Samuel Israel: *Victim* Of Fraud

Publish date:
Updated on

This is fantastically rich(er than the now destitute Bayou Group investors Sam Israel screwed back in the day): in 2004, desperate to raise money to save his fund, the industry's biggest M*A*S*H fan turned to a man named Robert Booth Nichols for help in the dollars and cents department, and was himself conned out of $10 million.
According to Bloomberg, Nichols cheated Israel in a "prime bank" fraud, promising Egret Boy "quick riches in secret markets" that did not in fact exist. Now a not yet on the lam Nichols is being sued. The original Con Man, who denies any wrongdoing, claims that he was helping Israel invest in a "legitimate, though unspecified 'project' involving U.S. government obligations," and had "no reason to believe Israel was engaging in fraud."
Not saying Nichols isn't full of shit but, as you may recall, Sam Israel is said to have believed in time travel, and before the hours got crazy over at his Ponzi-scheme, spent nights and weekends building a Delorean in his basement, which he at one point claimed to have been working on for the government. Oh, and Nichols also says that his services, which "involved matters of national interest," had been given the okay John P. Ellis, "a first cousin of President Bush."
So anyway...if your brain hasn't yet exploded, take some time this afternoon to try and dig up Nichols's business card. It has got to be as least as valuable as Israel's, and if the stories that Con Man #1 liked to get even friskier when it came to a love of plumage that dared not speak its name and their subsequent renderings on his b-card than #2, perhaps more so.
Bayou's Israel Was Cheated in Scam, Investigator Says [Bloomberg]


Woman Who Helped Sam Israel III Fake His Own Death Still Has Only Nice Things To Say About His Passion In The Sack, Department Stores

Remember Debra Ryan? For those who need a refresher, she was the woman behind the man that was Sam Israel III, the hedge fund manager who, with the help of DR, faked his own death in 2008 to avoid the prison time that was coming his way as a result of scamming investors in the Bayou Group out of $450 million. Several months after Israel was caught, Ryan penned an article for Marie Claire, explaining that she'd gone to great, illegal lengths to help him stay out of the big house because of all the "blazing sex life" they had, which see wasn't ready to give up. Though she was clearly not ready to move on ("I should just see it at face value and say he [screwed] me," she noted. "But I can’t let go") one would have thought that time and the three years probation Ryan was sentenced to would have helped her get over the guy who used to sneak up on her "while wearing glasses on his penis."  Apparently, though, such is not the case, as evidenced by Debra's contribution to a new book about Israel by Guy Lawson called Octopus, in which we learn that she is still carrying a torch for the guy the burns nearly as the fire in both their loins. "The next morning was Debra's birthday. She and Sam woke and made love-passionate, frantic, intense love. But as soon as they joined up with the Nicholses the atmosphere turned claustrophobic once again. Debra wanted alone time with Sam. But the Nicholses wouldn't leave them be for even a moment. Left with no choice, the two couples went for a stroll through the historic section of Zurich...wandering the old city was pleasant and exciting for Ryan. "I was starting to have a nice time," Ryan recalled. "Sam always wanted to spend money on me but I wouldn't let him. but this time he took me to a nice clothing store and bought me a bunch of new clothes. He was a great shopper- he could pick out clothes from the rack and they'd fit me perfectly. As we walked in one store, Sam turned me around and grabbed my face and kissed me with so much passion. We started to make out in the store, on the spur of the moment. I had never done that before, and I have never done it since. It was the best kiss ever." Octopus: Sam Israel, the Secret Market, and Wall Street's Wildest Con [Amazon] Related: Claim: Sam Israel’s Investors Gave Him Money Because They Liked Animal-Loving Cokeheads Who Looked Good In Women’s Underwear And Cowboy Boots Related: Hedge Fund Manager Who Faked His Own Death Has A Few Theories About Other Famous Murders, Real And Imaginary