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Woman: Jeane Palfrey has come
to be known
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as the D.C. Madam.
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00:00:09,066 --> 00:00:11,996
And for those listening,
you owned and operated
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00:00:12,033 --> 00:00:16,183
a legal escort service
providing sexual fantasies.
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Palfrey: I had a very
influential clientele
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00:00:19,050 --> 00:00:22,070
for a substantial period
of time, 13 years.
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Woman: And the question begs,
who and/or what does
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the United States government
believe Ms. Palfrey knows
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to have gone after her
and her alone as they have?
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00:00:30,300 --> 00:00:34,120
Palfrey:
They think I know something
that's of some value to them.
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00:00:34,150 --> 00:00:36,470
I'm starting to I realize that
my life will never be the same.
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This is, needless to say,
a life-altering experience
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00:00:40,400 --> 00:00:42,280
which will take me in directions
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00:00:42,316 --> 00:00:45,396
I never thought I would go
in this lifetime.
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♪♪
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♪♪
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Hi, everyone. Welcome to
"How It Really Happened."
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00:01:03,100 --> 00:01:04,280
I'm Hill Harper.
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When Deborah Jeane Palfrey
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00:01:06,000 --> 00:01:08,320
was looking to start up
a high-class escort service,
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she chose Washington, D.C.
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It had everything
she was looking for,
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high-powered men
with money to burn
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and certain needs to be met.
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It wasn't long before Palfrey,
known as the D.C. Madam,
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00:01:19,400 --> 00:01:23,070
had a thriving business
and influential clientele,
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but when Federal Agents went
after her, Palfrey fought back,
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threatening to reveal the names
of her powerful clients,
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and then, in a shocking twist,
she was found dead.
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Did she kill herself,
or was she murdered?
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Was the D.C. Madam a woman
who knew too much?
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What really happened?
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Woman: Are you a madam?
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Palfrey: I'm a business owner.
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-You're a business owner.
Absolutely.
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00:01:48,366 --> 00:01:50,476
But everybody calls you
the D.C. Madam.
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I'd prefer Washington Madam
or just Jeane.
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The Washington Madam.
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I was in business
for 13 years.
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We went through two
Clinton administrations
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00:02:02,233 --> 00:02:05,273
and 1 1/2 Bush administrations.
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The point is that the clientele
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was very influential
and very powerful.
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This is Washington, D.C.
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You know, call me a snob,
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but I think I had
the best agency in town.
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It catered to the high
and the mighty, so to speak.
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♪♪
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Police in Florida say a woman
who apparently committed suicide
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00:02:26,483 --> 00:02:30,083
near Tampa today
is Deborah Jeane Palfrey,
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00:02:30,116 --> 00:02:31,476
the so-called D.C. Madam.
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She was awaiting sentencing
after being convicted last month
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of running a high-end
prostitution ring.
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Zarella: Servicing some of
Washington's political elite.
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00:02:40,116 --> 00:02:42,016
But did she really
commit suicide
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to avoid spending time
behind bars,
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00:02:44,033 --> 00:02:46,283
or was her death
something much more sinister?
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Was it suicide or cold-blooded
murder staged as suicide?
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00:02:53,016 --> 00:02:54,226
Young: The victim
of an apparent suicide
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00:02:54,266 --> 00:02:58,176
by hanging has been identified
as Debra Jeane Palfrey
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00:02:58,216 --> 00:03:01,146
by her 76-year-old mother,
Blanche Palfrey.
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00:03:01,183 --> 00:03:04,183
Palfrey discovered her daughter
had apparently hung herself
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00:03:04,216 --> 00:03:06,316
using a nylon rope
from a metal beam
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00:03:06,350 --> 00:03:08,230
on the ceiling of the shed.
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00:03:08,266 --> 00:03:10,166
Reporter: What did her mother
do after she found her?
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00:03:10,200 --> 00:03:11,180
Did she try to...?
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00:03:11,216 --> 00:03:13,116
She immediately called 911.
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00:03:13,150 --> 00:03:15,120
She's 76 years old.
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00:03:15,150 --> 00:03:16,480
Getting her daughter down
would've been
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00:03:17,016 --> 00:03:18,226
almost impossible for her.
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And I --
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I just started screaming,
"Help me. Help me."
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When I heard that she had
killed herself
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00:03:41,316 --> 00:03:43,096
and that they said
it was suicide,
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I did not believe it.
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00:03:44,383 --> 00:03:47,373
I didn't believe it then,
and I don't believe it now.
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00:03:47,400 --> 00:03:49,470
The Debbie that I knew
in high school
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00:03:50,000 --> 00:03:53,030
would not have done that
to her elderly mother.
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00:03:53,066 --> 00:03:57,076
When Jeane Palfrey died,
a lot of people were suspicious,
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00:03:57,116 --> 00:04:00,446
and, in fact, many thought
maybe she'd been killed.
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00:04:00,483 --> 00:04:04,133
Grace:
Was Palfrey threatening to come
forward and name names
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00:04:04,166 --> 00:04:08,076
of D.C. power brokers in order
to get a lighter deal
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00:04:08,116 --> 00:04:10,326
for herself in court?
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00:04:10,366 --> 00:04:12,326
Was foul play involved
in the death
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00:04:12,366 --> 00:04:15,426
of the highly publicized
D.C. Madam?
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00:04:15,466 --> 00:04:17,366
Zarella: Pretty simple theory
that some are throwing around:
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00:04:17,400 --> 00:04:19,220
Deborah Palfrey may
have had the names
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00:04:19,250 --> 00:04:21,400
of D.C.'s elite politicians,
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00:04:21,433 --> 00:04:23,323
maybe still has the power
to take them down.
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00:04:23,350 --> 00:04:26,420
Kathleen Koch is following
this shocking story for us.
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00:04:26,450 --> 00:04:28,350
Kathleen,
what are you learning?
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00:04:28,383 --> 00:04:32,053
Well, Wolf, those who know her
are calling this a tragic end
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00:04:32,083 --> 00:04:33,433
for a woman
who all along maintained
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00:04:33,466 --> 00:04:35,126
she'd done nothing wrong.
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00:04:35,166 --> 00:04:37,216
I got to know Jeane Palfrey
incredibly well
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00:04:37,250 --> 00:04:39,220
in the last year
of her life,
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00:04:39,250 --> 00:04:43,450
and she was a very complicated,
layered person.
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00:04:43,483 --> 00:04:46,483
She was very empathetic.
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00:04:47,016 --> 00:04:49,166
She had quite a sense of humor.
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00:04:49,200 --> 00:04:52,270
And throughout
all our conversations,
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00:04:52,300 --> 00:04:57,400
her main concern was that she
had been unfairly singled out,
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and she did not
understand why.
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There were some 40 other
escort services
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00:05:02,400 --> 00:05:04,370
operating in
the District of Columbia
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00:05:04,400 --> 00:05:07,070
advertising
in the yellow pages,
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00:05:07,100 --> 00:05:11,030
and not one of them
was prosecuted contemporaneously
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00:05:11,066 --> 00:05:12,996
or in the 9 years since.
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00:05:13,033 --> 00:05:16,023
The Big $64,000 Question:
who knows what it is?
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00:05:16,050 --> 00:05:18,080
Was it --
did I have a black book?
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00:05:18,116 --> 00:05:19,326
Did they think I was really part
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00:05:19,366 --> 00:05:22,396
of some sort
of money-laundering scheme?
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00:05:22,433 --> 00:05:24,153
I just don't know.
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00:05:24,183 --> 00:05:26,233
I ran a very legitimate business
from day one.
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00:05:26,266 --> 00:05:27,396
It was very transparent.
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00:05:27,433 --> 00:05:29,323
I filed taxes.
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00:05:29,350 --> 00:05:32,250
I'm here talking to you on CNN.
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I have nothing to hide.
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00:05:33,416 --> 00:05:36,046
I've never had anything to hide.
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00:05:36,083 --> 00:05:38,103
Augenstein: Jeane Palfrey
was always very emphatic
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00:05:38,133 --> 00:05:40,233
that the women
who were working for her
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00:05:40,266 --> 00:05:43,146
were not allowed
to break any laws.
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00:05:43,183 --> 00:05:45,433
In other words, Palfrey said
they weren't allowed
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00:05:45,466 --> 00:05:48,096
to have illegal sex
with their clients.
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00:05:48,133 --> 00:05:50,433
Sibley:
She originally had a little
contract her employees signed,
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00:05:50,466 --> 00:05:53,396
and one of the terms
that they had to initial was,
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00:05:53,433 --> 00:05:57,173
"individuals caught performing
illegal activities
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00:05:57,200 --> 00:05:59,400
of any nature
will be terminated."
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00:05:59,433 --> 00:06:04,423
In addition, no promises
or claims directly or indirectly
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00:06:04,450 --> 00:06:06,420
was ever made to a client
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00:06:06,450 --> 00:06:08,380
that he should expect
the associate
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00:06:08,416 --> 00:06:11,326
to perform
illegal acts for hire.
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00:06:11,366 --> 00:06:13,096
The only two things
that are considered
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00:06:13,133 --> 00:06:16,073
basically illegal
are prostitution,
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00:06:16,100 --> 00:06:18,320
intercourse of any kind
and oral sex.
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00:06:18,350 --> 00:06:21,330
Otherwise, everything is
absolutely legal
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00:06:21,366 --> 00:06:24,026
for all intents
and purposes.
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00:06:24,066 --> 00:06:26,196
Ward: Jeane was very, very clear
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00:06:26,233 --> 00:06:29,433
that she was not
selling prostitution.
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00:06:29,466 --> 00:06:32,446
She was selling what she called
a fantasy-escort service.
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00:06:32,483 --> 00:06:34,283
Palfrey: There are three types
of services
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00:06:34,316 --> 00:06:37,376
out there
in the adult escort world.
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00:06:37,416 --> 00:06:40,366
One is social service,
which is $50 to $100
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00:06:40,400 --> 00:06:44,220
an hour to accompany someone
to a function or a banquet.
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00:06:44,250 --> 00:06:47,230
The second is fantasy,
which is this in-between place
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where I resided,
which was truly,
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00:06:49,333 --> 00:06:54,123
absolutely 100 percent sexual,
but it was not illegal sex.
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00:06:54,150 --> 00:06:55,450
The third is prostitution.
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King: You were providing
the women, right?
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00:06:57,483 --> 00:07:00,003
You weren't one yourself,
or am I wrong?
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00:07:00,033 --> 00:07:01,133
No, that's correct.
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00:07:01,166 --> 00:07:04,446
I ran the business long-distance
from San Francisco,
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00:07:04,483 --> 00:07:06,083
the Bay area.
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00:07:06,116 --> 00:07:09,076
And were most of the clients
in Washington?
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They were all in Washington
and some in Baltimore,
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the Washington, D.C./Baltimore
corridor and surrounding areas.
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Augenstein:
Jeane Palfrey's escort service
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was called Pamela Martin
and Associates.
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Palfrey: I promoted it
in the yellow pages
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because, you know,
when I started back in 1993,
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we didn't have the Internet.
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We barely had cellphones
back then,
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but mostly the yellow pages
and, of course, word of mouth.
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I employed independent
contractors ages
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23 to 25 years of age
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and up to age 55 with 2 to 4
years of college education.
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Many had graduate-school
educations.
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00:07:49,083 --> 00:07:51,173
Jeane Palfrey often
described the women
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00:07:51,200 --> 00:07:53,470
that she hired
as the Ann Taylor look.
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Ward: Pantsuits, sensible
colors, sensible shoes,
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00:07:58,100 --> 00:08:00,150
little drop earrings.
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00:08:00,183 --> 00:08:02,373
She did the this
because it was very important
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00:08:02,400 --> 00:08:06,130
that they not stand out
in a hotel lobby.
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Both the independent contractors
and the clientele were upscale
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and came from the more
refined walks of life
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00:08:14,083 --> 00:08:16,053
here in the nation's capital.
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Sibley:
Jeane was actually running
her operation from her house.
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She ran it from
the laundry room
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00:08:22,400 --> 00:08:24,020
where she would answer
the phone and --
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00:08:24,050 --> 00:08:25,480
and book the clients
and the customers.
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00:08:26,016 --> 00:08:28,296
Ward: And then she would sit by
the phone in her basement
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00:08:28,333 --> 00:08:33,073
beside the washer and the dryer
and wait to do business.
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That was how she did it.
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00:08:35,233 --> 00:08:39,073
Augenstein:
If a customer was looking
for some companionship,
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00:08:39,100 --> 00:08:42,130
he would dial a local number.
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00:08:42,166 --> 00:08:44,176
She had three different numbers,
a Maryland,
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00:08:44,216 --> 00:08:46,266
a Virginia
and a D.C. number.
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They would all be forwarded
automatically
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00:08:48,383 --> 00:08:51,103
to her cellphone
in California.
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00:08:51,133 --> 00:08:52,233
Ward: She would answer.
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00:08:52,266 --> 00:08:55,026
She called herself Julia,
and she would ask them
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00:08:55,066 --> 00:08:58,296
very matter-of-factly
what they were looking for.
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00:08:58,333 --> 00:09:02,133
My God, I was on those phones
every night for 13 years.
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00:09:02,166 --> 00:09:05,396
Augenstein:
Jeane Palfrey would talk
with the man on the phone,
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00:09:05,433 --> 00:09:07,473
and she would find out
what he was interested in.
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00:09:08,000 --> 00:09:09,450
Then she would call an escort.
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00:09:09,483 --> 00:09:11,083
Sibley: Jeane would call
the woman and say,
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00:09:11,116 --> 00:09:14,076
"you have an appointment
at 7 o'clock, room 201
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00:09:14,116 --> 00:09:17,466
or this address,
someone's home or apartment."
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00:09:18,000 --> 00:09:22,300
Ward: The girls charged $300
for 90 minutes,
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00:09:22,333 --> 00:09:28,133
but they had to send half
of their "salary"
201
00:09:28,166 --> 00:09:31,466
via mail order weekly
to Jeane in California.
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00:09:32,000 --> 00:09:35,080
Palfrey:
I did the best I could to keep
everything running smoothly.
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00:09:35,116 --> 00:09:36,196
I was the rock.
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00:09:36,233 --> 00:09:38,373
I was the one who was there
night after night.
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00:09:38,400 --> 00:09:42,480
That was really what my J-O-B
or my job description was.
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00:09:43,016 --> 00:09:46,016
Sibley:
For 13 years, she had operated
in the District of Columbia,
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00:09:46,050 --> 00:09:48,380
and not a single escort
had ever been hassled
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00:09:48,416 --> 00:09:52,026
or arrested or any way troubled
by any of the 20
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00:09:52,066 --> 00:09:54,296
or 30 different
police agencies in town.
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00:09:54,333 --> 00:10:00,083
But little did Jeane know
her life was about to change.
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00:10:00,116 --> 00:10:02,266
They were watching me
and surveilling me
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00:10:02,300 --> 00:10:04,180
for a very long period of time.
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00:10:11,100 --> 00:10:15,170
By the fall of 2006,
Jeane Palfrey had essentially
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00:10:15,200 --> 00:10:18,150
shut down
Pamela Martin and Associates.
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00:10:18,183 --> 00:10:21,023
Jeane had decided to retire
from the escort business
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00:10:21,050 --> 00:10:22,480
she'd been running
for 13 years.
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00:10:23,016 --> 00:10:24,326
Jeane was tired
with the business.
218
00:10:24,366 --> 00:10:26,126
It had finally taken
her toll on her.
219
00:10:41,433 --> 00:10:43,173
Do you have a husband
or partner?
220
00:10:43,200 --> 00:10:44,400
No. No, I'm single.
221
00:10:44,433 --> 00:10:46,003
So do you have children
or a...?
222
00:10:46,033 --> 00:10:48,033
No, I have a mother
and sister.
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00:10:50,050 --> 00:10:52,380
Sibley: Jeane had always wanted
to move to Europe.
224
00:10:52,416 --> 00:10:57,026
She had been exploring
moving to Berlin of all places
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00:10:57,066 --> 00:11:00,996
where the housing was elegant
and very inexpensive.
226
00:11:01,033 --> 00:11:02,453
In fact, in October of 2006,
227
00:11:02,483 --> 00:11:06,203
she was in Berlin exploring
housing options.
228
00:11:06,233 --> 00:11:09,303
Ward: She wanted to buy
an apartment there.
229
00:11:09,333 --> 00:11:11,473
She had found one she liked,
230
00:11:12,000 --> 00:11:15,180
and she really wanted
to begin a new life
231
00:11:15,216 --> 00:11:17,146
there far away from America.
232
00:11:17,183 --> 00:11:20,233
I was off, you know,
pursuing what I thought
233
00:11:20,266 --> 00:11:21,446
would be the rest of my life.
234
00:11:21,483 --> 00:11:25,053
Sibley: She was in Germany
getting ready to fly back
235
00:11:25,083 --> 00:11:28,303
when she got notice from one
of her brokerage firms saying,
236
00:11:28,333 --> 00:11:30,133
"Your account
has been frozen."
237
00:11:30,166 --> 00:11:32,316
Palfrey: I opened my
Charles Schwab account
238
00:11:32,350 --> 00:11:36,050
to do a little day trading,
and I couldn't gain access.
239
00:11:36,083 --> 00:11:37,153
Mm-Hmm.
240
00:11:37,183 --> 00:11:39,203
And I explained
to the customer-service rep
241
00:11:39,233 --> 00:11:43,133
my dilemma, and he put me on
hold for about 5 or 10 minutes
242
00:11:43,166 --> 00:11:46,016
and came back 10 minutes later
and informed me that,
243
00:11:46,050 --> 00:11:48,220
"Ma'am, your property
has been seized
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00:11:48,250 --> 00:11:50,450
by the United States
Department of Treasury.
245
00:11:50,483 --> 00:11:53,383
I advise you
to get an attorney."
246
00:11:53,416 --> 00:11:56,196
I'm 6,000 miles away
on another continent,
247
00:11:56,233 --> 00:11:59,053
nine time zones difference.
248
00:11:59,083 --> 00:12:02,083
I'm absolutely, I think,
having a nervous breakdown.
249
00:12:02,116 --> 00:12:05,226
By this point, the government
had seized $1 million
250
00:12:05,266 --> 00:12:06,996
worth of Palfrey's assets.
251
00:12:07,033 --> 00:12:10,173
They used a legal tool
called Civil Asset Forfeiture.
252
00:12:10,200 --> 00:12:14,270
Civil Forfeiture is, whenever
you have a criminal enterprise,
253
00:12:14,300 --> 00:12:16,270
the government can go
after the money
254
00:12:16,300 --> 00:12:18,430
that you've gotten as a result
of that enterprise,
255
00:12:18,466 --> 00:12:21,376
seize it, convict you
and then take it.
256
00:12:21,416 --> 00:12:24,466
And it started out
historically that it was part
257
00:12:25,000 --> 00:12:26,200
of the RICO statute,
258
00:12:26,233 --> 00:12:31,053
right, Racketeering Influenced
Corrupt Organization Act.
259
00:12:31,083 --> 00:12:32,233
Augenstein:
Jeane Palfrey had no idea
260
00:12:32,266 --> 00:12:34,326
that the government
had been watching her
261
00:12:34,366 --> 00:12:36,996
and investigating her
and tracking her
262
00:12:37,033 --> 00:12:38,373
for more than 2 years by then.
263
00:12:38,400 --> 00:12:40,330
I had no idea
what was happening.
264
00:12:40,366 --> 00:12:43,026
After I talked to
the Charles Schwab agent,
265
00:12:43,066 --> 00:12:45,266
I found out that
the FED simultaneously
266
00:12:45,300 --> 00:12:47,370
while I was making
the call to Schwab
267
00:12:47,400 --> 00:12:51,080
were back in California
at 8 A.M. In the morning
268
00:12:51,116 --> 00:12:53,246
raiding my house.
269
00:12:53,283 --> 00:12:55,033
Sibley: Jeane's house
was on the market,
270
00:12:55,066 --> 00:12:57,326
and as a result, two undercover
agents from the IRS
271
00:12:57,366 --> 00:13:00,146
and the postal service
contacted her realtor and said,
272
00:13:00,183 --> 00:13:01,373
"We'd like to the see the house.
273
00:13:01,400 --> 00:13:02,470
We're interested in buying it."
274
00:13:03,000 --> 00:13:05,180
On the 3rd of October, Tuesday,
275
00:13:05,216 --> 00:13:07,416
they are calling
my real estate agent
276
00:13:07,450 --> 00:13:12,070
trying to obtain entry
to my property.
277
00:13:12,100 --> 00:13:14,030
The realtor wasn't able
to accommodate them,
278
00:13:14,066 --> 00:13:15,416
and shortly thereafter,
the government went in
279
00:13:15,450 --> 00:13:18,220
and got a search warrant
for the house.
280
00:13:18,250 --> 00:13:21,000
The most significant thing
they seized in the search
281
00:13:21,033 --> 00:13:24,083
was the applications
of 400 or 500 escorts
282
00:13:24,116 --> 00:13:27,066
who worked for Jeane
during that 13-year period,
283
00:13:27,100 --> 00:13:28,270
and what it gave
the government
284
00:13:28,300 --> 00:13:31,050
was the identities
of those escorts.
285
00:13:31,083 --> 00:13:33,033
They were hoping
to find the black book.
286
00:13:33,066 --> 00:13:35,126
That was why they were
raiding Jeane's house.
287
00:13:35,166 --> 00:13:36,146
They thought, "Great.
288
00:13:36,183 --> 00:13:37,253
We're going to go
into her house.
289
00:13:37,283 --> 00:13:39,033
She's going to have a list
of everybody
290
00:13:39,066 --> 00:13:41,476
that ever was a customer,"
and they didn't find it.
291
00:13:42,016 --> 00:13:45,326
Palfrey: Right then and there
confiscated every single asset
292
00:13:45,366 --> 00:13:47,416
that I owned, bank accounts,
retirement accounts,
293
00:13:47,450 --> 00:13:51,400
property, everything,
left me virtually penniless.
294
00:13:51,433 --> 00:13:54,383
On October 4th, 2006,
295
00:13:54,416 --> 00:13:57,376
a full 2 months
after the business
296
00:13:57,416 --> 00:14:00,346
had been voluntarily
closed by me,
297
00:14:00,383 --> 00:14:04,173
I came to learn I had been
the target of a 2-1/2-year
298
00:14:04,200 --> 00:14:08,370
investigation by the
Internal Revenue Service.
299
00:14:08,400 --> 00:14:10,430
This whole case started
with a civil case
300
00:14:10,466 --> 00:14:12,126
against Jeane Palfrey.
301
00:14:12,166 --> 00:14:15,176
The woman who thousands of men
may have feared
302
00:14:15,216 --> 00:14:21,316
for what she knew they did that
they didn't want others to know.
303
00:14:21,350 --> 00:14:24,420
Augenstein: And prosecutors were
using their leverage
304
00:14:24,450 --> 00:14:27,130
that they had to say, "Look.
305
00:14:27,166 --> 00:14:28,446
You better agree to this,
306
00:14:28,483 --> 00:14:31,223
or we'll look
for stronger charges."
307
00:14:31,250 --> 00:14:33,480
Palfrey:
I was told, unless I pled,
308
00:14:34,016 --> 00:14:35,446
they were going to charge
with me RICO.
309
00:14:35,483 --> 00:14:37,323
RICO is not applicable here.
310
00:14:37,350 --> 00:14:39,220
Nonetheless,
this was their threat.
311
00:14:39,250 --> 00:14:40,450
"You either plea, or we'll now
312
00:14:40,483 --> 00:14:43,223
even do more
horrible things to you."
313
00:14:43,250 --> 00:14:46,000
Sibley: What gave the government
the authority to proceed
314
00:14:46,033 --> 00:14:50,053
in this matter was that Jeane
was using the U.S. Mails
315
00:14:50,083 --> 00:14:52,273
to transfer money
the government believe
316
00:14:52,300 --> 00:14:54,470
they could prove came
from criminal behavior,
317
00:14:55,000 --> 00:14:58,200
so for example, if Jeane
had only operated in Maryland
318
00:14:58,233 --> 00:15:00,283
and never had an escort
leave the state
319
00:15:00,316 --> 00:15:02,216
and never sent money
out of the state,
320
00:15:02,250 --> 00:15:03,480
the federal government
would not have had the ability
321
00:15:04,016 --> 00:15:05,276
to charge her with anything.
322
00:15:05,316 --> 00:15:08,416
Augenstein: Jeane Palfrey
was very hardheaded.
323
00:15:08,450 --> 00:15:14,020
In her mind, she was walking
the line between what was legal
324
00:15:14,050 --> 00:15:15,300
and what was not legal,
325
00:15:15,333 --> 00:15:18,173
and she would be damned
if she was going
326
00:15:18,200 --> 00:15:21,200
to give one penny
of her money to the government.
327
00:15:21,233 --> 00:15:24,453
I told them at that point,
"Let's go. Let's go.
328
00:15:24,483 --> 00:15:27,073
You're not getting one penny
of my life savings
329
00:15:27,100 --> 00:15:28,470
and not 1 minute
of my liberty."
330
00:15:29,000 --> 00:15:31,070
Sibley: Once Jeane said,
"No, I'm not settling
331
00:15:31,100 --> 00:15:32,350
the Civil-Forfeiture case,"
332
00:15:32,383 --> 00:15:34,183
the government proceeded
to indict her
333
00:15:34,216 --> 00:15:36,316
on a range
of criminal charges.
334
00:15:36,350 --> 00:15:38,180
They brought charges against her
335
00:15:38,216 --> 00:15:40,446
for racketeering influenced
corrupt organization,
336
00:15:40,483 --> 00:15:43,153
for money laundering,
for wire fraud
337
00:15:43,183 --> 00:15:46,253
because the money was being sent
over the interstate wires.
338
00:15:46,283 --> 00:15:48,383
This is money that came directly
out of the pockets
339
00:15:48,416 --> 00:15:51,176
of some of Washington's
big power players.
340
00:15:51,216 --> 00:15:53,396
Some of the customers
that used the service
341
00:15:53,433 --> 00:15:56,083
were members
of the government,
342
00:15:56,116 --> 00:15:58,996
were high-ranking
and powerful people.
343
00:15:59,033 --> 00:16:01,453
This was the first time
that Federal prosecutors
344
00:16:01,483 --> 00:16:04,073
in D.C. had ever prosecuted
anyone
345
00:16:04,100 --> 00:16:07,270
in a prostitution-related case
346
00:16:07,300 --> 00:16:10,000
using the RICO
or the racketeering laws,
347
00:16:10,033 --> 00:16:14,133
so this was a very serious
crime that she faced.
348
00:16:14,166 --> 00:16:15,276
Nobody in this country
349
00:16:15,316 --> 00:16:19,026
who has run a
"benign escort service"
350
00:16:19,066 --> 00:16:21,076
has ever been charged
with racketeering.
351
00:16:21,116 --> 00:16:25,066
I mean, racketeering
is Tony Soprano territory.
352
00:16:25,100 --> 00:16:27,270
Little more space.
It's just the phone is there.
353
00:16:27,300 --> 00:16:32,220
Throughout all this,
Jeane Palfrey stuck to her line,
354
00:16:32,250 --> 00:16:35,000
which was,
"I've done nothing wrong.
355
00:16:35,033 --> 00:16:37,023
My business is legal.
356
00:16:37,050 --> 00:16:39,230
It is not
a prostitution service.
357
00:16:39,266 --> 00:16:41,316
It is a fantasy-sex service."
358
00:16:41,350 --> 00:16:43,230
It seemed as if they were
charging me
359
00:16:43,266 --> 00:16:45,126
with running
an escort service,
360
00:16:45,166 --> 00:16:47,216
which I wholeheartedly admit
that I did run.
361
00:16:47,250 --> 00:16:48,250
Mm-hmm.
362
00:16:48,283 --> 00:16:49,433
The sticking point
is whether or not
363
00:16:49,466 --> 00:16:54,076
it was an illegal sexual service
or a legal sexual service.
364
00:16:54,116 --> 00:16:55,246
I'm prepared to take them on.
365
00:16:55,283 --> 00:16:57,423
I hate to sound like
I'm Clint Eastwood or Rambo here
366
00:16:57,450 --> 00:16:59,300
because I'm hardly either one.
367
00:16:59,333 --> 00:17:01,153
I'm just an average,
ordinary person,
368
00:17:01,183 --> 00:17:04,483
but I'm not going to let
these people get away with it.
369
00:17:05,016 --> 00:17:07,366
Deborah Jeane Palfrey
was a fighter from day one.
370
00:17:07,400 --> 00:17:10,370
I believe there is something
very, very rotten
371
00:17:10,400 --> 00:17:13,070
at the core
of my circumstance.
372
00:17:13,100 --> 00:17:16,280
I believe what motivated
that fight was that she knew
373
00:17:16,316 --> 00:17:18,346
she had a secret weapon.
374
00:17:18,383 --> 00:17:21,203
Augenstein: The phone numbers
of all the customers
375
00:17:21,233 --> 00:17:23,133
that had ever
used the service.
376
00:17:23,166 --> 00:17:26,026
Grace: Senators, think tank,
military strategists,
377
00:17:26,066 --> 00:17:28,366
corporate CEOs, military --
378
00:17:28,400 --> 00:17:30,420
Of course, little did they know
Jeane Palfrey
379
00:17:30,450 --> 00:17:32,100
was going try
to track them down.
380
00:17:32,133 --> 00:17:36,003
♪♪
381
00:17:39,450 --> 00:17:43,020
In 2006, Federal agents raided
Jeane Palfrey's home,
382
00:17:43,050 --> 00:17:44,400
and, I mean,
they took basically anything
383
00:17:44,433 --> 00:17:46,273
they could find of value
384
00:17:46,300 --> 00:17:50,130
except for some boxes
that were left in the basement.
385
00:17:50,166 --> 00:17:54,996
♪♪
386
00:17:55,033 --> 00:17:57,273
In those boxes was
the telephone number
387
00:17:57,300 --> 00:18:00,400
of every single customer who had
called her during the 13 years
388
00:18:00,433 --> 00:18:04,373
she had operated
the escort service.
389
00:18:04,400 --> 00:18:06,380
Reporter: Remember she ran
a high-priced
390
00:18:06,416 --> 00:18:08,126
prostitution ring that catered
391
00:18:08,166 --> 00:18:12,216
to D.C.'s elite lawmakers,
politicians.
392
00:18:12,250 --> 00:18:14,330
So Jeane Palfrey had
all of these numbers
393
00:18:14,366 --> 00:18:16,346
of high-powered people
in D.C.
394
00:18:16,383 --> 00:18:20,223
Now though she had to connect
names with those numbers.
395
00:18:20,250 --> 00:18:21,420
Jeane thought that if she could
396
00:18:21,450 --> 00:18:24,480
put some of her clients
on the stand,
397
00:18:25,016 --> 00:18:28,026
they would be
very sympathetic to her
398
00:18:28,066 --> 00:18:31,246
and that they would endorse
what she was saying,
399
00:18:31,283 --> 00:18:34,373
which was that this was not
a prostitution racket.
400
00:18:34,400 --> 00:18:39,120
This really was all
about massages and fantasy.
401
00:18:39,150 --> 00:18:44,000
To go through those phone
numbers was a real undertaking.
402
00:18:46,200 --> 00:18:48,080
We had no resources.
403
00:18:48,116 --> 00:18:50,276
They actually gave
the phone records to ABC News
404
00:18:50,316 --> 00:18:53,396
because apparently ABC had
the manpower they didn't,
405
00:18:53,433 --> 00:18:55,483
so they could do
a reverse search
406
00:18:56,016 --> 00:18:59,226
to figure out
who belonged to the numbers.
407
00:18:59,266 --> 00:19:03,226
The decision ultimately was made
to hand over the records
408
00:19:03,266 --> 00:19:05,476
to a responsible
media outlet,
409
00:19:06,016 --> 00:19:08,416
in this case,
ABC News in New York.
410
00:19:08,450 --> 00:19:13,050
I do expect their reporting
to help identify
411
00:19:13,083 --> 00:19:15,253
potential witnesses
for my defense.
412
00:19:25,200 --> 00:19:34,050
While ABC were plowing
through Jeane's phone records,
413
00:19:34,083 --> 00:19:38,073
two high-level names in
government actually got leaked.
414
00:19:38,100 --> 00:19:41,170
Two of the newsworthy names
were Randall Tobias
415
00:19:41,200 --> 00:19:44,170
with the State Department
and Harlan Ullman,
416
00:19:44,200 --> 00:19:46,350
who is a well-known
defense strategist.
417
00:19:46,383 --> 00:19:50,453
Sanchez:
Ullman said the allegations
didn't merit a response.
418
00:19:50,483 --> 00:19:54,003
Ward: Randall Tobias
admitted he had used
419
00:19:54,033 --> 00:19:56,353
Pamela Martin,
Jeane's D.C. service,
420
00:19:56,383 --> 00:20:01,233
but he said he'd only
ever had massages or a massage.
421
00:20:01,266 --> 00:20:05,166
He completely denied
ever having illegal sex
422
00:20:05,200 --> 00:20:08,230
but promptly resigned
from his position.
423
00:20:08,266 --> 00:20:11,416
Friday's admission by Mr. Tobias
that he engaged
424
00:20:11,450 --> 00:20:15,330
in legal activity
while a customer of my firm
425
00:20:15,366 --> 00:20:18,266
supports my position all along
426
00:20:18,300 --> 00:20:22,400
that I operated
a sexual albeit legal business
427
00:20:22,433 --> 00:20:27,483
for 13 years
from 1993 to 2006.
428
00:20:28,016 --> 00:20:29,466
As you may imagine,
429
00:20:30,000 --> 00:20:33,180
while everyone
is waiting for ABC
430
00:20:33,216 --> 00:20:37,316
to come out with their findings
from Jeane's phone records,
431
00:20:37,350 --> 00:20:41,130
Washington goes
into turmoil, panic.
432
00:20:41,166 --> 00:20:42,476
Who's going to be outed?
433
00:20:58,350 --> 00:21:00,030
ABC's "20/20" is going to air
434
00:21:00,066 --> 00:21:02,276
a special television event
tomorrow night
435
00:21:02,316 --> 00:21:05,026
in which seven names on
the infamous D.C. Madam's list
436
00:21:05,066 --> 00:21:06,376
is going to be revealed.
437
00:21:06,416 --> 00:21:09,066
So we were very enthusiastic
before the broadcast
438
00:21:09,100 --> 00:21:11,150
that we were going to we have
the people identified,
439
00:21:11,183 --> 00:21:14,123
which would give us the position
to perhaps negotiate
440
00:21:14,150 --> 00:21:16,450
a resolution
that Jeane could accept.
441
00:21:19,416 --> 00:21:25,226
Then the show airs in May 2007.
442
00:21:36,183 --> 00:21:37,303
There were no members
of Congress
443
00:21:37,333 --> 00:21:39,233
that we could find
in these phone records,
444
00:21:39,266 --> 00:21:41,126
no White House officials.
445
00:21:41,166 --> 00:21:44,066
Quite frankly,
but for the few exceptions,
446
00:21:44,100 --> 00:21:47,150
most of the men on this list
just aren't newsworthy.
447
00:21:47,183 --> 00:21:50,103
All they listed was the type
or professions
448
00:21:50,133 --> 00:21:52,133
of the individuals
using the service.
449
00:21:52,166 --> 00:21:54,146
They didn't list
any specific names.
450
00:22:08,333 --> 00:22:13,323
The "20/20" show actually
became such a big deal
451
00:22:13,350 --> 00:22:17,120
for not saying anything
that it became a TV punch line.
452
00:22:17,150 --> 00:22:21,230
Hey, John, boy,
close call this weekend.
453
00:22:21,266 --> 00:22:24,276
I don't -- I don't know
what you're talking about
there.
454
00:22:24,316 --> 00:22:26,066
Don't play coy with me,
Stewart.
455
00:22:26,100 --> 00:22:27,380
The D.C. Madam list
comes out.
456
00:22:27,416 --> 00:22:31,046
ABC News decides not
to name any names.
457
00:22:31,083 --> 00:22:33,383
Pha-shew.
458
00:22:33,416 --> 00:22:35,346
We really dodged a bullet there,
hey, buddy?
459
00:22:35,383 --> 00:22:39,003
High five!
460
00:22:39,033 --> 00:22:41,183
Stephen, there's --
I wasn't on that list.
461
00:22:41,216 --> 00:22:43,326
Were you on that list?
462
00:22:43,366 --> 00:22:47,046
No, course not.
463
00:22:47,083 --> 00:22:50,433
But obviously Jeane Palfrey
and Blair Sibley
464
00:22:50,466 --> 00:22:53,176
didn't find anything
to laugh about.
465
00:22:53,216 --> 00:22:56,196
They were really dismayed.
466
00:22:56,233 --> 00:22:59,033
Jeane and I were livid
and realized
467
00:22:59,066 --> 00:23:01,226
that we could not
count on ABC News.
468
00:23:01,266 --> 00:23:03,166
So then they decide
they're going to reach out
469
00:23:03,200 --> 00:23:04,330
to an investigative journalist,
470
00:23:04,366 --> 00:23:07,246
and they get in touch
with someone named Dan Moldea.
471
00:23:07,283 --> 00:23:10,123
Sibley:
An investigator and someone
I knew and respected
472
00:23:10,150 --> 00:23:13,480
that would also help us
find out who these people were.
473
00:23:14,016 --> 00:23:14,996
Moldea: My memoir is called
474
00:23:15,033 --> 00:23:16,253
"Confessions
of a Guerrilla Writer:
475
00:23:16,283 --> 00:23:18,273
Adventures in the Jungles
of Crime,
476
00:23:18,300 --> 00:23:20,280
Politics, and Journalism."
477
00:23:20,316 --> 00:23:23,216
But I sat down at my desk
and at my computer,
478
00:23:23,250 --> 00:23:31,400
and I ran searches, reverse
searches on each phone number
479
00:23:31,433 --> 00:23:33,123
that I had in the records.
480
00:23:33,150 --> 00:23:34,350
It was a very grueling process,
481
00:23:34,383 --> 00:23:38,053
and I went through
hundreds of numbers.
482
00:23:38,083 --> 00:23:39,323
I had to stop someplace
because it was
483
00:23:39,350 --> 00:23:44,080
such a time-consuming process,
and so I decided arbitrarily
484
00:23:44,116 --> 00:23:47,246
just to stop
February 27th, 2001.
485
00:23:47,283 --> 00:23:49,353
On that the day,
in the phone records,
486
00:23:49,383 --> 00:23:52,323
I saw a telephone number
I had not seen before.
487
00:23:52,350 --> 00:23:55,200
I took the number.
I ran it through the database.
488
00:23:55,233 --> 00:23:58,103
It came up David Vitter,
489
00:23:58,133 --> 00:24:02,203
a Republican Senator
from Louisiana.
490
00:24:02,233 --> 00:24:04,473
This gentleman
was a Christian right,
491
00:24:05,000 --> 00:24:08,100
moral majority,
sanctity of marriage act.
492
00:24:08,133 --> 00:24:11,303
Sibley: This guy was a classic
hypocrite.
493
00:24:11,333 --> 00:24:13,473
So Dan alerted us fairly
shortly thereafter
494
00:24:14,000 --> 00:24:16,400
that he had found Senator
David Vitter's name
495
00:24:16,433 --> 00:24:18,373
repeatedly in the phone records.
496
00:24:18,400 --> 00:24:22,120
We were gratified,
enthusiastic that
497
00:24:22,150 --> 00:24:25,330
we had very high-level people
using the escort service.
498
00:24:25,366 --> 00:24:27,326
Happening now, a senator
and his wife
499
00:24:27,366 --> 00:24:30,226
come from the shadows
of the D.C. Madam scandal.
500
00:24:30,266 --> 00:24:32,316
When David Vitter did
his press conference
501
00:24:32,350 --> 00:24:35,400
where he essentially confessed,
I was not surprised.
502
00:24:35,433 --> 00:24:37,083
I just, you know, I just assumed
503
00:24:37,116 --> 00:24:39,096
he was going to try to get ahead
of the story somehow.
504
00:24:39,133 --> 00:24:44,353
I want to again offer my deep,
sincere apologies to all those
505
00:24:44,383 --> 00:24:50,003
I have let down and disappointed
with these actions from my past.
506
00:24:50,033 --> 00:24:55,253
I am completely responsible,
and I'm so very, very sorry.
507
00:24:55,283 --> 00:24:59,283
David Vitter, after he did
his mea culpa,
508
00:24:59,316 --> 00:25:02,216
was able to keep
working on Capitol Hill.
509
00:25:02,250 --> 00:25:06,270
He was reelected and --
and kept on with his job.
510
00:25:06,300 --> 00:25:08,480
So of course what you had here
511
00:25:09,016 --> 00:25:14,176
was the men able to get on
with their lives.
512
00:25:14,216 --> 00:25:16,466
I mean, one might have had
to resign his job,
513
00:25:17,000 --> 00:25:18,380
but they're still invited
for dinner.
514
00:25:18,416 --> 00:25:21,166
Meantime, Jeane Palfrey
is fighting for her life
515
00:25:21,200 --> 00:25:23,080
because she is about
to go to trial,
516
00:25:23,116 --> 00:25:25,116
and if that trial
doesn't go her way,
517
00:25:25,150 --> 00:25:28,270
there's a good chance
she's going to prison.
518
00:25:28,300 --> 00:25:31,050
I'm facing perhaps
the remainder of my life
519
00:25:31,083 --> 00:25:32,433
in a federal penitentiary.
520
00:25:32,466 --> 00:25:34,996
This is not
a misdemeanor crime
521
00:25:35,033 --> 00:25:36,353
by any stretch
of the imagination.
522
00:25:42,016 --> 00:25:44,066
Welcome back to
"How It Really Happened."
523
00:25:44,100 --> 00:25:46,320
Deborah Jeane Palfrey
was working against the odds
524
00:25:46,350 --> 00:25:49,120
to find clients
who'd testify on her behalf
525
00:25:49,150 --> 00:25:52,320
and say they were not paying
for sex with these women.
526
00:25:52,350 --> 00:25:54,000
Federal prosecutors,
meanwhile,
527
00:25:54,033 --> 00:25:55,473
were tracking down
her former escorts
528
00:25:56,000 --> 00:25:59,370
to take the stand
and say their clients did,
529
00:25:59,400 --> 00:26:02,470
and Jeane Palfrey's future
was hanging in the balance.
530
00:26:03,000 --> 00:26:08,030
♪♪
531
00:26:08,066 --> 00:26:09,396
In the spring of 2008,
532
00:26:09,433 --> 00:26:13,183
Jeane Palfrey's trial
got underway.
533
00:26:13,216 --> 00:26:16,366
The whole Jeane Palfrey story
was one of a woman
534
00:26:16,400 --> 00:26:19,030
who supposedly had rich
535
00:26:19,066 --> 00:26:22,996
and powerful customers
in Washington.
536
00:26:23,033 --> 00:26:24,303
People are coming forward.
537
00:26:24,333 --> 00:26:26,483
People have reached out
to the defense
538
00:26:27,016 --> 00:26:28,246
with helpful information.
539
00:26:28,283 --> 00:26:30,203
So understandably it came
as a big surprise
540
00:26:30,233 --> 00:26:31,423
when Jeane Palfrey's attorney
541
00:26:31,450 --> 00:26:34,250
didn't call
a single former client,
542
00:26:34,283 --> 00:26:37,403
not one, to testify
that they hadn't had sex
543
00:26:37,433 --> 00:26:39,283
with Palfrey's escorts.
544
00:26:42,066 --> 00:26:44,996
Sibley: The reason I believe
Preston Burton
545
00:26:45,033 --> 00:26:46,283
didn't pursue that defense
546
00:26:46,316 --> 00:26:50,016
is that he honestly believed
he had a very good shot
547
00:26:50,050 --> 00:26:53,220
at creating reasonable doubt
as to whether Jeane knew
548
00:26:53,250 --> 00:26:56,230
that sex was going on
between her escorts
549
00:26:56,266 --> 00:26:59,146
and the customers
that were contacting her.
550
00:26:59,183 --> 00:27:02,373
Defense strategy was,
Jeane was willfully blind
551
00:27:02,400 --> 00:27:06,330
to what was going on between
the customers and her escorts.
552
00:27:06,366 --> 00:27:09,166
Ward: The prosecutors'
biggest weapon
553
00:27:09,200 --> 00:27:12,280
was that they had
all these women
554
00:27:12,316 --> 00:27:14,396
who had worked
for Jeane Palfrey
555
00:27:14,433 --> 00:27:17,433
who were prepared
to testify against her.
556
00:27:17,466 --> 00:27:22,096
Augenstein:
These escorts came into court,
most of them unwillingly
557
00:27:22,133 --> 00:27:24,373
but with immunity
from the prosecution
558
00:27:24,400 --> 00:27:28,030
and told what happened
when they worked as escorts
559
00:27:28,066 --> 00:27:30,316
for Jeane Palfrey.
560
00:27:30,350 --> 00:27:34,200
The escorts testified that
Jeane Palfrey called them.
561
00:27:34,233 --> 00:27:36,153
They had sex.
562
00:27:36,183 --> 00:27:38,083
They got paid.
563
00:27:38,116 --> 00:27:41,226
They sent a portion of that
money back to Jeane Palfrey
564
00:27:41,266 --> 00:27:44,166
via money order,
and that was basically the story
565
00:27:44,200 --> 00:27:48,030
that was repeated
by the escorts that came in.
566
00:27:48,066 --> 00:27:50,396
One was asked how often
she ended up
567
00:27:50,433 --> 00:27:52,323
having sex with a client.
568
00:27:52,350 --> 00:27:55,020
She said 90 percent of the time.
569
00:27:55,050 --> 00:27:57,370
But what Jeane had up her sleeve
570
00:27:57,400 --> 00:28:02,230
were the contracts that all
of her employees had to sign.
571
00:28:02,266 --> 00:28:06,426
Palfrey:
Each subcontractor signed
a legally binding contract
572
00:28:06,466 --> 00:28:09,476
at the onset of employment
stating she would not,
573
00:28:10,016 --> 00:28:13,216
among other things,
engage in illegal behavior
574
00:28:13,250 --> 00:28:17,000
while employed at Pamela Martin
and Associates.
575
00:28:17,033 --> 00:28:20,023
On cross-examination,
Palfrey's defense attorney
576
00:28:20,050 --> 00:28:23,480
questioned some of the escorts
about breaking those contracts.
577
00:28:24,016 --> 00:28:26,026
I thought the defense
did a pretty good job
578
00:28:26,066 --> 00:28:27,366
of raising the possibility
579
00:28:27,400 --> 00:28:31,450
that she just sent
these escorts to these meetings,
580
00:28:31,483 --> 00:28:36,023
and they did what they wanted
with the customers.
581
00:28:36,050 --> 00:28:39,470
I thought that the defense
raised the possibility
582
00:28:40,000 --> 00:28:42,170
that she would get off.
583
00:28:42,200 --> 00:28:44,370
But in the end, it became clear
to the court that,
584
00:28:44,400 --> 00:28:48,200
yes, Palfrey's escorts did have
illegal sex with her clients,
585
00:28:48,233 --> 00:28:50,423
and she knew about it.
586
00:28:50,450 --> 00:28:55,400
One of them even went so far
as to saying, "I asked Jeane,
587
00:28:55,433 --> 00:28:57,373
'Who provides the condoms?
588
00:28:57,400 --> 00:28:59,300
Will the client have
the condoms?'
589
00:28:59,333 --> 00:29:01,323
And she said, 'No,
you need to bring them.'"
590
00:29:01,350 --> 00:29:05,150
These are fairly
damning things for Jeane.
591
00:29:10,300 --> 00:29:13,280
When the trial wrapped up,
it didn't take long for the jury
592
00:29:13,316 --> 00:29:15,466
to decide Jeane Palfrey's fate.
593
00:29:16,000 --> 00:29:17,230
Jeane Palfrey was found guilty
594
00:29:17,266 --> 00:29:21,146
of all the criminal charges
against her.
595
00:29:21,183 --> 00:29:23,353
She ran a high-Priced
escort service in Washington,
596
00:29:23,383 --> 00:29:27,033
and now the so-called
D.C. Madam is paying for it.
597
00:29:27,066 --> 00:29:29,446
Deborah Jeane Palfrey was
convicted on all counts today
598
00:29:29,483 --> 00:29:31,323
connected to that
escort service
599
00:29:31,350 --> 00:29:33,430
which catered to
the rich and powerful.
600
00:29:33,466 --> 00:29:38,166
Guilty of racketeering,
mail fraud and money laundering.
601
00:29:38,200 --> 00:29:41,200
Nobody else in Washington, D.C.,
has been targeted,
602
00:29:41,233 --> 00:29:42,383
none of the other agencies,
603
00:29:42,416 --> 00:29:44,116
none of the other
independents.
604
00:29:44,150 --> 00:29:46,020
It was only me.
605
00:29:46,050 --> 00:29:49,250
The verdict was understandably
devastating for Palfrey,
606
00:29:49,283 --> 00:29:52,203
but there was still
a chance for an appeal.
607
00:29:52,233 --> 00:29:54,453
Sibley: I had been brought back
in to work on the appeal,
608
00:29:54,483 --> 00:29:57,003
and we had some very
strong appellate issues.
609
00:29:57,033 --> 00:30:01,103
I was very confident that that
conviction would be overturned,
610
00:30:01,133 --> 00:30:02,433
so I was actually
working with her
611
00:30:02,466 --> 00:30:04,326
and talking to her
on a daily basis about
612
00:30:04,366 --> 00:30:08,026
what we were doing and trying
to give her good upbeat news
613
00:30:08,066 --> 00:30:09,476
and the whole nine yards.
614
00:30:10,016 --> 00:30:13,346
Even though Jeane Palfrey
faced about 55 years,
615
00:30:13,383 --> 00:30:15,003
the conventional wisdom
616
00:30:15,033 --> 00:30:17,403
was that she would only
serve about 6 years.
617
00:30:17,433 --> 00:30:23,233
♪♪
618
00:30:23,266 --> 00:30:26,476
At approximately 11:01 A.M.,
Tarpon Springs Fire Rescue
619
00:30:27,016 --> 00:30:30,216
have pronounced
Debra Jeane Palfrey deceased.
620
00:30:30,250 --> 00:30:31,370
Are there any questions?
621
00:30:31,400 --> 00:30:33,150
So there actually were
a lot of questions.
622
00:30:33,183 --> 00:30:36,353
Police did say that
Palfrey committed suicide,
623
00:30:36,383 --> 00:30:41,073
but that didn't stop people
from suspecting foul play.
624
00:30:41,100 --> 00:30:47,100
There was widespread speculation
that she harbored some secrets
625
00:30:47,133 --> 00:30:50,023
about some very powerful
people here in Washington.
626
00:30:50,050 --> 00:30:54,030
♪♪
627
00:30:56,216 --> 00:31:00,416
♪♪
628
00:31:00,450 --> 00:31:02,200
Man: The body
of Deborah Jeane Palfrey
629
00:31:02,233 --> 00:31:03,303
was found by her mother
630
00:31:03,333 --> 00:31:06,003
in a small storage shed
outside her mobile home.
631
00:31:06,033 --> 00:31:08,283
Woman: She was found hanged
yesterday at her mother's home,
632
00:31:08,316 --> 00:31:13,166
and investigators say they have
no doubt it was a suicide.
633
00:31:13,200 --> 00:31:17,020
Deep: When I heard the news
and really fully digested
634
00:31:17,050 --> 00:31:20,370
the news that Jeane
had committed suicide,
635
00:31:20,400 --> 00:31:27,080
it was nothing but shock,
sympathy, profound sadness.
636
00:31:27,116 --> 00:31:29,446
Man: She was found hanging
from a nylon cord
637
00:31:29,483 --> 00:31:31,473
in her mother's backyard shed.
638
00:31:32,000 --> 00:31:34,330
Blozik: I was listening
to the news on my TV.
639
00:31:34,366 --> 00:31:35,466
I just, like, stopped.
640
00:31:36,000 --> 00:31:37,150
I just couldn't believe it.
641
00:31:37,183 --> 00:31:39,003
Woman: Police say several notes
were found
642
00:31:39,033 --> 00:31:41,203
that described her intention
to take her life.
643
00:31:41,233 --> 00:31:46,353
She left long handwritten notes
to her mother and to her sister.
644
00:31:46,383 --> 00:31:50,473
I thought the most heartbreaking
excerpt from the letter
645
00:31:51,000 --> 00:31:52,220
was the one that read,
646
00:31:52,250 --> 00:31:57,000
"I cannot live the next
6 to 8 years behind bars
647
00:31:57,033 --> 00:32:01,333
for what both you and I have
come to regard as this,
648
00:32:01,366 --> 00:32:04,296
"modern-day lynching,"
649
00:32:04,333 --> 00:32:09,373
only to come out of prison
in my late 50s a broken,
650
00:32:09,400 --> 00:32:13,130
penniless and very much
alone woman."
651
00:32:13,166 --> 00:32:14,276
That was heartbreaking.
652
00:32:14,316 --> 00:32:16,426
The reported suicide
of Debra Jeane Palfrey,
653
00:32:16,466 --> 00:32:19,416
the D.C. Madam,
has a lot of people
654
00:32:19,450 --> 00:32:21,320
asking a lot of questions.
655
00:32:21,350 --> 00:32:25,080
Deep: Jeane was really a feisty,
tough,
656
00:32:25,116 --> 00:32:28,146
empowered woman
who didn't at all seem to me
657
00:32:28,183 --> 00:32:32,353
like the kind of person
who would take her own life.
658
00:32:32,383 --> 00:32:36,103
The Debbie that I knew
in high school
659
00:32:36,133 --> 00:32:38,483
and the Debbie that I e-mailed
back and forth with,
660
00:32:39,016 --> 00:32:41,476
I -- I did not believe
that she would do that.
661
00:32:42,016 --> 00:32:43,146
It -- it -- it floored me.
662
00:32:43,183 --> 00:32:45,103
It made no sense whatsoever.
663
00:32:45,133 --> 00:32:46,483
I talked to her
2 or 3 days before,
664
00:32:47,016 --> 00:32:50,116
and we thought we were on track
to take a good appeal,
665
00:32:50,150 --> 00:32:51,370
get her bailed out during appeal
666
00:32:51,400 --> 00:32:54,450
and continue to fight
this thing going forward,
667
00:32:54,483 --> 00:32:57,323
so that's why
it never made sense.
668
00:32:57,350 --> 00:33:00,430
I'm conflicted as to whether
Jeane's death was a suicide
669
00:33:00,466 --> 00:33:05,146
or a very highly
organized murder.
670
00:33:05,183 --> 00:33:10,083
Moldea: After Jeane's suicide,
there was widespread speculation
671
00:33:10,116 --> 00:33:12,466
that she harbored some secrets
672
00:33:13,000 --> 00:33:15,380
about some very powerful people
here in Washington.
673
00:33:15,416 --> 00:33:19,226
Sanchez: The D.C. Madam,
a woman who powerful men feared
674
00:33:19,266 --> 00:33:21,266
for what she knew about them.
675
00:33:21,300 --> 00:33:23,120
Was it really suicide?
676
00:33:23,150 --> 00:33:25,230
The Internet is going bonkers
with this one.
677
00:33:25,266 --> 00:33:27,366
Man: Her friends said that
that's not her signature
678
00:33:27,400 --> 00:33:29,200
on the suicide note.
679
00:33:29,233 --> 00:33:32,233
There were a lot of conspiracy
theories out there.
680
00:33:32,266 --> 00:33:34,276
She would've been able
to make all this money.
681
00:33:34,316 --> 00:33:35,366
She would've been famous.
682
00:33:35,400 --> 00:33:36,450
There would've been book deals,
movies.
683
00:33:36,483 --> 00:33:38,183
Why would she possibly do this?
684
00:33:38,216 --> 00:33:40,226
Grace: Bob, in North Carolina,
hi, Bob. What's your question?
685
00:33:40,266 --> 00:33:43,176
Bob: Yeah, my question is,I mean, could these two notes
686
00:33:43,216 --> 00:33:44,376
have been written under duress?
687
00:33:44,416 --> 00:33:46,266
I mean, if someone told methey're going to murder
688
00:33:46,300 --> 00:33:48,320
my mother and my sisterif I don't sit down
689
00:33:48,350 --> 00:33:53,000
and write a heartfelt suicideletter, wouldn't I write it?
690
00:33:53,033 --> 00:33:55,283
Bob, that theory
is floating around.
691
00:33:55,316 --> 00:33:57,316
I want to go
to Dr. Patricia Saunders,
692
00:33:57,350 --> 00:33:59,120
clinical psychologist.
693
00:33:59,150 --> 00:34:00,380
Hill: Adding
to the conspiracy theories
694
00:34:00,416 --> 00:34:02,416
was a man named
Joe Strizack,
695
00:34:02,450 --> 00:34:06,020
so he managed the building
where Palfrey owned a condo,
696
00:34:06,050 --> 00:34:10,070
and he says she told him
she felt she was in danger,
697
00:34:10,100 --> 00:34:11,480
and then this guy
actually goes on
698
00:34:12,016 --> 00:34:14,166
the Alex Jones radio show
to talk about it.
699
00:34:24,100 --> 00:34:25,470
At this point,
people started to speculate
700
00:34:26,000 --> 00:34:29,480
about some of the similarities
between Palfrey's death
701
00:34:30,016 --> 00:34:32,226
and the suicide of another
D.C. area madam,
702
00:34:32,266 --> 00:34:34,476
who had also died
by hanging.
703
00:34:35,016 --> 00:34:37,046
Sibley: Brandi Britton was an
escort who worked for Jeane
704
00:34:37,083 --> 00:34:38,483
for a period of time,
branched out
705
00:34:39,016 --> 00:34:42,076
and started her own escort
service in the Baltimore area.
706
00:34:42,116 --> 00:34:44,176
Woman: Police arrested
42-year-old Brandi Britton
707
00:34:44,216 --> 00:34:47,326
after she allegedly offered
an undercover police officer sex
708
00:34:47,366 --> 00:34:49,046
for $400.
709
00:34:49,083 --> 00:34:53,183
Brandi Britton committed suicide
right before her trial
710
00:34:53,216 --> 00:34:55,066
was about to start.
711
00:34:55,100 --> 00:34:58,230
Grace: Now we learn not one
but two women
712
00:34:58,266 --> 00:35:02,116
are claimed to have
committed suicide by hanging,
713
00:35:02,150 --> 00:35:05,130
both sitting on a bombshell
of evidence
714
00:35:05,166 --> 00:35:08,016
against countless D.C. insiders?
715
00:35:08,050 --> 00:35:11,050
Now that's some coincidence.
716
00:35:11,083 --> 00:35:14,123
Hill: Turns out Palfrey herself
had questioned Britton's suicide
717
00:35:14,150 --> 00:35:16,000
on the Alex Jones radio show.
718
00:35:29,133 --> 00:35:32,203
Jeane Palfrey herself started
speaking out ahead of the trial.
719
00:35:32,233 --> 00:35:35,083
She was on that same radio show
and really made it clear
720
00:35:35,116 --> 00:35:37,196
that she had no intention
of giving up.
721
00:35:59,400 --> 00:36:03,070
Jeane herself said many times
privately to me
722
00:36:03,100 --> 00:36:07,270
as well that she was not
going to commit suicide,
723
00:36:07,300 --> 00:36:09,380
but she was going
to be the exception.
724
00:36:09,416 --> 00:36:11,176
She was going to fight.
725
00:36:11,216 --> 00:36:14,246
She was going to expose
the government.
726
00:36:14,283 --> 00:36:15,453
That was her line.
727
00:36:15,483 --> 00:36:20,023
So here you have two women
who not only worked together,
728
00:36:20,050 --> 00:36:23,170
but they both knew secrets
about some very powerful people
729
00:36:23,200 --> 00:36:27,020
in Washington,
and they both died by hanging.
730
00:36:27,050 --> 00:36:29,270
And the coincidence
is just one of those
731
00:36:29,300 --> 00:36:31,400
of several very troubling
things about this --
732
00:36:31,433 --> 00:36:33,453
The death
of Deborah Jeane Palfrey.
733
00:36:33,483 --> 00:36:35,383
Augenstein: Think some people
were willing to believe
734
00:36:35,416 --> 00:36:38,066
that Jeane Palfrey
must have had something
735
00:36:38,100 --> 00:36:40,180
on somebody high and --
and --
736
00:36:40,216 --> 00:36:42,366
and rich and powerful
in the government,
737
00:36:42,400 --> 00:36:45,020
someone who would be willing
to kill her.
738
00:36:49,200 --> 00:36:55,230
♪♪
739
00:36:55,266 --> 00:36:59,216
When Jeane Palfrey was found
hanging in this shed,
740
00:36:59,250 --> 00:37:00,350
there was plenty of speculation
741
00:37:00,383 --> 00:37:03,123
that she'd been killed
for what she knew
742
00:37:03,150 --> 00:37:05,350
except that people
who knew her the best said
743
00:37:05,383 --> 00:37:09,333
she had a really specific reason
for taking her own life.
744
00:37:12,133 --> 00:37:14,283
Augenstein: Jeane had already
spent some time in prison,
745
00:37:14,316 --> 00:37:18,166
and she was really afraid of --
of going back there.
746
00:37:18,200 --> 00:37:21,330
In the early '90s,
she'd done time for pandering,
747
00:37:21,366 --> 00:37:25,116
which is essentially pimping,
in -- in California.
748
00:37:25,150 --> 00:37:26,220
Jeane was originally arrested
749
00:37:26,250 --> 00:37:28,400
for running an escort service
in California.
750
00:37:28,433 --> 00:37:30,433
She was working as
a cocktail waitress.
751
00:37:30,466 --> 00:37:33,316
It escalated into her
being a prostitute
752
00:37:33,350 --> 00:37:37,280
and then managing
other prostitutes.
753
00:37:37,316 --> 00:37:40,196
Augenstein: She hated the
experience of being in jail,
754
00:37:40,233 --> 00:37:44,383
and she was really determined
to never go back to jail.
755
00:37:44,416 --> 00:37:47,376
Sibley: She told me she had been
raped repeatedly,
756
00:37:47,416 --> 00:37:50,326
so that was a very
brutal experience for her.
757
00:37:50,366 --> 00:37:54,476
Ward: She talked about that
experience in some detail to me,
758
00:37:55,016 --> 00:37:58,246
and she said it was horrifying.
759
00:37:58,283 --> 00:38:04,433
She came out physically
and mentally damaged.
760
00:38:04,466 --> 00:38:06,416
Hill: Jeane Palfrey's
own mother, Blanche,
761
00:38:06,450 --> 00:38:08,270
had told a local
TV station that,
762
00:38:08,300 --> 00:38:10,320
in the days
leading up to her death,
763
00:38:10,350 --> 00:38:12,480
her daughter was inconsolable.
764
00:38:13,016 --> 00:38:15,116
Blanche: That girl,
that whole week,
765
00:38:15,150 --> 00:38:17,080
every time I turned around,
she was laying
766
00:38:17,116 --> 00:38:19,996
over my shoulder,
crying like a baby.
767
00:38:20,033 --> 00:38:22,103
She just -- she just sobbed.
768
00:38:22,133 --> 00:38:24,283
She said, "I can't
live this way."
769
00:38:24,316 --> 00:38:29,146
She says, "Mom, it's live
free or die."
770
00:38:29,183 --> 00:38:32,123
She told me on no fewer
than three occasions that,
771
00:38:32,150 --> 00:38:33,320
in lieu of going
back to prison
772
00:38:33,350 --> 00:38:36,280
where she had spent 18 months
back in the early '90s,
773
00:38:36,316 --> 00:38:39,166
she would commit suicide.
774
00:38:39,200 --> 00:38:42,400
Jackson:
There was no evidence at all
that Jeane Palfrey was murdered.
775
00:38:42,433 --> 00:38:46,083
It was a pretty clear case
that she committed suicide.
776
00:38:46,116 --> 00:38:47,316
The forensics proved it.
777
00:38:47,350 --> 00:38:51,280
The suicide note proved it,
that Jeane Palfrey hung herself.
778
00:38:51,316 --> 00:38:55,426
The police agreed and said
they found nothing to indicate
779
00:38:55,466 --> 00:38:58,046
this was anything other
than a suicide.
780
00:39:00,200 --> 00:39:03,350
This was a useless death.
781
00:39:03,383 --> 00:39:05,123
It really was.
782
00:39:05,150 --> 00:39:07,270
She didn't deserve all this.
783
00:39:07,300 --> 00:39:10,380
Allow me to leave you
with this thought if I may.
784
00:39:10,416 --> 00:39:13,246
Surely most people
have established by now
785
00:39:13,283 --> 00:39:17,473
that mine is a very bizarre
and rather unusual case.
786
00:39:18,000 --> 00:39:20,370
I believe there is something
very, very rotten
787
00:39:20,400 --> 00:39:22,430
at the core of my circumstance,
788
00:39:22,466 --> 00:39:26,316
and I must rely upon your acumen
and talent in the press
789
00:39:26,350 --> 00:39:29,320
and the media
to uncover the truth.
790
00:39:29,350 --> 00:39:31,370
I thank you for
your professionalism
791
00:39:31,400 --> 00:39:33,150
in this regard and good day.
792
00:39:33,183 --> 00:39:37,233
♪♪
793
00:39:37,266 --> 00:39:40,176
We may never know why
Jeane Palfrey's escort service
794
00:39:40,216 --> 00:39:42,416
was singled out
for Federal prosecution.
795
00:39:42,450 --> 00:39:45,080
The district attorney's office
in Washington, D.C.,
796
00:39:45,116 --> 00:39:47,196
declined to comment
on her case.
797
00:39:47,233 --> 00:39:49,273
Palfrey's trial and her
conviction
798
00:39:49,300 --> 00:39:52,070
certainly raise questions
about what the point of it
799
00:39:52,100 --> 00:39:55,220
all was because a quick
Google search will show you
800
00:39:55,250 --> 00:39:59,150
that escort services
are thriving all across America,
801
00:39:59,183 --> 00:40:01,433
hiding in plain sight.
802
00:40:01,466 --> 00:40:03,246
Thanks for joining us.
803
00:40:03,283 --> 00:40:04,483
Have a good night.
804
00:40:05,016 --> 00:40:08,426
♪♪
65148
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