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In this episode of American Greed, Troy
Stratos goes through life asking, why
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work for money when it's so easy to
steal?
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And all he makes off with more than $40
million from people who call him a
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friend, like Nicole Murphy, Eddie
Murphy's ex -wife, worth millions.
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Troy and I had such a great
relationship.
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We were like the best of friends.
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But Stratos is more often described as a
predator than a friend.
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He dazzles his victims with charm and
promises.
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He was willing to sign an $11 million,
11 movie contract with me to keep the
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exclusive to him.
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Then he destroys them.
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He yelled at me for a half an hour,
called me stupid, incompetent, lazy,
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idiotic. But his is a con that pays off
big.
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He was spending, on average, $1 million
a month.
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He's the greatest con man, in my
opinion, that ever lived.
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In early 2007, Troy Stratos is living in
a 12 ,000 -square -foot mansion outside
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of Sacramento, California.
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He is taking care of the house because
the owner, his good friend Nicole
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actor Eddie Murphy's ex -wife, has moved
to Los Angeles.
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He gets a call. It's Nicole.
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She has entrusted Stratos with her
money, and now she is being hounded by
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creditors.
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Stratus reassures her that everything is
fine.
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But he is lying.
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At this point, he has already taken at
least $13 million from trusting victims
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like Nicole Murphy.
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And the question is, what is the secret
to this con artist's stunning success?
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The answer begins in Maui in 1994.
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Stratos is 28, an aspiring film
director.
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He comes to the island to work on a film
script with the man who will become one
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of his best friends in life, Richard
Hack.
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He was extremely articulate and
charming, and I thought that I was
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this substantial talent.
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Hack is a journalist.
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a best -selling author of more than a
dozen books.
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He is a favorite guest for television
interviews.
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Richard Hack uncovers America's first
billionaire in his new book, simply
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Hughes.
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In Maui, as Stratus and Hack become
friends, Stratus describes the sad
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of his childhood, a story he tells many
victims.
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He is an unwanted baby.
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His father, who he does not know growing
up, is black. His mother is a white
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teenager. He is raised by his
grandparents.
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Every time someone would come over to
the house, Troy was removed and put in
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outbuilding because he was mixed. He
wasn't white like the rest of the
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The story might be true, or it might be
a setup.
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It's a soft spot, I think, for most
people. When they hear that you've had a
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traumatic childhood, they're willing to
forgive so many things because they say,
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wow, look at everything you've overcome.
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Maria Konnikova, author of The
Confidence Game, has spent years
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psychology of con artists and their
victims.
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And so he taps into that right away.
He's the victim. You're not going to be
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victim.
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As Stratos continues his story for Hack,
It all seems plausible.
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Young and handsome, Stratos says he
heads off to modeling school.
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There, he becomes friends with beautiful
Nicole Mitchell.
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He is 16, she is 14, and destined to be
discovered.
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Eleven years later, she marries comedian
Eddie Murphy.
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And Stratos also gets a claim to fame.
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He tracks down his father, who is now
married to Nancy Wilson.
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the legendary jazz singer.
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She is a huge boost to Stratus'
credibility.
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But then
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Stratus tells Hack his big lie.
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He says he made a fortune as an early
investor in AOL and now has millions
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invested in the Middle East in oil.
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He said he had an endless amount of
funds. He said he would never be able to
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spend the amount of money that he had.
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His Social Security records tell a
different story.
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The last time he ever reports any income
is 1993.
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$30 ,000.
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But Hack is not interested in Stratos'
money.
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What is most important to him is that
Stratto shares a dream of his.
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I was impressed by the fact that this
was a guy that didn't like violence
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on TV or in the movies.
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And I thought, it is time for us to
return to a gentler time, like the glory
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days of Hollywood, the golden age, and
this guy agreed with that.
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With Richard Hack clearly a believer in
Troy Stratus, Stratus takes off.
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He heads to Vancouver in British
Columbia.
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He opens a production company in the
prestigious Waterfall building and hires
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Tamara Hegan as part of his team.
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You had a bunch of young people who had
no experience in the industry at all
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that were being told that they were
amazing, they were going to be able to
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it big.
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Stratos tells his team they will be
working with Britney Spears and Donna
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Summer. We bought in 100%. We believed
in him. We believed in his vision.
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And he is big on making promises.
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He was going to buy us all a house. I
was going to have a house.
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00:07:01,880 --> 00:07:07,520
And sometimes Stratos' promises are
particularly manipulative.
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He had a habit of picking up waiters,
lavish them with gifts, convince them
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he was going to make them the next big
thing, get them to sign an agreement,
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slowly but surely it would come around
to, you know, it's a more intimate
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relationship is what he's looking for.
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And while he is pursuing relationships
with young men, he also begins a
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relationship with a woman with just what
he needs, money.
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She is a realtor worth millions named
Vivi True.
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Vivi True is the name of this very
lovely woman who was enamored with Troy.
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She was in love with this guy for sure.
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And showed that love by affording him
capital.
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Giving him money.
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Stratos tells True his money is tied up
overseas.
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That he just needs a loan.
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She doesn't know that he told the same
story to another woman who loved him
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a few years before.
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Stratos has perfected the sweetheart
scam.
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It relies on...
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kind of this emotional need that all of
us have. I mean, we want love.
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And Stratos knows that when someone
loves him, he is in complete control.
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He would blackmail her with his
affections.
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If she got too upset about the money,
then, well, I don't think that we should
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date. I'm not going to have dinner with
you. I'm not going to see you.
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And Vivi True caves to his threats.
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Over several years, she loaned Stratus
an astounding $10 million.
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And he blows through it as if the supply
will never end.
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He would buy clothing, cars. He walked
in and bought a G -Wagon
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from Mercedes -Benz dealership for cash.
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As he goes through B .B. True's life
savings, his big projects are going
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nowhere.
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And if anyone challenges Stratus in any
way, There is hell to pay.
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One of his favorite tactics was public
humiliation.
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He had me stand up in the middle of an
open office, and he yelled at me for a
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half an hour, called me stupid,
incompetent, lazy, idiotic.
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His staff's initial excitement has
turned to fear and dread.
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It got to be really scary.
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And you got to a point where you were
like, what have I gotten myself into?
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And so the entire team quits.
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Stratos has tapped Canada for all he
can.
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It's time to move on.
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Next stop, Boston.
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Richard Hack is now living nearby.
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Stratos arrives with a big idea.
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To build a film studio here.
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But not just any studio.
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RKO Radio Pictures.
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RKO Studios was the creator of some of
Hollywood's most beloved films.
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The idea plays directly into Richard
Hack's dream.
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I was certain that Troy was sincere with
his idea about bringing, you know,
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romance back to movies.
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To negotiate the necessary land deals,
Stratos gets in touch with high -end
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estate broker Jeff Goldman.
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I had my doubts, but what enhanced his
credibility is the fact that Richard
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was so deeply involved in all of his
plans, and Richard Hack is a verifiable
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person.
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One time we were out at dinner, and
Richard says to me, turn on 60 Minutes
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Sunday night. I'm going to be on 60
Minutes.
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And I turned on 60 Minutes, and lo and
behold, there's Richard Hack.
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Goldman dedicates a year and a half to
Stratos' proposal putting aside other
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income -producing projects.
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And then, just as the deal is about to
close, Stratos pulls out.
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And Jeff Goldman, who feels used and
burned, thinks he knows exactly who Troy
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Stratos is.
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He's the greatest con man, in my
opinion, that ever lived.
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But Richard Hack still has faith in
Stratos, and in 2004, he gets a
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offer from his good friend.
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He said that he had enough work to keep
me in business writing movies, and he
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00:12:01,100 --> 00:12:06,719
was willing to sign an $11 million, 11
-movie contract with me to keep the
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exclusive to him.
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00:12:09,290 --> 00:12:14,430
The first project, called The Pharaonic
Prophecies, will be shot in Egypt.
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Three spectacular two -hour movies.
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It was the first time that I actually
had essentially sold my
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soul to this person that I believed
would make
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these movies happen.
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Troy, more than anyone, he's selling
dreams.
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The movie that you want, I can get it
made. The house that you want, I can get
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it built. The business that you want, I
can get it started.
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I mean, he is brilliant in figuring out
what drives you and then using that to
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get everything that he can from you.
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Next on American Greed, Nicole Murphy
becomes Troy Stratus' perfect mark.
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When I was going through my divorce,
that's so emotional. I'm like...
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confided in my friend.
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As he approaches his 40th birthday, Troy
Stratus is now living in Florida,
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keeping up appearances as the
extravagant multimillionaire who has
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burn.
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00:13:35,280 --> 00:13:38,540
But he is, in fact, running low on cash.
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The answer to his money worries shows up
in the headlines of entertainment news.
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After 12 years of marriage and five
children, Nicole and Eddie Murphy are
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getting divorced.
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00:13:54,540 --> 00:13:57,940
Stratus reaches out to his old friend
Nicole soon after.
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00:13:58,600 --> 00:14:04,299
Murphy later tells a Sacramento TV news
crew how she welcomed his offers to
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00:14:04,300 --> 00:14:08,160
help. I believe that he was my friend.
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00:14:08,420 --> 00:14:12,340
I mean, when I look back, Troy and I had
such a great relationship.
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We were like the best of friends.
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And what a friend he is.
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Eyeing her multi -million dollar divorce
settlement, Stratos makes a generous
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offer to share his Middle Eastern
investment opportunities.
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00:14:29,101 --> 00:14:34,179
Mr. Stratos indicated he would be one
that could actually be there to protect
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her money from other greedy family
members or friends who might be lurking
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the wings.
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00:14:39,840 --> 00:14:41,700
There is just one requirement.
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Stratos says she needs his name to get
access to the investments.
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00:14:47,460 --> 00:14:53,159
And so Troy Stratos and Nicole Murphy
open a joint trust, and she deposits $10
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00:14:53,160 --> 00:14:55,520
million from her divorce settlement.
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00:14:55,980 --> 00:14:57,720
Troy has total control of her money.
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00:14:58,350 --> 00:15:02,610
She totally trusts Troy 100 % that he's
going to invest the money overseas.
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00:15:04,290 --> 00:15:09,129
Murphy moves to L .A., and Stratos,
saying he will take care of selling her
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00:15:09,130 --> 00:15:12,090
house, sets up his production company
there.
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00:15:14,630 --> 00:15:17,890
He hires a local bookkeeper, Sherry
Farley.
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00:15:18,490 --> 00:15:21,650
Troy Stratos tells her that he is a
billionaire.
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00:15:22,920 --> 00:15:27,679
He needed somebody to be by his side as
his finance person, and he wanted that
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00:15:27,680 --> 00:15:28,730
to be me.
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00:15:29,080 --> 00:15:34,920
And I was very flattered and thought,
cool, okay, this sounds fun.
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Sherry has a son, Sam, who works for a
human resources company.
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00:15:41,460 --> 00:15:44,340
He also gets tapped by Stratus.
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00:15:44,600 --> 00:15:46,920
He said, Sam, I need someone like you.
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I said, oh, okay.
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00:15:50,830 --> 00:15:52,510
He said, I'm building this empire.
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00:15:52,890 --> 00:15:55,650
I want you to help me do that.
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00:15:58,030 --> 00:16:01,030
Sam is wondering if this guy is for
real.
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00:16:01,770 --> 00:16:07,510
When he Googles Troy Stratus, almost
nothing comes up to confirm his
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00:16:08,070 --> 00:16:11,560
But then there was Nancy Wilson and
Nicole Murphy and all these other
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00:16:12,010 --> 00:16:13,060
Had to be true.
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00:16:13,970 --> 00:16:17,770
Sam quits his job and signs on with
Stratus.
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00:16:18,680 --> 00:16:23,680
He hires Chris Budenbender to take care
of the cars Stratus claims are his.
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00:16:24,100 --> 00:16:30,859
A Mercedes G -Wagon, a customized
Mustang, an Aston Martin, a Rolls
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00:16:30,860 --> 00:16:32,600
-Royce Phantom, and more.
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00:16:33,400 --> 00:16:40,239
So I'm jaw -dropped open, like, yes, I
get to work on these
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00:16:40,240 --> 00:16:46,799
cars. This guy's got something going on,
and I'm not asking too many questions
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00:16:46,800 --> 00:16:47,850
right now.
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00:16:49,060 --> 00:16:55,579
Jake Bartlett, a substitute school
teacher, is hired by Stratos to do odd
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00:16:55,580 --> 00:16:58,240
that feel truly odd.
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00:16:59,520 --> 00:17:03,200
I think the first time I just organized
magazines for him.
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00:17:04,200 --> 00:17:08,358
He wanted them alphabetized, so I
organized the magazines. Then he had
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00:17:08,359 --> 00:17:11,640
and some movies, and he had me organize
those.
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00:17:12,440 --> 00:17:18,098
But the primary assignment of Stratis'
new entourage seems to be witnessing how
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00:17:18,099 --> 00:17:20,560
rich and generous he is.
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00:17:21,859 --> 00:17:25,140
Matt Antropos is a college student at
the time.
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00:17:26,119 --> 00:17:30,900
We went to the movies here in
Sacramento, and he turns around, he's
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00:17:30,920 --> 00:17:35,010
I'm going to get everybody's concessions
today, and everybody in line behind us.
229
00:17:35,240 --> 00:17:39,540
Also, he paid for all of their
concessions. And I was like, what in the
230
00:17:39,680 --> 00:17:40,730
This is the weirdest.
231
00:17:41,320 --> 00:17:42,880
thing that I've ever witnessed.
232
00:17:44,620 --> 00:17:49,140
But nothing screams excess more than the
party he throws at Christmas time.
233
00:17:49,800 --> 00:17:52,900
It starts with extreme shopping at
Costco.
234
00:17:53,780 --> 00:17:58,780
We just walked aisle to aisle and he
would just grab stuff and throw it in.
235
00:17:59,080 --> 00:18:01,430
And he would say, if you want anything,
grab it.
236
00:18:02,260 --> 00:18:03,310
No, no, we're fine.
237
00:18:03,520 --> 00:18:05,630
And we'd fill up a cart, grab another
cart.
238
00:18:06,260 --> 00:18:08,370
We'd fill up that cart, grab another
cart.
239
00:18:08,680 --> 00:18:13,909
And on the day of the big event, The
decorations are festive. The presents
240
00:18:13,910 --> 00:18:18,290
extravagant. There is even a snow
leopard for children to pet.
241
00:18:19,330 --> 00:18:24,070
And what is most surprising is that all
this effort is not for Stratus'
242
00:18:24,210 --> 00:18:25,260
celebrity friends.
243
00:18:25,810 --> 00:18:27,430
It's for the hired help.
244
00:18:28,170 --> 00:18:32,329
He doesn't know the window guy. He
doesn't know the maid service. He
245
00:18:32,330 --> 00:18:36,470
know the landscaper. You know, he
doesn't know them, but they were
246
00:18:38,540 --> 00:18:42,940
But make no mistake, this party is all
part of the con.
247
00:18:42,941 --> 00:18:47,479
What are you going to think when you
hear that, you know, this businessman
248
00:18:47,480 --> 00:18:51,679
invited his window washers to the party?
You think, oh, my God, you know, what a
249
00:18:51,680 --> 00:18:54,000
man of the people. What a great person.
250
00:18:54,980 --> 00:19:00,759
As 2006 comes to an end, the group of
guys Stratus keeps in tow are starting
251
00:19:00,760 --> 00:19:05,180
seriously question what Troy Stratus is
really up to.
252
00:19:06,160 --> 00:19:09,050
We weren't going anywhere. We weren't
starting anything.
253
00:19:09,440 --> 00:19:13,880
He's got like an entourage around him of
people that depend on him for work.
254
00:19:14,920 --> 00:19:16,100
Just for the heck of it.
255
00:19:17,580 --> 00:19:23,460
Up next, the simple truth about how
Stratus is helping Nicole.
256
00:19:24,060 --> 00:19:28,460
This was just Troy Stratus blowing
through her money like a drunken sailor.
257
00:19:40,520 --> 00:19:46,459
In early 2007, Troy Stratus and Sam
Farley arrive in L .A. to interview
258
00:19:46,460 --> 00:19:49,180
potential personal staff for Stratus.
259
00:19:49,860 --> 00:19:52,160
They check into the Beverly Wilshire
Hotel.
260
00:19:52,940 --> 00:19:57,600
Stratus has reserved the presidential
suite, $5 ,000 a night.
261
00:19:58,260 --> 00:20:03,080
Looking back, I should have bought
something with a... Troy put down his
262
00:20:03,200 --> 00:20:05,500
and it got declined.
263
00:20:06,160 --> 00:20:08,620
And I saw that...
264
00:20:08,880 --> 00:20:12,979
Troy was probably going to lose it at
this point, so I quickly grabbed my card
265
00:20:12,980 --> 00:20:17,760
and threw it down and said, oh, here,
just put it on this card.
266
00:20:18,640 --> 00:20:21,960
Knowing as a corporate expense, I could
expense it.
267
00:20:22,880 --> 00:20:27,959
Sherry Farley is also covering some of
Stratus's expenses and dealing with a
268
00:20:27,960 --> 00:20:30,780
constant shortage of cash in his bank
account.
269
00:20:31,100 --> 00:20:33,580
But she learns not to question him.
270
00:20:34,140 --> 00:20:37,300
When he would yell at you, it was
explosive.
271
00:20:39,110 --> 00:20:44,969
It was abusive. It was... You didn't
want it to happen, and so you started to
272
00:20:44,970 --> 00:20:47,150
anything to not get yelled at.
273
00:20:48,630 --> 00:20:54,350
By now, Stratos is tired of California
and moves back to Florida.
274
00:20:54,910 --> 00:20:58,510
He brings the California entourage with
him.
275
00:20:59,390 --> 00:21:03,130
Each day was filled with mindless...
276
00:21:03,340 --> 00:21:07,100
We would all meet together for
breakfast. Then we'd go to the gym.
277
00:21:07,340 --> 00:21:08,760
Then we'd go to lunch.
278
00:21:09,320 --> 00:21:15,339
And while Stratos drives the rolls
around Fort Lauderdale, Sherry is
279
00:21:15,340 --> 00:21:17,000
to keep the bills paid.
280
00:21:18,000 --> 00:21:23,419
At this point, Sam and Sherry are still
carrying expenses on their own credit
281
00:21:23,420 --> 00:21:25,360
cards that have not been reimbursed.
282
00:21:26,280 --> 00:21:29,360
And in February, terrible news.
283
00:21:30,300 --> 00:21:32,480
Sherry Farley can't make the payroll.
284
00:21:34,320 --> 00:21:39,279
Troy kept telling us again and again,
I'm trying to transfer the money in. You
285
00:21:39,280 --> 00:21:43,979
don't understand what it takes to get
money transferred from Swiss banks, from
286
00:21:43,980 --> 00:21:45,030
Dubai.
287
00:21:45,320 --> 00:21:48,600
Sam Farley is already living on credit
cards.
288
00:21:48,980 --> 00:21:52,940
He is falling behind on his mortgage and
has a family to support.
289
00:21:52,941 --> 00:21:56,859
I was scared to death. I think it was
the first time that I really felt panic
290
00:21:56,860 --> 00:22:01,880
that this was all just smoke and
mirrors.
291
00:22:02,960 --> 00:22:07,080
And then the next month, again, no
paycheck.
292
00:22:08,160 --> 00:22:10,700
Missing out on one check was tight.
293
00:22:11,160 --> 00:22:14,500
When the next check didn't come, then we
were in despair.
294
00:22:15,240 --> 00:22:17,080
There is one last hope.
295
00:22:17,860 --> 00:22:22,300
Stratos receives a bank loan and the
money is deposited into his account.
296
00:22:22,860 --> 00:22:24,680
But it does not last long.
297
00:22:25,960 --> 00:22:28,480
It came in and it went out.
298
00:22:28,820 --> 00:22:30,500
And that's when I knew.
299
00:22:31,310 --> 00:22:32,490
We're not getting paid.
300
00:22:33,170 --> 00:22:40,129
As the reality of their situation sinks
in, Nicole Murphy is also in a state
301
00:22:40,130 --> 00:22:41,069
of panic.
302
00:22:41,070 --> 00:22:44,910
Stratos has refinanced her houses for
about $3 million.
303
00:22:45,390 --> 00:22:49,370
Her jewelry, worth as much as $1
million, is missing.
304
00:22:50,050 --> 00:22:52,130
Collection agencies are calling.
305
00:22:52,430 --> 00:22:54,610
Her insurance is unpaid.
306
00:22:55,070 --> 00:22:59,410
She starts recording her phone
conversations with Stratos.
307
00:23:00,880 --> 00:23:03,760
I'm just stressed. I'm in a situation. I
have bills.
308
00:23:03,761 --> 00:23:04,859
I have loans.
309
00:23:04,860 --> 00:23:08,040
I have all this. I can't take it right
now.
310
00:23:08,980 --> 00:23:11,580
Stratus is nothing but reassuring.
311
00:23:13,060 --> 00:23:20,019
I'm going to send a full amount of $10
.75 million into that account within
312
00:23:20,020 --> 00:23:21,070
of my arrival.
313
00:23:22,860 --> 00:23:27,700
But she is suspicious and hires Bill
Branscombe, a private detective.
314
00:23:28,400 --> 00:23:30,280
to investigate Troy Stratus.
315
00:23:31,160 --> 00:23:36,300
My job was to take the information
available, track the money.
316
00:23:36,740 --> 00:23:41,639
It didn't take long to realize that this
was Nicole's money, and you could track
317
00:23:41,640 --> 00:23:42,690
where it was going.
318
00:23:42,880 --> 00:23:47,300
This was just Troy Stratus blowing
through her money like a drunken sailor.
319
00:23:48,180 --> 00:23:53,279
In a little more than a year, he has
blown through more than $10 million of
320
00:23:53,280 --> 00:23:54,460
Nicole Murphy's money.
321
00:23:55,000 --> 00:23:59,280
and left the Farley family strapped for
cash and emotionally devastated.
322
00:24:00,920 --> 00:24:07,360
It's the humiliation of giving your
heart and your life,
323
00:24:07,480 --> 00:24:12,699
almost literally, because that's what I
did. That was my life at that point, to
324
00:24:12,700 --> 00:24:17,839
somebody who just has no regard for it,
just throws you away like you're a piece
325
00:24:17,840 --> 00:24:18,890
of trash.
326
00:24:20,560 --> 00:24:24,580
And Sam and Sherry decide they need to
warn others.
327
00:24:25,500 --> 00:24:30,159
Part of the reason I was in the position
I was is because he was the richest man
328
00:24:30,160 --> 00:24:31,540
that no one had ever heard of.
329
00:24:32,100 --> 00:24:38,760
And so they put together a website named
I Met Troy and post their stories.
330
00:24:39,340 --> 00:24:43,900
I started getting contacted from people
who had worked for Troy previous to me.
331
00:24:44,580 --> 00:24:48,420
Stories from people from Canada, from
Boston.
332
00:24:49,550 --> 00:24:53,750
As news of the website spreads, Stratus
disappears.
333
00:24:56,610 --> 00:25:01,610
Up next, Troy Stratus gets his break
into French television.
334
00:25:02,170 --> 00:25:06,770
As a con artist.
335
00:25:21,160 --> 00:25:25,340
In 2008, Richard Hack has moved to Fort
Lauderdale.
336
00:25:25,580 --> 00:25:31,619
The $11 million contract he signed with
Troy Stratus four years earlier has gone
337
00:25:31,620 --> 00:25:32,670
nowhere.
338
00:25:33,460 --> 00:25:37,160
And then in April, he gets a call from
Stratus.
339
00:25:37,480 --> 00:25:40,000
Come to Cairo for the weekend, he says.
340
00:25:40,220 --> 00:25:44,799
He has scheduled a press conference to
announce their film, The Pharaonic
341
00:25:44,800 --> 00:25:45,850
Prophecies.
342
00:25:46,300 --> 00:25:49,140
I land in Cairo. I go to the hotel.
343
00:25:49,880 --> 00:25:52,580
And of course, there was nothing.
344
00:25:53,020 --> 00:25:55,940
There was no press conference set up. It
was delayed.
345
00:25:57,140 --> 00:26:03,159
But Stratus insists that because he is
already there, Hack should scout filming
346
00:26:03,160 --> 00:26:04,210
locations.
347
00:26:04,440 --> 00:26:07,100
Soon, the weekend trip becomes a month.
348
00:26:07,700 --> 00:26:10,140
And then Stratus has another idea.
349
00:26:11,440 --> 00:26:12,840
Let's go to Dubai.
350
00:26:14,340 --> 00:26:18,000
Turned out to be 30 more days with the
same clothes.
351
00:26:18,840 --> 00:26:22,700
In Dubai, looking at locations in Dubai.
352
00:26:23,860 --> 00:26:28,640
The trip to Dubai is one of the last
times Hack is with Stratos.
353
00:26:29,080 --> 00:26:34,800
Someone he thought he knew for 18 years,
but someone he does not know at all.
354
00:26:35,560 --> 00:26:40,620
As Hack heads back to the United States,
Stratos is on his way to Europe.
355
00:26:41,240 --> 00:26:45,740
He eventually turns up in Paris, but not
as Troy Stratos.
356
00:26:46,400 --> 00:26:48,520
as someone named David Burton.
357
00:26:49,140 --> 00:26:52,320
And where he turns up is on the evening
news.
358
00:26:55,780 --> 00:27:02,619
The reporter describes Stratos as an
American scammer who defrauded
359
00:27:02,620 --> 00:27:07,459
this man, Gary Peters, a luxury real
estate agent working in France, out of
360
00:27:07,460 --> 00:27:08,640
thousands of dollars.
361
00:27:08,980 --> 00:27:13,740
He alerts police, who discover that
Stratos owes his hotel...
362
00:27:14,000 --> 00:27:15,300
$40 ,000.
363
00:27:16,080 --> 00:27:21,359
And when police search the room of David
Burton, they find a passport with the
364
00:27:21,360 --> 00:27:23,340
name Troy Stratus.
365
00:27:23,720 --> 00:27:28,180
And when they Google that name, Bill
Branscombe's reports come up.
366
00:27:28,720 --> 00:27:31,620
Branscombe is invited to Paris to
testify.
367
00:27:32,160 --> 00:27:36,939
The judge found it persuasive and they
put him in LaSante prison, which if you
368
00:27:36,940 --> 00:27:41,679
do five minutes worth of research is
widely touted to be the nastiest prison
369
00:27:41,680 --> 00:27:42,730
the civilized world.
370
00:27:45,160 --> 00:27:49,220
For Richard Hack, the news of the arrest
is a total surprise.
371
00:27:50,460 --> 00:27:51,880
I'm thinking, arrested?
372
00:27:52,540 --> 00:27:55,980
And I'm hearing from people that he
didn't pay his bills at a hotel.
373
00:27:56,280 --> 00:28:01,139
And even then, I figured, how can that
be? You know, this guy's independently
374
00:28:01,140 --> 00:28:02,190
wealthy.
375
00:28:02,680 --> 00:28:06,960
And then, Hack receives letters Strato
sends from prison.
376
00:28:07,380 --> 00:28:11,460
In one letter, he describes the truth
about Troy.
377
00:28:12,600 --> 00:28:19,299
He writes, I am a very generous man who
has told many lies to many people. I
378
00:28:19,300 --> 00:28:20,350
regret that.
379
00:28:20,500 --> 00:28:25,599
At the same time, stories begin to
surface claiming that Troy Stratus stole
380
00:28:25,600 --> 00:28:29,920
millions of dollars from Nicole Murphy.
And now Richard Hack understands.
381
00:28:30,540 --> 00:28:33,540
It was all a sham, a con.
382
00:28:34,140 --> 00:28:40,839
And it was then that it dawned on me
that I was the front man for
383
00:28:40,840 --> 00:28:42,020
legitimacy.
384
00:28:44,700 --> 00:28:49,660
Because I wasn't legit, I felt totally
betrayed.
385
00:28:49,940 --> 00:28:56,879
I not only believed in him as a
director, producer, I believed in him as
386
00:28:56,880 --> 00:28:57,930
friend.
387
00:28:58,140 --> 00:29:03,239
Having turned down books and projects
with others to work with Stratus, Hack
388
00:29:03,240 --> 00:29:05,440
finds himself forced into bankruptcy.
389
00:29:06,100 --> 00:29:11,939
When that happens, and the shroud is
pulled off of the set, and you realize
390
00:29:11,940 --> 00:29:17,199
it's... not real furniture, that it's
just cardboard boxes that you're looking
391
00:29:17,200 --> 00:29:21,980
at, you feel very stupid. You feel very
dumb.
392
00:29:23,140 --> 00:29:29,240
Next on American Greed, Stratos moves
out of prison and into millions.
393
00:29:29,800 --> 00:29:35,420
He ultimately gave Troy Stratos the
entire $11 .25 million.
394
00:29:43,080 --> 00:29:49,479
In 2009, Troy Stratos is released from
La Sante prison in Paris after his bail
395
00:29:49,480 --> 00:29:50,359
is paid.
396
00:29:50,360 --> 00:29:53,800
A judge dismisses his case a year later.
397
00:29:54,580 --> 00:29:58,840
Stratos heads back to the United States,
to Southern California.
398
00:29:59,280 --> 00:30:02,320
His situation could not be much worse.
399
00:30:02,980 --> 00:30:04,360
He was broke.
400
00:30:05,100 --> 00:30:09,159
He couldn't open a bank account. He
couldn't rent an apartment. He couldn't
401
00:30:09,160 --> 00:30:10,210
lease a car.
402
00:30:11,880 --> 00:30:16,800
Will Nystrom is a Boston attorney who
represents Stratus' last victim.
403
00:30:18,160 --> 00:30:23,220
At this point, the name Troy Stratus is
synonymous with con man.
404
00:30:23,720 --> 00:30:25,160
He was radioactive.
405
00:30:25,820 --> 00:30:31,320
But that does not faze Stratus. All he
needs is a new identity.
406
00:30:32,120 --> 00:30:37,999
He starts using the name Ken Dennis and
says he is a representative of the
407
00:30:38,000 --> 00:30:40,600
Mexican businessman Carlos Slim.
408
00:30:41,520 --> 00:30:43,940
At the time, one of the richest men in
the world.
409
00:30:44,560 --> 00:30:46,060
A brilliant choice.
410
00:30:47,400 --> 00:30:51,519
It indicated that there was unlimited
wealth behind Mr. Stratos and that could
411
00:30:51,520 --> 00:30:53,870
open doors for him that might otherwise
exist.
412
00:30:54,300 --> 00:30:59,880
It's not long before the victim named
Tim Burns falls into his lap.
413
00:31:01,060 --> 00:31:04,880
Tim Burns was an investment advisor in
Philadelphia.
414
00:31:05,580 --> 00:31:07,220
who was just cutting his teeth.
415
00:31:07,440 --> 00:31:11,420
At the time, Facebook is planning to go
public.
416
00:31:12,540 --> 00:31:18,379
Facebook filed the necessary paperwork
to sell shares on the stock market. And
417
00:31:18,380 --> 00:31:24,959
Burns has 50 investors who have pooled
$13 million to buy Facebook shares
418
00:31:24,960 --> 00:31:28,000
the IPO, if he can get his hands on
some.
419
00:31:28,540 --> 00:31:31,780
And along comes a guy named Ken Dennis.
420
00:31:32,480 --> 00:31:37,440
who says his boss, Carlos Slim, has
extra shares of Facebook stock.
421
00:31:37,700 --> 00:31:44,039
He also claims in a phone conversation
recorded by Burns to have an inside
422
00:31:44,040 --> 00:31:46,160
with Facebook's famous founder.
423
00:31:49,380 --> 00:31:56,099
And Burns does take
424
00:31:56,100 --> 00:31:57,079
the ride.
425
00:31:57,080 --> 00:32:00,900
He agrees to buy two million shares of
Facebook stock.
426
00:32:01,470 --> 00:32:07,570
and wires $2 .8 million to Ken Dennis, a
.k .a. Troy Stratus.
427
00:32:08,830 --> 00:32:14,489
What Stratus does not know is that Tim
Burns is a perfect victim because Burns
428
00:32:14,490 --> 00:32:15,730
has a secret.
429
00:32:17,530 --> 00:32:21,410
Tim Burns is in a difficult position
himself. He's in a desperate situation.
430
00:32:21,411 --> 00:32:24,009
He had been embezzling money from his
clients.
431
00:32:24,010 --> 00:32:27,740
He needed to repay this money, and he
also wanted to make money for himself.
432
00:32:28,330 --> 00:32:34,089
And that is why it is easy for Stratos
to continually up the ante to promise
433
00:32:34,090 --> 00:32:38,250
Burns more shares and demand more money.
434
00:32:38,710 --> 00:32:45,269
He bit so hard on this story. He
literally threw the handle
435
00:32:45,270 --> 00:32:51,610
after the ax and ultimately gave Ken
Dennis, Troy Stratos,
436
00:32:51,710 --> 00:32:53,770
the entire $11 .25 million.
437
00:32:56,620 --> 00:33:02,039
And that money is slipping through Troy
Stratos' hands and disappearing into
438
00:33:02,040 --> 00:33:08,759
gambling losses in Las Vegas, plastic
surgery for Stratos, five new cars, and
439
00:33:08,760 --> 00:33:10,200
some very nice clothes.
440
00:33:10,820 --> 00:33:17,759
By the time that Troy Stratos had conned
Tim Burns, he was spending, on
441
00:33:17,760 --> 00:33:20,020
average, $1 million a month.
442
00:33:20,960 --> 00:33:25,220
Not bad for a guy who was completely
broke less than a year ago.
443
00:33:28,180 --> 00:33:33,119
Meanwhile, private detective Bill
Branscombe is semi -retired, living on
444
00:33:33,120 --> 00:33:34,560
family farm in Kentucky.
445
00:33:35,460 --> 00:33:40,880
His investigation of Troy Stratus is a
distant memory when he gets a call.
446
00:33:40,881 --> 00:33:44,219
You know who this is? No, of course I
have no idea who this is.
447
00:33:44,220 --> 00:33:47,890
He says, well, you're not going to
believe this, but this is Troy Stratus.
448
00:33:48,400 --> 00:33:49,460
I said, okay.
449
00:33:50,620 --> 00:33:55,740
Stratus tells Branscombe he is a changed
man, now working in advertising.
450
00:33:56,430 --> 00:34:01,629
and needs Branscombe's help locating his
former victims in order to make things
451
00:34:01,630 --> 00:34:02,680
right.
452
00:34:02,910 --> 00:34:06,690
He flies Branscombe to Las Vegas in a
private jet.
453
00:34:07,710 --> 00:34:13,229
And then this seasoned private detective
who knows full well what Stratos has
454
00:34:13,230 --> 00:34:18,408
done in the past buys the Master Khan's
new story that he is producing
455
00:34:18,409 --> 00:34:20,489
commercials for the Super Bowl.
456
00:34:21,080 --> 00:34:25,440
I had no trouble believing that these
commercials were bound for the Super
457
00:34:25,480 --> 00:34:26,530
They were that good.
458
00:34:27,360 --> 00:34:33,119
Stratos is selling the same story to all
of his victims, saying he has found new
459
00:34:33,120 --> 00:34:38,039
success and will pay them what he owes
if they agree to take down any negative
460
00:34:38,040 --> 00:34:40,460
information about him on the Internet.
461
00:34:42,280 --> 00:34:45,859
That was a tough decision, because on
the one hand, I needed the money
462
00:34:45,860 --> 00:34:49,440
desperately, but I wanted the world to
know about Troy.
463
00:34:50,600 --> 00:34:55,939
In the end, the public information on
Stratos is removed, and his victims are
464
00:34:55,940 --> 00:34:59,660
paid back with the money from Tim Burns'
clients.
465
00:35:00,700 --> 00:35:03,520
But that does not solve Stratos'
problems.
466
00:35:07,240 --> 00:35:11,640
On December 20th, Stratos is in his
condo outside of L .A.
467
00:35:12,100 --> 00:35:13,860
There is a knock at the door.
468
00:35:16,060 --> 00:35:17,180
It's the FBI.
469
00:35:17,870 --> 00:35:22,270
with a warning for his arrest on charges
of fraud against Nicole Murphy.
470
00:35:23,490 --> 00:35:28,330
The FBI team in Los Angeles went out to
his place in the early morning,
471
00:35:28,510 --> 00:35:34,290
and he didn't answer the door. He was
hiding in his bathroom.
472
00:35:35,470 --> 00:35:40,350
I get this call from Troy Stratus, who
is in hysterics.
473
00:35:40,950 --> 00:35:43,650
He was calling me from his bathroom.
474
00:35:45,130 --> 00:35:49,610
And it's like the FBI is banging on my
door. What do I do?
475
00:35:50,290 --> 00:35:54,110
And I'm like, answer the damn door
before they break it. And hung up.
476
00:35:54,910 --> 00:35:57,610
The FBI does break down the door.
477
00:35:57,930 --> 00:36:01,190
And Stratos is arrested and taken to
jail.
478
00:36:03,470 --> 00:36:09,869
And in Philadelphia, Tim Burns cannot
understand why Ken Dennis is not
479
00:36:09,870 --> 00:36:11,150
answering his phone.
480
00:36:13,870 --> 00:36:19,090
Up next, a surprise defender for Troy
Stratos shows up in court.
481
00:36:20,190 --> 00:36:23,790
I trusted him, and he did a lot for me.
He did a lot for others.
482
00:36:35,030 --> 00:36:40,749
For several days in December 2011, Tim
Burns has been desperately trying to
483
00:36:40,750 --> 00:36:42,930
reach the man he knows as Ken Dennis.
484
00:36:43,660 --> 00:36:47,560
who has not responded to his calls,
texts, or emails.
485
00:36:48,600 --> 00:36:54,359
And finally, a text comes in from Ken
Dennis' phone apologizing for the
486
00:36:54,360 --> 00:36:55,480
communication break.
487
00:36:56,160 --> 00:37:01,300
It says that he was in a remote location
with difficult cell service.
488
00:37:02,880 --> 00:37:03,940
Remote indeed.
489
00:37:04,380 --> 00:37:10,119
Ken Dennis, who is really Troy Stratus,
is actually sitting in a cell at the
490
00:37:10,120 --> 00:37:11,680
Sacramento County Jail.
491
00:37:12,300 --> 00:37:18,299
He has convinced a friend to send Burns
text messages assuring him that all is
492
00:37:18,300 --> 00:37:24,940
well. And you kind of get a sense of a
window into Troy Stratus' soul here.
493
00:37:25,080 --> 00:37:30,360
He is in prison, but he is literally
keeping up the calm.
494
00:37:31,660 --> 00:37:37,599
Eventually, Burns does some digging and
Stratus' name comes up. He goes to the
495
00:37:37,600 --> 00:37:39,880
FBI looking for some answers.
496
00:37:40,970 --> 00:37:45,469
Tim told us that he didn't know Troy
Stratos and never met Troy Stratos, but
497
00:37:45,470 --> 00:37:48,629
thinks that Troy Stratos may have had
something to do with a Facebook stock
498
00:37:48,630 --> 00:37:50,550
transaction he was trying to complete.
499
00:37:52,290 --> 00:37:56,570
At that point, Tim Burns learned some
very bad news.
500
00:37:57,410 --> 00:38:02,030
He has given $11 .25 million to a known
con artist.
501
00:38:02,970 --> 00:38:08,470
And that means he is forced to admit his
own improper use of his client's money.
502
00:38:09,490 --> 00:38:14,829
Burns later pleads guilty to charges of
mail and wire fraud and is sentenced to
503
00:38:14,830 --> 00:38:16,290
five years in prison.
504
00:38:17,270 --> 00:38:19,990
And the list of counts against Stratos
grows.
505
00:38:21,030 --> 00:38:23,050
But he has an unlikely defender.
506
00:38:23,670 --> 00:38:29,229
At a hearing to determine if he can be
released from jail, Vivi True, who
507
00:38:29,230 --> 00:38:33,730
him $10 million, takes the stand to
vouch for him.
508
00:38:34,590 --> 00:38:37,650
I loaned Troy the money because...
509
00:38:38,190 --> 00:38:41,410
I trusted him, and he did a lot for me.
He did a lot for others.
510
00:38:42,710 --> 00:38:47,969
It is so common for victims to stick by
their con artists, especially in the
511
00:38:47,970 --> 00:38:49,890
case of a sweetheart scam like this one.
512
00:38:49,970 --> 00:38:55,109
You'd go through all of these hoops to
say that, no, this is in fact not a con
513
00:38:55,110 --> 00:38:58,960
artist, and really it wasn't so bad,
because then you're not really a victim.
514
00:39:00,350 --> 00:39:02,650
In an email to American Greed...
515
00:39:02,890 --> 00:39:08,089
Stratus writes that the stories his
victims tell are so far -fetched that
516
00:39:08,090 --> 00:39:09,410
approach science fiction.
517
00:39:10,730 --> 00:39:16,589
But a jury disagrees and finds him
guilty on all counts in the Facebook
518
00:39:16,590 --> 00:39:17,640
fraud.
519
00:39:17,790 --> 00:39:21,730
Shortly after, he pleads guilty to the
Nicole Murphy fraud.
520
00:39:22,370 --> 00:39:26,890
He is sentenced to 21 years, 10 months
in prison.
521
00:39:28,310 --> 00:39:29,970
Sam Farley is there.
522
00:39:31,320 --> 00:39:37,139
I got to see him in his prison jumpsuit,
and I never felt
523
00:39:37,140 --> 00:39:43,879
closure until that moment when I saw him
get up and walk back into his
524
00:39:43,880 --> 00:39:44,930
prison cell.
525
00:39:45,460 --> 00:39:50,680
For Nicole Murphy, watching Stratos in
the courtroom is infuriating.
526
00:39:51,740 --> 00:39:54,150
If I could have jumped over there and
choked him.
527
00:39:54,350 --> 00:39:55,400
Out of him I would.
528
00:39:55,530 --> 00:40:01,929
Trust me. I say if I was a dude and I
had access to him, trust me, it would be
529
00:40:01,930 --> 00:40:03,810
on. I'd just see through him.
530
00:40:04,930 --> 00:40:08,590
For Richard Hack, the emotion is not
anger.
531
00:40:09,510 --> 00:40:12,590
No, I was never furious. I was so
disappointed.
532
00:40:14,290 --> 00:40:17,850
I was on the verge of being despondent.
533
00:40:18,210 --> 00:40:21,670
But he still holds the dream that he
thought Straddle shared.
534
00:40:22,570 --> 00:40:25,230
A returning romance to Hollywood.
535
00:40:25,910 --> 00:40:30,670
One day, we'll get those projects made,
I think.
536
00:40:31,310 --> 00:40:37,349
But that friendship will never be
restored because it wasn't there to
537
00:40:37,350 --> 00:40:44,209
with. It was all an illusion that you
believe so sincerely that
538
00:40:44,210 --> 00:40:46,590
nobody can convince you otherwise.
539
00:40:48,370 --> 00:40:53,929
Looking back now, his victims struggle
to make sense of what Troy Stratus did
540
00:40:53,930 --> 00:40:54,980
them.
541
00:40:54,990 --> 00:40:57,650
I don't think other people are real to
Troy.
542
00:40:58,010 --> 00:41:03,050
I think they're like extras in the film
of his life.
543
00:41:03,330 --> 00:41:07,929
And he's the only real character, so
what happens to him is important, and
544
00:41:07,930 --> 00:41:12,350
everybody else is sort of
inconsequential. They just don't matter
545
00:41:14,130 --> 00:41:17,270
I think what he got, actually, was to
feel important.
546
00:41:18,000 --> 00:41:23,680
The child that was thrown in the barn
was important now. People respected him.
547
00:41:23,720 --> 00:41:29,079
He got some respect that he never had
growing up. That's the only thing I can
548
00:41:29,080 --> 00:41:30,130
think of.
549
00:41:30,260 --> 00:41:33,340
But others say that gives him too much
credit.
550
00:41:34,020 --> 00:41:38,080
Most likely, what a schemer like Stratos
craves is power.
551
00:41:39,920 --> 00:41:45,600
It's all about knowing that you have
power over other people, over their
552
00:41:45,780 --> 00:41:46,940
over their realities.
553
00:41:47,550 --> 00:41:49,350
It's kind of like you're playing God.
554
00:41:49,430 --> 00:41:53,750
Really, you are directing the course of
someone else's life. They trust you,
555
00:41:53,770 --> 00:41:57,710
they believe you, and you know that you
are the one pulling the strings.
556
00:41:58,450 --> 00:42:04,249
And as for his life in jail, reports say
that Stratos was receiving threats for
557
00:42:04,250 --> 00:42:07,850
scamming his fellow inmates and not
paying gambling debts.
558
00:42:08,490 --> 00:42:13,610
Perhaps Troy Stratos is a con who can't
stop conning.
559
00:42:14,760 --> 00:42:20,080
On the next American Greed, Rameel
Robinson, money, back, and the big tie.
560
00:42:20,280 --> 00:42:25,260
This basketball superstar takes a fall
and scams his mother on the way down.
561
00:42:25,560 --> 00:42:27,100
American Greed, next.
562
00:42:27,460 --> 00:42:29,040
CNBC, get yours.
563
00:42:29,520 --> 00:42:33,480
The early bird gets the worm. And the
corner office, too.
564
00:42:33,530 --> 00:42:38,080
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