David Begelman - Embezzlement Scandal

Embezzlement Scandal

In February 1977, actor Cliff Robertson received a 1099 form from Columbia Pictures indicating he had received $10,000 from Columbia Pictures during 1976. He had never received the money, and discovered that his signature on the cashed check 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."