Rogers weve had 29yearolds making 1 million a year, expecting to make 2 million the year after that. Diana ferry but if youve got plastic money, theres Nothing Holding you back. History will prove the bakkers were honest people. Reporter Insider Trading could become wall streets watergate. Pauley what do we call greed the day before an indictment . Im afraid recently, weve called it success. Robinson the u. S. Economy, which used to be the envy of the world, is in the most serious trouble since the Great Depression. Inflation is rising while our standard of living is declining. Thomas there was tremendous inflation and not much growth. The country was not in a Great Depression in 1980, but the United States was in the dumps. Dobyns on wall street, it was cold, gray, wet, and miserable. There was no comfort to be found outside. And for investors, there was not much inside, either. The tickers carried almost nothing but bad news. Mclean wed come off a terrible decade for investing. People were skeptical of the stock market. It was a very sleepy wall street back then. Most economists expect a serious recession, with at least 2 million more americans losing their jobs. President reagan i regret to say that were in the worst economic mess since the Great Depression. Literally from the first moments of his presidency on, President Reagan let it be known that his top priority is the nations economy. I put a freeze on pending regulations, and set up a task force under Vice President bush to review regulations with an eye toward getting rid of as many as possible. The philosophy behind deregulation was that markets worked better than government controls. This bill represents the first step in our administrations comprehensive program of financial deregulation. Tett introducing deregulation, finance began to get much more creative and, frankly, much more profitable, too. In Money Matters this morning, wall street, where leaping stocks have investors jumping. When the market opens for trading this morning, the Dow Jones Industrial average will stand at its highest level ever. Cordtz the past few months have been among the wildest in wall streets history. I need 65. Stock and bond prices soared in a frenzy of activity. Red sheet, pick up tanner optimists on wall street are talking about the beginnings of economic recovery. Gumbel the supporters of Deregulation Point to the soaring stock market as evidence that a deregulated economy makes money for everyone. Sorkin the stock market took off like a rocket, and the public saw this happening, and they would read about it. And so all sorts of people who used to have nothing to do with this world started pouring their own money into it. And thats in large part also what drove prices to go even higher. Donaldson the Ronald Reagan motorcade rolled onto wall street today to the New York Stock Exchange. In the last five years, weve moved from malaise to hope, confidence, and opportunity with the volume of shares traded hitting record highs and more americans than ever before participating in the market. Were bullish on the american economy. [ cheers and applause ] [ Crowd Chanting ronnie ] when reagan shows up at the stock exchange, them yelling Ronnie Ronnie is a way of saying americas back. And that was Ronald Reagans genius. He was able to link economic faith with faith in america. Donaldson no sitting president had ever visited the New York Stock Exchange before, but it seems safe to say that no recent president wouldve beaten mr. Reagan for the honor if a vote had been taken among the floor traders. They gave him round after round of cheer. Were going to turn the bull loose. Auletta the whole world from reagans white house on was basically saying wall street is the engine of our economy. It represents growth, it represents opportunity, it represents the american dream. And so these guys were basically saying were gonna go do it. Brokaw this is the big draw on wall street the smell of money. This is where the action is. This is the overthecounter Trading Floor of shearson lehman. More than 17,000 daily transactions involving millions of shares and millions of dollars made and lost here every day. And its a game for young people. When you get home at the end of the week and you look back on what youve done sitting in this desk, what gives you a sense of satisfaction . I guess, uh. Making a lot of money. For yourself or for the company . Myself and for the firm, yeah. When the economy started to recover and become more vibrant, i think there was a great sense of exhilaration. You know, we survived this miserable period, lets celebrate. Lets party. We have money to spend. Today, the fad among young people is to have big salaries, fancy clothes, and fast cars, and they are called yuppies. Rose but who are these partiers with portfolios, these yuppies . A yuppie is a person who owns a macintosh, who eats fine quiche, and drinks white wine, and thats me. Im having a great time here. 29yearolds making 1 million a year, expecting to make a million and a half next year and 2 million the year after that. Shriver for this generation, business is hip. Capitalism is no sin. Its in. Shriver is money the numberone goal . Yes. All of the fun is waiting for you at the castle trumps Castle Wallace in a world where mere millionaires are a dime a dozen. Theres a new billionaire in town. Hes 40 years old, his town is new york city, and hes made his money mainly from manhattan real estate. He puts his name on almost everything he builds says its a symbol of quality. But others say its part of the hype. Troy donald trump, he is the brand, and he is the symbol of a new swashbuckling approach to commerce, to entrepreneurship, and also to conspicuous consumption. Smith we definitely do now have people who have become celebrities just from being rich. Ill take the trumps as a good example. I mean, their celebrity is generally that they are rich. Donald trump has also ventured into gambling and professional football and says he could negotiate a Nuclear Disarmament treaty with the soviet union. Wallace they say hes landhungry, moneyhungry, powerhungry. The power is nonsense. I love the creative process. Wallace what about the name of trump city . Trump tower were sitting in . Trump plaza . Trump castle . It sells, mike. All i know is thats all it is . It has nothing to do with the ego. All i know is it sells. What do you do . Security. We dont need security here. Lets go outside. We have people outside. Auletta Leona Helmsley was the wife of harry helmsley, one of the major much bigger than trump Real Estate Developers in new york. I asked for something. I did not get it from you. I want it. You have nothing to do . Connelly Leona Helmsley, the queen of mean. The idea was that she was so mean because she wanted you to have a great experience in one of her hotels. Really . Seemed like she was just mean. Oh, my. Its paradise. He stands here and he says im taking inventory, i own this, i own this, i own this, and that one and that one and that one. He plays monopoly, but with real buildings. With real buildings. Wallace they bought this connecticut estate a year ago 26 acres, 28 rooms for just the two of them. And this Building Structure is just what . Tell him. Its the enclosure of the swimming pool. And up top . On top, were going to have, of course, a dance floor. Dance in an oldfashioned way Leona Helmsley became a kind of a symbol of the excesses of the 80s. Am i comfortable . I make a living. Heres how tommy lost 30 lbs on noom weight. Im tom. Noom helped him use psychology to lose weight. The mindful aspect made me feel more conscious about what i was eating and why i was eating it. Its actually working. Lose weight and make it last with noom weight. My active Psoriatic Arthritis can make me feel like im losing my rhythm. With skyrizi to treat my skin and joints, im getting into my groove. uplifting music along with significantly clearer skin. Skyrizi helps me move with less joint pain, stiffness, swelling, and fatigue. And is just 4 doses a year, after 2 starter doses. Skyrizi attaches to and reduces a source of excess inflammation that can lead to skin and joint symptoms. With skyrizi 90 clearer skin and less joint pain are possible. Serious allergic reactions and an increased risk of infections or a lower ability to fight them may occur. Tell your doctor if you have an infection or symptoms, had a vaccine, or plan to. Thanks to skyrizi, theres nothing like clearer skin and better movement. And that means everything. Nothing is everything nows the time to ask your doctor about skyrizi. Learn how abbvie could help you save. At the Alzheimers Association walk to end alzheimers, this is why we walk. Theyre why we walk. We walk in the Alzheimers Association walk to end alzhiemers because were getting closer to beating this disease. Join us. Rsv can be a dangerous virus. [sneeze]. For those 60 and older. Its not just a cold. And if youre 60 or older. You may be at increased risk of hospitalization. [coughing]. From this highly. Contagious virus. Not all dangers come with warning labels. Talk to your pharmacist or doctor. About getting vaccinated against rsv today. Wherever you go. Wherever you stay. All you need is one key. Earn and use rewards across expedia, hotels. Com, and vrbo. Kuralt this is the way we live now. Nice even temperature, no rain, no snow, no loud noises, music is playing. Everythings perfect in the mall. Troy in the 1980s, you have 16,000 malls popping up like mushrooms. And they become the high temples of the Great American religion shopping. Kuralt pam and melissa, 15 years old, come to the mall almost every day. They call themselves mallrats. I love it, too, pam. Its only 24. Tett consumerism definitely took off in the 80s. People emerged from the 1970s, which were tough economic times, and went wow, we can now spend. I want you to think about this Florentine Plum also. Honey, thats whats gonna set your eyes off. Brands the economy started growing, and it was largely a consumerdriven growth. But the Consumer Economy was funded by debt. Kiker the National Bankruptcy rate is soaring. Greg and diana ferry annual income 32,000. They had over 12,000 in Unsecured Debts when they bought a new home. Then they bought a new washer, a dryer, a microwave oven, and a betamax tv recorder. Then they went bankrupt. I knew i didnt have the money, but if youve got plastic money, theres Nothing Holding you back. All of a sudden, it became very acceptable to have debt. It became very acceptable to have a credit card. More than acceptable if you wanted to pull it out of your wallet and use it. Live from tampa bay, florida, its the Home Shopping club. [ horn squeaks ] safer every doodad and and tchotchke that mans hand hath wrought. Americans seem utterly hooked on Home Shopping. Your order has been completed for one of the ruby bracelets. So, i have you down for two of the plush musical bunnies. [ Cowbell Clanging ] safer there are Home Shopping club parties. Likeminded consumers gather together to do what comes naturally. I want four of those bird figurines. You dont have to leave your house, and stuff will come to you. Welcome to america. Jim bakker give us 300 more people to call on their credit card, right now. If you and enough people will send me 100 immediately, i need some very quick money. Go to the phone right now. Now quit talking about saying you believe in god without ever acting on his word. Now faith is an act koppel in all, there are 1,600 television ministers. And of the 1. 5 billion grossed annually, just three of them pat robertsons, jimmy swaggarts, and jim bakkers took in close to 500 million. Safer the primetime preachers say they need the money to stay on the air, and they need to stay on the air to raise money money for the kind of electronic equipment any network would be proud to own. I believe god wants us in the next 30 days to have every one of these bills paid in full, and ptl can live if we pay our bills. It pays the bills if we would all just do [voice breaking] something. Troy as televangelism grows, jim bakker is the one who truly gets it. He understands that preaching on television is not just about standing up and giving a fireandbrimstone speech. He understands that in the age of television, the Johnny Carson approach to televangelism, that being more intimate, showing your lifestyle, and your beautiful family is essential because it brings people in. And hes a brilliant entrepreneur, and hes a brilliant salesman of himself. Ptl and now here are jim and Tammy Clayton their appeal is powerful. Last year, a Million People responded to the bakkers constant request for money. Tammy bakker how many do you have right now . Just about 30. 30 what . Silver 7000 clubs. Thats 90,000. Praise god. Clayton the bakkers have been criticized for their own lavish lifestyle. Well, just because im a christian doesnt mean i dont like nice things, either. I love nice things, and jim and i work very, very hard for nice things. They say the only difference between men and boys is the price of their toys. Rose toys like a fleet of luxury cars and a string of fancy homes from palm springs, california, to tega cay, south carolina. Troy they create what i call the Gospel Of Prosperity where they think that by them living well, by them having rollsroyces that everyone will think, ah. God is shining his countenance upon them, and thus upon us. And ptl also becomes the vehicle for their media empire, for their theme parks. Jim bakker if we are to be fishers of men thats what the bible says, we are fishers of men weve been using some pretty lousy bait. Weve just built better bait to reach people. You can have a Lifetime Partnership with ptl for a onetime gift of 1,000. Four days and three nights every year for the rest of your life. Troy that mix of god and greed ends up derailing them, and ends up leading them to breaking the very rules that they are preaching about. Television evangelist jim bakker has stepped down as the head of the praise the lord, or ptl, ministry. Hazinski bakkers resignation reportedly came because of a sexual encounter seven years ago. Hall jessica hahn is to be paid monthly as long as she keeps quiet about the incident. It turns out that jim bakker has been paying off this secretary, and that shakes the evangelical world. The evidence seems to indicate that effort and money have been expended to cover moral failure. If jim bakker paid jessica hahn hush money, what else has he been doing with the ptl money . Do you worry about the investigations that are going on . Jim and tammy not at all. History will prove the bakkers were honest people. We interrupt this program for an nbc news special report. Jim bakker, the defrocked head of the ptl ministry, has been found guilty on all 24 counts of fraud and conspiracy by a jury in charlotte, north carolina. Jones bakker kept selling Lifetime Partnerships at heritage usa even though he knew they were oversold. For example, the Heritage Grand Hotel could accommodate only 25,000 partnerships, but 65,000 were sold. And for the lowerpriced bunkhouse partnerships, about 7,000 were sold for a building that had only eight rooms. Gumbel Estelle Pollard sent jim and tammy bakkers ptl club 15 a month for 15 years. She thought that by giving to them, god would ease her pain and that of her ailing husband. I have been one to help make millionaires out of those people when i dont have enough to even live on. Jones bakker could be sentenced to 120 years in prison and fined over 5 million. I would say i feel sad, but encouraged in god. Hall tammy bakker said she could best describe her feelings in song. On christ, the solid rock i stand all other ground is sinking sand its not over till its over. please dont go by harry casey, Richard Raymond finch ping please dont go please dont go please dont go please dont go dont goooooo dont go away please dont go wow, you get to watch all your favorite stuff. Its to die for. And its all right here. Streaming was never this easy, you know. This is the way. You really went all out didnt you . Um, its called commitment. Could you turn down the volume . Here, you can try. Get way more into what your into when you stream on the xfinity 10g network. Smith today, we travel to the Lone Star State to visit tycoon entrepreneur t. Boone pickens, the highest paid ceo in the country. Even here, wall street is in charge. Wall street being a parrot green, as in money. He reigns over an entry foyer that runs the entire length of the house, and at the end of that long foyer, we find this morning boone pickens. Good morning, sir. How are you . Good morning, harry. Why dont we go ahead and head into the trophy room, if you dont mind . Sure. Nocera t. Boone pickens was a texas oilman who became the original corporate raider. He would buy a bunch of stock in the company, talk about how the executives needed to be tossed out, and make a play to take over the company. Rodriguez pickens company, mesa petroleum, which is only 1 20th the size of phillips, moves first by buying 5. 8 of the stock privately. Now pickens lets it be known that he wants to buy another 15 from the shareholders and thus gain a seat on the corporate board. Theres one thing i want to put in place, is that stockholders own companies and managements are employees. Stahl phillips agreed to buy back its stock from t. Boone pickens to stop his takeover bid. The profit to pickens and his partners 89 million. It is no secret that youve made about a half A Billion Dollars through losing on your attempted takeovers. Do you go into it anticipating that a loss is still gonna stand you very well . Well, you never like to lose, but if you lose and make money, well, it makes it a little easier. I remember i was someplace and the guy got up and said, i have a question. He said, youre making a lot of money out of this, and i said, the shareholders are, too. He said, yes, but youre a fastbuck artist. Fastbuck artist. I said, who in the hell would want to be known as a slowbuck artist . I see it as a freeenterprise system working at its best. Burrough pickens was really the first major investor to realize how undervalued American Companies were and what you could buy there. And it was his early tilts at gulf, city services, all these famous deals that brought this new reality to the attention of other investors, who followed in his wake and sought to imitate what he did. I freely admit that im an investor and i want to make a profit. I freely admit im not robin hood. It is not wrong to want to profit in capitalist america. Its fair. Delaney ivan boesky has made a Fortune Buying Into Companies being pursued by takeover artists. Boesky doesnt want to run those Companies Just to profit from the runup in their stock prices. Levine Forbes Magazine lists boesky among the 400 richest people in america, estimating his wealth at well over 200 million. Wheres my share of the profits . Stewart ivan boesky gave the Commencement Speech 1986 at berkeley, and he really became famous for one line in that speech. [ laughter, cheers and applause ] [ laughter ] stourton a new film, wall street, used boeskys words as the basis for some of the dialogue. Greed is good. Greed is right. Greed works. [ applause ] auletta when michael douglas, in the movie, said, greed is good, i mean, it was a cartoon expression. But theres truth to it. There was a sense that it is okay to be greedy, it is okay to maximize your wealth. What i want to see above all is that this country remains a country where someone can always get rich. Brokaw Big Companies gobbling up little companies. Little companies gobbling up Big Companies. Eight years ago, there were 1,500 corporate takeovers. Last year, there were 4,000, involving 200 billion. Aug this type of deal is called a leveraged buyout. The company borrows the money using its assets as collateral for the loan. In return the Company Issues ious. Because the deal is so risky, those ious carry very high interest rates, and theyre called junk bonds. Now, you may not have heard of Michael Milken of the Investment Banking firm of Drexel Burnham lambert, inc. , but this 40yearold wall street whiz is said to be the most powerful financier in america. He brought respectability to lowrated junk bonds and then used the money to finance corporate raids and takeovers. Without mike milken t. Boone pickens couldnt have raided gulf, unocal, and phillips petroleum. Pickens the gulf deal was the first time i saw milken. He said, if you really want to take over gulf, its gonna cost you 13 billion. [ laughing ] and i said, yeah, i get it. And he said, i can get the 13 billion. Palmer hes the guy that t. Boone pickens goes to, and most people havent heard of him. Well, thats just the way he likes it. He doesnt care about publicity. He doesnt care about pride. All he cares about is making money, doing deals, and having power. Burrough he was this shadowy howard hugheslike figure that those of us even in the press never saw, you just heard [whispering] its milken. But, you know, it was milkens genius and i think that is the correct word that created an entire market and fueled this takeover phenomena. Reich we romanticize these characters. The fact of the matter is, these are fat cats, First Cousins to the financial manipulators, the Robber Barons of the late 19th century. These guys are out there, theyre trying to make a buck by doing nothing. And theyre putting people out of work. Kent economists agree that some unemployment, some hardship is unavoidable, in the vitally important process of making the United States lean and mean again what the Takeover Specialists call corporate restructuring. Corporate America Needs some kick now and then to become a little bit more efficient, a little bit less entrenched, and that will probably do our economy a lot of good. Thursday, goodyear fended off a hostile takeover bid, but victory didnt come cheap. Smith goodyear won by buying back roughly half its stock and taking on a huge debt. Plants were closed and workers laid off. The company pays 1 million a day in interest to 17 banks worldwide. These fellas jump out of the closet, shout gotcha, and they buy up a company with its own assets, dismember it, and erode the Industrial Base of this country. Maybe we didnt understand how it all worked, but we saw a lot of people losing their jobs and a few people getting superrich and the vibe of the culture being thats cool. Kent how much is enough . Enough what . Enough money, enough power, enough influence, enough takeovers . This is my work. This is what i do. Let me do what i do. Its not a question of how much. [ snickers ] [announcer] carvana has Hundreds Of Thousands of five star reviews and counting. To be honest, i thought it was almost too smooth, financing, every step. There were no surprises. Well, my Monthly Payment did come out lower than expected. Financing my car with carvana was super smooth. [announcer] finance your next car with carvana today. Julians about to learn that free food is a personal eating trigger. No, it isnt. sigh yes, it is. And thats just a bit of Psychology Julian learned from noom weight. Sign up now at noom. Com. Rsv is in for a surprise. Meet arexvy. the first fdaapproved rsv vaccine. Arexvy is used to prevent lower Respiratory Disease from rsv in people 60 years and older. Rsv can severely affect the lungs and lower airways. Arexvy is proven to be over 82 effective in preventing lower Respiratory Disease from rsv and over 94 effective in those with these health conditions. arexvy does not protect everyone and is not for those with severe allergic reactions to its ingredients. Those with weakened Immune Systems may have a lower response to the vaccine. The most common side effects are injection site pain, fatigue, muscle pain, headache, and joint pain. Rsv can be serious. Talk to your doctor or pharmacist about arexvy today. Rsv . Make it arexvy. Thats why Comcast Business De is launching theal. Mobile made free event. With our business internet, new and existing customers can get one year of unlimited mobile for free. Its our best internet. Powered by The Next Generation 10g network and with 99. 9 reliability. Plus one line of free mobile for an entire year. Its the mobile made free eventhappening now. Get started for just 49. 99 a month. Plus, ask how to get one free line of unlimited mobile. Comcast business, powering possibilities. Miller it was a week to remember. Bankers hours posted on the doors of savings and loan institutions in ohio didnt mean a thing. The doors were locked. The run on ohios savings and loans began when Home State Savings Bank was besieged by depositors who demanded their money. I dont have a whole lot, and im 79 years old, and, golly, i need that money. Celeste i made a decision after weighing several options that we had to close all 71 of the privately insured savings and loan institutions. Vito celeste is faced with the dilemma of solving the worst financial crisis in ohio history, a situation that is being called the worst Banking Crisis in the u. S. Since the depression. In the deregulatory climate of the 1980s, savings and loans, which had traditionally invested only in mortgages, were free to invest in pretty much anything they wanted. Basically what happened was, the entire s l industry got taken over by a bunch of entrepreneurs who saw them as piggy banks. Abel Vernon Savings was shut down by federal regulators, saddled with 1. 3 billion in bad loans. The owner, don dixon, lived a life of private jets, yachts, and mansions. They took risks that shouldve been untenable for a banker, and when that all went blooey, the entire industry ultimately went belly up. Well, get in line so we can have this i am in line im next quiet down man guys, quiet down im going to disperse the whole bunch of you. Mccarthy this was the third day of the run on the Old Court Savings and loan association. The only thing i can do at this point, i have no choice we have to close. I dont think its right. Thats our money. This year, a record 260 banks will go bust. Thats almost 800 in the past five years. Bad loans to the third world, bad loans to the oil industry, bad loans to Real Estate Developers. Nocera one of the reasons bankers made outrageous loans was because of federal deposit insurance. If the loan went well, then you rake in the profit. If the loan went poorly, then the federal government picks up the tab. Collins with deregulation, the s ls got into that commercial Real Estate Market and lost their shirt. Pizzo all over the United States, people were building projects for which there were no buyers mile after mile of these partially completed condos. And theyre all on the s ls books. Theres something wrong about the savings and loan industry today. And it isnt me. Charles keating was a lawyer who got into banking and was able to buy a savings and loan. Kroft when keating bought Lincoln Savings And Loan of irvine, california, he used it as a private piggy bank for his own ambitions, like the phoenician hotel, which cost 500,000 per room to build. That hotel is a magnificent investment for savings and loans dollars. No question about it. The real problem is, when our appraisers looked at it, they said, eh, its not such a bad hotel, but its worth 200 million, not 300 million. Pizzo bill black was one of the chief regulators at the Federal Home Loan Bank board, who was really the guy who spearheaded going after keating. Black we discovered likely fraud just really basic things that no honest bankers would do. The examiners looked at 52 real estate loans that lincoln had made. There were no Credit Reports on the borrowers in all 52. And on top of that, Charles Keating has Lincoln Savings sell uninsured junk bonds, and he targets the widows in the retirement community. Goldin there were 23,000 customers who would buy 250 million of these bonds. We had sold our home in sherman oaks. My husband had had a stroke. We moved down here, went to Lincoln Savings down here. Goldin how much is your debenture . You really want to know . Yes. It was 30,000, and for us, that was quite a bit. [ Crowd Murmuring ] capitalize on this, the Bond Salesmen were told. The weak, meek, and ignorant are always good targets. The regulators were looking at this and saying, you know, this guy is a disaster, man. We have got to stop this. But by that time, keating had a Construction Company in arizona, he had thrifts in california. His tentacles sprayed out to several states, so he was able to call on congressmen and senators like that and say, hey, get these dogs off my back. This morning, the s l crisis goes to capitol hill. The Senate Ethics committee is looking into charges against five senators accused of intervening with federal banking officials on behalf of s l owner Charles Keating. The socalled keating five are republican john mccain and democrats alan cranston, john glenn, donald regal, and dennis deconcini. The keating five reportedly received a total of 1. 3 million in Campaign Contributions or donations to favorite causes. Former Bank Board Chairman edwin gray says the senators tried to subvert the regulatory process. I was told to come alone. I did. Kroft did you find that unusual . [ scoffs ] absolutely. Never happened before. The whole time i was in washington, i never saw that. No witnesses . No. No witnesses. Deniability perfectly built into the meeting. Black they said they wanted us not to take the Enforcement Action against Lincoln Savings. The only thing that got them to back off is when we finally said, were making criminal referrals. Youre going to bat for criminals. Mitchell now awaiting trial on charges of criminal fraud, keating has refused to testify to the senate. Mccain was there something wrong with five senators meeting . Yes, its a bad appearance. But the real question is, did john mccain abuse his office . The evidence indicates clearly no. Brinkley The Keating Five became a symbol of the 80s, cause its a group of distinguished u. S. Senators that are accused of taking bribe money. They get off the hook eventually, but it really rocked the country because it showed that not only was Corporate America being questioned for corruption, but the u. S. Senate seemed to be a beehive of bribery. One question among the many raised in recent weeks had to do with whether my Financial Support in any way influenced several political figures who took up my cause. I want to say in the most forceful way that i can i certainly hope so. If youre looking for a Medicare Supplement Insurance Plan thats smart now. Im 65. And really smart later im 70ish. Consider an aarp Medicare Supplement Insurance Plan from unitedhealthcare. With this type of plan, youll know upfront about how much your care costs. Which makes planning your financial future easier. So call unitedhealthcare today to learn more about the only plans of their kind with the aarp name. And set yourself and your future self up with an aarp Medicare Supplement plan from unitedhealthcare. We, the first generation of moms to lose our kids to social media are sick of waiting. For 25 years, theres been no new laws protecting kids online while our children are dying. We can pass the kids Online Safety act. Join us. Join us. Join us. Join us. Lets lead the way. aidyl hi, im aidyl, and i lost 90 pounds on golo. I struggled with weight loss and weight gain my entire life. With all the yoyo dieting i did in the past, i would lose 20, 30, 50 pounds just to gain them over and over again. Thanks to golo, ive been able to steadily go down the sizes in my closet and keep the weight off. For the first time in forever, i feel in control. announcer change your life at golo. Com. Thats golo. Com. [announcer] do you have an Invention Idea but dont know what to do next . Call invent help today. They can help you get started with your idea. Call now 8007100020. Robinson the financial scandal causing increasing concern involves investors who make killings on wall street not because of luck or skill, but because of Inside Information not available to anyone else. Martin this coded document might be a secret Earnings Report showing disastrous losses or a confidential assessment of future profits. If you are one of the 32 million americans who own stock, such information can either cost you money or earn you money perhaps millions of dollars if you find it out first. In either case, it is illegal. The single biggest currency on wall street has always been information. And in the 80s, that information was trading back and forth. And investors were talking to their buddies they went to Business School and law school with, who were actually working on these deals, to find out. It was pervasive. Feldman the security and Exchange Commission, which monitors potential abuses, says that currently, penalties arent strict enough. This is a serious course of misconduct, and that at present, the sanction is simply akin to asking someone to put the cookies back in the cookie jar. In tonights Money Matters, the biggest insider Stock Trading Case ever. Gumbel investment banker Dennis Levine collected 12. 5 million in illegal profits. He did it by getting advance knowledge of 54 pending takeovers. Then from a phone booth, he would call an accomplice in the bahamas, who would buy stocks in the names of two dummy corporations, which levine had set up in panama. Aug The Levine Case was the first time the secs been able to nail down Insider Trading by one of wall streets Big Dealmakers somebody with a 1 millionayear salary, which, apparently, wasnt enough. Brady Insider Trading could become wall streets watergate. Cassidy Plea Bargaining is now under way with Dennis Levine. Authorities might be able to develop a list of new suspects. Carberry we started the investigation, and once his lawyer advised him his interest to cooperate, he would give you the information. To him, it was just another deal. I think the judge made it clear that he would have given mr. Levine a heavier sentence, except for the cooperation. Baird Dennis Levine was one guy doing Insider Trading, and thats not something thats new. But what Dennis Levine did was lead to ivan boesky. The securities and Exchange Commission stunned wall street today when it announced that investor ivan boesky has been fined the largest penalty ever for insider stock trading, and he has been barred now from the securities industry. Monsees boesky did what he publicly claimed he would never do use Insider Information to buy huge blocks of stock in companies secretly involved in takeover deals. Ivan boesky was an outandout crook, handing bags of cash to people who would give him Inside Information. If we had Capital Punishment for whitecollar crimes, id say hed be a prime candidate. Stourton ivan boesky arrived in court to hear himself described as a man whose arrogance has been stripped away. Theres no doubt that the man has become a symbol of whats wrong with wall street. The news of the boesky indictment was like the bombshell of the decade on wall street. What do we call greed the day before an indictment is filed, if you get my meaning . Im afraid recently, weve called it success that some of the people who have now turned out to have been engaged in criminal activity, such as ivan boesky, were being hailed as heroes while they were at the peak of their careers. Green millions of americas small investors have been appalled at the Boesky Affair. I think they should get every one of them, put them in jail. Jensen since 1984, there had been more than 48 cases of Insider Trading brought by new yorks u. S. Attorney rudolph giuliani. Back then, rudy had the aura, essentially, of being the best man in Law Enforcement without a cape. Maybe we cant catch all of them, but we sure as heck can deliver a message, which is if you do get caught, you are gonna lose your liberty. Youre gonna go to prison. Today, as the prospect of a much wider scandal seems certain, the market was off more than 40 points. This after it was learned that ivan boesky was talking, and then some. Braver as one former sec official put it, this is like arresting the madam of a brothel and finding her private book of clients. This guy boesky takes a fall, and all over wall street, theyre practically jumping out windows. It comes out that hes been taping his phone calls, and maybe his private talks, for three months. And wall street big shots begin wetting their well, you get the idea. Stewart of course ivan boesky was guilty. There was gonna be no defense. All he had was bargaining power. Who could he deliver . Well, let me ask you this. Levine was a fish, boesky was a shark. Whos the whale that theyre gonna catch . I dont know. Drexel burnham . Well, thats thats possible. In the middle of all of this is Drexel Burnham lambert until a few years ago, a littleknown wall street firm. Then it shot to the top of this highstakes world by specializing in socalled junk bonds highinterest but also highrisk. Aug the Commission Says drexel and the head of its junk bond department, Michael Milken, made a secret deal with convicted stock swindler ivan boesky to make millions of dollars illegally. Krulwich for example, California Company wix came to milkens firm and told them that it was planning a takeover. The government charges that milken, in effect, went and whispered that secret to ivan boesky in new york. So boesky bought the stock before it went up, made millions, shared the profits with milkens firm, but the bottom line is, milken betrayed his client, charged a milliondollar fee, and then secretly earned 6. 5 million more at the clients expense. Levine authorities are worried that further disclosures resulting from the Boesky Affair may weaken Public Confidence in Financial Markets and weaken the markets themselves. [ indistinct talking ] i just came from inside, and it looks like a madhouse. I guess the bull markets over, huh . Its a bloodbath down there. Brady theyre calling it the Monday Massacre the worst drop in wall street history. Well, id call it the nearest thing to a meltdown i ever want to see. Brady by the closing bell, the Dow Jones Industrial average was down more than 500 points. This was a crash that people hadnt seen, frankly, since the Great Depression. No one had seen the Stock Market Fall that quickly that fast. Brokaw paper losses more than 500 billion. October 19, 1987 wall streets black monday. Mclean that crash was one of the first signs of how dangerous this new era could be that what the market had given, the market could take away, and it could take it away really, really quickly. Lefevre theres only two emotions in wall street. Ones fear, and the others greed. Usually, we have an excess of one or the other. We have now, i think, an excess of fear. Im currently out of the office. Focusing on a little bluesky thinking. Ill be taking meetings. With family and friends. And checking voicemail. As my activities permit. Ill connect with you. After reconnecting with me. Get 1. 9 apr for 36 months plus 1,500 Purchase Allowance on a 2024 xt5 and xt6 when you finance through cadillac financial. I just found the biggest Weight Loss Hack for yall the truth is there is no quick fix. But there is a more effective way to lose weight and it isnt what you think. Its actually noom. Its two times more effective than doing it on your own. Get started right now by taking the noom quiz. Businesses need 5g solutions today. Thats why they choose tmobile for business. Mlb partners with tmobile to not only enhance the fan experience, but to advance how the game is played. Aaa relies on tmobiles network to stay connected nationwide, so they can help get their members back on the road. And were helping pano ai innovate, to stop the spread of wildfires. Nows the time to see what americas largest 5g network can do for your business. Power e trades easytouse tools, like dynamic charting and riskreward analysis help make trading feel effortless. And its customizable scans with social sentiment help you find and unlock opportunities in the market. E trade from Morgan Stanley. With powerful, easytouse tools, Power E Trade makes complex trading easier. React to fastmoving markets with dynamic charting and a Futures Ladder that lets you place, flatten, or reverse orders so you wont miss an opportunity. E trade from Morgan Stanley we will have a recession. We always do. Its just a question of when. My guess is its probably 1989 rather than 1987. A little present for the new president. President s always seem to manage to get that as their gift after the inaugurals. I promise you, if Congress Tries to raise the taxes when im president and you know they will ill say no. Theyll try one more time, and ill say no. And if they try a third time. Ill stare them right in the eye. And im gonna say to them, read. My. Lips. No. New. Taxes [ cheers and applause ] troy in 1988, george h. W. Bush is running to take on the reagan mantle. Read my lips no new taxes. Miklaszewksi when Ronald Reagan left the white house in january, he also left george bush Holding The Bag filled with an assortment of staggering problems. Bierbauer when the president calls, some come running. All agree the savings and loan crisis is an urgent problem. Brady could the s ls be bailed out without a tax increase . Is there any other way to do it . I dont think there is, and i think thats becoming the conclusion of most people. Pizzo bush had to fill this smoking hole left by reagan for him, and the only way to do that was to pass new legislation, because now we had to start dipping into taxpayer money. Bierbauer senators say the only bailout will be for depositors, not for bad bankers. No one needs to worry about one nickel of their money in these institutions. This legislation says to Tens Of Millions of s l depositors, you will not be the victim of others mistakes. Thank you all very much. And now im proud to sign this monster. Reporter essentially, george bush is covering the biggest overdraft in history. [ applause ] [ laughter ] bush caves. He raises taxes. That kills him politically but saves america economically. Listen carefully to this number 500 billion. Thats the latest estimate of what the failure of hundreds of federally insured savings and loans will eventually cost american taxpayers. Reporter mr. Keating, how soon can you make bail . Man no questions. Healy the oncerapid growth of keatings nowfailed Lincoln Savings of california had been fueled by the sale of a quarter billion dollars worth of uninsured and now worthless bonds the majority bought by seniors, many losing their life savings. I need my money give it to me right now black Charles Keating was convicted in two trials, but both of those verdicts were overturned, and then he pled guilty to avoid a retrial and was allowed out for time served. Stewart the climate had gone from celebrating the excesses of wall street to condemning them pretty quickly. Reporter mr. Milken jennings tonights headline milken pleads guilty in what may be the largest individual case of fraud ever to rock wall street a case which ended in a plea bargain with the government. Frank judge kimba wood said milkens crimes merited his removal from society. She sentenced the onetime king of wall street to 10 years in prison. Stewart he didnt end up serving anywhere near that. He did go to jail for just under two years. But im confident when he left, he was at a minimum a billionaire, and quite possibly a multibillionaire. Jensen the game of monopoly could have been invented for donald trump. But monopoly is a tricky game. When you borrow 2 billion and the economy goes into a tailspin and you cant pay the interest on your loans, the bankers move in. Donalds 100 million yacht goes to the Boston Safe Deposit and trust company. His halfinterest in the Grand Hyatt Hotel goes to bankers trust. His Trump Shuttle goes to northwest airlines. The man who was the darling of the 80s is seen as a man in trouble, and he knows it. Mcinerney insofar as we can say that the 80s was a period of hedonism and excess, then the end of the decade was the hangover. Its more like the rich are taking their tumble now. Oreilly leona and harry helmsley, one of the richest couples in the world, were today treated as common criminals, booked in manhattan on 139 counts of fraud, tax evasion, and extortion. The government charges that the helmsleys renovated their 11 million connecticut estate and wrote the cost off as a Business Expense on their taxes. Clayton a former housekeeper said mrs. Helmsley once told her, we dont pay taxes. Only Little People pay taxes. Helmsley was sentenced to four years in prison, given a 7 million fine, and ordered to serve 750 hours of community service. For some, the sentence was too light. I have done nothing wrong. Im innocent. My only crime is that im Leona Helmsley. No matter how many whitecollar thieves get sent away, no matter how long theyre locked up, the public will still be paying for this long after theyre out. So, what did the 1980s add up to . We put that question to a fair number of people, and more than 95 of them said simply, it was the decade of greed. Well, we learned that greed may be good, but too much greed is bad and that sometimes, people on wall street get a little too greedy. But they learn their lesson, and they would never do it again. Some argue that todays bright spotlight on unethical behavior has exaggerated the problem. But theres no denying the problem is real. And if we excuse unethical conduct by saying well, everyone does it or its really okay unless you get caught or its not against the law, we miss the point of why its important we not do it period. The point may be no less than National Survival as a people who can live together honorably. If we let lying, cheating, and stealing become an accepted way of life, its not just a few dollars thatll be lost. Its the spirit of the country that would be lost. The decision is ours. Welcome to our viewers joining us,