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Would you like to inspect the original subtitles? These are the user uploaded subtitles that are being translated: 1 00:00:07,720 --> 00:00:13,400 In this episode of American Greed, in a small town, a money manager named Bob 2 00:00:13,400 --> 00:00:18,180 McClain is a noted philanthropist, giving away millions to charities. 3 00:00:18,700 --> 00:00:21,200 Please, from my heart to your heart. 4 00:00:21,840 --> 00:00:24,000 He reveled in that attention. 5 00:00:24,240 --> 00:00:26,620 I think he was totally in his element. 6 00:00:27,080 --> 00:00:28,400 I am a good guy. 7 00:00:28,620 --> 00:00:31,540 I am taking care of my city. I am taking care of my people. 8 00:00:32,060 --> 00:00:35,880 But is McClain's show of wealth just phony philanthropy? 9 00:00:36,940 --> 00:00:40,360 He did support causes that he appeared to care about. 10 00:00:41,080 --> 00:00:43,900 The problem is you've got to remember where the money came from. 11 00:00:44,180 --> 00:00:47,180 He was donating using other people's money. 12 00:01:02,380 --> 00:01:04,420 In a small town in Tennessee, 13 00:01:05,180 --> 00:01:10,900 A man sits in the empty parking lot of a church, alone with his thoughts and a 14 00:01:10,900 --> 00:01:11,900 loaded revolver. 15 00:01:12,780 --> 00:01:18,380 Robert McClain is in a world of trouble, having squandered at least $40 million 16 00:01:18,380 --> 00:01:19,940 of clients' money. 17 00:01:21,000 --> 00:01:22,540 Will he seek salvation? 18 00:01:24,260 --> 00:01:25,700 Can he be saved? 19 00:01:29,540 --> 00:01:32,060 The story begins in 1985. 20 00:01:32,990 --> 00:01:38,650 When Bob McLean hangs out a shingle in Murfreesboro, a small town 30 miles from 21 00:01:38,650 --> 00:01:44,230 Nashville. In the beginning, McLean and Company is a one -man investment firm. 22 00:01:44,970 --> 00:01:49,950 McLean manages the money of old friends, like his fraternity brother, Ron 23 00:01:49,950 --> 00:01:56,890 Venata. I was always told that Bob was investing for himself, his 24 00:01:56,890 --> 00:02:01,090 family, and eight or ten other clients such as myself. 25 00:02:01,980 --> 00:02:08,020 McLean offers Bonata guaranteed rates of return between 8 % and 12%, buying 26 00:02:08,020 --> 00:02:11,300 primarily volatile futures and options contracts. 27 00:02:12,220 --> 00:02:17,080 What Bob told me is when we're in the market, he would go in and buy that 28 00:02:17,080 --> 00:02:22,300 morning. And then at night, before he quit trading, we were liquid. And I 29 00:02:22,300 --> 00:02:23,300 like that part. 30 00:02:23,960 --> 00:02:27,120 Bonata is a successful commercial contractor. 31 00:02:27,960 --> 00:02:31,800 This is one of the projects we completed in the late 80s. He takes the profit 32 00:02:31,800 --> 00:02:35,060 from each building project and invests it with McLean. 33 00:02:35,420 --> 00:02:40,680 Sometimes maybe for a few months, sometimes maybe for six months. So 34 00:02:40,680 --> 00:02:41,680 it started for me. 35 00:02:42,540 --> 00:02:47,240 Over the years, McLean's above -market investment returns are the talk of the 36 00:02:47,240 --> 00:02:48,240 town. 37 00:02:48,360 --> 00:02:53,460 They would say that, you know, this guy, he's a self -made millionaire and that 38 00:02:53,460 --> 00:02:57,340 he's done it all himself and he's a guy you'd really want to get with. 39 00:02:58,120 --> 00:03:02,100 Jonathan Quinn first meets McLean when he's playing football for Middle 40 00:03:02,100 --> 00:03:03,440 Tennessee State University. 41 00:03:03,920 --> 00:03:09,380 It's McLean's alma mater, and he's active in the Athletic Booster Club. 42 00:03:10,000 --> 00:03:15,040 Quinn, a star quarterback, has a breakout senior year, and a world of 43 00:03:15,040 --> 00:03:16,800 opportunity opens up for him. 44 00:03:17,020 --> 00:03:20,440 With my size and arm strength and speed, 45 00:03:21,310 --> 00:03:25,150 I ended up getting looked at a little bit. Got invited to the NFL Combine. Did 46 00:03:25,150 --> 00:03:28,370 well. Teams worked me out. Next thing you know, I got drafted. 47 00:03:29,110 --> 00:03:34,010 Quinn goes in the third round of the NFL draft at the Jacksonville Jaguars. 48 00:03:34,330 --> 00:03:38,710 So I got a signing bonus, which was way more than I could possibly dream of. 49 00:03:39,290 --> 00:03:45,970 And statistically, NFL players are bankrupt within one to two years after 50 00:03:45,970 --> 00:03:47,810 leave the NFL. A really high percentage. 51 00:03:48,760 --> 00:03:52,120 I wanted to be safe. I did not want to be one of those guys. You know, we 52 00:03:52,120 --> 00:03:54,980 have a lot growing up, and so I wanted to put my money where I knew it would be 53 00:03:54,980 --> 00:03:58,680 there that if I played one year or if I played 15, I knew I would have it. 54 00:03:59,440 --> 00:04:04,700 Quinn has a seven -year run in the NFL, and with a young, growing family, he 55 00:04:04,700 --> 00:04:05,700 lives frugally. 56 00:04:05,800 --> 00:04:08,480 All of his savings goes straight to Bob McClain. 57 00:04:08,880 --> 00:04:13,380 He just said that he invests in things that are profitable, whether it's 58 00:04:13,680 --> 00:04:15,020 bonds, real estate. 59 00:04:15,630 --> 00:04:18,550 you know, buying businesses, that type of thing. 60 00:04:19,110 --> 00:04:23,530 Unknown to investors, his practices are not only unusual, they're illegal. 61 00:04:24,590 --> 00:04:29,730 McLean invests his clients' money in his own name and gives them unsecured 62 00:04:29,730 --> 00:04:34,430 promissory notes, IOUs, offering what seems like a good explanation. 63 00:04:35,770 --> 00:04:39,330 He would tell me that he would pool the money and he would buy contracts 64 00:04:39,330 --> 00:04:44,630 overseas or futures, and he could make more money trading in larger... 65 00:04:45,300 --> 00:04:49,780 if you will, than individual blocks, and it seemed to make sense at the time, 66 00:04:49,840 --> 00:04:52,200 and he always did what he said he would do. 67 00:04:53,020 --> 00:04:57,800 For his clients, it all seems like a normal business arrangement with a 68 00:04:57,800 --> 00:04:58,800 advisor. 69 00:04:59,280 --> 00:05:02,540 He says I hit singles. He says I keep hitting singles. I don't go for the home 70 00:05:02,540 --> 00:05:07,440 runs over the long haul. That's going to be better than the volatility of the 71 00:05:07,440 --> 00:05:10,400 stock market, and that sounded good. It sounded safe. It sounded secure. 72 00:05:11,040 --> 00:05:12,960 I always got my checks on time. 73 00:05:13,160 --> 00:05:14,160 They were always. 74 00:05:14,720 --> 00:05:18,360 exactly when and where they were supposed to be, and for the correct 75 00:05:19,600 --> 00:05:25,480 But for business law professor Sandra Benson, then a local estate attorney, 76 00:05:25,480 --> 00:05:27,480 arrangement seems highly unusual. 77 00:05:28,320 --> 00:05:32,600 She meets with a client who provides information on what he calls his 78 00:05:32,600 --> 00:05:38,280 investment at McLean & Company. He enjoys the steady, guaranteed returns. 79 00:05:39,820 --> 00:05:44,340 I was expecting to see an account statement listing the client's assets, 80 00:05:44,340 --> 00:05:50,100 instead the client brought to me a one -paragraph promissory note, just a few 81 00:05:50,100 --> 00:05:55,080 sentences, made payable to the client from Bob McLean. 82 00:05:56,060 --> 00:05:58,180 Benton suspects the notes are illegal. 83 00:05:58,880 --> 00:06:04,040 Bob McClain's promissory notes would have been securities that needed to be 84 00:06:04,040 --> 00:06:09,220 registered. He was selling those. He would have needed a license to do that. 85 00:06:09,540 --> 00:06:14,420 What's more alarming, the notes are reminiscent of a certain infamous con 86 00:06:14,420 --> 00:06:19,760 artist. In Charles Ponzi's scheme, he used promissory notes to attract 87 00:06:19,760 --> 00:06:24,660 and told investors he was investing their money on their behalf. And he was 88 00:06:24,660 --> 00:06:27,800 earning profits in what he said was a lucrative enterprise. 89 00:06:28,880 --> 00:06:34,140 A skeptical Benson calls McLean, who was unwilling to provide more than fuzzy 90 00:06:34,140 --> 00:06:35,780 details about his investments. 91 00:06:36,400 --> 00:06:40,420 He told me, well, the client can get their money out any time. It's a demand 92 00:06:40,420 --> 00:06:45,160 note. Of course, after that conversation, I suggested that is 93 00:06:45,160 --> 00:06:50,420 client do, get their money out. The client does not share her doubts 94 00:06:50,420 --> 00:06:52,660 and removes only part of his money. 95 00:06:53,180 --> 00:06:57,860 Indeed, Sandra Benson seems to be the only person in town who has any doubts 96 00:06:57,860 --> 00:06:59,200 about Bob McClain. 97 00:07:02,360 --> 00:07:06,280 Next on American Greed, Bob McClain makes it big. 98 00:07:06,660 --> 00:07:09,600 I heard anywhere from $20 to $50 to $100 million. 99 00:07:10,100 --> 00:07:12,820 And his spending spins out of control. 100 00:07:13,360 --> 00:07:17,300 He would take a limousine to a football game to his skybox. 101 00:07:17,700 --> 00:07:20,540 And later, Bob McClain's private life. 102 00:07:20,990 --> 00:07:24,670 The bachelor gives close to a million dollars to several men. 103 00:07:25,050 --> 00:07:30,990 Young men that had been students at Middle Tennessee State University, there 104 00:07:30,990 --> 00:07:34,030 not appear to be any kind of employment relationship there. 105 00:07:50,030 --> 00:07:56,110 By 2001, money manager Bob McClain appears to have the Midas touch. He's 106 00:07:56,110 --> 00:07:58,610 managing millions for his satisfied clients. 107 00:07:59,090 --> 00:08:02,750 The investment vehicle itself is highly unorthodox. 108 00:08:03,230 --> 00:08:08,170 McClain is investing in his own name, supposedly on behalf of his clients. 109 00:08:09,050 --> 00:08:14,690 He offers unsecured promissory notes with fixed returns of 10 to 20 percent. 110 00:08:15,560 --> 00:08:20,860 But in the small town of Murfreesboro, Tennessee, the notes and Bob's word are 111 00:08:20,860 --> 00:08:21,860 as good as gold. 112 00:08:22,200 --> 00:08:29,160 People are like the hold back from the old days when a handshake and your 113 00:08:29,160 --> 00:08:35,000 word were a time -honored tradition. For over 20 years, Bob McClain did exactly 114 00:08:35,000 --> 00:08:36,220 what he told me he would do. 115 00:08:36,960 --> 00:08:41,020 Ron Bonata is an old friend of McClain and his biggest investor. 116 00:08:41,299 --> 00:08:43,900 He trusts McClain 100%. 117 00:08:44,490 --> 00:08:48,670 and his faith is affirmed each time he visits McLean's office and sees his 118 00:08:48,670 --> 00:08:49,670 trading desk. 119 00:08:50,190 --> 00:08:54,850 When I would visit him, he would always pay careful attention to those screens, 120 00:08:54,910 --> 00:09:00,670 and he would make a big deal out of it. Well, because this is happening, you're 121 00:09:00,670 --> 00:09:04,010 going to see a reaction over here in a few minutes, and you did. 122 00:09:06,530 --> 00:09:11,130 When musician Alan Moore retires and settles in Murfreesboro... 123 00:09:11,500 --> 00:09:14,100 An acquaintance introduces him to Bob McLean. 124 00:09:14,900 --> 00:09:20,140 I remember I said to him, I'm not one of your larger fish in the pond. 125 00:09:20,340 --> 00:09:26,140 I've just sold a house up north, and I don't know if you even deal with people 126 00:09:26,140 --> 00:09:27,640 who have as little as I do to invest. 127 00:09:27,940 --> 00:09:32,880 He said, no, he absolutely did, and that he would be interested in talking about 128 00:09:32,880 --> 00:09:37,120 symphony. He was interested in the fact that I had a studio here, and we became 129 00:09:37,120 --> 00:09:38,560 very comfortable very quickly. 130 00:09:39,420 --> 00:09:43,980 McLean is a master salesman, quickly establishing common ground with anyone. 131 00:09:44,280 --> 00:09:46,860 With Moore, it's a love of music. 132 00:09:47,420 --> 00:09:52,780 I think now looking back, that first day that I met him in the office, he 133 00:09:52,780 --> 00:09:58,040 already had orchestrated in his mind, he worked quite fast, that he was going to 134 00:09:58,040 --> 00:10:02,880 woo me by the commonality of the bond of music, symphonies, instruments. 135 00:10:03,520 --> 00:10:05,400 And that's what he did. 136 00:10:05,900 --> 00:10:08,080 Moore invests with McLean. 137 00:10:08,620 --> 00:10:13,340 To his surprise, it takes a month for McLean to write him a promissory note. 138 00:10:13,620 --> 00:10:17,820 And when it came, I remember thinking, this is barely legal. 139 00:10:18,340 --> 00:10:23,980 But yet, I'm surrounded by some very wonderful people in our community who 140 00:10:23,980 --> 00:10:29,120 invested far more than I did. So I just sort of, as a musician, didn't have any 141 00:10:29,120 --> 00:10:30,120 reason to doubt. 142 00:10:31,020 --> 00:10:35,460 Even more reassuring, McLean invests for his own family. 143 00:10:35,820 --> 00:10:37,280 They trusted him. 144 00:10:37,790 --> 00:10:44,510 to handle the family money and grow it so that it would provide 145 00:10:44,510 --> 00:10:48,090 for his mother and then be an inheritance for his brothers. 146 00:10:48,670 --> 00:10:52,570 Bob McLean says, trust me, and nearly everyone does. 147 00:10:53,450 --> 00:10:58,310 Everyone that is but Sandra Benson, a business law professor at Middle 148 00:10:58,310 --> 00:10:59,310 State. 149 00:11:00,470 --> 00:11:06,390 For years, she suspects McLean's fund bears the marks of a Ponzi scheme. 150 00:11:06,910 --> 00:11:10,430 He was a one -person show, wasn't accountable. 151 00:11:10,670 --> 00:11:17,590 He was taking monies in and holding them jointly in his account, pooling 152 00:11:17,590 --> 00:11:19,170 that with other investors' money. 153 00:11:20,370 --> 00:11:24,130 But in Murfreesboro, almost no one shares Benson's doubts. 154 00:11:24,710 --> 00:11:29,630 In fact, long -time investors like Ron Bonata decide to double down. 155 00:11:29,990 --> 00:11:33,310 The longer I worked, the more money I made. 156 00:11:33,720 --> 00:11:35,700 So I had more money to invest with Bob. 157 00:11:36,140 --> 00:11:39,460 Banana owned several million dollars of real estate. 158 00:11:40,060 --> 00:11:44,180 And Bob talked me into using the equity that I had. 159 00:11:44,720 --> 00:11:49,920 He decides to use some of his real estate holdings as collateral to borrow 160 00:11:49,920 --> 00:11:56,780 banks. So, for example, if I had a piece of real estate that was worth $1 161 00:11:56,780 --> 00:11:59,800 million, the bank... 162 00:12:00,030 --> 00:12:04,810 On an 80 to 20 loan to value ratio would loan me $800 ,000. 163 00:12:05,170 --> 00:12:07,850 I would invest $800 ,000 with Bob McLean. 164 00:12:08,130 --> 00:12:10,650 Bob McLean would pay me 20 % interest. 165 00:12:10,910 --> 00:12:13,310 I would pay the bank 6 or 7. 166 00:12:13,630 --> 00:12:18,750 So there is a 13 or 14 % spread, and that's a lot of money. 167 00:12:20,570 --> 00:12:25,170 By 2002, people notice a big change in Robert McLean. 168 00:12:25,630 --> 00:12:29,470 The once low -profile broker now seems to shout success. 169 00:12:30,250 --> 00:12:35,150 All of a sudden you begin to see him at a much higher profile at different 170 00:12:35,150 --> 00:12:38,230 functions and different charity events and so forth. 171 00:12:39,030 --> 00:12:43,430 He began to come around in a chauffeur -driven limousine, and so it created 172 00:12:43,430 --> 00:12:46,790 quite a conversation, you know, from that standpoint. 173 00:12:48,010 --> 00:12:53,210 McLean wants to see his name chiseled in stone at his beloved alma mater. 174 00:12:54,960 --> 00:13:01,820 In late 2002, he pledges $1 .5 million to MTSU's School of Music, and 175 00:13:01,820 --> 00:13:03,740 it's renamed the Robert W. 176 00:13:03,980 --> 00:13:05,500 McLean School of Music. 177 00:13:05,920 --> 00:13:11,880 When Bob did that, the news media carried it. He was perceived as very 178 00:13:11,880 --> 00:13:17,480 in giving and giving back to his university, and so many professors and 179 00:13:17,480 --> 00:13:23,360 instructors and administrators at the university, in turn, invested with 180 00:13:24,590 --> 00:13:27,570 But there's a mystery at the heart of Bob McClain. 181 00:13:28,030 --> 00:13:30,730 Where exactly is all the money coming from? 182 00:13:32,130 --> 00:13:37,210 McClain is managing at least $40 million of local investors' money, but he's 183 00:13:37,210 --> 00:13:40,830 living like someone who has his own multimillion -dollar portfolio. 184 00:13:42,010 --> 00:13:45,330 You know, like everyone else, I wondered, you know, what has happened? 185 00:13:45,790 --> 00:13:50,090 How has he done this? How has he changed? Because you go from a fairly 186 00:13:50,090 --> 00:13:53,290 profile to this, and you go from, you know... 187 00:13:53,720 --> 00:13:58,200 Good financial position to one that's, you know, a total different level. 188 00:13:59,060 --> 00:14:03,160 Rumors abound about how McLean made his millions. 189 00:14:03,600 --> 00:14:09,780 I had heard that Bob had invented real -time computer data for the crawling 190 00:14:09,780 --> 00:14:15,660 stock market quotes that you see at the bottom of various TV stations and that 191 00:14:15,660 --> 00:14:19,620 he had sold that to CBS for a significant sum of money. 192 00:14:20,060 --> 00:14:22,420 Bob had developed a trading program. 193 00:14:23,120 --> 00:14:25,880 and that he sold that for millions. 194 00:14:26,160 --> 00:14:28,880 I heard anywhere from $20 to $50 to $100 million. 195 00:14:29,960 --> 00:14:35,920 And as to how exactly he's investing his portfolio, McLean's clients are a 196 00:14:35,920 --> 00:14:37,240 little fuzzy on that too. 197 00:14:37,840 --> 00:14:44,020 He wasn't intentionally secretive. I think he wanted to get him off the air 198 00:14:44,020 --> 00:14:50,120 it was just a bit too complicated and to just sort of, I mean, he never said 199 00:14:50,120 --> 00:14:51,560 this, but it was like, trust me. 200 00:14:52,140 --> 00:14:53,140 You'll be glad she did. 201 00:14:53,860 --> 00:14:59,920 While his investment strategy remains mysterious, McLean's spending is for all 202 00:14:59,920 --> 00:15:00,920 to see. 203 00:15:01,220 --> 00:15:04,920 In 2003, McLean moves to a new home in a gated community. 204 00:15:05,660 --> 00:15:11,020 He hires a decorator who spends two years buying lavish decor for the home, 205 00:15:11,180 --> 00:15:14,240 including a $50 ,000 Steinway piano. 206 00:15:14,860 --> 00:15:19,080 He buys a $1 .4 million condo on Florida's Gulf Coast. 207 00:15:20,650 --> 00:15:26,490 He buys a $1 .5 million lake house and rides around in a custom -built 208 00:15:26,490 --> 00:15:29,350 limousine, complete with his own chauffeur. 209 00:15:29,630 --> 00:15:36,170 I got into what appeared to be very pastel shades, purple lights, in the 210 00:15:36,170 --> 00:15:37,170 the limo. 211 00:15:37,450 --> 00:15:41,130 Champagne was in the limo ice chest. 212 00:15:41,670 --> 00:15:46,410 Next on American Green, McLean's ultimate vanity project. 213 00:15:47,020 --> 00:15:50,080 A Hollywood -style movie shot in his own hometown. 214 00:15:50,560 --> 00:15:53,260 He was living the lifestyle of the rich and famous. 215 00:15:54,080 --> 00:15:56,940 American Express bills of $10 ,000 to $20 ,000 a month. 216 00:16:12,460 --> 00:16:18,560 In 2003, Robert McClain is a noted money manager and philanthropist in 217 00:16:18,560 --> 00:16:19,760 Murfreesboro, Tennessee. 218 00:16:20,360 --> 00:16:24,620 His client list is flush with the wealthiest people in town. 219 00:16:25,160 --> 00:16:30,920 And he donates millions to charity, helping to create the Robert W. McClain 220 00:16:30,920 --> 00:16:31,920 School of Music. 221 00:16:32,320 --> 00:16:36,120 At the Stones River Country Club, he is a local celebrity. 222 00:16:36,840 --> 00:16:38,140 Almost everyone. 223 00:16:38,760 --> 00:16:42,680 would come up and mention something about their golf game, something about 224 00:16:42,680 --> 00:16:49,560 impending social event, something to pet Bob on the back. And I think he 225 00:16:49,560 --> 00:16:51,180 reveled in that attention. 226 00:16:51,620 --> 00:16:56,460 McLean shares his wealth with his favorite causes, including the Country 227 00:16:56,460 --> 00:16:57,840 Hall of Fame in Nashville. 228 00:16:58,460 --> 00:17:04,099 The Hall of Fame wants to buy a guitar once owned by country legend Mabel 229 00:17:04,099 --> 00:17:07,040 and a mandolin played by Bill Monroe. 230 00:17:07,710 --> 00:17:08,990 the father of bluegrass. 231 00:17:09,550 --> 00:17:15,810 As WSMV, Nashville's NBC affiliate, reports... The holy grail for bluegrass 232 00:17:15,810 --> 00:17:20,310 music. Back in 1981, Monroe brought the fabled mandolin with him during an 233 00:17:20,310 --> 00:17:21,310 interview with Dan Miller. 234 00:17:23,410 --> 00:17:27,150 Now they're two of the most important instruments in music history. 235 00:17:27,630 --> 00:17:32,290 This was the guitar... The Hall of Fame's director, Kyle Young, meets with 236 00:17:32,290 --> 00:17:34,770 McClain. Oh, I immediately liked him. 237 00:17:35,050 --> 00:17:40,950 I mean, he demonstrated very early on that he cared deeply about music and 238 00:17:40,950 --> 00:17:43,950 therefore about what we do. 239 00:17:44,270 --> 00:17:45,370 Mr. Bob McLean. 240 00:17:45,950 --> 00:17:48,390 He was an easy guy to talk to. 241 00:17:48,890 --> 00:17:55,590 McLean pledges $1 .5 million to purchase these historic treasures and joins the 242 00:17:55,590 --> 00:17:56,590 board of directors. 243 00:17:56,810 --> 00:17:59,450 It's played from my heart to your heart. 244 00:17:59,730 --> 00:18:01,010 It will touch you. 245 00:18:02,920 --> 00:18:07,420 Highly publicized celebrations bring in artists like bluegrass legend Earl 246 00:18:07,420 --> 00:18:11,200 Scruggs, the Carter family, and Vince Gill. 247 00:18:11,400 --> 00:18:16,920 In fact, Vince invited Bob up on stage to play with him. 248 00:18:17,580 --> 00:18:19,360 He liked the spotlight. 249 00:18:19,640 --> 00:18:20,860 He liked the attention. 250 00:18:21,740 --> 00:18:23,100 That's his personality. 251 00:18:33,020 --> 00:18:35,260 to new investors. 252 00:18:36,060 --> 00:18:42,520 And in his hometown of Shelbyville, population 16 ,000, McLean spends an 253 00:18:42,520 --> 00:18:47,640 astonishing $1 .3 million financing a movie entitled Our Very Own. 254 00:18:47,960 --> 00:18:52,380 It attracts Hollywood star Jason Ritter, the son of John Ritter. 255 00:18:52,800 --> 00:18:59,100 He even invited me to go along and see the movie set and impressed me. 256 00:18:59,660 --> 00:19:05,060 Retired school teacher Becky Lucinski meets Bob as she recovers from two 257 00:19:05,060 --> 00:19:09,920 traumatic events, the death of her father and a diagnosis of breast cancer. 258 00:19:10,820 --> 00:19:16,940 At that time, I inherited some money from my father, and 259 00:19:16,940 --> 00:19:23,140 since I was so weak from chemo, my brother invested the money with Bob 260 00:19:23,860 --> 00:19:28,640 Impressed by his reputation, Lucinski invests $600 ,000. 261 00:19:29,550 --> 00:19:33,170 most of her inheritance for a fixed 15 % return. 262 00:19:33,730 --> 00:19:39,250 To my knowledge, his name was good in Murfreesboro, so it just seemed like a 263 00:19:39,250 --> 00:19:40,250 right thing to do. 264 00:19:41,290 --> 00:19:46,150 It seemed like the right thing to do, especially when the wealthiest people in 265 00:19:46,150 --> 00:19:47,950 town are McLean investors. 266 00:19:48,690 --> 00:19:51,730 You know, you tend to look at something like that and go, well, my gosh, if it's 267 00:19:51,730 --> 00:19:55,370 good enough for them, surely it's good enough for me. And then I begin to find 268 00:19:55,370 --> 00:19:57,650 people whose net worth I'll... 269 00:19:57,900 --> 00:20:04,480 Likely we'll never see. And so you get so many of these notable people with 270 00:20:04,540 --> 00:20:06,420 and you become unquestionable. 271 00:20:07,880 --> 00:20:11,940 A few people, however, have questions about Bob McClain. 272 00:20:12,460 --> 00:20:19,220 One is Mark Purtle, a real estate developer and car dealer. In 2003, 273 00:20:19,220 --> 00:20:24,240 has a half million dollars he wants to invest for nine months until he opens a 274 00:20:24,240 --> 00:20:25,240 new dealership. 275 00:20:26,280 --> 00:20:27,920 McLean offers him a deal. 276 00:20:28,220 --> 00:20:34,200 He did agree to pay me 12%, which at that time was significantly above the 277 00:20:34,200 --> 00:20:37,560 certificate of deposit rate at a local bank. 278 00:20:37,780 --> 00:20:42,440 So I thought, well, this is a good place to park the money for about nine 279 00:20:42,440 --> 00:20:43,440 months. 280 00:20:43,800 --> 00:20:49,220 When it comes time to open the dealership, Purtle requests the money 281 00:20:49,220 --> 00:20:55,220 interest. Then he became unreachable, and each time that I would call him... 282 00:20:55,530 --> 00:20:57,350 The voicemail would be full. 283 00:20:57,550 --> 00:20:59,870 It would be impossible to leave him a message. 284 00:21:00,490 --> 00:21:05,650 McLean finally responds, but dribbles the money back in small installments. 285 00:21:05,930 --> 00:21:09,050 Purtle has to tap into other funds to open his venture. 286 00:21:09,430 --> 00:21:14,890 Though McLean eventually pays him back in full, Purtle sees signs of trouble. 287 00:21:15,550 --> 00:21:19,890 Here was a person who was supposed to have tens of millions of dollars in both 288 00:21:19,890 --> 00:21:25,330 his personal assets and other people's investments, and that he couldn't return 289 00:21:25,330 --> 00:21:30,010 approximately a half a million dollars, you know, in one payment. 290 00:21:30,810 --> 00:21:32,610 Where is all the money going? 291 00:21:33,290 --> 00:21:35,690 McLean clearly is living a lavish lifestyle. 292 00:21:36,970 --> 00:21:42,330 He would take a limousine to a football game to his skybox, and he always wanted 293 00:21:42,330 --> 00:21:45,630 to include the most prominent people in the community. 294 00:21:47,270 --> 00:21:52,850 He makes another splashy million -dollar contribution to his alma mater in front 295 00:21:52,850 --> 00:21:54,010 of a huge audience. 296 00:21:54,710 --> 00:21:58,510 It was actually our first nationally televised football game. It was probably 297 00:21:58,510 --> 00:22:02,230 the largest crowd attendance we'd had, and so we had a formal presentation in 298 00:22:02,230 --> 00:22:03,230 recognition of the game. 299 00:22:03,980 --> 00:22:08,220 He presented a big, huge check and made a big splash about the pianos that he 300 00:22:08,220 --> 00:22:09,400 had purchased for the university. 301 00:22:09,760 --> 00:22:13,080 And, you know, you wonder whether or not there's other reasons for doing that. 302 00:22:13,480 --> 00:22:19,800 This man is a symbol of hard work, determination. In public, McLean's image 303 00:22:19,800 --> 00:22:24,800 golden. But not all of McLean's money is given with such pomp and circumstance. 304 00:22:26,060 --> 00:22:31,460 The bachelor is giving regular cash gifts to more than a dozen men, as 305 00:22:31,460 --> 00:22:33,180 investigators will later learn. 306 00:22:33,610 --> 00:22:40,490 It was unusual to give $3 ,000 to $5 ,000 gifts continually to these people, 307 00:22:40,550 --> 00:22:43,410 and we could not determine what they were being paid for. 308 00:22:44,030 --> 00:22:48,070 Most of the men are current and former students at Middle Tennessee State 309 00:22:48,070 --> 00:22:52,690 University. In some cases, McLean pays for apartments and tuition. 310 00:22:53,390 --> 00:22:59,430 In all, McLean spends close to a staggering $1 million in cash gifts to 311 00:22:59,430 --> 00:23:00,810 men in four years. 312 00:23:01,580 --> 00:23:07,680 I guess looking back, I think Bob had a secretive or a you can't know what I 313 00:23:07,680 --> 00:23:10,620 know, you can't go where I go or do what I do side. 314 00:23:10,960 --> 00:23:16,000 After years of unrestrained spending and secret gifts, it's no surprise when 315 00:23:16,000 --> 00:23:19,300 some of his investors say he seems desperate for cash. 316 00:23:21,720 --> 00:23:28,540 Jonathan Quinn, a former NFL player, has invested $700 ,000 with McLean over the 317 00:23:28,540 --> 00:23:29,540 last 10 years. 318 00:23:30,220 --> 00:23:32,700 He called me one time toward the end about $10 million. 319 00:23:33,020 --> 00:23:37,700 If I could find it, then he would pay 10%. He'd make 10, I'd make 10. 320 00:23:39,380 --> 00:23:42,380 I don't know people. I mean, people I know, I'm not going to call anybody 321 00:23:42,380 --> 00:23:43,259 for $10 million. 322 00:23:43,260 --> 00:23:45,640 You know, that doesn't make sense. 323 00:23:46,180 --> 00:23:47,540 Quinn turns him down. 324 00:23:48,140 --> 00:23:54,340 He calls Mark Purtle with an even better offer, a guaranteed 20 % return on a 325 00:23:54,340 --> 00:23:55,680 multimillion -dollar investment. 326 00:23:56,670 --> 00:24:00,750 It kind of astounded me that someone could promise 20%. 327 00:24:01,290 --> 00:24:04,770 It's almost impossible. There's probably two people in the history of the stock 328 00:24:04,770 --> 00:24:09,510 market that produce 20 % returns on a year -after -year basis. 329 00:24:09,830 --> 00:24:15,070 And I found it very disturbing. And I knew at that time that I had no 330 00:24:15,070 --> 00:24:17,290 of ever giving him any of my money again. 331 00:24:17,930 --> 00:24:23,210 Next on American Greed, see how investor Ron Bonata uses the camera in his cell 332 00:24:23,210 --> 00:24:26,390 phone to bring a Ponzi schemer to his knees. 333 00:24:26,730 --> 00:24:27,730 I think. 334 00:24:28,170 --> 00:24:31,390 This is what begins to bring the house of cards down. 335 00:24:45,890 --> 00:24:52,710 By 2006, Bob McLean claims he has $40 million under management, but his 336 00:24:52,710 --> 00:24:54,950 investment strategy is highly unusual. 337 00:24:56,040 --> 00:25:01,980 McLean issues promissory notes to clients and says he invests their money 338 00:25:01,980 --> 00:25:02,980 his own name. 339 00:25:03,140 --> 00:25:08,580 I can sum up a major red flag in three words, unsecured promissory note. 340 00:25:10,940 --> 00:25:16,500 After investing for nearly 20 years, McLean's old fraternity brother, Ron 341 00:25:16,500 --> 00:25:21,080 Venata, has unwittingly served as the keystone of a Ponzi scheme. 342 00:25:21,600 --> 00:25:24,680 He's the single biggest McLean investor. 343 00:25:25,150 --> 00:25:26,410 with a total of $8 million. 344 00:25:26,970 --> 00:25:33,090 $3 .5 million is his own cash, and another $4 .5 million is borrowed from 345 00:25:33,090 --> 00:25:36,630 banks. For years, the arrangement works beautifully. 346 00:25:37,250 --> 00:25:38,790 Bob's paying me like a clock. 347 00:25:39,090 --> 00:25:41,010 I'm paying the bank like a clock. 348 00:25:41,650 --> 00:25:42,650 Everybody's happy. 349 00:25:43,370 --> 00:25:49,370 Until January 2007, when Venata gets a disturbing call. 350 00:25:49,690 --> 00:25:54,270 I'm asked to come to the bank by senior loan officers, and I do. 351 00:25:54,880 --> 00:26:00,220 And at that time, they drop a bomb. They say, we need you to pay this loan off 352 00:26:00,220 --> 00:26:01,580 as quickly as you can. 353 00:26:02,520 --> 00:26:05,700 I say, for what reason? Give me a reason. 354 00:26:06,500 --> 00:26:07,880 They gave me no reason. 355 00:26:08,300 --> 00:26:12,060 The bank knows about Venata's large investment with McLean. 356 00:26:12,440 --> 00:26:16,460 And perhaps they've heard whispers of McLean's lavish spending. 357 00:26:17,160 --> 00:26:19,320 Whatever the reason, they're calling in the loan. 358 00:26:20,020 --> 00:26:25,800 Bonato phones his old friend and asks to cash out $4 .5 million of his equity. 359 00:26:26,520 --> 00:26:33,220 And Bob assured me that we would have the money available, and so I was 360 00:26:33,220 --> 00:26:36,440 expecting to pay the bank off at the end of April. 361 00:26:37,300 --> 00:26:41,000 But I go to the post office to get my check, and it's not there. 362 00:26:41,960 --> 00:26:45,280 Several weeks later, McClain still does not deliver. 363 00:26:45,700 --> 00:26:47,980 Within two or three weeks... 364 00:26:48,480 --> 00:26:50,760 his excuses start changing. 365 00:26:51,040 --> 00:26:57,580 The new excuse is the money's tied up and it's in an offshore account, but 366 00:26:57,580 --> 00:27:00,460 being held up because of the, quote, Patriot Act. 367 00:27:01,580 --> 00:27:06,360 Bonata grows increasingly frustrated and seeks counsel from attorney Steve 368 00:27:06,360 --> 00:27:11,040 Riley. I spent a lot of time talking to him about the fact that the money might 369 00:27:11,040 --> 00:27:12,040 not be there. 370 00:27:12,300 --> 00:27:14,560 And, frankly, he resisted. 371 00:27:16,140 --> 00:27:19,560 Which didn't surprise me. They had been friends for a long time, and there was 372 00:27:19,560 --> 00:27:20,560 quite a history there. 373 00:27:20,640 --> 00:27:23,100 He didn't believe that the guy wasn't going to pay. 374 00:27:24,120 --> 00:27:27,460 Riley advises his client to keep the pressure on. 375 00:27:27,800 --> 00:27:33,580 And so I tell him, I said, Bob, I'm going to file a lawsuit against you if 376 00:27:33,580 --> 00:27:34,920 don't show me where my money is. 377 00:27:35,580 --> 00:27:41,180 And he said, I'll meet you across the street in the bank parking lot, and I'll 378 00:27:41,180 --> 00:27:42,240 show you where your money is. 379 00:27:43,440 --> 00:27:48,920 Bonata hops in the passenger's side of McLean's Jeep Wrangler, and McLean shows 380 00:27:48,920 --> 00:27:52,920 Bonata a single sheet of paper that he hopes will allay his fears. 381 00:27:53,840 --> 00:27:58,440 This was a settlement statement from a brokerage house in Chicago. 382 00:27:59,160 --> 00:28:05,880 The house was called Rosenthal and Collins, and the amount on the clearing 383 00:28:05,880 --> 00:28:08,740 statement was $28 -plus million. 384 00:28:09,700 --> 00:28:11,800 It had a current date on it. 385 00:28:12,220 --> 00:28:14,420 It was on the Rosenthal letterhead. 386 00:28:15,080 --> 00:28:19,000 Bonata asks to keep the statement, but McClain refuses. 387 00:28:19,440 --> 00:28:21,160 And that didn't smell right. 388 00:28:21,560 --> 00:28:26,380 Bonata needs a copy of the document to verify it. He acts quickly. 389 00:28:26,800 --> 00:28:31,960 Besides being a contractor, I'm also a farmer, so it's not unusual to see me in 390 00:28:31,960 --> 00:28:33,180 a pair of bib overalls. 391 00:28:33,460 --> 00:28:38,940 So I'd already taken my cell phone and put it in my bib overalls. I kind of 392 00:28:38,940 --> 00:28:40,900 leaned over and put the document in my lap. 393 00:28:41,420 --> 00:28:44,900 And I just reached up and pressed my button, and I took a picture of it. 394 00:28:45,200 --> 00:28:49,880 This image, taken by Venata's cell phone, is sent to the brokerage house. 395 00:28:50,340 --> 00:28:52,020 The statement is a fake. 396 00:28:52,520 --> 00:28:55,580 McClain has no account at Rosenthal Collins Group. 397 00:28:56,160 --> 00:28:57,680 I mean, that's when I knew. 398 00:28:58,120 --> 00:28:59,860 That's when I knew. 399 00:29:01,160 --> 00:29:07,720 On June 29, 2007, Ron Venata files a lawsuit against Robert W. 400 00:29:07,840 --> 00:29:13,510 McClain. But even as his business crumbles, McLean's golden image is still 401 00:29:13,510 --> 00:29:16,230 intact at the Country Music Hall of Fame. 402 00:29:16,870 --> 00:29:21,850 Bob had suggested that, you know, we might accept a resignation from him. 403 00:29:21,910 --> 00:29:25,710 in fact, I remember the conversation very clearly. It was like, gosh, you 404 00:29:25,750 --> 00:29:27,930 that doesn't mean he did anything wrong. 405 00:29:28,150 --> 00:29:29,730 I mean, people sue each other all the time. 406 00:29:30,010 --> 00:29:35,050 So we said, hey, you know, and I remember the chairman saying to me, hey, 407 00:29:35,050 --> 00:29:36,050 know, we stand by our people. 408 00:29:38,320 --> 00:29:43,500 Meanwhile, the filing of several civil suits against McLean triggers a criminal 409 00:29:43,500 --> 00:29:44,500 investigation. 410 00:29:45,680 --> 00:29:51,140 U .S. Postal Inspection agents execute search warrants at McLean's home and 411 00:29:51,140 --> 00:29:57,280 office. I remember thinking this guy was really a heavy hitter. He had... 412 00:29:58,300 --> 00:30:02,180 The notes from friends were well -known entertainers. 413 00:30:02,540 --> 00:30:07,940 There were pictures of check presentations where the checks were 414 00:30:07,940 --> 00:30:12,480 money. The agents are surprised by McLean's client files. 415 00:30:12,880 --> 00:30:17,800 When we looked at the file cabinets and saw how the record -keeping was done, it 416 00:30:17,800 --> 00:30:18,559 was shocking. 417 00:30:18,560 --> 00:30:19,640 There was... 418 00:30:20,400 --> 00:30:24,080 Millions and millions of dollars had been invested here, and they were 419 00:30:24,080 --> 00:30:27,900 on handwritten notes to keep track of all the finances, which was very 420 00:30:27,900 --> 00:30:32,680 surprising. What's more, it seems that McLean's collection of trading terminals 421 00:30:32,680 --> 00:30:34,060 was all for show. 422 00:30:34,420 --> 00:30:36,820 He never made any actual trades. 423 00:30:37,400 --> 00:30:41,260 We also looked to see if there was any kind of equity research or anything that 424 00:30:41,260 --> 00:30:43,510 might... relate to him investing. 425 00:30:43,970 --> 00:30:47,910 And in his office, there was no documentation. There was nothing 426 00:30:47,910 --> 00:30:50,750 he was even doing research on how to invest the money. 427 00:30:51,630 --> 00:30:56,630 By now, McLean's investors realize their savings have evaporated. 428 00:30:57,110 --> 00:31:03,130 Becky Lucensky has invested her father's inheritance, $600 ,000, with McLean. 429 00:31:03,750 --> 00:31:09,490 I will never forget the day that I opened the newspaper and saw McLean was 430 00:31:09,490 --> 00:31:10,490 bankrupt. 431 00:31:10,960 --> 00:31:15,840 I had no clue, and I knew that my life would never be the same. 432 00:31:21,380 --> 00:31:26,220 Retired NFL quarterback Jonathan Quinn believes that he has close to $1 .4 433 00:31:26,220 --> 00:31:30,520 million, his entire net worth, with McClain and company. 434 00:31:31,680 --> 00:31:35,280 He's on vacation with his family when he hears the news. 435 00:31:35,680 --> 00:31:37,600 I'm sitting in a small town in Colorado. 436 00:31:38,480 --> 00:31:40,080 We're looking at little knickknacks. 437 00:31:40,640 --> 00:31:45,100 And I told my wife to stop shopping, you know, because at the time when I found 438 00:31:45,100 --> 00:31:49,160 out, I had $100 in my pocket and maybe $800 in the bank, and that's all I had. 439 00:31:49,960 --> 00:31:53,180 In a subsequent deposition in a civil lawsuit, 440 00:31:53,900 --> 00:31:57,680 McLean's office manager details years of extravagant spending. 441 00:31:58,520 --> 00:32:03,620 He was spending over $5 ,000 weekly in personal expenses, American Express 442 00:32:03,620 --> 00:32:05,200 of $10 ,000 to $20 ,000 a month. 443 00:32:05,580 --> 00:32:09,760 He was spending a lot of money on several different residences. 444 00:32:10,170 --> 00:32:13,450 There was a lot of money going to people who were not employees. 445 00:32:14,190 --> 00:32:19,570 According to the office manager, more than a dozen men received cash for 446 00:32:19,570 --> 00:32:23,030 tuition, rent, medical bills, and entertainment. 447 00:32:23,670 --> 00:32:29,650 Young men that had been students at Middle Tennessee State University, there 448 00:32:29,650 --> 00:32:33,730 not appear to be any kind of employment relationship there. And these were 449 00:32:33,730 --> 00:32:35,910 reasonably significant amounts of money. 450 00:32:36,410 --> 00:32:40,310 The office manager recounts what sounds like Bob's last hurrah. 451 00:32:40,710 --> 00:32:46,170 In May, as the local bank calls in Ron Bonata's loan, precipitating the 452 00:32:46,170 --> 00:32:52,710 of the Ponzi scheme, Bob throws a party, spending $5 ,000 in one night on his 453 00:32:52,710 --> 00:32:53,710 young friends. 454 00:32:54,010 --> 00:32:57,770 It's McClain's version of fiddling while Rome burns. 455 00:32:58,590 --> 00:33:03,690 On July 18th, at the Rutherford County Courthouse, the gallery is packed. 456 00:33:04,480 --> 00:33:07,500 It was full of other attorneys, and it was full of other clients. 457 00:33:07,920 --> 00:33:13,160 And these other people that had been clients of Bob wanted to know what was 458 00:33:13,160 --> 00:33:17,640 going on, and basically there were little old ladies crying in the 459 00:33:18,600 --> 00:33:22,300 Within two weeks, McLean is forced into involuntary bankruptcy. 460 00:33:23,360 --> 00:33:29,660 Records show that from 2002 through 2007, McLean spends $49 million, 461 00:33:30,140 --> 00:33:32,840 essentially everything investors give him. 462 00:33:33,640 --> 00:33:38,480 But at this point, McLean's problems are not only legal and financial. 463 00:33:39,160 --> 00:33:44,220 Bob was threatening to commit suicide shortly after this all came out. 464 00:33:44,620 --> 00:33:48,560 And his brother committed him to a hospital. 465 00:33:49,640 --> 00:33:53,660 To be honest with you, I don't know if that was a ploy to get him out of some 466 00:33:53,660 --> 00:33:59,500 particular hearing or indictment or if he was really sick. I honestly don't 467 00:33:59,500 --> 00:34:02,640 know. Is McLean's distress real? 468 00:34:03,390 --> 00:34:08,750 Next on American Greed, for McClain and his victims, the worst is yet to come. 469 00:34:09,210 --> 00:34:10,670 Why do you see this? 470 00:34:19,989 --> 00:34:21,409 July 2007. 471 00:34:22,210 --> 00:34:26,830 Robert McClain, money manager with the Midas touch, is broke. 472 00:34:27,389 --> 00:34:29,870 Fifty clients are financially ruined. 473 00:34:30,600 --> 00:34:34,040 and McLean himself is hospitalized under suicide watch. 474 00:34:34,360 --> 00:34:39,239 The community is shocked by the fall of its most generous benefactor. 475 00:34:39,520 --> 00:34:45,280 It was a very sad day for the citizens of Rutherford and Bedford County when 476 00:34:45,280 --> 00:34:52,040 someone who was supposed to be this very benevolent philanthropist was in fact a 477 00:34:52,040 --> 00:34:53,360 fraud, a con man. 478 00:34:54,820 --> 00:34:57,900 It's no surprise to law professor Sandra Benson. 479 00:34:59,700 --> 00:35:04,320 She first rang warning bells about McLean and Company more than 10 years 480 00:35:04,680 --> 00:35:07,680 But she understands why many were fooled. 481 00:35:08,080 --> 00:35:12,760 Mr. McLean had a pretty long history of paying the notes on a timely basis. 482 00:35:13,340 --> 00:35:16,900 Investors were getting returns month after month. 483 00:35:17,200 --> 00:35:21,860 He was doing what he promised he would do. He was paying the stated interest 484 00:35:21,860 --> 00:35:27,440 rates. And so you see the enticement of people to roll their notes over or to 485 00:35:27,440 --> 00:35:30,880 keep their money or even to invest more money with Mr. McClain. 486 00:35:31,840 --> 00:35:35,920 McClain is released from the psychiatric hospital and the U .S. Attorney's 487 00:35:35,920 --> 00:35:37,640 Office lays out its criminal case. 488 00:35:38,160 --> 00:35:42,960 If McClain goes to trial, he faces up to 33 years in prison. 489 00:35:45,600 --> 00:35:50,640 On September 25th, Bob McClain drives to Shelbyville. 490 00:35:51,100 --> 00:35:52,260 the town where he was born. 491 00:35:53,060 --> 00:35:56,600 Next to him on the passenger seat is a loaded gun. 492 00:35:57,780 --> 00:36:01,780 He pulls into the deserted parking lot of a church and faces a brick wall. 493 00:36:03,800 --> 00:36:05,460 McLean puts the gun to his head. 494 00:36:08,620 --> 00:36:13,060 It was at 8 o 'clock this morning that the minister found Robert McLean's body 495 00:36:13,060 --> 00:36:14,340 back behind the building. 496 00:36:14,560 --> 00:36:18,620 He had a gunshot wound to the head and police say there was a suicide note. 497 00:36:20,590 --> 00:36:27,190 When I heard of Bob's death and how he died, yes, I had not just a little bit 498 00:36:27,190 --> 00:36:28,570 sorrow, I had a lot of sorrow. 499 00:36:28,930 --> 00:36:30,210 I didn't want it for him. 500 00:36:32,010 --> 00:36:37,430 You know, it wasn't, your life is way more valuable than the money to me. 501 00:36:37,950 --> 00:36:40,730 Even the first mourner is a surprise. 502 00:36:41,190 --> 00:36:46,570 The first person to come to Bob's brother's home to express his 503 00:36:46,570 --> 00:36:47,570 Ronnie Venetta. 504 00:36:48,080 --> 00:36:53,660 No one wanted Bob to take his life. I mean, I don't know of anyone that would 505 00:36:53,660 --> 00:36:54,660 have wanted that. 506 00:36:56,200 --> 00:36:59,780 But for the victims, sadness soon gives way to confusion. 507 00:37:00,460 --> 00:37:05,260 A bankruptcy trustee is in charge of the estate with the power to find and 508 00:37:05,260 --> 00:37:06,260 recover assets. 509 00:37:07,020 --> 00:37:12,200 The fact is, in Ponzi scheme cases, there's typically not a pot of gold out 510 00:37:12,200 --> 00:37:13,200 there somewhere. 511 00:37:15,370 --> 00:37:18,910 that the trustee can recover is in the hands of the victims themselves. 512 00:37:19,610 --> 00:37:25,490 Under state law, the bankruptcy trustee can seize any Ponzi payments made to 513 00:37:25,490 --> 00:37:27,910 investors within the last four years. 514 00:37:28,350 --> 00:37:34,270 The popular term that's being used today is clawback, to show the powers of the 515 00:37:34,270 --> 00:37:39,750 trustee when they can go back and claw back in these transfers that are made to 516 00:37:39,750 --> 00:37:40,468 other people. 517 00:37:40,470 --> 00:37:43,870 The money goes into a pot to be distributed among the victims. 518 00:37:44,730 --> 00:37:48,470 so that all the creditors could benefit from that money and not just the 519 00:37:48,470 --> 00:37:51,930 particular ones who had received the payments from Mr. McClain. 520 00:37:53,170 --> 00:37:54,850 McClain's victims are stuck. 521 00:37:55,570 --> 00:38:02,450 I mean, everybody's been exploited by McClain, and now some of them I 522 00:38:02,450 --> 00:38:06,110 feel like maybe the term would be appropriate, double -debt. 523 00:38:06,490 --> 00:38:08,670 I definitely felt like I was victimized twice. 524 00:38:08,910 --> 00:38:11,410 I felt like you already had it all. I don't know what else you wanted. 525 00:38:12,250 --> 00:38:17,750 Jonathan Quinn scrimped and saved in an effort to avoid becoming a cliché, the 526 00:38:17,750 --> 00:38:19,430 bankrupt former NFL player. 527 00:38:20,330 --> 00:38:25,050 Ironically, that's almost what he becomes, as he barely avoids bankruptcy. 528 00:38:25,570 --> 00:38:30,010 I maxed out my home equity line of credit, ended up having to sell my 529 00:38:30,190 --> 00:38:34,170 ended up having to pay $13 ,000 that I really didn't have to sell my own house. 530 00:38:35,510 --> 00:38:40,070 Many are surprised when the clawback hits McLean's favorite charities, too. 531 00:38:40,710 --> 00:38:45,170 For the Country Music Hall of Fame, McLean's largesse has become liability. 532 00:38:45,910 --> 00:38:50,290 In order to keep the historic Bill Monroe mandolin and Carter family 533 00:38:50,710 --> 00:38:55,670 they settled with the trustee and write a check for $750 ,000. 534 00:38:56,510 --> 00:38:58,930 It's a hardship for us, obviously. 535 00:38:59,390 --> 00:39:05,330 What is very gratifying to us as we sit here today is that 536 00:39:05,330 --> 00:39:09,630 all of these instruments are on display in this museum. 537 00:39:10,120 --> 00:39:11,120 Right now. 538 00:39:12,180 --> 00:39:18,820 Middle Tennessee State University is forced to return $570 ,000 to the 539 00:39:19,160 --> 00:39:23,540 And the name Robert W. McLean is scrubbed from the School of Music. 540 00:39:24,140 --> 00:39:28,560 For non -profits, Robert McLean's story is a cautionary tale. 541 00:39:29,020 --> 00:39:32,800 But in many ways, it is also an unavoidable risk. 542 00:39:33,220 --> 00:39:39,480 If you come into my office and you are engaged and you want to make a gift, 543 00:39:40,780 --> 00:39:43,120 Do I subject you to a lie detector test? 544 00:39:43,400 --> 00:39:47,220 I mean, do I say, really, is your financial situation exactly the way 545 00:39:47,220 --> 00:39:48,220 explaining it to me? 546 00:39:48,340 --> 00:39:49,700 It's going to be a short meeting. 547 00:39:50,420 --> 00:39:53,360 I mean, there is this level of trust that has to exist. 548 00:39:54,300 --> 00:39:58,160 In the end, everyone knows the truth about McLean's business. 549 00:39:58,580 --> 00:40:01,400 But the man himself remains a mystery. 550 00:40:02,300 --> 00:40:06,040 I still think about Bob a lot. 551 00:40:08,170 --> 00:40:14,670 Because here was a guy who seemed to care so deeply about what we were doing 552 00:40:14,670 --> 00:40:21,410 here and seemed to be willing to step up and allow us to do what we're doing 553 00:40:21,410 --> 00:40:22,950 here even better. 554 00:40:24,790 --> 00:40:29,790 It's hard for me to know what was really motivating him. 555 00:40:30,670 --> 00:40:35,010 I don't think you're going to find anybody who would, upon reflection, say 556 00:40:35,010 --> 00:40:36,970 they felt like they got to know Bob. 557 00:40:37,930 --> 00:40:41,790 He had a great love of music. If there's anything redemptive about this whole 558 00:40:41,790 --> 00:40:44,290 issue is that part was really sincere. 559 00:40:46,490 --> 00:40:51,290 Today, Robert McLean's victims say the experience has made them stronger. 560 00:40:51,570 --> 00:40:58,350 As a breast cancer survivor and a McLean survivor, I want to find joys in all of 561 00:40:58,350 --> 00:41:03,870 the little pleasures of life and appreciate the little pleasures of life. 562 00:41:06,540 --> 00:41:11,460 I really don't enjoy sitting here talking and telling my story of my 563 00:41:11,460 --> 00:41:13,380 life and how I screwed up. 564 00:41:14,660 --> 00:41:16,320 Because I do feel like I'm the one to blame. 565 00:41:17,440 --> 00:41:22,020 The reason I talk and the reason I tell the story is because there's plenty of 566 00:41:22,020 --> 00:41:27,060 people out there that might be going through the same thing. 567 00:41:28,760 --> 00:41:31,760 You know, I've kind of just prayed and forgiven Bob. 568 00:41:32,320 --> 00:41:35,460 Life does go on and you move forward. 569 00:41:36,080 --> 00:41:39,960 And you heal, and you look at your priorities a little stronger. 570 00:41:41,440 --> 00:41:46,600 Financially, this devastated my life and my family's life. There's no doubt 571 00:41:46,600 --> 00:41:47,600 about that. 572 00:41:47,640 --> 00:41:50,680 I'm working through it as best I can. 573 00:41:52,700 --> 00:41:58,960 I feel like that my ship is turning around like a carrier in the ocean very, 574 00:41:59,020 --> 00:41:59,939 very slowly. 575 00:41:59,940 --> 00:42:04,240 And I think that every day that I last, it's better for me. 576 00:42:05,740 --> 00:42:10,260 And at the end of the day, whatever happens, I'll accept it and go on. And, 577 00:42:10,260 --> 00:42:15,660 know, all the important things, you know, my family, my health, I still 578 00:42:15,660 --> 00:42:16,660 it'll be okay. 579 00:42:18,120 --> 00:42:22,380 The small town of Murfreesboro, Tennessee, gives McLean its trust. 580 00:42:23,360 --> 00:42:24,600 And he betrays it. 581 00:42:24,900 --> 00:42:28,820 But even now, many give him the benefit of the doubt. 582 00:42:29,600 --> 00:42:31,700 Did I have anger? I'm sure all of us did. 583 00:42:32,340 --> 00:42:34,720 I'll bet you're going to find that people... 584 00:42:35,260 --> 00:42:40,480 If you total up the number of comments in the anger category and put the 585 00:42:40,480 --> 00:42:44,940 comments that you would group in the I remember my friendship with Bob, or at 586 00:42:44,940 --> 00:42:49,780 least I remember him as a good guy, they'll far outweigh the anger category. 587 00:42:50,080 --> 00:42:52,140 The town is that special. It really is. 53087

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