A
BYTE OUT OF HISTORY
Remembering the Lessons of ABSCAM
02/07/05
Twenty-five years
ago last week, the world learned of our high-level investigation into
public corruption and organized crime, infamously code-named ABSCAM.
The unfolding
details were riveting:
... Everything from mobsters hocking stolen paintings and fake securities in
the Big Apple to politicians peddling influence in the nation's capitol;
... High-ranking government officials caught on tape stuffing wads of bribe
money in their pockets and saying things like, "I've got larceny in my
blood";
... And FBI agents posing as representatives of a fictitious Middle Eastern
sheik, gathering evidence of these big league crimes.
It all started
in July 1978, when we set out to catch New York City underworld figures
dealing in stolen art. We set up a bogus company in Long Island—Abdul
Enterprises, thus the name "AB(dul)SCAM"—said to be
owned by a wealthy Arab sheik who wished to invest oil money in valuable
artworks. Then, we recruited an informer who connected us with crooks
willing to sell us stolen treasures. It worked. Within months, we'd
recovered two paintings worth a combined $1 million.
Through that
operation, we were introduced to criminals who were dealing in fake
stocks and bonds. Again, success. Our undercover work ended
up halting the sale of nearly $600 million worth of fraudulent securities.
From there,
our investigation led to southern New Jersey ... and on to Washington,
D.C. Our criminal contacts led us to politicians in Camden
who were willing to offer bribes to get our "business" a
gambling license in Atlantic City. Then, when we expressed interest
in their suggestion to get the sheik asylum in the U.S., these corrupt
politicians arranged for us to meet some U.S. Congressmen who could
make it happen with private legislation. For a price, of course: $50,000
up front and an extra $50,000 later.
When the dust
settled, one senator, six congressman, and more than a dozen other
criminals and corrupt officials were arrested and found guilty.
Like many
high-profile, sensitive investigations, ABSCAM generated its share
of controversy. In particular, questions were raised about
whether our undercover efforts led to entrapment. The courts ruled
otherwise, upholding all convictions. In the end, the case reaffirmed
the importance of undercover operations and led to stronger rules and
safeguards on these kinds of investigations within the FBI.
Twenty-five
years later, the bottom line lessons of ABSCAM remain the same: No
one is above the law. To uphold order and justice, abuse of the public
trust cannot and will not be tolerated. Which is exactly why the FBI
continues to rank public corruption as a top investigative priority.
Related link: The
public's response to ABSCAM
