This post is part of a feature in which he wonder whatever happened to some notorious financial felons. See all 17.
How does the head of one of Archer Daniels Midland's (NYSE: ADM) fastest-growing divisions, a virtual shoo-in to be the company's next president, end up embezzling $9 million dollars while simultaneously acting as an informant for the Federal Bureau of Investigation? And how does the highest-level executive to turn whistleblower receive a sentence much harsher than those of his co-conspirators despite pleas for leniency and clemency from everyone from the FBI and the Justice Department to congressmen, university professors, and even a baseball hall-of-famer?
Sounds like the stuff of motion pictures, doesn't it? And that's exactly what this true story will be in September of 2009 with the release of The Informant, a Warner Brothers film directed by Steven Soderbergh and starring Matt Damon as whistleblower turned felon, Mark Whitacre. The movie is based on one of several books written about the case.
When the FBI began an investigation of ADM in 1992, Whitacre admitted that he and other executives were involved in a multinational price-fixing scheme. For the next three years, he helped the FBI gather evidence. Despite that, however, Whitacre was convicted in 1998 for wire fraud, tax evasion, and money laundering. The sentence of more than 10 years in prison was considered excessive by many, given his cooperation with the investigation and the fact that he suffered from bipolar disorder (the pressure drove him to attempt suicide at one point). Whitacre served eight and half years, reportedly as a model prisoner. To this day, efforts continue to win a pardon for Whitacre.
In 2006, Whitacre joined a Fresno-based biotechnology company, Cypress Systems, which is focused on cancer prevention and several other health-related research areas. The company was aware of the scandal, and in fact first approached Whitacre in 2001 because of his background in biotech -- while he was still in prison. The company supports efforts on his behalf for a pardon. In March 2008, Whitacre was promoted to the company's chief operating officer (COO) and president of operations. Whitacre and his wife Ginger both work in Pensacola, Florida.
The coming film has already started to draw new attention to Whitacre, who told one interviewer, "I really want to put this behind me after a few such interviews. The case was only a part of my life and my family's, but we have moved on."
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Reader Comments (Page 1 of 1)
11-21-2008 @ 3:17PM
BEB said...
Since Whiteacre is a felon and Cypress Systems knew this when they hired him, will they hire other felons so they can be rehabilitated like him. They could help others who were on the wrong track also. Cypress, step up! And all those organizations who work w/felons.
11-21-2008 @ 3:45PM
NICK said...
Give the guy a break, here he helps the government and get's a lot of time in jail. Here President Clinton has oral sex with a entern in the WHITEHOUSE and gets away with it, where is the justice in this world?