A writer for New West magazine, working on this story, queried Begelman's claimed alma mater, Yale University, listed in his Who's Who entry. Yale responded that Begelman had never attended that university. New West said "Although Begelman was indicted for forgery and grand theft, the Hollywood types were more outraged that he had listed Yale in Who's Who. Apparently they figured that everybody steals money. It was the fact that he lied about Yale that drove them crazy."
[edit]Embezzlement scandal
In February 1977, actor Cliff Robertson received a note from the Internal Revenue Service indicating he had received $10,000 fromColumbia Pictures. He had never received the money, and discovered that his signature on the cashed paycheck had been forged. Robertson's report started a criminal investigation. The LAPD and the FBI verified that the $10,000 check was a forgery, and it was tracked to Begelman. He was ultimately sentenced to community service for the forgeries.
Columbia Pictures suspended Begelman on a paid vacation and announced its own investigation. It discovered Begelman had embezzled an additional $65,000 through other forged checks. But the board of directors wanted to keep the matter out of the press, and after a brief reinstatement, Begelman was quietly fired. The studio released a statement saying he had suffered emotional problems.
Despite the pressure to remain quiet, Robertson and his wife Dina Merrill spoke to the press. David McClintick broke the story in The Wall Street Journal in 1978, later turning it into the best-selling 1982 book Indecent Exposure. Robertson later claimed he had been blacklisted during the 1980s for coming forward about the Begelman affair, and had few roles during this period.
A writer for New West magazine, working on this story, queried Begelman's claimed alma mater, Yale University, listed in his Who's Who entry. Yale responded that Begelman had never attended that university. New West said "Although Begelman was indicted for forgery and grand theft, the Hollywood types were more outraged that he had listed Yale in Who's Who. Apparently they figured that everybody steals money. It was the fact that he lied about Yale that drove them crazy."
[edit]Judy Garland management
In 1993, a book by Coyne Steven Sanders about the history of Judy Garland's CBS Television series The Judy Garland Show (1963-64) devoted a chapter to possible embezzlement of Garland's funds by Begelman. Garland's estranged husband at the time, Sid Luft, hired an attorney to audit her income from the time Begelman began representing her with fellow agent Freddie Fields. It was discovered that several hundred thousand dollars were missing, much of it written in checks to "Cash" and endorsed by Begelman at various casinos in Las Vegas. Other entries in her accounts showed large sums paid for "protection" with no authorization, all approved by Begelman, though Garland had no personal security. In addition, a 1963 Cadillac convertible, given to Garland as partial payment for appearances on Jack Paar's television program, was titled to Begelman. Garland never knew the car was part of her compensation for her appearance.
In addition, Begelman told Garland a photo existed of her, partially nude, having her stomach pumped in a hospital emergency room after a drug overdose in London, and that blackmailers were demanding $50,000 to turn over the picture and all negatives. As she was in negotiations with CBS at the time for her new TV series, Garland paid rather than face the adverse publicity and potentially damaging the deal's prospects. Luft's attorney eventually determined that the check went to a holding company with a business address in New York City owned by Begelman, and was further traced to a personal account of Begelman.
Rather than confront Begelman at a time when he was playing such a pivotal role in her show business re-emergence, Garland decided to eat the financial losses based upon the promise of millions coming from the deal with CBS. Once her show was cancelled, however, she and Luft sued Begelman for the hundreds of thousands he had allegedly stolen as well as $1 million in punitive damages. Due to her dire financial situation at the time, Garland was forced to settle the suit for royalties owed her by Capitol Records that Begelman and Fields, as her agents, had collected but were holding because of the lawsuit.
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