I watched the movie American Gangster recently (meh) and then out of curiosity did some research on Frank Lucas, the real life former crime boss Denzel Washington’s character was based upon. Lucas said in several interviews (and it’s mentioned on wiki) that at the height of his illegal activities he had more than $50 million in cash in banks across the U.S. and the Cayman Islands and owned real estate in the U.S., Bermuda, South America, and the Caribbean. Per Lucas, the U.S. government seized every penny, leaving him literally broke when he was in prison.
From this interview:
I can understand seizing real estate in the U.S. and perhaps even abroad, and certainly the IRS can do anything it wants with U.S. accounts with the right authority, but I thought that off-shore accounts were, by definition and purpose
1- often anonymous (no name attached, just numbers and bearer I.D.)
2- not subject to seizure by the U.S. or any other government
3- extremely difficult or impossible even to verify the existence of (since neither Grand Cayman and Zurich would be particularly impressed by a Federal court order)
This is certainly implied in one impeccable source I’ve read on criminals hiding money John Grisham novels.
So question: Can the U.S. government take money from off-shore accounts in the Caymans or for that matter in Switzerland, Hong Kong, Brazil, and other popular hiding places? If so, how?
It would seem to me that if the governments of these nations allowed it then the depositors would head for the hills pronto and find a nation less willing to cooperate and bankers less willing to share information.
Or is it probable that in Lucas’s case they had help in finding and accessing the money from, perhaps, his family (or even from himself in exchange for a lesser sentence)?
Of course I also doubt, but have no cite and can’t prove, that Lucas was left totally broke as he claims. When you deal with as much literal cash as he had access to, you’d have to be stupid to not have some ingenious hiding places, and nobody can do what Lucas (dominate an illegal heroin market in spite of competition from the Mafia and other syndicates) for years and years. I’d have cash and other valuables (bearer bonds/jewels/gold/etc.) hidden low tech (buried on country property, in the floorboards of houses owned through sock puppets, inside of statues donated to small town parks, etc.) or high tech under a thousand aliases of almost as many nationalities, so I’m guessing there’s probably some suitcases with his name on them around that he can open when he wants extra cheese on his Whopper.