Brewton, Pete. The Mafia, CIA, and George Bush. New York: S.P.I. Books (Shapolsky Publishers), 1992. 418 pages.
Beginning in 1990, an assortment of articles from the Houston Post found their way into NameBase. In them Pete Brewton described organized crime and CIA connections surrounding the major players in the savings and loan failures, primarily in Texas but also in Florida and California. Brewton met with resistance, first from the Post's lawyers and then, when he expanded the series into a manuscript, from Simon & Schuster. Brewton quit the Post, enrolled in law school, and took his manuscript elsewhere.The Post series and book are loaded with names of Texas-size wheeler- dealers, but it's circumstantial. There's a little bit on Lloyd Bentsen and sons, a bit more on George Bush and sons, even more on slick operators who appear to be CIA assets, and more still on Mafia-connected deals that involve property flipping as a cover for fraudulent loan schemes using federally-insured funds (your tax dollars). The names come from the records of state and federal agencies and courts, as well as newspaper clippings. The book's title is misleading, as the book itself leaves the impression that this is all business-as-usual for greedy Texans. But unless NAFTA returns the territory to Mexico, where certain Banana Republic of Texas businesses might have more room to deal, it's worthwhile trying to track these fun folks. In that sense, Brewton's contribution is significant.
Mayer, Martin. The Greatest-Ever Bank Robbery: The Collapse of the Savings and Loan Industry. New York: Charles Scribner's Sons, 1990. 354 pages.
Martin Mayer was a member of the finance committee of the President's Commission on Housing beginning in 1981, and has written nearly a dozen books on business and finance, including the bestselling "The Bankers" (1975). In 1982, Congress passed the Garn-St.Germain Act, which tended to deregulate the savings and loans. Until then the industry concentrated on the community-based home-mortgage business, but now it was free to speculate. Getting the cash for these new, risky investments presented no problem, because the federal government still insured all deposits. The U.S. Treasury had to cough up $500 billion to get out of this mess.Despite the witty humor, it requires fortitude to wade through this book's alphabet soup of regulatory agencies, mixed with esoteric financial instruments pushed by Wall Street sharks. Mayer's conclusion is that deposit insurance was the "crack cocaine of American finance" -- once good old American greed was deregulated, the door was open for massive abuse. Who got the money? Wall Street investment houses got most of it, depositors got some of it because of high interest rates, and the Mafia types and Texas cowboys came in third. Who's to blame? The accounting profession was dishonest, and big-name law firms bullied the regulators. In the end, their S & L clients had plenty of time to convert deposits into questionable investments.
Pizzo, Stephen; Fricker, Mary; and Muolo, Paul. Inside Job: The Looting of America's Savings and Loans. New York: McGraw-Hill, 1989. 443 pages.
These authors, two of whom are associated with the National Thrift News in New York, have put together an award-winning account of the Great S & L Heist. This is a tale of a seven-year period during which "a greedy network of swindlers, mobsters, S & L executives, and con men have capitalized on regulatory weaknesses created by deregulation and have thoroughly fleeced the thrift industry."On October 15, 1982 Ronald Reagan invited 200 people to witness the signing of the Garn-St.Germain Act, which canceled much of the S & L regulation of the last 50 years. "All in all, I think we've hit the jackpot," he told his appreciative audience. Ten years later Charles Keating is in jail, the people he robbed will never recover their money, and the "Keating Five" (Senators Cranston, DeConcini, Glenn, McCain, and Riegle) are still making excuses. There's every indication that the next generation will pay heavily for the 1980s.
More quality financial reporting like this is needed in America. White-collar crime and violations of the public trust may not provide the sort of footage that improves ratings on the evening news, but they do more than their share of the damage. Use a pen, go to jail.
Here are the names most frequently mentioned in the above books:
ADKINSON MIKE ALEXANDER TOM AMERICAN CONTINENTAL CORPORATION AMERICAN DIVERSIFIED SAVINGS BANK ANDERSON JOHN B (LAS VEGAS) ANDERSON ROBERT ORVILLE ANGOTTI OTTAVIO A ANNUNZIO FRANK (D-IL) ARTHUR ANDERSEN COMPANY ARTHUR YOUNG COMPANY ATCHISON JACK ATKINSON JACK D ATLANTIC AVIATION AUBIN GEORGE JOHN AZIMA FARHAD BAKER JAMES A III BALL EDWARD BALLIS JOHN BANKERS TRUST NEW YORK CORPORATION BARCLAY GEORGE M BARKER TYRELL BARNARD DOUG JR (D-GA) BARNES BEN F BARTH JAMES R BASS ROBERT MUSE BATH JAMES R BAZARIAN CHARLES BEALL GILBERT BEAZLEY DONALD E BEEBE HERMAN K SR BEILENSON ANTHONY C (D-CA) BELIN JAKE C BELLAMAH COMPANY BEN-MENASHE ARI BENNETT ARCHIE BENSTON GEORGE BENTSEN LAN BENTSEN LLOYD M JR (D-TX) BINDER RICHARD BIRBRAGHER FERNANDO BLACK WILLIAM K BLAIN SPENCER H JR BLAKEMORE WILLIAM BLANTON II BLOOM THOMAS BOBB ROBERT J BOESKY IVAN FREDERICK BONA JACK BOSCO DOUGLAS BOWMAN L LINTON III BREEDEN RICHARD C BRENNEKE RICHARD J BREWTON PETE BRIAN EARL W BRIGHT HARVEY R (BUM) BROWN MITCHELL BROWNSTEIN NORMAN BRUMBAUGH R DAN JR BUCKNER EMORY BUFFALO AIRWAYS BUREAU INDIAN AFFAIRS BURGIN DAVID BUSH GEORGE H.W. BUSH JOHN E (JEB) BUSH NEIL MALLON BYRNE CHRISTOPHER (KIP) CAGE JOSEPH CAPALDI LEONARD CARDASCIA CARL CARUANA SALVATORE MICHAEL CASE FRED CASEY WILLIAM JOSEPH CASTELLANO PAUL (BIG PAUL) CASTLE BANK CASTRO FRANK (EULALIO FRANCISCO) CHANNELL CARL RUSSELL (SPITZ) CHARLES CLEMARD JOSEPH CIRONA JAMES CIVELLA NICHOLAS CLARKE ROBERT L CLEMENTS WILLIAM PERRY JR CLINE RAY STEINER COELHO TONY (D-CA) COMMERCIAL HELICOPTERS CONNALLY JOHN BOWDEN (B.1917-02-27) CORONA RAFAEL L CORONA RAY L CORSON PAULA MISCHER CORSON ROBERT L CRANSTON ALAN (D-CA) CRAWFORD WILLIAM (S & L COMMISSIONER) CROCKER DONALD W CROCKER DOUGLAS II CURLEE DURWARD DAILEY ROY DAILY SAM DALITZ MOE B (MORRIS) DAVIS MARVIN HAROLD DE CARLO JOSEPH SR DE CONCINI DENNIS (D-AZ) DE MOHRENSCHILDT GEORGE S DE VOE JACK DE VORE JACK (LLOYD BENTSEN AIDE) DELVECCHIO ANTHONY DICK JOHN W DIOGUARDI JOHN (JOHNNY DIO) DIXON DON R DOCHOW DARREL DOE SAMUEL K DOMINGUES FRANK J DONOFRIO RAMON DORFMAN ALLEN M DOVER RICHARD E DREXEL BURNHAM LAMBERT DRIGGS GARY EDWARDS EDWIN W EGYPTIAN-AMERICAN TRANSPORT SERVICE COMPANY ELKINS JAMES ANDERSON JR EVERGREEN INTERNATIONAL AVIATION FAIRBANKS ANN SHANNON OCONNOR FAULKNER DANNY L FAY ALBERT BEL FEDERAL DEPOSIT INSURANCE CORPORATION FERNANDEZ JOSE ANTONIO FERRANTE ROBERT (IRVING CA) FERTITTA TILMAN JOSEPH FIHN JAY FINANCIAL ACCOUNTING STANDARDS BOARD FINANCIAL CORPORATION AMERICA FIRST GIBRALTAR SAVINGS FIRST WESTERN AVIATION FORD WILLIAM (FIRST NATIONWIDE) FRATIANNO JIMMY FREEMAN LAWRENCE A (MIAMI) FRICKER MARY FRIEDMANN DAVID A FULBRIGHT JAWORSKI (LAW FIRM) GARCIA E.C. GARMAN BILLIE JEAN GARMAN WILLIAM L GARN JAKE (R-UT) GAUBERT THOMAS M GLAUBER ROBERT R GLENN JOHN H (D-OH) GLOBAL INTERNATIONAL AIRWAYS GODBOLD TOM GONZALEZ HENRY B (D-TX) GOOD KENNETH M GORDON JERRY GORWITZ DAVID T GOULD GEORGE D GOULET VICTOR GRAFFAGNINO ANTHONY J GRAVEL CAMILLE GRAY EDWIN J GRAY JONATHAN E GREEN ROY (FHLB DALLAS) GREENSPAN ALAN J GRIGSBY MARY GROSZ JOSEPH HAASS MARVIN HAGUE JAMES D HAILEY JOSEPH HAINES BEVERLY HALL CRAIG HALPER STEFAN A HAMILTON LYMAN C HANSEN ERWIN (ERV) HARALSON J B HARPER RICHMOND CHASE HARVEY RAYMOND SIDNEY RICHARD HATCH ORRIN G (R-UT) HAYNES CHARLES F JR HEIMANN JOHN GAINES HELLERMAN MICHAEL C HELLIWELL PAUL LIONEL EDWARD HEMMINGS A BRUCE HENKEL LEE H JR HERNANDEZ CARTAYA GUILLERMO HESS LEOTA MEYER HILL FINANCIAL SAVINGS HILL RAYMOND (HOUSTON) HITCHCOCK WILLIAM MELLON HOFFA JIMMY (JAMES RIDDLE) HOLLEY JERRY HORNER CONSTANCE J HOURANI MONZER ADEEB HOVDE DONALD I HULL JOHN FLOYD HURWITZ CHARLES E IORIZZO LAWRENCE S ISAAC WILLIAM M JAFFE DOUG JAFFE MORRIS DOUGLAS JENKINS CARL E JENSON NORMAN B KANTER BURTON WALLACE KEATING CHARLES H JR KELLY CARROLL KESSLER MURRAY MORRIS KHASHOGGI ADNAN KIDWELL KENNETH KIRK DONALD J KLEIN THEODORE (LAWYER) KNAPP CHARLES (TRAFALGAR HOLDINGS) KOHN AARON M KWITNY JONATHAN LAPAGLIA JOHN LEMASTER WILLIAM EVERETT LINDNER CARL HENRY JR LINDSAY JON (HOUSTON) LUCE GORDON LUNA DONALD E LYON JAMES E (JIMMY) MAFFEO BRUCE MALLICK GEORGE A MANN J.SCOTT MANNING MICHAEL (KANSAS CITY LAWYER) MARCELLO CARLOS MARTIN ROGER (BANK BOARD) MARTORELLI RONALD J MAYER MARTIN MAYHEW ALICE E MCBIRNEY EDWIN T III MCCAIN JOHN S III (R-AZ) MCKENNA WILLIAM MCLEAN HARVEY D JR MECOM JOHN W JR MEESE EDWIN MERRILL LYNCH COMPANY MILKEN MICHAEL ROBERT MISCHER WALTER M SR MIZEL LARRY MONROE LLOYD MOSBACHER ROBERT ADAM MOWBRAY KERMIT MURCHISON CLINT WILLIAM JR NEMOURS FOUNDATION NEVIS TOM NEWTON WAYNE NORTH OLIVER L NORTHROP WILLIAM OCONNELL WILLIAM BUTLER OLANO GUY PALMER NATIONAL BANK PATRIARCA MICHAEL PAULS WILLIAM PELULLO LEONARD A PERELMAN RONALD OWEN PHILLIPS GENE E PIGA SALVATORE PIZZO STEPHEN PLUMLEE W ROBERT POPEJOY WILLIAM POSNER VICTOR POWERS MEL PRATT RICHARD T PREVOT ALBERT PROXMIRE WILLIAM (D-WI) PULVER HOWARD RAIDEN NORMAN H REEDER G WAYNE REGAN DONALD T REGGIE EDMUND REIFLER LIONEL J RENDA MARIO RESOLUTION TRUST CORPORATION RIDDLE JOHN RIEGLE DONALD W JR (D-MI) RIZZO JILLY ROBERTS JOHN H JR ROBERTSON WILLIAM L ROBINSON PETER (U.S.ATTORNEY) ROGERS BEN J ROGERS VICTOR J SR ROOT STUART D ROSS VAUGHN R (BOBBY) ROSSMILLER RICHARD RUPP HEINRICH F RUSSO ANTHONY (KANSAS CITY LAWYER) RUSSO JOE (HOUSTON) SAAB SALIM SAHADI ROBERT SAHNI RANBIR SAMOS STEVEN SANDOR SANDMANN NICHOLAAS SCHNITZER KENNETH SCHWAB PHILIP B SCHWIMMER MARTIN SCOTT STEVE (BANK EXAMINER) SEAL BARRY SEAY GREGORY SEIDMAN L WILLIAM SELBY H JOE SHAH SIDDHARTH SHENKER MORRIS SIMON SCHUSTER SIMS REBECCA SKYWAY AIRCRAFT LEASING SMITH BARNEY (SECURITIES FIRM) SMITH WILLIAM (MICHAEL RAPP ASSOCIATE) SODERLING JAY SOUTHERN AIR TRANSPORT SOUTHMARK INC ST.GERMAIN FERNAND J (D-RI) STARNES E TRINE STEWART ROSEMARY STOCKMAN DAVID A STRAUSS RICHARD STRAUSS ROBERT S STRUNK NORMAN SUNSHINE STATE BANK SUSALA SCOTT TAGGART LAWRENCE W TANNER R B TAPER MARK TERRY HOWARD L TESSLER ALLAN J THYGERSON KEN TOUCHE ROSS COMPANY TRAFFICANTE SANTO JR TROTTER JOHN TILLMAN TWETTEN THOMAS ALAN UNITED STATES LEAGUE SAVINGS INSTITUTIONS VARTANIAN THOMAS P VERNON SAVINGS LOAN VINEYARD LAWRENCE B VOLCKER PAUL ADOLPH WALL M DANNY WALLINGFORD RUFUS WALTERS WILLIAM L WARNER MARVIN WEILAND S CASS WHEATON M GENE WHITE CHARLES W (BILL) WHITE HAROLD D (MIAMI) WHITE LAWRENCE J WINKLER FRANKLIN WINKLER V LESLIE WISE MICHAEL R WOODS JARRETT E JR WRIGHT JIM (JAMES C JR D-TX) WYLIE DAVID YARBROW AL
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