm.
349 00:23:30,576 00:23:35,621 It wasn't long after that that leona and harry bought dunnellen. It wasn't long after that that leona and harry bought dunnellen.
350 00:23:37,366 00:23:41,877 This place fed into her queendom [laughs] when she bought it. This place fed into her queendom [laughs] when she bought it.
351 00:23:44,331 00:23:46,206 [musto] they moved to greenwich, connecticut. [musto] they moved to greenwich, connecticut.
352 00:23:46,208 00:23:48,759 But they don't just buy a house in greenwich, connecticut. But they don't just buy a house in greenwich, connecticut.
353 00:23:48,761 00:23:51,512 They buy an estate, dunnellen hall. They buy an estate, dunnellen hall.
354 00:23:52,256 00:23:57,551 Dunnellen has 28 rooms, it's on 26 acres of land, Dunnellen has 28 rooms, it's on 26 acres of land,
355 00:23:57,553 00:24:00,896 It's 21,000 square feet of living space. It's 21,000 square feet of living space.
356 00:24:01,441 00:24:03,774 [plaskin]it was like a big english country home [plaskin]it was like a big english country home
357 00:24:03,776 00:24:08,654 And it all opened out into this beautiful back lawn. And it all opened out into this beautiful back lawn.
358 00:24:09,440 00:24:13,659 [leona helmsley] I have sheep. One is bo, one is peep. [leona helmsley] I have sheep. One is bo, one is peep.
359 00:24:14,120 00:24:16,778 Here bo. It's your mother. Here bo. It's your mother.
360 00:24:16,780 00:24:18,906 They are dumb. They are dumb.
361 00:24:18,908 00:24:22,868 They walked the grounds with mike wallis. They talked about their second pool. They walked the grounds with mike wallis. They talked about their second pool.
362 00:24:22,870 00:24:24,795 [mike wallis] and up top? [mike wallis] and up top?
363 00:24:24,797 00:24:28,373 [harry helmsley] on top we're gonna have, of course, a dance floor. [harry helmsley] on top we're gonna have, of course, a dance floor.
364 00:24:28,375 00:24:29,633 [singing] dance in an old fashioned way. [singing] dance in an old fashioned way.
365 00:24:29,635 00:24:31,960 It's none of my business, but, how much? It's none of my business, but, how much?
366 00:24:31,962 00:24:34,805 And she would say, "I don't know." And she would say, "I don't know."
367 00:24:34,807 00:24:36,924 I don't know. I don't know.
368 00:24:36,926 00:24:42,563 Dunnellen was very grand. And she expected to be treated like a queen. Dunnellen was very grand. And she expected to be treated like a queen.
369 00:24:43,807 00:24:45,766 [dowling] she wanted to be the real queen [dowling] she wanted to be the real queen
370 00:24:45,768 00:24:49,645 But there was no similarity between what she was like in real life But there was no similarity between what she was like in real life
371 00:24:49,647 00:24:53,941 And what the image was that she portrayed. And that always catches up with people. And what the image was that she portrayed. And that always catches up with people.
372 00:24:53,943 00:24:57,453 She believed that her standards were justified at dunnellen. She believed that her standards were justified at dunnellen.
373 00:24:57,988 00:25:00,915 To her they weren't indulgences, they were necessities. To her they weren't indulgences, they were necessities.
374 00:25:03,619 00:25:07,963 So this is the world she created for herself. And this would be the world of her downfall. So this is the world she created for herself. And this would be the world of her downfall.
375 00:25:14,463 00:25:19,850 Plus [laughs] the park lane, tplus the carlton house,g? , Plus [laughs] the park lane, tplus the carlton house,g? ,
376 00:25:19,852 00:25:22,761 Plus the saint moritz plus the harley hotel. Plus, plus, plus, plus. Plus the saint moritz plus the harley hotel. Plus, plus, plus, plus.
377 00:25:22,763 00:25:24,137 Oh you get it. Oh you get it.
378 00:25:24,139 00:25:26,139 [burrough] there was an acceptance in the 80s [burrough] there was an acceptance in the 80s
379 00:25:26,141 00:25:28,651 Of, "ya make it, you know, when you show it." Of, "ya make it, you know, when you show it."
380 00:25:28,769 00:25:31,645 Bling. I mean, that was kind of a new thing. Bling. I mean, that was kind of a new thing.
381 00:25:31,647 00:25:35,282 [dowling] greed will always be with us, it doesn't disappear. [dowling] greed will always be with us, it doesn't disappear.
382 00:25:35,859 00:25:39,361 [maddrick] but by the mid 80s, the case against greed, [maddrick] but by the mid 80s, the case against greed,
383 00:25:39,363 00:25:44,542 The cultural restraint is no longer there. The cultural restraint is no longer there.
384 00:25:44,544 00:25:47,452 [newsreader] a new thinking gripped wall street, a new attitude. [newsreader] a new thinking gripped wall street, a new attitude.
385 00:25:47,454 00:25:49,663 Get yours while the getting is good. Get yours while the getting is good.
386 00:25:49,665 00:25:52,833 [gil troy] the gospel of wealth of new york in the 1980s is that if you make money, [gil troy] the gospel of wealth of new york in the 1980s is that if you make money,
387 00:25:52,835 00:25:57,462 Make sure to make more and more and more. 'cause that's your path to virtue. Make sure to make more and more and more. 'cause that's your path to virtue.
388 00:25:57,464 00:26:03,727 And ivan boesky was one of the great symbols of wall street greed in the 1980s. And ivan boesky was one of the great symbols of wall street greed in the 1980s.
389 00:26:06,473 00:26:11,402 By 1985, the king of arbitrage was the biggest earner on wall street. By 1985, the king of arbitrage was the biggest earner on wall street.
390 00:26:11,404 00:26:14,730 But what he wanted even more was fame. But what he wanted even more was fame.
391 00:26:14,732 00:26:19,860 To achieve it, he'd need to keep his crimes hidden while keeping himself front and center, To achieve it, he'd need to keep his crimes hidden while keeping himself front and center,
392 00:26:19,862 00:26:22,830 A balancing act he could only manage for so long. A balancing act he could only manage for so long.
393 00:26:23,073 00:26:27,042 Our guest tonight, ivan boesky, wall street's biggest independent speculator. Our guest tonight, ivan boesky, wall street's biggest independent speculator.
394 00:26:27,995 00:26:31,830 The big boys in the business world, which sparked words like "corporate takeover." The big boys in the business world, which sparked words like "corporate takeover."
395 00:26:31,832 00:26:35,334 What's behind all of the activity now? What's it mean to us? What's behind all of the activity now? What's it mean to us?
396 00:26:35,336 00:26:39,388 Well, a man who knows a lot about it is ivan boesky. He's one of the big boys. Well, a man who knows a lot about it is ivan boesky. He's one of the big boys.
397 00:26:41,008 00:26:44,718 [sorkin] he became emblematic of what wall street was in the 1980s, [sorkin] he became emblematic of what wall street was in the 1980s,
398 00:26:44,720 00:26:48,180 He was the trader who had this impossible success. He was the trader who had this impossible success.
399 00:26:48,182 00:26:52,443 This is the horatio alger story, but just with a lot of zeros and commas. This is the horatio alger story, but just with a lot of zeros and commas.
400 00:26:53,771 00:26:58,616 He was driven in a stretch limo and he was regal looking, but crude. He was driven in a stretch limo and he was regal looking, but crude.
401 00:26:58,618 00:27:02,861 [james b stewart] he always wanted to call attention to the fact [james b stewart] he always wanted to call attention to the fact
402 00:27:02,863 00:27:04,955 That he made a lot of money. That he made a lot of money.
403 00:27:05,741 00:27:10,702 For example, he invited a group of people, including potential clients For example, he invited a group of people, including potential clients
404 00:27:10,704 00:27:13,422 To a dinner at a very expensive restaurant. To a dinner at a very expensive restaurant.
405 00:27:13,707 00:27:18,919 Boesky, in front of all these people, he said he'd order everything on the menu. Boesky, in front of all these people, he said he'd order everything on the menu.
406 00:27:18,921 00:27:21,930 [harvey pitt] everything on the menu. [harvey pitt] everything on the menu.
407 00:27:23,717 00:27:28,228 I mean, eating out with ivan was an adventure. I mean, eating out with ivan was an adventure.
408 00:27:29,223 00:27:34,735 [stewart] I will then taste everything on the menu and then decide what I want. [stewart] I will then taste everything on the menu and then decide what I want.
409 00:27:35,488 00:27:36,945 He was... He was...
410 00:27:38,473 00:27:44,411 ...Odd. And he used that to his advantage. It was part of his mystique. ...Odd. And he used that to his advantage. It was part of his mystique.
411 00:27:45,614 00:27:50,075 By now, boesky had been the subject of fawning profiles. By now, boesky had been the subject of fawning profiles.
412 00:27:50,077 00:27:52,452 He was getting constant speaking invitations. He was getting constant speaking invitations.
413 00:27:52,454 00:27:57,841 It was both a sign of his own popularity but also the values of the time. It was both a sign of his own popularity but also the values of the time.
414 00:27:57,843 00:28:00,252 There were wealthy people that you saw There were wealthy people that you saw
415 00:28:00,254 00:28:03,004 Both on the wall street journal and in people magazine. Both on the wall street journal and in people magazine.
416 00:28:03,006 00:28:06,183 This was entirely new. Business became part of his zeitgeist. This was entirely new. Business became part of his zeitgeist.
417 00:28:06,185 00:28:09,511 In america, one of the great things about this nation In america, one of the great things about this nation
418 00:28:09,513 00:28:13,181 Is that we can seek profit. And I'm proud of that. Is that we can seek profit. And I'm proud of that.
419 00:28:13,183 00:28:16,768 [newsreader] boesky is pushing a book he's written called merger mania . [newsreader] boesky is pushing a book he's written called merger mania .
420 00:28:16,770 00:28:20,480 [stewart] he became so famous, he wrote a book, it was a best seller. [stewart] he became so famous, he wrote a book, it was a best seller.
421 00:28:20,482 00:28:25,369 Now, his book purported to explain how he did this. Now, his book purported to explain how he did this.
422 00:28:25,371 00:28:31,283 We now know, of course, that merger mania was just part of the cover story. We now know, of course, that merger mania was just part of the cover story.
423 00:28:31,285 00:28:36,455 Nothing in merger mania had anything to do with his actual investment decisions. Nothing in merger mania had anything to do with his actual investment decisions.
424 00:28:36,457 00:28:42,377 The information that was vital to him was confidential inside information. The information that was vital to him was confidential inside information.
425 00:28:42,379 00:28:44,805 It was illegal to be disseminating. It was illegal to be disseminating.
426 00:28:45,883 00:28:48,967 [bethany mclean] he's getting inside information from a variety of sources, [bethany mclean] he's getting inside information from a variety of sources,
427 00:28:48,969 00:28:53,981 Including marty siegel and he's using that to bet on deals and in pretty blatant ways Including marty siegel and he's using that to bet on deals and in pretty blatant ways
428 00:28:54,349 00:29:00,520 Boesky and an investment banker named marty siegel were passing cash for information, Boesky and an investment banker named marty siegel were passing cash for information,
429 00:29:00,522 00:29:03,690 Getting that information was steeling form shareholders. Getting that information was steeling form shareholders.
430 00:29:03,692 00:29:08,412 Maybe they tried to convince themselves it wasn't but that was pure rationalization. Maybe they tried to convince themselves it wasn't but that was pure rationalization.
431 00:29:09,239 00:29:11,749 [mclean] and so, you could look at that book and say, [mclean] and so, you could look at that book and say,
432 00:29:11,751 00:29:14,701 "he's got this mammoth ego that now needs to be fed," "he's got this mammoth ego that now needs to be fed,"
433 00:29:14,703 00:29:18,038 Or you can see it as him trying to whitewash what he was doing Or you can see it as him trying to whitewash what he was doing
434 00:29:18,040 00:29:22,834 By putting this public narrative out there that's very different than what was, By putting this public narrative out there that's very different than what was,
435 00:29:22,836 00:29:24,753 What was actually happening. What was actually happening.
436 00:29:24,755 00:29:28,089 But there's really, I guess, at this point, no number that's enough. But there's really, I guess, at this point, no number that's enough.
437 00:29:28,091 00:29:33,345 It was incredibly risky for boesky to be out bragging It was incredibly risky for boesky to be out bragging
438 00:29:33,347 00:29:36,389 And calling attention to his success. And calling attention to his success.
439 00:29:36,391 00:29:39,684 Which was only gonna lead to more scrutiny and questions Which was only gonna lead to more scrutiny and questions
440 00:29:39,686 00:29:44,022 But he couldn't resist the allure of publicity. But he couldn't resist the allure of publicity.
441 00:29:44,024 00:29:47,692 What do you think the role of inside information is in the market today? What do you think the role of inside information is in the market today?
442 00:29:47,694 00:29:52,864 I have no way of touching that. I think it's is a troubling matter I have no way of touching that. I think it's is a troubling matter
443 00:29:52,866 00:29:55,867 To the interest of those of us in the industry To the interest of those of us in the industry
444 00:29:55,869 00:30:00,088 That all such kinds of behaviors be eliminated isn't possible. That all such kinds of behaviors be eliminated isn't possible.
445 00:30:00,800 00:30:04,543 People who are committing crimes often can't resist tipping their hat People who are committing crimes often can't resist tipping their hat
446 00:30:04,545 00:30:06,804 And showing that there might be something going on. And showing that there might be something going on.
447 00:30:07,381 00:30:10,715 Would it be inside information if investors such as yourself Would it be inside information if investors such as yourself
448 00:30:10,717 00:30:13,218 Found it to your benefit to start a rumor? Found it to your benefit to start a rumor?
449 00:30:13,220 00:30:17,097 You have to understand that I'm a professional and one doesn't have the time You have to understand that I'm a professional and one doesn't have the time
450 00:30:17,099 00:30:21,485 To even concern himself with something as kind of childish as that. To even concern himself with something as kind of childish as that.
451 00:30:21,487 00:30:24,938 And that's usually the natural course of events. And that's usually the natural course of events.
452 00:30:24,940 00:30:29,076 It takes a very special kind of fraudster to keep reining it in. It takes a very special kind of fraudster to keep reining it in.
453 00:30:30,070 00:30:33,330 [stewart] as boesky is doing all of this publicity, [stewart] as boesky is doing all of this publicity,
454 00:30:33,332 00:30:36,950 He secretly builds a network of people He secretly builds a network of people
455 00:30:36,952 00:30:40,078 Who were funneling inside information to him Who were funneling inside information to him
456 00:30:40,080 00:30:43,298 In return for rewards of one kind of another. In return for rewards of one kind of another.
457 00:30:43,959 00:30:47,252 And they were all enriching themselves illegally. And they were all enriching themselves illegally.
458 00:30:47,254 00:30:52,007 You could argue that people always get careless as their fraud goes on longer. You could argue that people always get careless as their fraud goes on longer.
459 00:30:52,009 00:30:54,342 They get greedier and they get more reckless. They get greedier and they get more reckless.
460 00:30:54,344 00:30:58,355 It's almost akin to eating potato chips. It's almost akin to eating potato chips.
461 00:30:58,357 00:31:02,142 The more potato chips you eat, the more you want. The more potato chips you eat, the more you want.
462 00:31:02,144 00:31:06,021 Ivan was a smart guy. Even for a crook he was a smart guy. Ivan was a smart guy. Even for a crook he was a smart guy.
463 00:31:06,023 00:31:09,608 But he made the mistake of dealing with people who weren't. But he made the mistake of dealing with people who weren't.
464 00:31:09,610 00:31:11,702 Dennis levine would be exhibit a. Dennis levine would be exhibit a.
465 00:31:11,853 00:31:15,622 [denis levine] I live for the high of making those trades, of doing the next deal. [denis levine] I live for the high of making those trades, of doing the next deal.
466 00:31:15,782 00:31:17,875 Dennis levine was a schmuck. Dennis levine was a schmuck.
467 00:31:18,785 00:31:21,545 Everybody knew a dennis levine. Everybody knew a dennis levine.
468 00:31:21,955 00:31:28,886 A schmucky kid who came here and cut corners to be somebody. He was such a putz. A schmucky kid who came here and cut corners to be somebody. He was such a putz.
469 00:31:29,713 00:31:34,725 Dennis levine stumbled into the world of mergers and acquisitions. Dennis levine stumbled into the world of mergers and acquisitions.
470 00:31:34,727 00:31:37,510 He was hired by drexel burnham lambert He was hired by drexel burnham lambert
471 00:31:37,512 00:31:42,900 And trumpeted as their new investment banking star who'd be based in new york And trumpeted as their new investment banking star who'd be based in new york
472 00:31:42,902 00:31:47,487 To compliment the milken operation on the west coast. To compliment the milken operation on the west coast.
473 00:31:48,649 00:31:51,408 Drexel has changed the face of american finance Drexel has changed the face of american finance
474 00:31:51,410 00:31:54,912 And this one man did it almost single handedly. And this one man did it almost single handedly.
475 00:31:54,914 00:31:58,165 It was really drexel, burnham, and particularly michael milken, It was really drexel, burnham, and particularly michael milken,
476 00:31:58,742 00:32:05,088 Who used junk bonds to fuel the takeover booms, to finance corporate raiders. Who used junk bonds to fuel the takeover booms, to finance corporate raiders.
477 00:32:05,090 00:32:08,842 To shake up corporate america in a way that it had never confronted before. To shake up corporate america in a way that it had never confronted before.
478 00:32:12,089 00:32:15,849 Drexel burnham lambert was the center of the information flow. Drexel burnham lambert was the center of the information flow.
479 00:32:16,718 00:32:20,679 [newsreader] dennis levine impressed colleagues as being very well wired [newsreader] dennis levine impressed colleagues as being very well wired
480 00:32:20,681 00:32:24,733 To the other investment banking firms and to wall street's rumor mills To the other investment banking firms and to wall street's rumor mills
481 00:32:25,277 00:32:30,772 Dennis levine had no recognizable banking skills other than his ability to, Dennis levine had no recognizable banking skills other than his ability to,
482 00:32:30,774 00:32:33,033 As they used to call it, work the phones. As they used to call it, work the phones.
483 00:32:33,610 00:32:37,779 He had an extra long cord so he could wander around the office He had an extra long cord so he could wander around the office
484 00:32:37,781 00:32:41,366 While holding the phone and talking at the same time. While holding the phone and talking at the same time.
485 00:32:41,368 00:32:44,411 And so it was very, very lucrative for him. And so it was very, very lucrative for him.
486 00:32:44,413 00:32:46,588 It was like a cash register going off. It was like a cash register going off.
487 00:32:48,291 00:32:50,133 [burrough] everybody knew a dennis levine. [burrough] everybody knew a dennis levine.
488 00:32:50,135 00:32:53,086 The guy at the next desk that you didn't like that talked too loud The guy at the next desk that you didn't like that talked too loud
489 00:32:53,088 00:32:55,806 About his new summer house or his new boat. About his new summer house or his new boat.
490 00:32:55,808 00:33:01,311 That was dennis levine and he was the template for the sordid young new yorker That was dennis levine and he was the template for the sordid young new yorker
491 00:33:01,313 00:33:04,731 Who would do anything to be anything. Who would do anything to be anything.
492 00:33:06,268 00:33:11,104 [stewart ]boesky was a dream for somebody like levine. [stewart ]boesky was a dream for somebody like levine.
493 00:33:11,106 00:33:16,943 So it was naturally someone that levine would want to cultivate a relationship with. So it was naturally someone that levine would want to cultivate a relationship with.
494 00:33:16,945 00:33:22,490 And a little bit like boesky, he managed to put together a ring of people And a little bit like boesky, he managed to put together a ring of people
495 00:33:22,492 00:33:25,252 Who fed him inside information. Who fed him inside information.
496 00:33:26,580 00:33:32,175 It was very valuable for both levine and boesky to have a network of sources It was very valuable for both levine and boesky to have a network of sources
497 00:33:32,177 00:33:37,347 So that these tips never came from one identifiable source. So that these tips never came from one identifiable source.
498 00:33:38,183 00:33:41,092 They had a very symbiotic relationship. They had a very symbiotic relationship.
499 00:33:41,094 00:33:44,771 And they hammered out a very specific profit-sharing agreement. And they hammered out a very specific profit-sharing agreement.
500 00:33:45,599 00:33:51,019 If levine was the source of a investment by boesky, If levine was the source of a investment by boesky,
501 00:33:51,021 00:33:53,521 He got 5% of the profits. He got 5% of the profits.
502 00:33:53,523 00:33:57,034 If he only gave him additional information about something If he only gave him additional information about something
503 00:33:57,036 00:34:00,871 That boesky had already invested in, he got 1% of the profits. That boesky had already invested in, he got 1% of the profits.
504 00:34:00,873 00:34:02,989 They both knew what was going on. They were playing the game. They both knew what was going on. They were playing the game.
505 00:34:02,991 00:34:05,825 They were both blatantly violating the law. They were both blatantly violating the law.
506 00:34:05,827 00:34:09,329 What ivan boesky did was white line crime. What ivan boesky did was white line crime.
507 00:34:09,331 00:34:12,382 There ain't no doubt that this was a crime There ain't no doubt that this was a crime
508 00:34:12,384 00:34:15,802 And they stupidly thought they could not get caught. And they stupidly thought they could not get caught.
509 00:34:16,213 00:34:20,974 Dennis levine was cataclysmic for boesky. This was gonna come crashing down on him. Dennis levine was cataclysmic for boesky. This was gonna come crashing down on him.
510 00:34:28,517 00:34:30,809 There is no quick fix fwith no end in sight.. Anc There is no quick fix fwith no end in sight.. Anc
511 00:34:30,811 00:34:35,688 How available is it? Well, today three public officials took to the streets to find out. How available is it? Well, today three public officials took to the streets to find out.
512 00:34:35,690 00:34:37,491 Ellen fleysher watched the results. Ellen fleysher watched the results.
513 00:34:38,360 00:34:40,652 [ellen fleysher] you could call it a mixed metaphor, [ellen fleysher] you could call it a mixed metaphor,
514 00:34:40,654 00:34:45,415 The pinstriped trousers worn by the us attorney topped by a leather hells angels vest. The pinstriped trousers worn by the us attorney topped by a leather hells angels vest.
515 00:34:45,417 00:34:48,085 The vest supplied by the drug enforcement administration The vest supplied by the drug enforcement administration
516 00:34:48,087 00:34:50,870 As rudolph giuliani, and senator alfonse d'amato, As rudolph giuliani, and senator alfonse d'amato,
517 00:34:50,872 00:34:53,873 And benjamin baird, chairman of the us parole commission, And benjamin baird, chairman of the us parole commission,
518 00:34:53,875 00:34:56,468 Went shopping for crack in washington heights. Went shopping for crack in washington heights.
519 00:34:56,878 00:35:00,713 I mean, it was crazy. I mean, giuliani dressed as a hells angel. I mean, it was crazy. I mean, giuliani dressed as a hells angel.
520 00:35:00,715 00:35:05,260 Us attorney's aren't supposed to do that kind of stuff. Us attorney's aren't supposed to do that kind of stuff.
521 00:35:05,262 00:35:09,556 For a hard driving prosecutor in the dawn of his career, the rules were simple. For a hard driving prosecutor in the dawn of his career, the rules were simple.
522 00:35:09,558 00:35:16,238 Be bold, be unapologetic, and keep everyone watching by any means necessary. Be bold, be unapologetic, and keep everyone watching by any means necessary.
523 00:35:17,732 00:35:19,899 [rudolph giuliani] people are not getting adequate sentences [rudolph giuliani] people are not getting adequate sentences
524 00:35:19,901 00:35:22,619 To really deter this kind of activity, this is a terrible, terrible emergency. To really deter this kind of activity, this is a terrible, terrible emergency.
525 00:35:22,621 00:35:26,197 I mean, it just showed how kind of singular giuliani was, I mean, it just showed how kind of singular giuliani was,
526 00:35:26,199 00:35:30,961 As kind of part law man, part tabloid figure. As kind of part law man, part tabloid figure.
527 00:35:31,130 00:35:36,091 [michael winerip] what he lacked in natural charm, he sort of made up for in chutzpah. [michael winerip] what he lacked in natural charm, he sort of made up for in chutzpah.
528 00:35:36,802 00:35:39,878 He took on the entire mob leadership. He took on the entire mob leadership.
529 00:35:39,880 00:35:45,267 There was nothing about giuliani that was not extraordinarily ambitious. There was nothing about giuliani that was not extraordinarily ambitious.
530 00:35:45,719 00:35:50,438 The commission case goes to trial and rudy wins, much to his credit. The commission case goes to trial and rudy wins, much to his credit.
531 00:35:50,891 00:35:54,693 He delivered on his promise, which is rare in life. He delivered on his promise, which is rare in life.
532 00:35:55,154 00:35:58,822 [newsreader] at the age of 40, he is described by friend and foe alike [newsreader] at the age of 40, he is described by friend and foe alike
533 00:35:58,824 00:36:02,108 As hard working, dynamic, good at what he does, As hard working, dynamic, good at what he does,
534 00:36:02,110 00:36:06,830 And to that list his detractors add: Publicity hound. And to that list his detractors add: Publicity hound.
535 00:36:08,167 00:36:13,003 [troy] rudy giuliani in the 1980s really is our superhero. [troy] rudy giuliani in the 1980s really is our superhero.
536 00:36:13,005 00:36:17,841 But he doesn't do it in traditional american ways, silently. But he doesn't do it in traditional american ways, silently.
537 00:36:17,843 00:36:19,667 He does it in front of the camera. He does it in front of the camera.
538 00:36:19,669 00:36:24,097 He does it with lights and camera and action and microphone. He does it with lights and camera and action and microphone.
539 00:36:24,299 00:36:26,799 [newsreader] we have come to know the face of rudolph giuliani, [newsreader] we have come to know the face of rudolph giuliani,
540 00:36:26,801 00:36:29,802 A steady presence in the morning papers and evening news. A steady presence in the morning papers and evening news.
541 00:36:29,804 00:36:32,856 More than any other us attorney for the southern district of new york, More than any other us attorney for the southern district of new york,
542 00:36:32,858 00:36:36,184 Giuliani has sown himself into the fabric of this city. Giuliani has sown himself into the fabric of this city.
543 00:36:36,186 00:36:39,529 [winerip] he talked about it in almost a philosophical way, [winerip] he talked about it in almost a philosophical way,
544 00:36:39,531 00:36:43,983 That I wanna publicize the great work of our office. But that's not what was driving him. That I wanna publicize the great work of our office. But that's not what was driving him.
545 00:36:43,985 00:36:48,488 What was driving him was what rudy was doing and his relentless climb. What was driving him was what rudy was doing and his relentless climb.
546 00:36:48,490 00:36:50,990 It's rumored a lot that you've got political ambitions. It's rumored a lot that you've got political ambitions.
547 00:36:50,992 00:36:52,492 Right. I hear it all the time. [laughs] Right. I hear it all the time. [laughs]
548 00:36:52,494 00:36:54,327 Right. [laughs] so is true? Right. [laughs] so is true?
549 00:36:54,329 00:36:56,329 No, it's not true. I mean... No, it's not true. I mean...
550 00:36:56,331 00:36:59,716 The reason I have difficult in completely eliminating The reason I have difficult in completely eliminating
551 00:36:59,718 00:37:03,386 All speculation about it is that I will not say I will never in my entire life All speculation about it is that I will not say I will never in my entire life
552 00:37:03,388 00:37:05,797 Run for public office because I don't know the answer to that. Run for public office because I don't know the answer to that.
553 00:37:05,799 00:37:09,559 [mcdonald] I don't think there's any question that rudy giuliani used his office [mcdonald] I don't think there's any question that rudy giuliani used his office
554 00:37:09,561 00:37:13,355 To generate publicity for himself so that he could run for mayor, run for president, To generate publicity for himself so that he could run for mayor, run for president,
555 00:37:13,899 00:37:17,692 Become the lawyer for the president of the united states. [laughs] Become the lawyer for the president of the united states. [laughs]
556 00:37:17,811 00:37:20,979 He would make a name for himself prosecuting organized crime. He would make a name for himself prosecuting organized crime.
557 00:37:20,981 00:37:23,481 Make a name for himself in prosecuting some public corruption Make a name for himself in prosecuting some public corruption
558 00:37:23,483 00:37:24,532 In the city of new york. In the city of new york.
559 00:37:25,026 00:37:26,618 After that he went to wall street. After that he went to wall street.
560 00:37:27,079 00:37:29,821 [randy mastro] back in the 80s there was insider trading. [randy mastro] back in the 80s there was insider trading.
561 00:37:29,823 00:37:32,365 Back in the 80s there were junk bonds. Back in the 80s there were junk bonds.
562 00:37:32,367 00:37:36,202 Back in the 80s there were some offenses on wall street Back in the 80s there were some offenses on wall street
563 00:37:36,204 00:37:40,498 That cried out for a prosecution. Yet, prosecutions of wall street That cried out for a prosecution. Yet, prosecutions of wall street
564 00:37:40,500 00:37:44,043 And white collar crime had not been common prior to this time. And white collar crime had not been common prior to this time.
565 00:37:44,045 00:37:47,597 [kirtzman] you have to remember that these wall street titans, [kirtzman] you have to remember that these wall street titans,
566 00:37:47,599 00:37:50,550 They were kind of heroes to many americans. They were kind of heroes to many americans.
567 00:37:50,552 00:37:57,107 They embodied american success and ingenuity and I don't think giuliani saw that at all. They embodied american success and ingenuity and I don't think giuliani saw that at all.
568 00:37:57,109 00:38:02,061 I mean, he found the excess repugnant I mean, he found the excess repugnant
569 00:38:02,063 00:38:06,533 And he also saw that as another vehicle towards fame. And he also saw that as another vehicle towards fame.
570 00:38:07,193 00:38:09,694 [andrew ross sorkin] this was his moment to make his name [andrew ross sorkin] this was his moment to make his name
571 00:38:09,696 00:38:12,905 As the lead prosecutor in new york As the lead prosecutor in new york
572 00:38:12,907 00:38:17,961 And he saw this as an opportunity And he saw this as an opportunity
573 00:38:17,963 00:38:21,748 Not just to find justice, but I think, in some ways, Not just to find justice, but I think, in some ways,
574 00:38:21,750 00:38:24,884 To find justice for himself, which was power. To find justice for himself, which was power.
575 00:38:28,807 00:38:32,925 What started as a surge of opportunity had transformed into a zeitgeist What started as a surge of opportunity had transformed into a zeitgeist
576 00:38:32,927 00:38:36,429 Fueled by money, power and fame. Fueled by money, power and fame.
577 00:38:36,431 00:38:40,433 Tycoons, pop icons, and desperados alike were celebrated Tycoons, pop icons, and desperados alike were celebrated
578 00:38:40,435 00:38:45,396 By a fawning public regardless of how they achieved their fortunes. By a fawning public regardless of how they achieved their fortunes.
579 00:38:45,398 00:38:49,275 Americans had bought into a new image of success, hook, line, and sinker. Americans had bought into a new image of success, hook, line, and sinker.
580 00:38:49,277 00:38:53,654 And fantasized about living that way too, some day. And fantasized about living that way too, some day.
581 00:38:53,656 00:38:57,408 [announcer] it's another dazzling lifestyles of the rich and famous . [announcer] it's another dazzling lifestyles of the rich and famous .
582 00:38:57,410 00:39:00,670 Meet the stars of show business and big business. Meet the stars of show business and big business.
583 00:39:00,672 00:39:04,799 Discover how life's winner live, love, and spend their fortunes. Discover how life's winner live, love, and spend their fortunes.
584 00:39:07,003 00:39:11,130 Look. America has always been a country of income inequality. Look. America has always been a country of income inequality.
585 00:39:11,132 00:39:15,927 But in previous generations, those of great wealth had the taste But in previous generations, those of great wealth had the taste
586 00:39:15,929 00:39:20,023 To hide away and not display themselves. To hide away and not display themselves.
587 00:39:20,025 00:39:25,695 The 80s really was one of the first times where a lot of the nouveau riche The 80s really was one of the first times where a lot of the nouveau riche
588 00:39:26,356 00:39:32,485 Felt comfortable displaying that wealth. It was sordid. It was seamy. Felt comfortable displaying that wealth. It was sordid. It was seamy.
589 00:39:32,487 00:39:34,788 Unless, of course, you wanted to do it yourself. Unless, of course, you wanted to do it yourself.
590 00:39:35,207 00:39:37,532 Now they're living in new york Now they're living in new york
591 00:39:37,534 00:39:40,201 Where it's so clear who are the masters of the universe but to make it even worse, Where it's so clear who are the masters of the universe but to make it even worse,
592 00:39:40,203 00:39:43,329 To make it even more shakespearean, ivan boesky goes to berkeley. To make it even more shakespearean, ivan boesky goes to berkeley.
593 00:39:43,331 00:39:48,668 He gives a commencement address. And he says, "greed can be healthy." He gives a commencement address. And he says, "greed can be healthy."
594 00:39:48,670 00:39:53,473 [boesky] I urge you, as a part of your ambitions, seek wealth. [boesky] I urge you, as a part of your ambitions, seek wealth.
595 00:39:53,633 00:39:56,142 [cheering and applause] [cheering and applause]
596 00:39:57,512 00:40:00,388 And he gave this speech that essentially said, "greed is good." And he gave this speech that essentially said, "greed is good."
597 00:40:00,390 00:40:05,393 And of course the speech is enshrined in the movie wall street by michael douglas. And of course the speech is enshrined in the movie wall street by michael douglas.
598 00:40:05,395 00:40:08,980 Greed, for lack of a better word, is good. Greed, for lack of a better word, is good.
599 00:40:08,982 00:40:14,494 Greed is right. Greed works. Greed is right. Greed works.
600 00:40:15,572 00:40:18,823 Does anyone disagree with that? No. Does anyone disagree with that? No.
601 00:40:18,825 00:40:22,368 To someone of my generation who knew of berkeley as a hot bed of, you know, To someone of my generation who knew of berkeley as a hot bed of, you know,
602 00:40:22,370 00:40:27,424 Left wing student unrest, it was fascinating that students at berkeley Left wing student unrest, it was fascinating that students at berkeley
603 00:40:27,426 00:40:30,844 Voted to have ivan boesky be their commencement speaker. Voted to have ivan boesky be their commencement speaker.
604 00:40:31,087 00:40:37,225 And that... It was the one line in the entire speech that drew spontaneous applause. And that... It was the one line in the entire speech that drew spontaneous applause.
605 00:40:37,886 00:40:41,855 But do it in a virtuous and honest way. But do it in a virtuous and honest way.
606 00:40:42,724 00:40:44,724 [burrough] there was a new generation [burrough] there was a new generation
607 00:40:44,726 00:40:47,193 That desperately needed to hear that this was ok. That desperately needed to hear that this was ok.
608 00:40:47,770 00:40:50,855 They were doing things that their mothers and fathers hadn't done. They were doing things that their mothers and fathers hadn't done.
609 00:40:50,857 00:40:54,734 Maybe their mothers and fathers had been working on the line at gm or campbell soup Maybe their mothers and fathers had been working on the line at gm or campbell soup
610 00:40:54,736 00:40:57,695 And here they were making nothing, And here they were making nothing,
611 00:40:57,697 00:41:01,583 Just making millions of dollars trading stocks and bonds. Just making millions of dollars trading stocks and bonds.
612 00:41:03,453 00:41:04,586 It's all right. It's all right.
613 00:41:04,954 00:41:06,087 [laughter and cheering] [laughter and cheering]
614 00:41:06,206 00:41:07,955 And to have someone like boesky say, And to have someone like boesky say,
615 00:41:07,957 00:41:13,470 "it's ok, you're doing good. You're pursuing a full life." "it's ok, you're doing good. You're pursuing a full life."
616 00:41:13,472 00:41:16,973 You know, I think there is a generation that really wanted to hear that message. You know, I think there is a generation that really wanted to hear that message.
617 00:41:18,310 00:41:22,145 Fame. Fortune. Adoration. Fame. Fortune. Adoration.
618 00:41:22,147 00:41:25,223 For an insecure outsider who'd conned his way to the top, For an insecure outsider who'd conned his way to the top,
619 00:41:25,225 00:41:28,318 It was everything he'd always wanted. It was everything he'd always wanted.
620 00:41:28,320 00:41:31,070 But he was flying too close to the sun. But he was flying too close to the sun.
621 00:41:31,656 00:41:36,442 This has got a dark side because it ain't possible to dial it back. This has got a dark side because it ain't possible to dial it back.
622 00:41:36,444 00:41:37,643 Exposure can burn. Exposure can burn.
623 00:41:38,497 00:41:40,663 [newsreader] dennis levine, a young investment banker, [newsreader] dennis levine, a young investment banker,
624 00:41:40,665 00:41:43,491 Was arrested and charged with insider trading. Was arrested and charged with insider trading.
625 00:41:43,493 00:41:48,746 [newsreader] investment banker dennis levine collected $12.5 million in illegal profits [newsreader] investment banker dennis levine collected $12.5 million in illegal profits
626 00:41:48,748 00:41:52,583 [dennis levine] I realize I've committed very serious crimes, for which I'm very sorry [dennis levine] I realize I've committed very serious crimes, for which I'm very sorry
627 00:41:52,585 00:41:56,471 [newsreader] levine has pleaded guilty and will turn over almost all of his estimated wealth. [newsreader] levine has pleaded guilty and will turn over almost all of his estimated wealth.
628 00:41:56,965 00:42:00,517 The man responsible for that arrest is rudolph giuliani, The man responsible for that arrest is rudolph giuliani,
629 00:42:00,519 00:42:03,594 Us attorney for the southern district of new york. Us attorney for the southern district of new york.
630 00:42:03,596 00:42:07,473 Well, he allegedly obtained information about mergers Well, he allegedly obtained information about mergers
631 00:42:07,475 00:42:12,028 That would take place in the future or other types of information That would take place in the future or other types of information
632 00:42:12,030 00:42:15,314 That would have the effect of driving up the price of the stock That would have the effect of driving up the price of the stock
633 00:42:15,316 00:42:18,284 And bought large blocks of that stock. And bought large blocks of that stock.
634 00:42:18,861 00:42:22,497 [interviewer] was anyone else involved in this at all? Knowingly? [interviewer] was anyone else involved in this at all? Knowingly?
635 00:42:22,615 00:42:25,992 Yes. At this point, though, I can't identify anyone else. Yes. At this point, though, I can't identify anyone else.
636 00:42:25,994 00:42:31,289 [journalists] mr. Boesky, any comment? Any comment, mr. Boesky? [journalists] mr. Boesky, any comment? Any comment, mr. Boesky?
637 00:42:31,291 00:42:34,050 So many things are too good to be true in retrospect, right? So many things are too good to be true in retrospect, right?
638 00:42:34,052 00:42:37,095 If everybody's making fortunes and the champagne is flowing, If everybody's making fortunes and the champagne is flowing,
639 00:42:37,630 00:42:39,722 You know it's all gonna come to a crashing halt. You know it's all gonna come to a crashing halt.
640 00:42:47,307 00:42:49,899 [dramatic music playing] [dramatic music playing]