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Jsmilla via YouTube

Crazy Eddie's Insanely Successful Criminal Enterprise

Jsmilla via YouTube
Jsmilla via YouTube

For anyone living in the New York metropolitan area throughout the 1970s and 1980s, Crazy Eddie was inescapable. A chain of electronics stores that eventually spread to 43 locations across four states, the business bombarded consumers with print, television, and radio ads that guaranteed name brand products at major discounts. Disc jockey Jerry Carroll taped more than 7500 of the radio and television spots as a hyper salesman who promised that Crazy Eddie’s prices were “insaaaaane.” At one point, the stores had greater name recognition among New Yorkers than Ed Koch.

Koch was the mayor of New York at the time.

“Crazy Eddie” was Eddie Antar, the grandson of Syrian immigrants, who started a modest stereo shop in Brooklyn and parlayed it into a retail empire grossing $350 million annually. In addition to changing how electronics retailers advertised—pushing price above all else—Antar also paid his employees off the books, failed to report cash purchases, kept the sales tax, and later migrated to $145 million in securities fraud when his cousin, Sam Antar, graduated from college as a Certified Public Accountant (CPA).

“The whole purpose of the business was to commit premeditated fraud,” Sam tells mental_floss. “My family put me through college to help them commit more sophisticated fraud in the future. I was trained to be a criminal.  

“People have a certain idea of Crazy Eddie. In reality, it was a dark criminal enterprise.”

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A high school dropout at the age of 16, Eddie Antar wasted no time in exploiting the burgeoning world of consumer electronics. It was the late 1960s, and smaller, more portable transistors were about to usher in a new wave of products that would make Japanese brands like Sony and Panasonic household names. Before long, video game systems, VCRs, and camcorders would expand the market.

Initially, Antar sold televisions from a small stand at the Port Authority, grabbing attention by talking fast and eventually wearing customers down. “He was like Fonzie,” Sam says. “Very charismatic and very smart. You steal more with a smile than you do with a gun.”

By 1970, Eddie had learned from the failure of his first store, a tiny spot near Coney Island Avenue in Brooklyn dubbed Sights & Sounds ERS, and secured a better location for an outlet that he owned with his father, Sam Antar, and cousin Ronnie Gindi. The “crazy” adjective came from a customer who took note of Eddie’s salesmanship practices: He’d playfully bar patrons from leaving empty-handed and take their shoes as deposits for stereos; he even promised discounts to people who braved winter blizzards. Word spread of Eddie’s theatrical approach. More importantly, people began to realize he was gleefully ignoring federal guidelines concerning pricing.

Fair trade laws meant that manufacturers could insist on one standard retail price for all retailers. In theory, this meant consumers would always get the “best” deal no matter where they shopped—but Eddie marked his merchandise down anyway. It was the only way he could compete with larger chains that had huge ad budgets. When manufacturers refused to sell him inventory, he’d get it from grey-market suppliers with items intended for overseas sales or other businesses that had excess stock. (Stolen goods were a rare source. “Too risky,” Sam says.)

How could he afford to do it? By stealing. “As a corrupt private company, we had the advantage,” says Sam, who began his career in the family business as a stock boy at the age of 14. “Back then, most customers paid in cash. If we don’t disclose the sale, we keep the sales tax. That’s a good cushion to be able to afford to beat the competition.” Cash revenue was kept under beds, in floorboards, or deposited into Israeli banks.

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Despite Eddie’s covert criminality, his opposition to fair trade practices made him a hero in the eyes of consumers. In 1976, the remaining holdout states repealed the law, forcing manufacturers to sell to any retailer who could afford to pay their invoices.

While that may have leveled the playing field a bit, Eddie had another form of ammunition: advertising. Though his budget was small, the ad campaign cooked up by advertising director Larry Weiss featuring Carroll as a manic discounter was so memorable that Crazy Eddie’s name recognition began to surpass that of Coca-Cola in the tri-state area. Some local stations stayed on the air overnight simply because Antar had bought all the ad time. (According to Weiss, Eddie’s first spot on the radio cost $5. He never paid the bill.)

Between 1975 and 1984, Crazy Eddie recorded profits in the millions by using register skimming to under-report income; repair services were billed to manufacturers at three times their actual cost; and customers would often be flipped by one, two, or three salesmen trained in the Crazy Eddie method of coercion.

“You had one person with the customer, the Switch Over, or SO,” Sam explains. “The second would be the Take Over, or TO. If he failed, you’d call in the third, the NAD—the Nail ‘Em At the Door guy. It wasn’t just discounting. We tried to switch the customer to higher-margin items.” Sony, for example, might be a break-even sale; Crazy Eddie employees would try to convince customers buying a Sony receiver that they needed house-brand speakers or a subwoofer.

Some of this was plotted in a language unique to Eddie’s work culture. “We spoke a kind of Arabic pig Latin,” Sam says. “We had a dictionary that would be passed around. We wanted [employees] to feel like part of the family culture.” That culture that would soon grow to include securities fraud on a level never before seen in retail.

In 1980, Sam Antar graduated Baruch College of the City University of New York as a CPA and returned to Crazy Eddie full-time as its chief financial officer. By design, his education was to help the Antar family perpetuate fraud above and beyond skimming the register or selling inflated extended warranties.

In order to do that, they’d first have to go straight—even if it meant overpaying their income taxes. “We needed to report a higher profit before getting a higher public valuation,” Sam says. “So from 1980 to 1984, when we went public, that was my job. You legitimize the business in order to commit bigger fraud.”

By reporting sales previously conducted under the counter, Crazy Eddie was able to demonstrate growth even when sales were steady. They were also able to increase valuation by paying taxes well in excess of what they might have actually owed. “As an example, say we claim to sell $1 million with a 50 percent tax rate,” Sam says. “We pay $500,000 in taxes. If the company is trading at 30 times earnings, we’ve inflated the value—and it’s worth spending that $500,000.”

Crazy Eddie had another bit of misdirection prepared. At one point, Sam was able to secure a job with the company’s auditors without them knowing he still worked for the retailer. It helped to know auditor habits, like only looking at certain stores when conducting inventory checks. By boosting stock in those stores and claiming it was across the board, Crazy Eddie could claim $65 million in product they didn’t actually possess.

The amorality of the family business made for handsome profits. When Crazy Eddie went public in 1984, the stock shot from $8 a share to $79—and the Antars held much of it. More than $145 million was raised from investors who had no idea Crazy Eddie was misrepresenting its financial profile.

“We never spoke about right or wrong,” Sam says. “It was just the way we did things.”

Before long, some in the Antar family would speak up about their business practices. And when the finger-pointing was over, Crazy Eddie would find himself both in exile and owing $120 million in restitution.

Eddie Antar (R) after being arrested in Israel in 1992. Courtesy of Getty.

If it had been up to the auditors, Sam says, Crazy Eddie would probably still be in business. “They do the equivalent of finding typos in a Word document. They take a small sample and project it onto the financial situation as a whole. The companies they audit are called ‘clients.’ That language is important. It should be ‘target.’” Most fraud, Sam believes, is discovered by whistleblowers, not accounting firms, who he says employ young and inexperienced employees to navigate complicated financial inspections.  

That lackadaisical approach is what kept Crazy Eddie cooking books for nearly two decades. In 1987, after a steady decline in sales owing to other mass-discount retailers and overeager expansion, the company's stock price dipped, and the Antars found themselves subject to new majority shareholders who were puzzled by the imaginary inventory. Once the U.S. Securities and Exchange Commission got involved, it was a matter of time before Sam, Eddie, and Eddie’s father began vying for the best government deal possible while their franchise began to close its doors.

“There’s no better motivator than a 20-year prison term,” Sam says. He told the government the entire story, from the skimming to the stock fraud. “I didn’t cooperate because I found God. I cooperated to save my ass.”

Eddie Antar, who had fled to Israel for two years following the investigation, was extradited in 1992 and sentenced to 12-and-a-half years in prison in 1994; when his judge was criticized for bias that led to an overturned conviction in 17 counts including conspiracy and racketeering, he got eight years as part of a plea to avoid a retrial in 1996. Officials were able to retrieve more than $120 million in offshore accounts, which was repaid to investors. Because of his cooperation, Sam received six months of house arrest and the loss of his CPA license.

“It was really just the next business step,” he says. “I sold information to the government and got my freedom.”

After being released from his “vacation,” Sam began to get invitations to lecture at universities and private businesses about white-collar fraud. “My rap sheet became more important than my resume.”

He has since become a forensic accountant, advising businesses, law firms, and the FBI on the tricks used to perpetuate fraud on investors, all while stressing that he's not offering himself up as a “redemption” story. “It helps my credibility by not being apologetic for my crimes. Call me the criminal I was and probably still am. I might tell you I won’t commit another crime, but is it true? Or does it just help you sleep better at night?”

Sam hasn’t spoken to his cousin in years. (In 1994, Eddie told the Philadelphia Inquirer the skimming went toward a pension fund for workers and that his cousins were the “true masterminds” of the stock scam.) Jerry Carroll, who became famous for the television ads, has since adopted the habit of starting interviews by telling people he had nothing to do with the scheme. Citing “brand equity,” a licensee briefly tried reviving the brand in 2009, which Sam compared to resurrecting Enron. It never got off the ground.

In the end, Sam believes Crazy Eddie’s legacy comes down to two words: discount and fraud. For the Antars, no amount of legitimate success could equal the rush of beating the system.

“There’s a line in the Wall Street sequel about it not being about the money,” he says. And that was true. It was never about the money. It was about the game. And we enjoyed the game.”

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Amergin, Flickr // CC BY-NC 2.0
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The Bizarre Death of Bridget Cleary, the Irish "Fairy Wife"
The town of Tipperary, Ireland
The town of Tipperary, Ireland
Amergin, Flickr // CC BY-NC 2.0

The policemen had been combing the green yards and fields of Ballyvadlea, Ireland, for a week when they finally found Bridget Cleary. The 26-year-old's body had been wedged beneath several inches of clay and a jumble of thorn bushes, but her corpse showed wounds caused by something much worse than branches: Her spine and lower limbs were so badly burned that parts of her skeleton were exposed. She was naked, except for a stocking and one gold earring, and her head was encased in a sack.

The judge would later describe the events leading up to Bridget's death as demonstrating "a degree of darkness in the mind, not just of one person, but of several—a moral darkness, even religious darkness." It was the end of the 19th century, not exactly the Middle Ages, but those involved in the end of Bridget's life had become convinced that she wasn't really herself—and that a supernatural creature had taken her place.

GONE WITH THE FAIRIES

Bridget was the wife of a cooper named Michael Cleary, and the pair were regarded around town as a relatively happy couple. They shared their cottage, in a remote townland near Tipperary, with Bridget's father, Patrick Boland, and had no children. Michael was nine years Bridget's senior and earned a decent salary; she brought in some extra income by working as a seamstress and egg-seller. By all accounts, they were more prosperous than their neighbors, likely thanks to her resourcefulness. As a literate, independent, and fashionably dressed working woman, she was part of an emerging class in a rural society that had long been based in agriculture and the oral tradition.

It was also a society steeped in legends of the supernatural. Fairy belief, in particular, was pervasive in Irish rural societies at the time, and had long coexisted with Christian doctrine. Children grew up hearing legends of the Little People from their earliest days, and learned how to appease them by leaving untasted food on the table, for example, or saying "bless them" whenever the fairies were mentioned. The fairies were blamed for everything that went wrong—lost items, spoiled milk, bad crops. As one County Sligo man interviewed at the start of the 20th century told an anthropologist, "Nothing is more certain than that there are fairies."

Bridget herself was known to be fascinated by the beings, and to take trips to the most fairy-ridden spots around town. She may have visited such a spot on Monday, March 4, 1895, when she went to deliver eggs to her father's cousin, Jack Dunne, near Kylenagranagh Hill. The area was home to a ringfort, an early medieval circular fortified settlement believed, in Irish folklore, to be a "fairy fort," and thus to be avoided at all costs. Yet Bridget often visited the fort, and she likely spent time there that Monday after delivering the eggs.

It was a cold morning, the mountains still covered in the snow that had fallen the previous day, and after the two- or three-mile walk Bridget couldn't seem to warm up once she got back home. She spent the following day in bed, shivering and complaining of "a raging pain in her head."

That Saturday, her father walked four miles in the heavy rain to ask the doctor to call on her. But the doctor wasn't able to visit until the following Wednesday, and by then her husband had also gone to summon him twice. They should have been reassured by the doctor's diagnoses—"nervous excitement and slight bronchitis"—but it wasn't this ailment that worried Michael. He was convinced that the bed-ridden woman in their cottage was "too fine," in his own words, to be his wife, and that she was "two inches taller" than the woman he had known. At some point, Michael had developed the belief that Bridget had been replaced by a fairy changeling as she passed near the fairy fort on Kylenagranagh Hill.

"ARE YOU BRIDGET BOLAND?"

It is likely that this idea was planted in Michael's head by his confidante, Jack Dunne. According to Irish historian Angela Bourke, who has researched the case extensively, the 55-year-old Dunne was a charismatic man rumored to have the power of divination. He was known in the area as a seanchaí, a sort of storyteller well-versed in fairy mythology.

On Wednesday afternoon, after the doctor's visit, a priest visited. He wasn't overly concerned about the illness, but decided to administer the last rites in case it worsened. The ceremony emphasized the fact that Michael could lose his wife, which distressed him even more. He talked to Dunne, who urged him to act immediately, or the "real" Bridget would be lost forever. "It is not your wife is there [sic]," the older man reminded him. "This is the eighth day, and you had a right to have gone to Ganey"—the local "fairy doctor"—"on the fifth day."

The cooper duly visited Ganey following morning. He came back with a mixture of herbs that needed to be boiled in "new milk," the nutrient-rich first milk produced by a cow after calving.

That night, Michael forced the bitter concoction down Bridget’s throat while Dunne and three male cousins pinned her down in bed. Relatives outside the house heard someone—likely Michael—shouting, "Take it, you witch, or I'll kill you!" The men threw urine at her and shook her, yelling, "Away with you; come home Bridget Boland, in the name of God!" Other relatives and neighbors came and went, witnessing her ordeal and hearing her screams, but were too scared to intervene. Michael asked his wife to answer her name three times: "Are you Bridget Boland, wife of Michael Cleary, in the name of God?" The men then brought her to the fireplace and held her over the grate—ordeals by fire were known to drive out the fairies—while they repeated the questioning.

By midnight Thursday night, the ritual seemed to be completed. Bridget was "wild and deranged," according to her cousin Johanna, but her husband seemed satisfied, and her relatives thought there had been some sort of catharsis. The following morning, at Michael's request, the priest said mass in Bridget's bedroom in order to banish the "evil spirits" that were left in the house.

"IT IS NOT BRIDGET I AM BURNING."

An image of fairies from fairies from "The Poetical Works of Percy Bysshe Shelley"
Fairies from "The Poetical Works of Percy Bysshe Shelley"
British Library, Europeana // Public Domain

On Friday, March 15, for the first time in 11 days, Bridget got out of bed and dressed in her usual, fashionable clothes "to give her courage when she would go among the people," as Johanna later told the magistrates. Several family members had joined them in their cottage for tea later in the day when an argument erupted. Bridget had asked for some milk, which had rekindled Michael’s suspicions; fairies are known in folklore to yearn for fresh milk.

Bridget was probably exhausted, and she didn't want to be questioned any more. "Your mother used to go with the fairies and that is why you think I am going with them," she told her husband. Michael was furious. He demanded that she eat three pieces of bread and jam—perhaps to reinforce his control over her—asking her to say her name again. She answered twice and ate two of the three pieces, but when she hesitated for a moment with the third, her husband flung her on the ground and threatened her: "If you won't take it, down you will go."

Michael jabbed his knee into her chest, forcing the bread and jam down Bridget's throat. He began tearing off her clothes, leaving only her chemise, then grabbed a hot stick from the fire and held it close to her mouth. He struck her head against the floor, then set her chemise alight. Within a few minutes, he had also poured paraffin lamp oil over her, encouraging the flames.

As her body was burning, Michael said in front of shocked relatives: "She's not my wife. She's an old deceiver sent in place of my wife." Relatives yelled at Michael to put out the flames, but Bridget "blazed up all in a minute," according to their later testimony. They huddled in fear in a nearby bedroom, the flames soon barricading their way.

Once the flames had died down, Michael wrapped her body in a sheet and shoved it in an old bag. Then he left the house, locking Bridget's relatives inside with the corpse. They waited for about an hour, praying. When Michael returned, he was wielding a knife and threatened to kill Bridget's cousin Patrick Kennedy if he didn't help him bury Bridget's body. "Come on out here now," he shouted. "I have the hole nearly made." The two men carried the body to a boggy area about a quarter-mile uphill from the cottage, and buried it in a shallow hole. Back in the cottage, Michael made the rest of the family swear they wouldn't tell the authorities.

ON A WHITE HORSE

The following morning, an agitated Michael arrived at Drangan church with Dunne. Dunne wanted Michael to speak to a priest, but when the priest saw him kneeling in front of the altar—weeping, tearing his hair, and asking to go to confession—he thought he wasn't fit to receive the sacrament. He spoke to Dunne instead, who hadn't been at the cottage at the time of Bridget's death, but told the priest that Michael had claimed to have burned his wife the previous night. "I've been asking them all morning to take her up and give her a Christian burial," Dunne added. Bewildered, thinking them both insane, the church minister reported their conversation to a police sergeant.

For the next few days, the police searched for Bridget and questioned her friends and relatives. Even though Michael spoke about emigrating or committing suicide to escape the law, he still hoped his "real wife" would come back: For three consecutive nights starting the day after visiting the priest, he waited at the ringfort on Kylenagranagh Hill, where he believed she would appear, galloping on a white horse. He said he would only have to cut the ropes that bound her to the animal so she would be his forever.

On Wednesday, March 20, the Royal Irish Constables issued arrest warrants for eight people from Bridget's circle, as well as Denis Ganey, the "fairy doctor." Two days later, police found Bridget's body. The prisoners were brought before the magistrates on March 25, ushered in by the angry screams of a crowd who had learned of the case through extensive press coverage. On July 5, 1895, after a two-day trial, Michael was found guilty of manslaughter and imprisoned, along with Jack Dunne, Patrick Boland, and four of Bridget’s cousins, including Patrick Kennedy. The judge ruled out a verdict of murder, explaining they all had acted out of genuine belief.

Michael was released in 1910, after which he boarded ship for Montreal. Dunne served a three-year prison sentence before returning to the area, where he kept working as a laborer. "God knows I would never do it but for Jack Dunne," Michael had reportedly said not long after burning Bridget. "It was he who told me my wife was a fairy."

ILLNESS—OR INFIDELITY?

During her illness, Bridget was visited by her aunt, Mary Kennedy, and told her, "He [Michael]'s making a fairy of me now. He thought to burn me about three months ago." Her words suggest this wasn't the first crisis of its kind.

Although we can only speculate about the couple's disagreements, there were rumors in Ballyvadlea that Bridget had a lover. Contemporary newspapers reported Michael saying his wife "used to be meeting an egg-man on the low road" [sic], but the rumors pointed to young caretaker William Simpson, who had visited the Clearys' cottage with his wife the night before Bridget’s death. In his court testimony, Simpson explained he had arrived as the four men were restraining Bridget, and he had asked them to leave her alone.

Although Michael and the other people involved in the killing were never formally psychiatrically assessed, a 2006 article from the Irish Journal of Medical Science suggested that Michael may have been suffering from a psychotic state known as Capgras syndrome, which involves the belief that a person has been replaced by an impostor. The authors suggest Michael "may have developed a brief psychotic episode" as he struggled to deal with his wife's illness, sleep deprivation, and the recent death of his father—news of which had reached him in the middle of his attempted "cure" on Thursday night. In Capgras syndrome, the socio-cultural context of the sufferer determines the nature of the impostor, which can be another person or even a supernatural being, such as an alien or a fairy changeling.

In her discussion of the supernatural beliefs related to the case, Bourke notes that the message of fairy legends is that "the unexpected may be guarded against by careful observance of society's rules." Bridget Cleary was ambitious, independent, and childless; a modern woman. She didn't conform to the patriarchal norm, which may have made her appear, to some in her life, as closer to the fairy realm than to their own.

Even today in Tipperary, her story hasn't been entirely forgotten. The local children have a nursery rhyme that runs: "Are you a witch or are you a fairy, / Or are you the wife of Michael Cleary?"

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Queen Anne of Brittany's Heart Stolen From French Museum
Guillaume Souvant, AFP/Getty Images
Guillaume Souvant, AFP/Getty Images

Bringing new meaning to the idea of stealing someone's heart, thieves in France made off with a 16th-century gold relic containing the once-beating organ of Anne of Brittany, the only woman to ever have been twice crowned the queen of France.

Over the weekend, burglars smashed a window of the Thomas-Dobrée museum in Nantes and lifted the six-inch case from its display, The Telegraph reports.

Anne was crowned queen when she was just 12 years old after marrying Charles VIII of France in 1491. After his death in 1498, she married Louis XII and once again ascended the throne, where she stayed until her death at age 36. Although her body was buried at the Basilica of Saint Denis, she requested that her heart be kept alongside her parents’ tomb in Brittany.

“The thieves attacked our common heritage and stole an item of inestimable value," Philippe Grosvalet, president of the Loire-Atlantique department, which owns the museum, told The Telegraph. "Much more than a symbol, the case containing the heart of Anne of Brittany belongs to our history.”

The gold relic was saved from being melted down after the French Revolution, and it has been kept safe at the Thomas-Dobrée museum for more than 130 years. The case contains an inscription in old French, which translates to: “In this small vessel of pure, fine gold rests the greatest heart of any woman in the world.”

This practice of burying the heart apart from the rest of the body was not entirely uncommon among European aristocrats in the Middle Ages. The hearts of both Richard I and Anne Boleyn were kept in lead boxes, and the hearts of 22 former popes are stored in marble urns at Rome's Santi Vincenzo e Anastasio a Trevi church.

It's also far from the only instance of relic theft. In a slightly more bizarre case, fragments of the brain of John Bosco, a 19th century Roman Catholic priest, were contained in a reliquary at his basilica in Castelnuovo, central Italy, until they were snatched by a thief in 2017. The reliquary was ultimately recovered by police from the suspect’s kitchen cupboard.

[h/t The Telegraph]

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