The [[Music Corporation of America|MCA]] was a major entertainment corporation that became entangled in investigations related to organized crime and the broader network that [[Danny Casolaro]] termed "[[The Octopus]]."
### Organized Crime Allegations
[[Music Corporation of America|MCA]] was the subject of a [[Federal Bureau of Investigation|FBI]] wiretap investigation supervised by [[United States Attorney|U.S. Attorney]] [[Marvin Rudnick]] and later by [[Richard Stavin]], a member of the Organized Crime Strike Force. These investigations, which also involved [[Federal Bureau of Investigation|FBI]] agent [[Thomas Gates]], led them to believe that [[Music Corporation of America|MCA]] had been penetrated by organized crime. Specifically, the wiretaps recorded communications between [[Robert Booth Nichols]] and [[Eugene Giaquinto]], then president of [[Music Corporation of America|MCA]] home entertainment division. Giaquinto was also a board member of Nichols' holding company, [[Meridian International Logistics|MIL]], which was under [[Federal Bureau of Investigation|FBI]] investigation as a source of funding for narcotics and the allocation of drug trafficking proceeds.[1]
The intercepted conversations reportedly revealed connections to [[La Cosa Nostra]], including members of the [[Gambino Crime Family]] and [[Bufalino Crime Family]]. The wiretap application itself stated that the purpose of the interceptions was to determine the "source, type and quantity of narcotics/controlled substances, methods and means of delivery, and the source of funding for purchasing of narcotics/controlled substances." It was also apparent from the intercepted conversations that [[Eugene Giaquinto]] had a special relationship with [[John Gotti]].[1]
### Leveraged Buyout and Investigation Shutdown
At the time of these investigations, [[Music Corporation of America|MCA]] was being offered in a leveraged buyout to Japanese interests. An [[Federal Bureau of Investigation|FBI]] investigation could have jeopardized this sale. Consequently, the wiretaps were sealed by the [[United States Department of Justice|DOJ]], and no prosecutions were pursued. The Los Angeles Organized Crime Strike Force was disbanded, [[Richard Stavin]] resigned, and [[Thomas Gates]] closed the [[Federal Bureau of Investigation|FBI]] investigation. The Japanese ultimately purchased [[Music Corporation of America|MCA]] in what was reported as the largest corporate sale in U.S. history at the time.[1]
[[Marvin Rudnick]], who lost his job for refusing to drop the investigation, later had part of his story told in the 1993 book *Stiffed: A True Story of MCA, The Music Business, and the Mafia* by William Knoedelseder.[1]
### Connection to "The Octopus"
[[Danny Casolaro]]'s investigation into "[[The Octopus]]" included [[Music Corporation of America|MCA]], and he was reportedly told by [[Robert Booth Nichols]] about the leveraged buyout. [[Dan Moldea]], in his 1986 book *Dark Victory: Ronald Reagan, MCA, and the Mob*, had previously labeled [[Music Corporation of America|MCA]] as "[[The Octopus]]," a term that likely inspired Casolaro's own use of the phrase.[1]
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## Footnotes
[1] Seymour, Cheri. *The Last Circle: Danny Casolaro’s Investigation into the Octopus and the PROMIS Software Scandal*. First Edition. TrineDay, 2010.