Boy and Mogul: Fame and Fraud

Posted 20 Jan 2009 Lou Pearlman, the legendary manager of *NSYNC and The Backstreet Boys, lives a lifestyle of fame, fortune and fraud.  He's the mastermind who scams $500 million from investors!

Source:  AP Graphics Lou's first taste of stardom probably came from his first cousin, Art Garfunkel.

Source: Donna Wright In 1993 Pearlman assembles five talented singers and names them “The Backstreet Boys.”  They quickly became a multi-platinum, multi-million dollar worldwide sensation.

Source: Donna Wright Donna Wright, owner of Wright Stuff Management, agreed to manage the Backstreet Boys with her husband Johnny Wright after viewing a video of the boys at Pearlman's offices in Orlando.    She eventually suspected Pearlman was taking more than his fair share of the proceeds.

Source: AP Graphics Bank Lou Pearlman's subsequent boy band,  *NSYNC, became a worldwide phenomenon, selling millions of records.

Source: Donna Wright Pearlman makes millions from the success of *NSYNC and the Backstreet Boys, and endures bitter splits with them over what the bands saw as unfair management contracts. He settled with both bands outside of court.

Source: Merrily Goodell Pearlman's boy band “Take Five” worked long hours and performed all over the world, but saw little of the proceeds.  Never able to build a strong enough case against Pearlman, they eventually disbanded.

Source: Alan Gross Lou Pearlman's childhood fascination with blimps leads his first venture in 1978…an outdoor advertising business, Airship International, where companies place their logos on the side of his blimps.

Source: David Mathis Pearlman eventually forms Trans Continental Airlines. David Mathis invested millions of dollars into the umbrella company.  Little did Mathis know, Trans Continental Airlines is nothing but a shell company.

Source: Kurtis Productions Connie Cesare invested $250,000 dollars into Pearlman's bogus EISA retirement program.  Lou Pearlman used her money, along with millions of others' money, to fund his lavish lifestyle.

Source: Kurtis Productions Pearlman spent $250,000 dollars on this Rolex with a matching ring and cufflinks totaling $425,000 dollars.

Source: FBI Lou Pearlman in front of his $12.5 million dollar mansion in Windermere, a home he afforded by conning investors out of hundreds of millions of dollars.

Source: Kurtis Productions Chicago attorney Ed Brooks had his client's signature analyzed by a handwriting expert when he suspected forgery by Lou Pearlman. He was right.

Source: Kurtis Productions Helen Huntley, reporter for the St. Petersburg Times, keeps investors abreast of the Pearlman investigation on her blog, which eventually leads to Pearlman's arrest.

Pearlman was nabbed at a resort on the Indonesian island of Bali by the FBI attaché in Jakarta.  He is currently serving a 25-year sentence.Find out more...Replay SlideshowReview the "Boy Band Bandit" case fileVist the "American Greed" website