Would you like to inspect the original subtitles? These are the user uploaded subtitles that are being translated:
1
00:00:42,817 --> 00:00:46,359
{\an8}Today the United States Senate Committee
on Government Operations
2
00:00:46,441 --> 00:00:48,983
{\an8}begins hearings
on federally insured banks.
3
00:00:50,192 --> 00:00:53,900
We are concerned whether existing laws
are adequate to guarantee
4
00:00:53,983 --> 00:00:58,441
the character, experience, and integrity
of people who acquire such banks,
5
00:00:59,566 --> 00:01:02,400
which are the cornerstones
of American capitalism
6
00:01:03,192 --> 00:01:05,192
and the foundation of the American dream.
7
00:01:31,650 --> 00:01:35,650
Be careful in there, Bernard.
They want to make an example out of you.
8
00:01:50,525 --> 00:01:53,192
Committee calls Bernard S. Garrett
to testify.
9
00:01:55,733 --> 00:01:58,483
Mr. Garrett,
I think you understand the stakes.
10
00:02:07,359 --> 00:02:08,650
{\an8}Carlyle and Spring?
11
00:02:08,733 --> 00:02:12,025
{\an8}Right. Annual rental income 80,000,
which is strong,
12
00:02:12,109 --> 00:02:14,775
but Mr. Miller wants us
to use a six multiplier to value it.
13
00:02:14,858 --> 00:02:16,234
That's too high.
14
00:02:16,317 --> 00:02:19,525
He's coming in an hour to negotiate on it.
Maybe you can step in.
15
00:02:19,608 --> 00:02:20,608
All right.
16
00:02:24,483 --> 00:02:26,109
Boy does a pretty good shine.
17
00:02:26,692 --> 00:02:28,067
Harder worker than most of 'em.
18
00:02:41,525 --> 00:02:42,844
There may not be comps in Willis,
19
00:02:42,899 --> 00:02:45,483
but take a look at
the other properties I own in the county.
20
00:02:45,566 --> 00:02:47,067
A six multiple is reasonable.
21
00:02:47,984 --> 00:02:51,692
Your other buildings are in Conroe,
which is booming with the oil find.
22
00:02:51,775 --> 00:02:54,359
So, I'm not sure this is a good comp.
23
00:02:55,025 --> 00:02:56,025
Willis is booming too.
24
00:02:56,109 --> 00:02:57,942
Hey! What are you doing up there, boy?
25
00:02:58,025 --> 00:03:00,150
You spying on these
white people's business?
26
00:03:06,817 --> 00:03:07,817
Get back here!
27
00:03:10,150 --> 00:03:11,650
Your dad's gonna hear about this!
28
00:03:11,733 --> 00:03:12,733
Hey! Watch it, boy!
29
00:03:33,025 --> 00:03:36,608
What do you think them white folks would
do if they knew you were spying on them?
30
00:03:38,483 --> 00:03:40,775
When I was growing up
I've seen boys killed for less.
31
00:03:43,567 --> 00:03:46,567
You know what it's like to see a young boy
hanging dead from a tree?
32
00:03:47,942 --> 00:03:51,317
And don't think because it hasn't happened
recently, it couldn't happen again.
33
00:03:51,400 --> 00:03:53,441
I was just trying to learn
how they make money.
34
00:03:58,317 --> 00:04:00,608
You are so talented.
35
00:04:01,525 --> 00:04:03,109
How did you learn all this?
36
00:04:07,692 --> 00:04:09,441
You was born the wrong color, son.
37
00:04:09,525 --> 00:04:11,359
Negro man can't earn money with this.
38
00:04:11,441 --> 00:04:13,942
White man won't let him,
no matter how good at it you are.
39
00:04:15,859 --> 00:04:17,234
Maybe not in Texas.
40
00:04:19,817 --> 00:04:23,025
You really think it's gonna be different
for you, you go somewhere else?
41
00:05:03,733 --> 00:05:05,650
We're in California.
42
00:05:08,525 --> 00:05:09,525
What's wrong?
43
00:05:11,025 --> 00:05:13,775
Just looking forward
to having dinner with your uncle.
44
00:05:17,400 --> 00:05:20,359
Well, the aircraft companies are booming.
45
00:05:20,900 --> 00:05:24,775
Northrop is looking to hire 5,000
new workers for their assembly line
46
00:05:24,859 --> 00:05:26,608
and they hire our kind.
47
00:05:26,692 --> 00:05:28,859
And I can get you
an interview there tomorrow.
48
00:05:28,942 --> 00:05:32,067
Well, thank you, sir. But I came here
to try my hand at real estate.
49
00:05:32,608 --> 00:05:35,067
There's not a lot
of colored real estate agents.
50
00:05:35,151 --> 00:05:36,692
Owning property and renting it out.
51
00:05:39,025 --> 00:05:40,525
You married a millionaire, Eunice?
52
00:05:41,775 --> 00:05:42,774
Deacon.
53
00:05:45,359 --> 00:05:47,067
Well, I sure hope you're close, son.
54
00:05:47,525 --> 00:05:49,442
This isn't some one-horse town in Texas.
55
00:05:49,525 --> 00:05:51,151
Real estate is expensive here.
56
00:05:51,859 --> 00:05:55,151
Bernard saved up money
from a company we started in Houston.
57
00:05:56,442 --> 00:05:59,900
So, what do you plan to do
until you find something you can afford?
58
00:05:59,984 --> 00:06:01,067
Keep looking.
59
00:06:01,151 --> 00:06:03,276
And spend down your savings
till they're gone?
60
00:06:03,859 --> 00:06:05,192
And then can't pay your rent?
61
00:06:05,276 --> 00:06:06,650
Deacon, stop.
62
00:06:07,900 --> 00:06:09,984
You'll get your rent
the first of every month,
63
00:06:10,067 --> 00:06:11,525
one month in advance.
64
00:06:12,151 --> 00:06:13,942
I should go get Bernard Jr. in bed.
65
00:06:14,900 --> 00:06:15,900
Excuse me.
66
00:06:28,859 --> 00:06:31,151
Eunice, what does your husband have
against working?
67
00:06:31,608 --> 00:06:35,151
If we need to supplement our income
until he finds the right property,
68
00:06:35,234 --> 00:06:36,859
I'll work at the Plantation Club.
69
00:06:36,942 --> 00:06:39,192
That ain't no place
for a married woman to work.
70
00:06:39,276 --> 00:06:40,793
Bernard okay with you going back there?
71
00:06:40,817 --> 00:06:42,692
Well, we haven't had a chance
to discuss it.
72
00:06:43,567 --> 00:06:45,234
If he's a real man, he won't let you.
73
00:06:45,317 --> 00:06:47,109
That won't be for him to decide.
74
00:06:47,775 --> 00:06:48,900
What does that mean?
75
00:06:50,317 --> 00:06:52,359
My husband is a genius.
76
00:06:52,442 --> 00:06:53,441
You'll see.
77
00:07:04,317 --> 00:07:05,900
I know this isn't much.
78
00:07:05,984 --> 00:07:07,817
Yeah, I don't plan on us being here long.
79
00:07:08,817 --> 00:07:10,359
Why are you so hard on yourself?
80
00:07:10,442 --> 00:07:12,942
I don't want Bernard Jr.
Growing up in a shed.
81
00:07:14,359 --> 00:07:16,900
Well, I grew up in a shed.
82
00:07:17,734 --> 00:07:19,942
Abraham Lincoln grew up in a shed.
83
00:07:20,026 --> 00:07:22,067
Abraham Lincoln grew up in a log cabin.
84
00:07:22,151 --> 00:07:25,442
Well, that's what they call a shed
when it's in the woods.
85
00:07:25,525 --> 00:07:27,151
There's no difference.
86
00:07:27,234 --> 00:07:29,817
Well, I'm gonna get you and him
out of this shed.
87
00:07:31,608 --> 00:07:32,775
As soon as possible.
88
00:07:38,859 --> 00:07:39,859
Thanks for the lift.
89
00:07:39,942 --> 00:07:41,192
No problem.
90
00:07:41,276 --> 00:07:43,151
I'm sorry my dad was such a jerk
last night.
91
00:07:43,567 --> 00:07:45,734
Was he? I didn't notice.
92
00:07:47,859 --> 00:07:49,234
Hey, nice car.
93
00:07:49,318 --> 00:07:50,151
Thanks.
94
00:07:50,234 --> 00:07:51,775
Bernard, this is my friend Matt.
95
00:07:51,859 --> 00:07:54,138
You didn't tell me you had a rich uncle.
Nice to meet you.
96
00:07:54,192 --> 00:07:55,608
Hardly rich. And I'm his cousin.
97
00:07:56,234 --> 00:07:57,859
You got a car, you're rich to me.
98
00:07:59,151 --> 00:08:00,942
Hey, good luck finding the right place.
99
00:08:04,734 --> 00:08:05,817
Hey.
100
00:08:08,359 --> 00:08:10,109
Hey, what's your cousin do for a living?
101
00:08:10,734 --> 00:08:11,817
He owns buildings.
102
00:08:12,567 --> 00:08:13,609
Really?
103
00:08:13,984 --> 00:08:14,984
Damn.
104
00:08:23,734 --> 00:08:25,276
Hello, my name is Bernard Garrett.
105
00:08:25,359 --> 00:08:28,817
I saw your property on Victoria Road.
I was wondering what the asking price...
106
00:08:28,900 --> 00:08:31,525
Hello, my name is Bernard Garrett.
Are you the owner of 12...
107
00:08:31,609 --> 00:08:34,192
Hi, my name is Bernard Garrett.
I'm a real estate investor.
108
00:08:34,276 --> 00:08:35,359
What's the asking price?
109
00:08:35,442 --> 00:08:36,441
That high?
110
00:08:36,483 --> 00:08:39,400
How can a price that high be sustainable,
given the current rents...
111
00:08:39,483 --> 00:08:41,668
How many units are in the building
and what are they really...
112
00:08:41,692 --> 00:08:43,335
{\an8}Looks to me
the building needs a little work.
113
00:08:43,359 --> 00:08:44,525
{\an8}Maybe we can negotiate...
114
00:08:44,609 --> 00:08:47,026
{\an8}Right. I understand.
Thank you for your time.
115
00:08:50,359 --> 00:08:52,276
This is a white neighborhood, Bernard.
116
00:08:52,359 --> 00:08:53,984
Well, it won't be white for long.
117
00:08:54,067 --> 00:08:57,483
Not with the black neighborhood
two blocks away bursting at the seams.
118
00:08:58,901 --> 00:09:01,151
Well, how much
does Barker & Associates want for it?
119
00:09:02,151 --> 00:09:03,734
We have enough to buy it.
120
00:09:03,817 --> 00:09:06,109
Just won't have anything left over
to fix it up with.
121
00:09:07,400 --> 00:09:09,318
What if I got us a co-investor?
122
00:09:33,067 --> 00:09:35,734
All right, fellows. That was smokin'.
123
00:09:35,817 --> 00:09:36,942
Joe!
124
00:09:38,193 --> 00:09:39,650
Eunice!
125
00:09:39,734 --> 00:09:42,151
You came back to me.
126
00:09:43,942 --> 00:09:45,609
Girl, look at you.
127
00:09:45,692 --> 00:09:47,483
Stop it. Behave now.
128
00:09:47,567 --> 00:09:48,609
Honey.
129
00:09:50,359 --> 00:09:51,483
Who's this?
130
00:09:51,567 --> 00:09:53,984
That uncle
you was always talking to me about?
131
00:09:54,650 --> 00:09:55,649
Husband.
132
00:09:55,859 --> 00:09:57,026
Your hus... What?
133
00:09:57,109 --> 00:09:58,193
Wait.
134
00:09:58,276 --> 00:09:59,650
Three years.
135
00:10:00,734 --> 00:10:02,109
Congratulations, man.
136
00:10:02,193 --> 00:10:03,318
You hit the jackpot.
137
00:10:03,400 --> 00:10:04,901
If you're the marrying type.
138
00:10:04,984 --> 00:10:09,859
I'm not, but if I were,
can't do no better than Eunice Perkins.
139
00:10:09,942 --> 00:10:10,984
Garrett.
140
00:10:11,067 --> 00:10:12,567
Pleased to meet you, Garrett.
141
00:10:12,650 --> 00:10:13,775
No, I'm Bernard.
142
00:10:14,234 --> 00:10:16,252
I heard him say "Garrett."
Didn't you hear him say "Garrett"?
143
00:10:16,276 --> 00:10:17,276
That's what I heard.
144
00:10:19,234 --> 00:10:20,901
I'm just messing with you, man.
145
00:10:20,984 --> 00:10:21,984
You want a drink?
146
00:10:22,067 --> 00:10:23,067
It's 4:00 p.m.
147
00:10:23,151 --> 00:10:24,775
I know. You're starting late.
148
00:10:24,859 --> 00:10:26,318
I'll have 'em make it strong.
149
00:10:26,400 --> 00:10:29,067
Jackie, make my man here something strong.
150
00:10:29,151 --> 00:10:30,151
A triple.
151
00:10:30,234 --> 00:10:32,484
You know, see if we can blow
the stick out of his ass.
152
00:10:33,650 --> 00:10:36,400
You did not even talk to him
about your idea.
153
00:10:36,484 --> 00:10:38,400
No way am I doing business with that man.
154
00:10:38,484 --> 00:10:40,942
Not for a loan.
Especially not as a business partner.
155
00:10:41,026 --> 00:10:42,026
He's a damn degenerate.
156
00:10:42,109 --> 00:10:43,942
Bernard, please!
157
00:10:45,692 --> 00:10:47,067
I don't need his help.
158
00:10:49,484 --> 00:10:52,484
You have got the wrong idea about him.
159
00:10:52,567 --> 00:10:54,400
Really? You think so?
160
00:10:55,234 --> 00:10:57,359
'Cause the vice squad
seems to disagree with you.
161
00:10:58,400 --> 00:11:00,193
Well, that's the mayor, silly.
162
00:11:00,276 --> 00:11:02,609
Do you wanna meet him?
Because he's friends with Joe.
163
00:11:04,442 --> 00:11:05,525
No.
164
00:11:06,734 --> 00:11:08,400
If you won't let Joe invest,
165
00:11:08,484 --> 00:11:11,151
then you are gonna have to
make Barker come down on his price.
166
00:11:18,567 --> 00:11:20,442
Asking price is 40,000.
167
00:11:20,859 --> 00:11:22,484
You won't get a penny over 35.
168
00:11:22,567 --> 00:11:23,859
You offering 35?
169
00:11:23,942 --> 00:11:25,318
I can give you 30.
170
00:11:25,817 --> 00:11:28,318
Why would I take 30 if I can get 35?
171
00:11:28,400 --> 00:11:31,193
Well, the building needs renovations
to unlock its value.
172
00:11:31,276 --> 00:11:32,650
It's been fine for my tenants.
173
00:11:32,734 --> 00:11:34,692
Your tenants only occupy
half the building.
174
00:11:35,067 --> 00:11:37,525
But with new kitchens
and refinished floors...
175
00:11:37,609 --> 00:11:41,400
My tenants won't pay more even if they
can see the reflections in those floors.
176
00:11:41,484 --> 00:11:42,901
But another market will.
177
00:11:43,859 --> 00:11:46,567
Black doctors, lawyers, teachers
178
00:11:46,650 --> 00:11:50,026
looking for a place to move outside
the ghettos that they've been forced into.
179
00:11:50,525 --> 00:11:52,318
No one is going after that market.
180
00:11:52,400 --> 00:11:53,400
But I can.
181
00:11:55,817 --> 00:11:57,650
Your confidence is impressive.
182
00:11:57,734 --> 00:12:01,442
But 10,000 less than asking is not enough.
183
00:12:01,525 --> 00:12:04,400
Once I lease the units,
I can give you your full asking price.
184
00:12:04,484 --> 00:12:05,483
Let's say by...
185
00:12:06,692 --> 00:12:07,901
June.
186
00:12:07,984 --> 00:12:12,400
You want me to loan you $10,000
so you can buy my building?
187
00:12:12,484 --> 00:12:14,068
It's not a loan. It's an investment.
188
00:12:14,151 --> 00:12:15,276
It's a loan.
189
00:12:15,859 --> 00:12:19,400
For more than three times what the average
American family make in a year.
190
00:12:19,484 --> 00:12:21,692
- Two point four times.
- What?
191
00:12:21,776 --> 00:12:26,360
The average American income in 1953
was $4,233.
192
00:12:26,442 --> 00:12:29,692
Ten thousand is 2.4 times
the average income.
193
00:12:31,650 --> 00:12:35,692
Well, I admire your entrepreneurial gusto,
194
00:12:35,776 --> 00:12:38,692
but it's not the way I do business.
195
00:12:40,109 --> 00:12:41,109
I'm sorry.
196
00:12:49,151 --> 00:12:50,817
Thank you for your time, Mr. Barker.
197
00:13:08,859 --> 00:13:10,651
Look what just walked in.
198
00:13:10,734 --> 00:13:12,151
Mighty fancy for a colored fella.
199
00:13:13,068 --> 00:13:14,067
We'll see.
200
00:13:14,734 --> 00:13:17,692
Hi. I'm Bernard Garrett.
I'd like to speak with Mr. Reed, please.
201
00:13:17,776 --> 00:13:20,442
I'm sorry, Mr. Reed is out.
May I take a message?
202
00:13:22,151 --> 00:13:26,068
I have pretty good eyesight and I can
clearly read the nameplate on his desk.
203
00:13:27,525 --> 00:13:29,276
I'm sorry. I misspoke.
204
00:13:30,318 --> 00:13:32,068
Mr. Reed can't meet with you right now.
205
00:13:32,151 --> 00:13:33,400
But I could take a message.
206
00:13:35,276 --> 00:13:37,651
No. There's no message.
207
00:13:38,525 --> 00:13:39,525
Thank you.
208
00:13:48,692 --> 00:13:49,984
Mr. Reed.
209
00:13:50,068 --> 00:13:51,068
Do I know you?
210
00:13:51,151 --> 00:13:52,525
No. But you know Mr. Barker.
211
00:13:52,609 --> 00:13:54,484
I'd like a loan
to buy one of his buildings.
212
00:13:54,567 --> 00:13:56,734
Yeah, you can make
an appointment inside, please.
213
00:13:56,817 --> 00:13:59,859
Well, you and I both know
I'm not getting an appointment inside.
214
00:14:00,859 --> 00:14:03,692
Now, this deal will benefit Mr. Barker.
215
00:14:04,651 --> 00:14:05,651
You should hear me out.
216
00:14:08,318 --> 00:14:10,734
Your uncle gonna get a good laugh
out of this one.
217
00:14:13,442 --> 00:14:16,068
Keep looking. You're gonna find yourself
another building.
218
00:14:17,234 --> 00:14:18,234
Yeah.
219
00:14:20,901 --> 00:14:22,525
Come on. Time for bed, little man.
220
00:14:23,360 --> 00:14:24,193
Yes?
221
00:14:24,276 --> 00:14:27,068
Bernard, there's a phone call for you.
222
00:14:32,068 --> 00:14:35,235
- Hello?
- Mr. Garrett. This is Patrick Barker.
223
00:14:35,859 --> 00:14:40,776
Did you use my name to try and get a loan
from Mr. Reed at Mid City Bank?
224
00:14:41,360 --> 00:14:43,026
Well, in a manner of speaking...
225
00:14:43,859 --> 00:14:44,858
yes.
226
00:14:45,567 --> 00:14:48,651
And do you think that follows
normal business customs?
227
00:14:49,984 --> 00:14:51,817
If I was following
normal business customs,
228
00:14:51,901 --> 00:14:53,943
I'd still be a shoeshine boy
in Texas, sir.
229
00:14:54,026 --> 00:14:56,609
I didn't ask for your biography,
Mr. Garrett.
230
00:14:56,692 --> 00:15:00,318
I asked if you thought
it followed normal business customs.
231
00:15:02,651 --> 00:15:04,068
- No.
- Good.
232
00:15:04,151 --> 00:15:05,817
Well, at least we can agree on that.
233
00:15:07,859 --> 00:15:11,651
Reed wants to see you at the bank
in the morning to sign off on that loan.
234
00:15:12,235 --> 00:15:13,276
Excuse me?
235
00:15:13,734 --> 00:15:15,859
I told him I'd act as guarantor.
236
00:15:18,400 --> 00:15:19,442
You still there?
237
00:15:21,692 --> 00:15:23,276
Why are you doing this, Mr. Barker?
238
00:15:23,360 --> 00:15:25,109
Because normal business customs
239
00:15:25,193 --> 00:15:27,859
are in place to screw people like you,
Mr. Garrett.
240
00:15:28,318 --> 00:15:31,318
You went to see Reed
knowing the deck was stacked
241
00:15:31,400 --> 00:15:34,193
because you have
that much confidence in this deal.
242
00:15:35,193 --> 00:15:37,109
That tells me
all I need to know about you.
243
00:15:40,318 --> 00:15:41,943
Well, do you want this loan or not?
244
00:15:45,026 --> 00:15:46,318
Yes.
245
00:15:51,026 --> 00:15:55,651
Sometimes you need to take a step back
and enjoy what you've accomplished, baby.
246
00:16:28,859 --> 00:16:29,943
You like cigars?
247
00:16:31,567 --> 00:16:32,651
I don't smoke.
248
00:16:42,110 --> 00:16:44,026
I'm not fucking your wife.
249
00:16:45,776 --> 00:16:48,859
You go to every table in here
to reassure your patrons of that?
250
00:16:48,943 --> 00:16:51,567
No. Might have to skip some of them.
251
00:16:53,943 --> 00:16:55,276
Come on, man. Lighten up.
252
00:16:55,360 --> 00:16:57,151
I'm not the asshole you think I am.
253
00:16:57,235 --> 00:16:59,318
You a different kind of asshole, huh?
254
00:17:02,484 --> 00:17:04,068
I've been told that, yeah.
255
00:17:04,818 --> 00:17:06,442
Come on. Let's go outside and talk.
256
00:17:19,609 --> 00:17:21,026
What do you want from me, man?
257
00:17:21,609 --> 00:17:23,526
You mean aside from your wife?
258
00:17:26,651 --> 00:17:30,442
Look, I like seeing black men succeed.
259
00:17:30,526 --> 00:17:33,526
Sometimes I even invest
some of my own money to back them.
260
00:17:34,901 --> 00:17:36,235
But you don't even know me.
261
00:17:36,318 --> 00:17:38,318
I know you're smart and ambitious.
262
00:17:39,692 --> 00:17:41,526
You and I both know that's not enough.
263
00:17:41,609 --> 00:17:43,110
You're also angry.
264
00:17:43,984 --> 00:17:45,110
But you don't show it.
265
00:17:45,692 --> 00:17:47,442
That's the best kind of anger.
266
00:17:47,526 --> 00:17:49,608
Fuels you without making you a target.
267
00:17:50,776 --> 00:17:51,776
I'm not angry.
268
00:17:54,900 --> 00:17:55,943
Yeah, all right.
269
00:18:00,776 --> 00:18:01,818
Nice glasses.
270
00:18:01,901 --> 00:18:03,318
You near-sighted or far-sighted?
271
00:18:03,984 --> 00:18:04,984
Does it matter?
272
00:18:05,901 --> 00:18:07,984
Just wondering what you'd look like
without 'em.
273
00:18:13,693 --> 00:18:15,276
So, you trust this Barker?
274
00:18:16,360 --> 00:18:17,609
He didn't have to help me.
275
00:18:18,693 --> 00:18:22,068
What if you can't finish the work
or rent the units fast enough?
276
00:18:22,943 --> 00:18:23,984
I'll make the date.
277
00:18:25,984 --> 00:18:28,651
See? Anger.
278
00:18:30,360 --> 00:18:31,734
I'm gonna get another drink.
279
00:18:36,734 --> 00:18:37,776
I'm not angry.
280
00:18:39,068 --> 00:18:40,151
Yes, you are.
281
00:18:50,026 --> 00:18:51,567
What are you doing here?
282
00:18:52,026 --> 00:18:55,567
Ma'am, I'm Bernard Garrett.
283
00:18:55,651 --> 00:18:57,901
Just doing some renovations
on the empty apartments.
284
00:18:58,318 --> 00:19:00,068
What hours do you work?
285
00:19:00,151 --> 00:19:04,068
Well, the city say all construction has to
be done between 8:00 a.m. and 6:00 p.m.
286
00:19:04,151 --> 00:19:07,484
- So, if you need any improvements...
- I don't need improvements.
287
00:19:07,901 --> 00:19:10,651
And you can tell
that mick that owns this place,
288
00:19:10,734 --> 00:19:14,193
when he goes jacking the rent,
he ain't jacking mine.
289
00:19:14,276 --> 00:19:15,275
Yes, ma'am.
290
00:19:15,318 --> 00:19:18,526
Mr. Barker was very clear about your lease
when he sold me the building.
291
00:19:19,609 --> 00:19:21,776
Don't you sass me, boy.
292
00:19:22,151 --> 00:19:23,651
This is a white building.
293
00:19:24,484 --> 00:19:26,401
You can't own this place.
294
00:19:36,818 --> 00:19:39,567
Hey, why don't you grab that scraper
and start on the other end?
295
00:19:40,110 --> 00:19:41,151
All right.
296
00:19:42,985 --> 00:19:44,026
- Hey, man.
- Hey.
297
00:19:44,859 --> 00:19:45,943
Hey, thanks for coming.
298
00:19:46,026 --> 00:19:47,026
Of course.
299
00:19:48,526 --> 00:19:49,609
How's it going?
300
00:19:50,235 --> 00:19:51,818
I can offer you a buck, 50 an hour.
301
00:19:51,901 --> 00:19:53,151
That's great.
302
00:19:53,235 --> 00:19:54,943
And you're fine with working for me?
303
00:19:55,026 --> 00:19:56,859
I've been working for other men
my whole life.
304
00:19:56,943 --> 00:19:59,484
Right. But are you okay
with working for me?
305
00:20:00,609 --> 00:20:03,568
Well, your money is green.
That's the only concern about color I got.
306
00:20:03,985 --> 00:20:06,277
And I like the idea
of watching you build a business.
307
00:20:06,360 --> 00:20:08,484
It's something I'd like to do again
myself one day.
308
00:20:08,568 --> 00:20:09,609
"Again"?
309
00:20:09,693 --> 00:20:11,609
Yeah, I tried something a few years back.
310
00:20:11,693 --> 00:20:13,901
It was a drive-in ice cream shop.
311
00:20:14,693 --> 00:20:18,068
Well, it turns out people don't wanna
eat ice cream while driving their cars.
312
00:20:21,193 --> 00:20:22,985
- You serious?
- Yeah.
313
00:20:27,609 --> 00:20:28,985
- Let's get to work.
- Yeah.
314
00:20:32,318 --> 00:20:34,360
Connect it here. Like this.
315
00:20:36,859 --> 00:20:37,858
Should be good.
316
00:20:46,526 --> 00:20:47,526
Step back.
317
00:20:51,860 --> 00:20:52,860
Right there.
318
00:20:53,526 --> 00:20:55,609
We want to scrape these railings
up to the front
319
00:20:55,693 --> 00:20:58,277
and paint our way back
and then go back with the stucco.
320
00:20:58,360 --> 00:21:00,693
Go from the top. Let's work our way down.
321
00:21:00,776 --> 00:21:02,193
- Bernard Garrett.
- Then let's...
322
00:21:03,734 --> 00:21:05,526
Yes, Officer. Is there a problem?
323
00:21:05,609 --> 00:21:07,277
We received a complaint about you.
324
00:21:07,776 --> 00:21:10,860
Ms. Cooper in Apartment 2A
does not like you working in the building.
325
00:21:12,151 --> 00:21:12,985
Why not?
326
00:21:13,068 --> 00:21:14,919
She said you were impersonating
the owner of the building.
327
00:21:14,943 --> 00:21:17,568
- No, he owns the building.
- I'm not talking to you.
328
00:21:20,609 --> 00:21:22,277
I do own the building, Officer.
329
00:21:22,360 --> 00:21:24,818
All the paperwork is filed downtown.
330
00:21:24,901 --> 00:21:27,860
But I keep a copy with me,
just to be safe.
331
00:21:34,026 --> 00:21:35,193
This actually looks real.
332
00:21:42,110 --> 00:21:43,235
Yeah, I guess so.
333
00:21:45,734 --> 00:21:47,651
Try to be more respectful to your tenants.
334
00:21:49,110 --> 00:21:50,318
Yes, sir, Officer.
335
00:21:51,442 --> 00:21:53,068
Sorry for the inconvenience.
336
00:22:02,860 --> 00:22:06,235
You can't be here after 6:00 p.m.
337
00:22:06,318 --> 00:22:09,277
A contractor can't be here
after 6:00 p.m., Ms. Cooper.
338
00:22:09,818 --> 00:22:11,193
I'm a resident.
339
00:22:11,277 --> 00:22:12,277
I'm moving in.
340
00:22:28,235 --> 00:22:30,277
I hope your mother enjoys her new place.
341
00:22:30,360 --> 00:22:31,651
I'm sure she will.
342
00:22:31,734 --> 00:22:33,235
- Mrs. Garrett?
- Yes.
343
00:22:33,318 --> 00:22:36,360
Anita Jefferson. We spoke about
leasing one of your apartments?
344
00:22:36,443 --> 00:22:38,360
Yes, of course. It's nice to meet you.
345
00:22:41,193 --> 00:22:42,401
Fully leased.
346
00:22:43,484 --> 00:22:44,526
Impressive.
347
00:22:48,110 --> 00:22:51,026
I have my eye on a place
two blocks east of here.
348
00:22:51,609 --> 00:22:52,693
You interested?
349
00:22:52,776 --> 00:22:53,776
You mean a partnership?
350
00:22:54,693 --> 00:22:55,818
Yeah. 50-50.
351
00:22:56,735 --> 00:22:57,818
But on one condition.
352
00:23:00,068 --> 00:23:01,068
Bernard...
353
00:23:01,693 --> 00:23:02,943
I do business with people
354
00:23:03,609 --> 00:23:05,651
who turn away from me
after we shake on the deal
355
00:23:05,735 --> 00:23:08,152
and wash their hands
because I'm a dirty Irishman.
356
00:23:09,735 --> 00:23:12,484
But they do business with me
because I make them money.
357
00:23:13,818 --> 00:23:17,443
Now, you have the knack of knowing
the untapped value of a building.
358
00:23:19,152 --> 00:23:21,068
You'll work the phones with me.
359
00:23:22,526 --> 00:23:23,609
Work the investors.
360
00:23:24,443 --> 00:23:28,277
But when we need a face to sign the deal,
that'll be me.
361
00:23:29,943 --> 00:23:30,943
And we'll make money.
362
00:23:32,027 --> 00:23:33,027
A lot of it.
363
00:23:35,484 --> 00:23:36,484
Fifty-fifty?
364
00:23:39,193 --> 00:23:40,401
Fifty-fifty.
365
00:23:47,443 --> 00:23:48,443
This is it. Right here.
366
00:23:48,860 --> 00:23:49,860
There you go.
367
00:23:52,193 --> 00:23:53,193
Your signature.
368
00:24:02,818 --> 00:24:04,068
Hello? Yeah.
369
00:24:04,693 --> 00:24:05,693
Right.
370
00:24:07,568 --> 00:24:08,985
I was calling about the house...
371
00:24:34,443 --> 00:24:35,818
Let's try the sofa over here.
372
00:24:36,401 --> 00:24:38,776
Lamp. Right here in the corner.
373
00:24:38,860 --> 00:24:40,943
It's perfect. Perfect. Perfect.
374
00:24:41,443 --> 00:24:43,360
That looks great.
375
00:24:43,901 --> 00:24:45,818
What do you think, baby? It's nice, right?
376
00:24:45,901 --> 00:24:48,401
Well. I think there's something going on
with the car.
377
00:24:48,484 --> 00:24:49,651
You wanna go check on it?
378
00:24:51,443 --> 00:24:52,443
Right.
379
00:24:54,193 --> 00:24:56,693
Okay, let's move the table there,
slide the couch in,
380
00:24:56,776 --> 00:24:58,401
and put the lamp on the other side.
381
00:24:59,152 --> 00:25:02,068
And don't you dare let him move anything
when he gets back. Okay?
382
00:25:02,152 --> 00:25:03,401
- Yes, ma'am.
- Yes, ma'am.
383
00:25:06,110 --> 00:25:09,693
Barker and I have been thinking about
diversifying in single family homes.
384
00:25:10,818 --> 00:25:11,818
So...
385
00:25:12,735 --> 00:25:17,068
want you to go in, tell me
what you think this house needs.
386
00:25:24,901 --> 00:25:25,985
Bernard.
387
00:25:28,484 --> 00:25:30,110
This place is beautiful.
388
00:25:31,860 --> 00:25:32,860
You think?
389
00:25:33,360 --> 00:25:35,110
- Yes.
- Does it need anything?
390
00:25:35,193 --> 00:25:36,360
Furniture.
391
00:25:37,526 --> 00:25:39,110
So I did a good job?
392
00:25:39,193 --> 00:25:41,027
Well, it depends on the price, doesn't it?
393
00:25:42,735 --> 00:25:43,860
Not this time, baby.
394
00:25:46,735 --> 00:25:48,484
Go on. Take it. I already got a set.
395
00:25:50,610 --> 00:25:52,401
Are you serious?
396
00:25:57,735 --> 00:25:59,526
You really sleeping in late.
397
00:26:00,110 --> 00:26:01,860
Time to get up, dear.
398
00:26:16,194 --> 00:26:18,235
Mrs. Barker would like to offer a buyout
399
00:26:18,319 --> 00:26:21,735
for your interest
in all the Barker/Garrett properties.
400
00:26:21,818 --> 00:26:23,484
I have no reason to sell.
401
00:26:23,568 --> 00:26:25,401
I'm happy running the buildings on my own.
402
00:26:25,484 --> 00:26:26,860
That's unacceptable.
403
00:26:26,943 --> 00:26:28,382
I don't wanna be in business with...
404
00:26:30,068 --> 00:26:33,194
I prefer not to continue the arrangement.
405
00:26:35,068 --> 00:26:36,319
What's the offer?
406
00:26:45,277 --> 00:26:46,860
This is outrageous.
407
00:26:46,943 --> 00:26:49,985
I own 50% of a dozen properties.
408
00:26:50,068 --> 00:26:52,526
You want me to give it up
for pennies on the dollar?
409
00:26:52,610 --> 00:26:54,985
I don't have to pay you anything.
410
00:26:55,651 --> 00:26:57,610
Your name doesn't appear
on any of the deeds.
411
00:26:57,693 --> 00:26:58,818
Well, it couldn't.
412
00:26:59,319 --> 00:27:00,443
We had an agreement.
413
00:27:00,526 --> 00:27:03,152
And we all know
what your husband's intentions were.
414
00:27:07,526 --> 00:27:10,568
I will up my offer
to 25 cents on the dollar.
415
00:27:10,651 --> 00:27:12,818
And if you see fit
to refuse that, Mr. Garrett,
416
00:27:12,902 --> 00:27:14,526
you can walk away with nothing
417
00:27:15,068 --> 00:27:16,985
unless you wanna face me
in a court of law.
418
00:27:17,776 --> 00:27:19,068
With a different lawyer.
419
00:27:25,568 --> 00:27:27,943
There has to be a way
to prove Mr. Barker's intentions.
420
00:27:28,027 --> 00:27:30,152
Well, if you could find a witness, yes.
421
00:27:30,235 --> 00:27:31,235
But...
422
00:27:31,610 --> 00:27:32,610
it can't be me.
423
00:27:33,194 --> 00:27:34,610
I could get disbarred for that.
424
00:27:35,485 --> 00:27:37,610
Mr. Reed at Mid City...
425
00:27:37,693 --> 00:27:39,818
He's her banker now, Bernard.
426
00:27:41,194 --> 00:27:42,860
He's not going to intervene for you.
427
00:27:47,693 --> 00:27:49,152
I need to see Mr. Reed.
428
00:27:49,235 --> 00:27:50,651
I'm sorry, Mr. Garrett.
429
00:27:50,735 --> 00:27:53,110
Mr. Reed can't see anybody
without an appointment.
430
00:27:53,194 --> 00:27:54,194
This is urgent.
431
00:27:56,610 --> 00:27:57,651
Hold on a moment.
432
00:29:01,277 --> 00:29:04,485
I don't know how familiar you are
with the commercial real estate market.
433
00:29:04,568 --> 00:29:07,361
Eunice told me you had two or three
income-producing buildings?
434
00:29:08,277 --> 00:29:09,485
Seventeen.
435
00:29:09,568 --> 00:29:11,818
But once you've popped your cherry,
436
00:29:11,902 --> 00:29:14,401
I mean, how much more
can you learn on each new one?
437
00:29:15,985 --> 00:29:17,027
Seventeen?
438
00:29:17,902 --> 00:29:19,319
Eighteen, if you count the club.
439
00:29:20,110 --> 00:29:21,777
My mother was a real estate agent.
440
00:29:23,069 --> 00:29:24,152
You know this building?
441
00:29:27,110 --> 00:29:29,985
Sure. Bunch of bankers headquarters
in there.
442
00:29:30,069 --> 00:29:32,985
Tallest commercial building
in downtown Los Angeles.
443
00:29:33,069 --> 00:29:34,110
I wanna buy it.
444
00:29:36,277 --> 00:29:37,319
I want us to buy it.
445
00:29:41,152 --> 00:29:45,443
That's a mighty big building to buy
on the most expensive land in the city.
446
00:29:45,526 --> 00:29:46,526
I know.
447
00:29:48,361 --> 00:29:50,361
We'd need a substantial loan.
448
00:29:50,443 --> 00:29:53,194
You don't own all 18 of those properties
outright, do you?
449
00:29:55,194 --> 00:29:59,319
I got a banker in San Francisco
I've done business with for years.
450
00:30:01,027 --> 00:30:02,027
Drink?
451
00:30:02,110 --> 00:30:03,443
No, thank you. I don't drink.
452
00:30:09,319 --> 00:30:14,860
You know there's not a single black-owned
building in downtown Los Angeles.
453
00:30:14,943 --> 00:30:16,443
There's a reason for that.
454
00:30:16,526 --> 00:30:18,818
Yeah. We're probably gonna
have to overpay to get it.
455
00:30:20,361 --> 00:30:21,735
Tell me something I don't know.
456
00:30:23,277 --> 00:30:24,277
Now...
457
00:30:25,777 --> 00:30:26,818
convince me.
458
00:30:29,277 --> 00:30:30,277
Well...
459
00:30:32,110 --> 00:30:35,027
the best place to learn about the present
state of the real estate market
460
00:30:35,110 --> 00:30:36,526
is inside of a bank.
461
00:30:36,610 --> 00:30:39,319
We get that building,
we'll be inside 12 of them.
462
00:30:40,194 --> 00:30:43,944
And next time they'll think twice about
refusing to make loans to us
463
00:30:44,526 --> 00:30:45,944
if we're their landlords.
464
00:30:48,069 --> 00:30:50,610
That's very audacious, Mr. Garrett.
465
00:30:51,277 --> 00:30:53,235
I think of it in purely logical terms.
466
00:30:54,568 --> 00:30:55,568
What a shame.
467
00:30:55,985 --> 00:30:57,027
Excuse me?
468
00:30:57,110 --> 00:31:00,194
What about the thrill
of taking it to the man?
469
00:31:00,277 --> 00:31:02,526
In his own castle, no less?
470
00:31:03,860 --> 00:31:04,860
No?
471
00:31:06,985 --> 00:31:07,985
Never mind.
472
00:31:09,027 --> 00:31:13,652
But on purely logical terms,
I have a concern about your plan.
473
00:31:13,735 --> 00:31:15,069
What's that?
474
00:31:15,610 --> 00:31:19,401
All this information we'll be getting
from hanging around all these bankers
475
00:31:19,485 --> 00:31:23,319
is gonna be about
property in white neighborhoods.
476
00:31:27,361 --> 00:31:33,236
Do you plan on starting to buy real estate
in white-only neighborhoods, Mr. Garrett?
477
00:31:34,027 --> 00:31:35,693
That's exactly what we're gonna do.
478
00:31:40,860 --> 00:31:44,985
And just how in the hell
do you plan on pulling that off?
479
00:31:45,818 --> 00:31:47,985
The same way we're gonna buy
the Bankers Building.
480
00:31:54,401 --> 00:31:55,818
You want me to what?
481
00:31:55,902 --> 00:31:58,527
Be us to the rest of the world.
482
00:31:59,735 --> 00:32:03,236
I don't know anything about banking.
I don't know how to buy a bank.
483
00:32:03,319 --> 00:32:05,069
We're not actually buying a bank.
484
00:32:05,152 --> 00:32:07,443
We're buying a building
that the banks are in.
485
00:32:07,944 --> 00:32:09,027
The banks are tenants.
486
00:32:10,860 --> 00:32:11,693
Right.
487
00:32:11,777 --> 00:32:13,610
You'd just be the face of our partnership.
488
00:32:14,735 --> 00:32:17,027
You think I'm,
you know, qualified for this?
489
00:32:17,110 --> 00:32:18,985
We'll teach you everything
you need to know.
490
00:32:22,735 --> 00:32:24,944
That guy? Seriously?
491
00:32:25,443 --> 00:32:27,069
He just has to digest it.
492
00:32:27,152 --> 00:32:28,152
So, what?
493
00:32:28,236 --> 00:32:30,610
He can freeze up
soon as we send him in the room?
494
00:32:30,693 --> 00:32:31,735
He won't freeze up.
495
00:32:31,819 --> 00:32:33,485
Trust me. He's the right guy.
496
00:32:33,568 --> 00:32:37,860
I'll lay you a hundred dollars to your one
he can't go the distance.
497
00:32:38,277 --> 00:32:39,902
Don't you know any other white people
498
00:32:39,985 --> 00:32:41,902
who'd like to get paid
to be our front man?
499
00:32:41,985 --> 00:32:43,568
Not that I trust. Do you?
500
00:32:43,944 --> 00:32:45,361
I don't trust white people.
501
00:32:46,110 --> 00:32:47,819
How do you even go through life like that?
502
00:32:47,902 --> 00:32:49,860
Truth be told,
I don't trust black people either.
503
00:32:51,069 --> 00:32:52,401
What are you even saying?
504
00:32:52,485 --> 00:32:55,361
Look. I do plenty of business
with white folks.
505
00:32:55,443 --> 00:32:56,443
I'm friendly with them.
506
00:32:56,527 --> 00:32:58,277
Good friends with some.
507
00:32:58,361 --> 00:33:01,194
I'm just saying that no matter what,
508
00:33:01,277 --> 00:33:05,236
there's always something extra
going on in the relationship.
509
00:33:05,319 --> 00:33:06,777
It's just the way shit is.
510
00:33:06,860 --> 00:33:08,568
When you accept that,
511
00:33:08,652 --> 00:33:11,944
you can't get caught off guard
when it rears its ugly head.
512
00:33:12,610 --> 00:33:14,236
I can't live my life like that.
513
00:33:14,735 --> 00:33:16,277
See, that's what I like about you.
514
00:33:16,985 --> 00:33:18,527
You are a good person.
515
00:33:18,610 --> 00:33:20,735
Ain't been corrupted by the world yet.
516
00:33:20,819 --> 00:33:21,985
Like a child.
517
00:33:22,902 --> 00:33:25,652
But that's gonna change when you get rich.
518
00:33:26,652 --> 00:33:27,860
Yeah, I'll take that risk.
519
00:33:28,568 --> 00:33:30,027
You ain't gonna have no choice.
520
00:33:40,152 --> 00:33:41,236
Thanks.
521
00:33:51,985 --> 00:33:52,984
Hi.
522
00:33:54,443 --> 00:33:55,485
Hi.
523
00:33:55,985 --> 00:33:58,152
You're Matt Steiner, right?
524
00:34:01,194 --> 00:34:02,277
Hollywood High?
525
00:34:02,361 --> 00:34:03,527
- Yes.
- Right.
526
00:34:03,610 --> 00:34:07,443
You were a few years ahead of me,
but everybody knew who you were.
527
00:34:11,027 --> 00:34:12,735
What are you all sour-faced about?
528
00:34:14,485 --> 00:34:15,485
I was just thinking.
529
00:34:16,027 --> 00:34:17,027
About?
530
00:34:17,777 --> 00:34:18,776
A new job.
531
00:34:19,194 --> 00:34:20,194
Doing what?
532
00:34:21,111 --> 00:34:22,194
Real estate.
533
00:34:22,568 --> 00:34:24,402
Like a broker?
534
00:34:24,860 --> 00:34:27,027
You know, more like an investor.
535
00:34:27,902 --> 00:34:29,735
Well, I'd be working with the investors.
536
00:34:29,819 --> 00:34:30,652
Hand in hand.
537
00:34:30,735 --> 00:34:31,985
So, they're hiring you?
538
00:34:33,610 --> 00:34:34,652
Kind of a partnership.
539
00:34:35,819 --> 00:34:37,152
A partnership.
540
00:34:39,527 --> 00:34:42,152
- Susie.
- Yeah, yeah.
541
00:34:42,236 --> 00:34:43,860
- It's good to see you.
- You too.
542
00:34:54,860 --> 00:34:55,860
I'm in.
543
00:34:56,902 --> 00:34:57,901
You sure?
544
00:34:57,985 --> 00:35:00,402
Just teach me what I need to know.
I won't let you down.
545
00:35:02,985 --> 00:35:05,944
Be at Rancho Park Golf Course
tomorrow morning, 6:00 a.m.
546
00:35:06,401 --> 00:35:07,443
Don't be late.
547
00:35:07,527 --> 00:35:08,527
Thank you.
548
00:35:10,027 --> 00:35:11,069
Thanks.
549
00:35:25,777 --> 00:35:26,901
What? Is he even coming?
550
00:35:29,069 --> 00:35:30,319
Morning, fellows.
551
00:35:30,402 --> 00:35:31,610
I thought you said 6:00?
552
00:35:31,694 --> 00:35:34,027
- I did. Were you here at 6:00?
- Yeah.
553
00:35:34,111 --> 00:35:35,111
Good.
554
00:35:35,694 --> 00:35:36,735
You ever play golf?
555
00:35:37,194 --> 00:35:38,402
No.
556
00:35:38,485 --> 00:35:40,610
Well, before you learn
how to talk real estate,
557
00:35:40,694 --> 00:35:42,694
you gotta learn
how to talk to rich white folks
558
00:35:42,777 --> 00:35:44,443
so it seems like you one of 'em.
559
00:35:44,527 --> 00:35:47,986
And you got one month
to learn how to play golf.
560
00:35:48,069 --> 00:35:50,461
And I mean learn to play
like you've been playing your whole life.
561
00:35:50,485 --> 00:35:51,568
Think you can do that?
562
00:35:52,361 --> 00:35:54,485
Yeah. I played
a lot of sports as a kid. So...
563
00:35:54,568 --> 00:35:56,694
So... yes?
564
00:35:56,777 --> 00:35:58,402
- Yes.
- All right, then.
565
00:35:58,819 --> 00:36:00,527
Take him over and get him outfitted.
566
00:36:00,610 --> 00:36:02,777
Show him the basics
and I'll take over from there.
567
00:36:02,860 --> 00:36:03,860
Follow me.
568
00:36:09,902 --> 00:36:11,278
So a hundred dollars to my one?
569
00:36:11,361 --> 00:36:15,361
You think it's a done deal because,
what, I'm such a good golf teacher?
570
00:36:15,443 --> 00:36:17,694
You can fake math.
You can't fake a golf game.
571
00:36:17,777 --> 00:36:19,027
He's right about that, Joe.
572
00:36:20,194 --> 00:36:23,402
Bernard, this is Don Silverthorne.
My banker.
573
00:36:23,485 --> 00:36:25,319
Flew all the way down
from San Francisco
574
00:36:25,402 --> 00:36:26,735
just to see how crazy we are.
575
00:36:26,819 --> 00:36:27,819
Nice to meet you.
576
00:36:30,902 --> 00:36:31,986
Shit!
577
00:36:32,069 --> 00:36:33,819
Well, it looks like I got my answer.
578
00:36:33,902 --> 00:36:35,694
Let's try that again.
579
00:36:35,777 --> 00:36:37,361
All right. What do I do differently?
580
00:36:37,443 --> 00:36:38,443
Swing lower.
581
00:36:39,027 --> 00:36:40,860
- Great, thanks.
- Keep your head still.
582
00:36:41,319 --> 00:36:42,610
Head still, head still...
583
00:36:45,735 --> 00:36:46,860
No, you moved.
584
00:36:47,527 --> 00:36:50,402
If this charade's gonna work
and you guys want me to finance,
585
00:36:50,485 --> 00:36:53,152
I just hope you don't offer
over two million for that building.
586
00:36:53,735 --> 00:36:55,278
More than that, I don't want the risk.
587
00:36:56,319 --> 00:36:58,485
I can get that building
for under two million.
588
00:36:58,569 --> 00:37:00,443
It's not you I'm worried about,
Mr. Garrett.
589
00:37:01,569 --> 00:37:02,569
I hit it.
590
00:37:04,152 --> 00:37:05,152
It's him.
591
00:37:05,777 --> 00:37:07,902
You sure you don't wanna give me
that dollar now?
592
00:37:10,361 --> 00:37:11,986
The old way of valuing a building
593
00:37:12,069 --> 00:37:15,402
is the number of years rent it takes
to pay off the price of a building.
594
00:37:15,944 --> 00:37:17,902
So, if the building costs $300,000
595
00:37:17,986 --> 00:37:21,861
and you're getting $30,000 net income
per year, it's a ten multiple.
596
00:37:21,944 --> 00:37:25,527
Today most people value buildings
using the capitalization rate.
597
00:37:25,944 --> 00:37:27,569
But they're mathematically related.
598
00:37:28,402 --> 00:37:31,278
So the cap rate
is the multiplicative inverse
599
00:37:31,361 --> 00:37:33,527
of the ten multiple
we were just talking about.
600
00:37:34,694 --> 00:37:38,278
300,000 = 30,000 x M.
601
00:37:38,361 --> 00:37:42,610
M = ten years.
602
00:37:42,694 --> 00:37:46,861
One-tenth x 300,000 = 30,000.
603
00:37:48,902 --> 00:37:52,027
One-tenth is 10%.
604
00:37:53,278 --> 00:37:54,278
Your cap rate.
605
00:37:58,236 --> 00:38:00,278
Maybe we should start with a math review.
606
00:38:01,485 --> 00:38:02,569
That'd be great.
607
00:38:13,485 --> 00:38:15,402
- Right?
- You have to carry the four.
608
00:38:16,361 --> 00:38:17,361
Which four?
609
00:38:27,361 --> 00:38:31,027
Even on a putt, keep your f-ing head down.
610
00:38:31,111 --> 00:38:32,610
Keep my f-ing head down. Keep...
611
00:38:38,902 --> 00:38:41,694
There's a subtraction error in there
and that last step is wrong.
612
00:38:41,777 --> 00:38:45,027
But other than that
you're getting the gist of it.
613
00:38:47,485 --> 00:38:48,485
Sorry.
614
00:38:48,569 --> 00:38:49,569
Sorry.
615
00:38:49,652 --> 00:38:50,652
Sorry!
616
00:38:57,361 --> 00:38:58,361
Right.
617
00:38:58,444 --> 00:39:00,735
Now multiply by 1.25.
618
00:39:01,485 --> 00:39:03,069
1.25...
619
00:39:04,527 --> 00:39:07,194
No. No, no, no. Stop! Stop!
620
00:39:11,402 --> 00:39:12,610
No, no, no.
621
00:39:13,236 --> 00:39:14,361
Stop laughing.
622
00:39:16,402 --> 00:39:17,861
What the hell?
623
00:39:19,485 --> 00:39:20,610
Hit it.
624
00:39:20,694 --> 00:39:21,777
I am hitting it!
625
00:39:27,736 --> 00:39:29,278
Careful now. Don't hurt yourself.
626
00:39:31,569 --> 00:39:32,736
Stop. Just stop.
627
00:39:35,569 --> 00:39:39,236
We're about 50 yards from the green,
so we're gonna use a wedge.
628
00:39:45,944 --> 00:39:49,153
And you wanna swing it 'bout this hard.
629
00:39:53,819 --> 00:39:56,652
Remember, it's a wedge,
so don't be scared to swing it.
630
00:39:56,736 --> 00:39:57,902
What else you gonna do?
631
00:39:57,986 --> 00:39:59,444
Keep my f-ing head down.
632
00:39:59,527 --> 00:40:00,736
Jesus. Come on.
633
00:40:12,319 --> 00:40:13,319
It's right...
634
00:40:17,652 --> 00:40:20,069
Holy shit. Oh, my...
635
00:40:20,153 --> 00:40:21,153
Come on.
636
00:40:21,986 --> 00:40:23,736
I just kept my f-ing head down and...
637
00:40:31,986 --> 00:40:35,361
It's 432,000.
638
00:40:39,902 --> 00:40:41,610
Yeah. Yeah, that's right.
639
00:40:41,694 --> 00:40:43,373
You got it right, man.
You're getting this.
640
00:41:44,944 --> 00:41:46,194
What you want, Bernard?
641
00:41:46,278 --> 00:41:47,402
This is my time.
642
00:41:48,819 --> 00:41:49,944
I wanna buy a building.
643
00:41:51,819 --> 00:41:56,320
It has a $100,000 annual gross income,
8% vacancy rate,
644
00:41:56,902 --> 00:42:01,902
$12,000 annual operating costs
and I require a 10% cap rate.
645
00:42:03,986 --> 00:42:06,194
What's the maximum purchase amount
I can offer?
646
00:42:13,111 --> 00:42:14,153
Where'd that go?
647
00:42:15,777 --> 00:42:19,361
Straight down the middle, 'bout...
648
00:42:20,611 --> 00:42:23,777
Shit, I don't even know.
I ain't never hit a ball that far.
649
00:42:23,861 --> 00:42:25,028
It's 800,000.
650
00:42:28,111 --> 00:42:29,611
- He's right.
- You're right.
651
00:42:29,694 --> 00:42:30,944
- He's right?
- Yeah.
652
00:42:32,153 --> 00:42:33,944
We have created a monster.
653
00:42:34,028 --> 00:42:35,194
You made the algebra easy.
654
00:42:35,278 --> 00:42:37,527
A month ago, you didn't know
what algebra was, Matt.
655
00:42:37,611 --> 00:42:39,320
- That's true.
- You have a knack for it.
656
00:42:44,069 --> 00:42:45,111
He's ready.
657
00:42:45,861 --> 00:42:47,986
Yep. He's ready.
658
00:42:49,320 --> 00:42:52,611
The Bankers Building is owned
by Charles Renault.
659
00:42:53,569 --> 00:42:55,278
It's 14 stories.
660
00:42:55,361 --> 00:42:58,819
119,000 square feet of commercial space.
661
00:42:59,903 --> 00:43:01,694
It was built in 1929.
662
00:43:01,777 --> 00:43:05,069
And it's still the tallest
commercial building downtown
663
00:43:05,153 --> 00:43:08,485
and generally considered the crown jewel
of downtown architecture.
664
00:43:12,694 --> 00:43:14,069
That's his office?
665
00:43:14,153 --> 00:43:15,527
That's his office.
666
00:43:16,320 --> 00:43:18,236
A converted ballroom.
667
00:43:19,028 --> 00:43:21,278
Holy shit. How rich is this guy?
668
00:43:21,361 --> 00:43:22,444
Very.
669
00:43:22,944 --> 00:43:26,278
Now, he won't take you seriously
without a proper introduction.
670
00:43:26,361 --> 00:43:31,777
But I have arranged for you to bump
into him at the Hancock Park country club.
671
00:43:32,736 --> 00:43:35,069
Wait, that's the most exclusive club
in the city.
672
00:43:35,153 --> 00:43:36,361
I can't just walk in.
673
00:43:36,444 --> 00:43:37,527
Don't worry about that.
674
00:43:53,777 --> 00:43:55,569
Mr. Steiner, welcome.
675
00:43:55,652 --> 00:43:56,652
Thank you.
676
00:43:56,736 --> 00:43:59,611
Arrangements have been made
for you to use our club as a guest,
677
00:43:59,694 --> 00:44:02,527
per our exchange program
with your home club in Pennsylvania.
678
00:44:03,153 --> 00:44:05,486
Will your chauffeur be
waiting on the premises?
679
00:44:07,694 --> 00:44:09,236
I'll be just outside the gate.
680
00:44:09,861 --> 00:44:11,819
Anything goes south, you come find me.
681
00:44:12,652 --> 00:44:14,320
That won't happen, Mr. Morris.
682
00:44:16,069 --> 00:44:17,195
I promise.
683
00:44:17,278 --> 00:44:18,278
Thank you, Anton.
684
00:44:22,069 --> 00:44:23,986
- I'm worried.
- About what?
685
00:44:24,069 --> 00:44:26,111
I don't always do great under pressure.
686
00:44:26,903 --> 00:44:28,486
Come on. You're a natural.
687
00:44:28,569 --> 00:44:30,736
- Natural what?
- Performer.
688
00:44:31,694 --> 00:44:32,778
How do you know that?
689
00:44:32,861 --> 00:44:35,944
You think I got where I am in life
without being able to spot talent?
690
00:44:38,861 --> 00:44:39,861
Go get him.
691
00:44:41,111 --> 00:44:42,153
Yes, sir.
692
00:44:51,486 --> 00:44:52,527
Mr. Steiner?
693
00:44:53,236 --> 00:44:54,236
Yes?
694
00:44:54,320 --> 00:44:56,795
Jackie says you're playing as a single,
looking to be paired up.
695
00:44:56,819 --> 00:44:58,278
Always looking for a good game.
696
00:44:59,028 --> 00:45:00,903
If I can find someone to give me one.
697
00:45:00,986 --> 00:45:02,486
Charles Renault, good to meet you.
698
00:45:04,444 --> 00:45:05,903
Enjoying playing dress-up?
699
00:45:05,986 --> 00:45:08,070
You should try it sometime.
It's thrilling.
700
00:45:08,736 --> 00:45:10,070
No, thanks.
701
00:45:10,153 --> 00:45:13,402
So, you're okay with having a white boy
do your business for you,
702
00:45:13,486 --> 00:45:15,153
but you're not okay putting on a cap
703
00:45:15,236 --> 00:45:17,236
so you can keep an eye on him
while he does it?
704
00:45:17,778 --> 00:45:20,569
It's the only job I've been able to avoid
my entire life.
705
00:45:21,111 --> 00:45:22,778
I'd like to try and keep it that way.
706
00:45:36,736 --> 00:45:38,611
Jimmy, I think we got ourselves a game.
707
00:45:40,362 --> 00:45:41,402
Okay.
708
00:45:42,153 --> 00:45:43,694
So, we're really gonna do this now?
709
00:45:43,778 --> 00:45:47,320
If by "we," you mean "you," yeah.
710
00:46:09,320 --> 00:46:10,362
Remember,
711
00:46:11,320 --> 00:46:12,444
eyes on the ball.
712
00:46:12,527 --> 00:46:13,778
And keep my f-ing head down.
713
00:46:18,070 --> 00:46:19,195
Make me proud, son.
714
00:46:28,444 --> 00:46:31,195
He's gonna claim he's renting
for 20 cents a square foot,
715
00:46:31,278 --> 00:46:32,278
but that's poppycock.
716
00:46:32,362 --> 00:46:33,362
It's more like 15.
717
00:46:35,736 --> 00:46:40,028
See, this whole thing is about getting you
to agree to a higher base value.
718
00:46:40,111 --> 00:46:41,653
Which I won't do.
719
00:46:41,736 --> 00:46:44,070
He's gonna test you. Probe you.
720
00:46:52,694 --> 00:46:56,778
You give him the slightest reason
to doubt your command of the numbers,
721
00:46:56,861 --> 00:46:58,694
he'll see straight through you.
722
00:46:58,778 --> 00:46:59,903
So you gotta impress him.
723
00:47:00,944 --> 00:47:02,278
Like you did on the first tee.
724
00:47:03,320 --> 00:47:04,320
Okay, so what do I do?
725
00:47:04,402 --> 00:47:07,861
What's the equivalent
of a 300-yard tee shot in negotiation?
726
00:47:10,111 --> 00:47:11,320
A four-course lunch.
727
00:47:19,736 --> 00:47:21,486
Flown in from France once a week.
728
00:47:22,569 --> 00:47:23,569
Enjoy.
729
00:47:29,195 --> 00:47:31,527
Okay, we lease at 20 cents a square foot.
730
00:47:31,611 --> 00:47:34,819
That's 272,880 gross per year.
731
00:47:34,903 --> 00:47:36,486
Eighty thousand expenses.
732
00:47:36,569 --> 00:47:38,444
That's 192,880 in profit.
733
00:47:39,111 --> 00:47:43,236
10% cap rate on that
will get us to 1,928,880.
734
00:47:43,736 --> 00:47:48,153
25% premium on that would be 2,411,100.
735
00:47:49,736 --> 00:47:52,070
If that's what you're offering,
I'm interested.
736
00:47:55,320 --> 00:47:56,527
Here's my problem, Charles.
737
00:47:56,611 --> 00:47:59,153
I know you have leases
at 15 cents a square foot.
738
00:47:59,237 --> 00:48:00,694
You know, big long-term leases.
739
00:48:00,778 --> 00:48:02,712
So even if you have
a few suckers paying 20 cents...
740
00:48:02,736 --> 00:48:03,819
More than a few.
741
00:48:05,111 --> 00:48:06,736
Fine, call the average 18 cents,
742
00:48:06,819 --> 00:48:08,569
so that would be a net income of...
743
00:48:08,653 --> 00:48:12,195
245,592. But that's not important.
744
00:48:12,278 --> 00:48:15,153
I mean, if you wanna show me your leases
and prove it, okay.
745
00:48:15,237 --> 00:48:17,320
Otherwise, I'd call it
15 cents a square foot.
746
00:48:17,402 --> 00:48:19,195
- Fifteen is too low.
- Fifteen is generous.
747
00:48:19,278 --> 00:48:22,070
Especially when you factor in vacancies,
which are at least 9%.
748
00:48:22,153 --> 00:48:23,945
- Less than that.
- I counted 12.
749
00:48:24,028 --> 00:48:25,736
How could you possibly know that?
750
00:48:26,528 --> 00:48:27,819
Charles, it's November.
751
00:48:28,694 --> 00:48:30,278
It gets dark by 5:00 p.m.
752
00:48:33,070 --> 00:48:35,129
If you wanna bullshit someone
about your vacancy rate,
753
00:48:35,153 --> 00:48:37,986
you need lights shining
in all those unleased spaces by 4:30.
754
00:48:38,528 --> 00:48:40,903
I don't blame you for not doing it.
It's a lot of work.
755
00:48:40,986 --> 00:48:43,379
But those vacancies would
take you to 13.5 cents a square foot.
756
00:48:43,402 --> 00:48:44,486
We'll fill some of those.
757
00:48:44,569 --> 00:48:46,611
Let's call it 16 cents. Fair?
758
00:48:47,278 --> 00:48:52,611
That's a $1,383,000 valuation
at a 10% cap rate.
759
00:48:53,611 --> 00:48:56,362
But, of course a 10% cap rate
is too low for this market.
760
00:48:56,444 --> 00:48:59,111
My partners and I have multiple deals
with 12% returns,
761
00:48:59,861 --> 00:49:01,237
which would be...
762
00:49:01,320 --> 00:49:07,070
$1,152,533 underlying valuation.
763
00:49:08,820 --> 00:49:13,444
1,152,533.
764
00:49:15,362 --> 00:49:16,986
How do you do this in your head?
765
00:49:17,653 --> 00:49:19,736
There's no way I can do this math.
766
00:49:20,945 --> 00:49:23,362
Well, you know, maybe I could fake it?
767
00:49:24,111 --> 00:49:25,111
How?
768
00:49:27,278 --> 00:49:28,611
Practice.
769
00:49:28,694 --> 00:49:29,778
I'll just memorize it.
770
00:49:31,820 --> 00:49:32,861
All of it?
771
00:49:34,028 --> 00:49:35,486
Yeah, I got a pretty good memory.
772
00:49:36,444 --> 00:49:37,528
That good?
773
00:49:37,611 --> 00:49:39,320
Well, I got a week to learn it, right?
774
00:49:40,736 --> 00:49:42,195
Hustling a hustler.
775
00:49:42,278 --> 00:49:43,528
I love it.
776
00:49:44,736 --> 00:49:45,986
But, if this works,
777
00:49:46,653 --> 00:49:48,611
Renault's gonna challenge you
on the cap rate.
778
00:49:48,694 --> 00:49:50,736
So you need to get ready for it.
779
00:49:51,694 --> 00:49:53,986
Look, this is downtown.
The risk here is very low.
780
00:49:54,611 --> 00:49:56,195
It doesn't warrant a 12% return.
781
00:49:56,736 --> 00:49:58,444
I'm firm with a 10% cap rate.
782
00:49:58,945 --> 00:50:02,444
He's gonna try to hold you
to a 10% cap rate on the underlying value,
783
00:50:02,528 --> 00:50:04,028
which we're not gonna take.
784
00:50:04,528 --> 00:50:06,945
Not with a 25% premium going to him.
785
00:50:07,028 --> 00:50:09,402
But you're gonna need
somewhere to go in the conversation.
786
00:50:09,486 --> 00:50:12,945
So I want you to memorize
the 10.5% cap rate scenario as well.
787
00:50:13,028 --> 00:50:19,362
But a 25% premium on a 10.5% cap rate
is too high, right?
788
00:50:23,112 --> 00:50:28,237
10.5% cap rate means
$1,317,000 underlying.
789
00:50:28,320 --> 00:50:33,569
With the 25% premium, that's $1,646,250.
790
00:50:34,362 --> 00:50:35,444
Too high.
791
00:50:35,528 --> 00:50:37,611
Yeah, that sounds too high.
792
00:50:37,694 --> 00:50:40,486
You goddamn right it's too high.
793
00:50:42,778 --> 00:50:44,611
So maybe you can sell him a choice.
794
00:50:46,778 --> 00:50:48,153
Mr. Renault, I like you.
795
00:50:48,653 --> 00:50:51,403
First halfway decent golf game I've had
since I've moved here.
796
00:50:51,486 --> 00:50:55,320
But if you want us to value this building
at a 10% cap rate in a booming market,
797
00:50:55,403 --> 00:50:57,153
where we can get 12% elsewhere,
798
00:50:57,694 --> 00:51:00,694
we're not gonna give you
an instant 25% profit in the markup.
799
00:51:01,945 --> 00:51:02,945
Tell you what.
800
00:51:03,820 --> 00:51:05,070
I'll give you two options.
801
00:51:05,986 --> 00:51:11,278
We get an 11% capital return rate
and you get your 25% profit in the markup,
802
00:51:11,362 --> 00:51:17,611
or we get a 10.5% cap rate and you take
an 18% instead of a 25% markup.
803
00:51:18,070 --> 00:51:20,195
You can choose. But...
804
00:51:21,112 --> 00:51:22,403
he can't help you.
805
00:51:27,362 --> 00:51:29,320
You're not what I expected, Matt Steiner.
806
00:51:32,486 --> 00:51:33,569
I'll take the latter.
807
00:51:34,237 --> 00:51:35,237
Okay.
808
00:51:36,112 --> 00:51:37,153
How'd I do?
809
00:51:38,778 --> 00:51:40,444
You left 17,000 on the table.
810
00:51:42,028 --> 00:51:43,278
Oh, well.
811
00:51:43,362 --> 00:51:47,320
- What's the number?
- $1,554,060.
812
00:51:47,403 --> 00:51:52,362
But, we can call it an even 1,560,000
if you leave me that desk.
813
00:51:56,820 --> 00:51:58,153
I can't believe it worked.
814
00:51:58,820 --> 00:51:59,695
I can.
815
00:51:59,778 --> 00:52:01,528
Tomorrow we meet the tenants,
816
00:52:01,611 --> 00:52:04,528
introduce ourselves as Matt's partners,
817
00:52:04,611 --> 00:52:07,861
and watch the jaws drop.
818
00:52:11,861 --> 00:52:15,070
Maybe I should call a photographer
so you capture the moment.
819
00:52:15,153 --> 00:52:16,653
- Joe.
- What?
820
00:52:17,237 --> 00:52:18,528
Too much?
821
00:52:18,611 --> 00:52:20,486
Yeah. Cheers.
822
00:52:48,362 --> 00:52:49,820
Hello.
823
00:53:48,861 --> 00:53:49,861
Smile.
824
00:55:16,820 --> 00:55:18,486
Hi, Pop.
825
00:55:18,570 --> 00:55:20,695
How you doing?
826
00:55:20,778 --> 00:55:22,903
And who's this right here?
Who's this right here?
827
00:55:22,987 --> 00:55:24,028
Hey, Grandpa.
828
00:55:27,195 --> 00:55:28,195
Dad.
829
00:55:34,778 --> 00:55:36,921
- Here, get some of these sweet potatoes.
- No, thank you.
830
00:55:36,945 --> 00:55:39,279
What kind of growing boy
don't like sweet potato mash?
831
00:55:39,362 --> 00:55:41,320
Sweetie, try 'em. They're delicious.
832
00:55:41,403 --> 00:55:42,778
Daddy met the vice president.
833
00:55:43,445 --> 00:55:44,778
Really now?
834
00:55:44,862 --> 00:55:47,279
Yes, he did. Bernard is being modest.
835
00:55:48,653 --> 00:55:49,778
LBJ?
836
00:55:50,195 --> 00:55:52,736
Yes, sir. He came by the Bankers Building.
837
00:55:53,945 --> 00:55:55,028
Yes, son.
838
00:56:00,570 --> 00:56:02,112
Smooth. Very smooth.
839
00:56:02,778 --> 00:56:04,028
Thought you didn't smoke.
840
00:56:04,112 --> 00:56:05,112
No. I don't.
841
00:56:05,611 --> 00:56:07,112
But I know you like 'em, so...
842
00:56:07,611 --> 00:56:09,528
These are a lot nicer than what I smoke.
843
00:56:12,737 --> 00:56:15,320
You doing so well
out there in Los Angeles.
844
00:56:16,320 --> 00:56:17,445
Guess you were right.
845
00:56:18,112 --> 00:56:19,112
About what?
846
00:56:19,528 --> 00:56:21,486
Earning money the way white men do.
847
00:56:21,945 --> 00:56:23,862
Found you a place where you could do that.
848
00:56:24,862 --> 00:56:27,862
Still... no chance of doing that here.
849
00:56:28,362 --> 00:56:29,737
It might even be worse.
850
00:56:29,820 --> 00:56:32,820
No, it's not perfect in California, but...
851
00:56:34,112 --> 00:56:35,112
it is different.
852
00:56:36,028 --> 00:56:39,820
I don't... I don't think it's California.
853
00:56:42,695 --> 00:56:43,945
I'm proud of you, son.
854
00:56:59,279 --> 00:57:00,362
Where you going?
855
00:57:00,903 --> 00:57:02,195
Taking a walk through town.
856
00:57:04,945 --> 00:57:06,029
Dressed like that?
857
00:57:07,154 --> 00:57:09,195
Going on the other side of the tracks.
858
00:57:11,195 --> 00:57:12,695
You make sure you wear your tie.
859
00:57:13,945 --> 00:57:14,945
I planned on it.
860
00:57:18,570 --> 00:57:19,737
Take Junior with you.
861
00:57:22,070 --> 00:57:24,279
He needs to see where he comes from
up close.
862
00:58:14,653 --> 00:58:16,279
Why the fountains separated, Dad?
863
00:58:19,445 --> 00:58:21,070
It's just different down here, son.
864
00:58:22,029 --> 00:58:23,029
Yeah.
865
00:58:23,737 --> 00:58:25,112
I'm sorry you had to see that.
866
00:58:26,321 --> 00:58:27,321
It's okay.
867
00:58:28,237 --> 00:58:29,695
Hey, how much for a shine?
868
00:58:29,778 --> 00:58:31,279
Only do white folks here, sir.
869
00:58:45,321 --> 00:58:46,737
You think this is a mistake?
870
00:58:48,070 --> 00:58:49,778
I think the world is changing.
871
00:58:51,653 --> 00:58:54,029
But maybe it hasn't changed enough
in Texas.
872
00:58:57,570 --> 00:58:59,070
I feel like I have to do this.
873
00:59:01,612 --> 00:59:02,737
I know.
874
00:59:03,737 --> 00:59:05,486
And that is why I support you.
875
00:59:08,237 --> 00:59:10,029
What the hell do we know about banking?
876
00:59:10,528 --> 00:59:14,070
Banks take deposits and make loans,
mostly on property.
877
00:59:14,737 --> 00:59:18,195
Owning a bank is like owning the other
side of the real estate business.
878
00:59:18,279 --> 00:59:21,486
I'm pretty sure there's a few complexities
you just left out.
879
00:59:22,112 --> 00:59:26,695
Like we black,
and this goddamn bank is in Texas.
880
00:59:26,778 --> 00:59:29,653
There's no Texas law
that says we can't own a bank.
881
00:59:29,737 --> 00:59:33,321
I concede, us being black
may be an issue, practically speaking.
882
00:59:33,403 --> 00:59:35,196
You willing to concede that?
883
00:59:35,279 --> 00:59:36,904
Well, we get Matt to front for us.
884
00:59:36,987 --> 00:59:38,070
No shit.
885
00:59:38,154 --> 00:59:40,653
But here in LA
Matt unlocks the doors for us,
886
00:59:40,737 --> 00:59:42,403
he don't run the business day-to-day,
887
00:59:42,486 --> 00:59:45,445
much less a banking business,
which is not simple.
888
00:59:45,528 --> 00:59:47,112
We'd have to monitor things closely.
889
00:59:47,196 --> 00:59:48,904
And how the hell you plan to do that?
890
00:59:48,987 --> 00:59:51,653
We can't set foot in a bank in Texas
unless we're the help.
891
00:59:52,112 --> 00:59:53,945
I thought that would be
your favorite part.
892
00:59:54,029 --> 00:59:55,279
I live in LA.
893
00:59:55,362 --> 00:59:57,778
I don't plan on moving to Texas. Do you?
894
00:59:57,862 --> 00:59:59,196
During the business week.
895
00:59:59,279 --> 01:00:02,154
And work as a janitor in a bank you own?
896
01:00:02,237 --> 01:00:03,237
Won't have to.
897
01:00:03,321 --> 01:00:06,196
Matt comes to me with the bank business
at the end of every day.
898
01:00:06,279 --> 01:00:09,362
What makes you think he's willing to move
to the middle of nowhere?
899
01:00:09,445 --> 01:00:12,237
No offense to your cosmopolitan hometown.
900
01:00:12,695 --> 01:00:16,362
Plus Matt's got a pretty good gig here.
901
01:00:16,445 --> 01:00:17,987
We'd have to make it worth his while.
902
01:00:18,070 --> 01:00:21,904
Great, so now we gonna pay him even more
money than we pay him to be white.
903
01:00:22,862 --> 01:00:26,445
Joe, think about all the good we can do
for the Negro community down there.
904
01:00:26,862 --> 01:00:28,695
Help 'em buy homes, start businesses.
905
01:00:29,862 --> 01:00:33,154
And aside from all that,
that bank is undervalued.
906
01:00:34,487 --> 01:00:37,445
There's enough capital
to double its loan base.
907
01:00:37,904 --> 01:00:39,196
We could make a lot of money.
908
01:00:39,279 --> 01:00:40,987
We make a lot of money now.
909
01:00:41,737 --> 01:00:43,612
You gonna stand there with a straight face
910
01:00:43,695 --> 01:00:46,695
and tell me there's a business argument
to do this?
911
01:00:46,778 --> 01:00:48,945
This is social activism, Bernard.
912
01:00:49,029 --> 01:00:50,029
Plain and simple.
913
01:00:50,445 --> 01:00:52,321
There's plenty other ways to do that.
914
01:00:53,237 --> 01:00:56,362
Or maybe you're feeling guilty about
leaving your father behind.
915
01:00:56,445 --> 01:00:57,445
Let me tell you this.
916
01:00:57,987 --> 01:01:02,029
If one trip home can
cripple your rational functions like this,
917
01:01:02,112 --> 01:01:03,112
we in trouble.
918
01:01:04,653 --> 01:01:05,904
With all due respect, Joe,
919
01:01:05,987 --> 01:01:08,029
I think this is something
you won't understand.
920
01:01:08,112 --> 01:01:09,112
I'm sorry.
921
01:01:09,196 --> 01:01:10,904
Did I not wake up black this morning?
922
01:01:10,987 --> 01:01:12,487
'Cause I'm pretty sure I did.
923
01:01:12,987 --> 01:01:14,528
Yep, still black.
924
01:01:14,612 --> 01:01:18,862
Are you telling me because I grew up
in California with a little bit of money,
925
01:01:18,945 --> 01:01:20,653
I'm not black in your eyes?
926
01:01:21,029 --> 01:01:22,737
I wasn't trying to make this personal.
927
01:01:24,612 --> 01:01:25,653
Yes, you were.
928
01:01:29,862 --> 01:01:30,904
I'm sorry.
929
01:01:34,321 --> 01:01:36,695
Bernard, if we go down to Texas
930
01:01:36,779 --> 01:01:39,362
and start screwing around with Jim Crow,
we gonna lose.
931
01:01:39,445 --> 01:01:41,154
Don't matter whether it's legal or not.
932
01:01:41,653 --> 01:01:44,445
Even if Dr. King
gets civil rights legislation,
933
01:01:44,528 --> 01:01:45,987
it ain't gonna happen fast enough
934
01:01:46,071 --> 01:01:48,528
for us to get out of this
without losing our shirts.
935
01:01:51,487 --> 01:01:52,820
Bring your father out here.
936
01:01:52,904 --> 01:01:54,237
Help him directly.
937
01:01:54,570 --> 01:01:57,653
And get rid of that notion that you can
save every black man in Texas,
938
01:01:57,737 --> 01:01:58,987
'cause you can't.
939
01:02:00,196 --> 01:02:02,612
I understand if you don't want to
partner with me on it.
940
01:02:03,695 --> 01:02:05,820
You can't buy this bank
on your own, Bernard.
941
01:02:05,904 --> 01:02:06,904
Not at that price.
942
01:02:07,321 --> 01:02:09,321
Then I'll find someone else
to do it with me.
943
01:02:12,321 --> 01:02:13,862
Jesus H. Christ.
944
01:02:15,904 --> 01:02:18,362
I told you getting rich
was going to change you.
945
01:02:21,321 --> 01:02:25,445
Mark my words. This is a bad idea.
946
01:02:26,321 --> 01:02:30,112
But it's even more bodacious
than us buying that Bankers Building.
947
01:02:30,570 --> 01:02:32,570
And we sure enough pulled that off,
didn't we?
948
01:02:36,112 --> 01:02:37,695
All right. I'm in.
949
01:02:39,653 --> 01:02:40,695
Shit.
950
01:02:49,737 --> 01:02:53,779
For the record I say you guys are out of
your minds, completely out of your minds.
951
01:02:53,862 --> 01:02:54,862
You ready?
952
01:02:55,403 --> 01:02:56,445
I...
953
01:02:56,528 --> 01:02:58,862
Could you tell me how a bank works
in three sentences?
954
01:03:01,112 --> 01:03:04,279
A bakery makes a profit by selling bread
for more than it cost to make.
955
01:03:04,904 --> 01:03:05,904
A bank makes a profit
956
01:03:05,987 --> 01:03:09,820
by selling loans for more than it costs to
get the money needed to make those loans.
957
01:03:09,904 --> 01:03:12,904
Basically, a bank gets money
from depositors at 3%
958
01:03:12,987 --> 01:03:14,112
and loans it out at five.
959
01:03:14,196 --> 01:03:16,862
Wow. That actually was three sentences.
960
01:03:19,112 --> 01:03:20,112
Let's go.
961
01:03:21,279 --> 01:03:22,321
This should be fun.
962
01:03:23,237 --> 01:03:24,363
You gonna put the hat on?
963
01:03:24,445 --> 01:03:25,445
I'll pass.
964
01:03:25,904 --> 01:03:26,904
All righty then.
965
01:03:27,487 --> 01:03:28,612
Shall we?
966
01:03:37,904 --> 01:03:40,403
Gentlemen, Don Silverthorne.
967
01:03:41,445 --> 01:03:42,630
- Robert Florance.
- Matt Steiner.
968
01:03:42,654 --> 01:03:43,654
Robert Florance Jr.
969
01:03:44,904 --> 01:03:46,654
- Next.
- Please, gentlemen, come in.
970
01:03:46,737 --> 01:03:47,820
Thank you.
971
01:03:49,612 --> 01:03:51,403
Yes, of course. Gentlemen.
972
01:03:54,904 --> 01:03:58,695
My son's guaranteed a position
to protect my remaining 20% interest?
973
01:03:58,779 --> 01:03:59,922
You'll see that in the addendum.
974
01:03:59,946 --> 01:04:02,570
But he won't be the bank's
exclusive loan officer any longer.
975
01:04:02,654 --> 01:04:06,029
My clients' primary interest in buying
the bank is to increase the loan volume
976
01:04:06,112 --> 01:04:07,904
and thus the profitability of the bank.
977
01:04:07,987 --> 01:04:11,363
He'll be reporting directly to you
as the new bank president, Mr. Steiner?
978
01:04:11,445 --> 01:04:12,445
That's right.
979
01:04:14,445 --> 01:04:17,403
Who are Bernard Garrett and Joseph Morris?
980
01:04:18,403 --> 01:04:20,029
My financial partners in Los Angeles.
981
01:04:39,154 --> 01:04:40,279
Why aren't they here?
982
01:04:40,654 --> 01:04:43,570
Honestly? Because they're
too rich to bother.
983
01:04:43,654 --> 01:04:45,071
That's why they have me.
984
01:04:45,154 --> 01:04:47,838
No offense, but they have hundreds
of these investments across the country.
985
01:04:47,862 --> 01:04:49,238
Well, that's great for them.
986
01:04:49,904 --> 01:04:52,112
But this is the investment
they're closing today.
987
01:05:10,820 --> 01:05:13,570
I should note that
the full purchase price for the bank
988
01:05:13,654 --> 01:05:16,820
is sitting in escrow in my bank
as of 11:00 a.m. this morning.
989
01:05:16,904 --> 01:05:18,779
Which is all that matters.
990
01:05:29,363 --> 01:05:33,779
Congratulations, you are now
the owner of your hometown bank.
991
01:05:34,987 --> 01:05:37,112
Time to get my black ass back to LA.
992
01:05:39,570 --> 01:05:40,654
Don't ask.
993
01:05:45,403 --> 01:05:48,112
My partners and I now own Mainland Bank.
994
01:05:48,695 --> 01:05:53,238
And we intend to change the bank's
policies regarding loans to Negroes.
995
01:05:54,363 --> 01:05:56,279
But we need your help to identify
996
01:05:56,363 --> 01:05:59,487
responsible potential borrowers
in your congregations.
997
01:06:00,112 --> 01:06:02,612
You get the loan...
998
01:06:02,695 --> 01:06:06,154
Now, it goes without saying that we cannot
draw attention to this new policy
999
01:06:06,238 --> 01:06:08,737
or to our ownership of the bank.
1000
01:06:10,238 --> 01:06:13,779
Or everything we're trying to do
will be put in jeopardy.
1001
01:06:15,321 --> 01:06:19,737
But make no mistake,
our goal is to foster business growth
1002
01:06:19,821 --> 01:06:24,363
{\an8}and home ownership in our community
through access to capital.
1003
01:06:25,112 --> 01:06:28,112
Thanks to your loan,
we bought two new pieces of equipment.
1004
01:06:28,196 --> 01:06:30,071
Doubled our revenue in three months.
1005
01:06:38,071 --> 01:06:40,946
You approved 14 new loans this week?
1006
01:06:41,862 --> 01:06:43,113
That sounds right.
1007
01:06:43,529 --> 01:06:45,029
Only five of those were mine.
1008
01:06:46,821 --> 01:06:49,154
There's a lot of underutilized capital
in this bank.
1009
01:06:49,654 --> 01:06:52,630
You knew I was gonna start signing off
on loans directly to jump-start things.
1010
01:06:52,654 --> 01:06:54,630
I haven't seen
that many viable applicants in one week
1011
01:06:54,654 --> 01:06:56,029
since I've worked at this bank.
1012
01:06:56,570 --> 01:06:58,737
I've been working here
since I was 18 years old.
1013
01:06:59,445 --> 01:07:01,154
Where are you finding all these people?
1014
01:07:01,946 --> 01:07:04,529
Who's "Solomon Johnson"?
1015
01:07:06,363 --> 01:07:07,654
We're casting a wide net.
1016
01:07:08,238 --> 01:07:10,363
The more loans we make,
the higher our profit.
1017
01:07:10,987 --> 01:07:12,154
Goes for your stake too.
1018
01:07:12,695 --> 01:07:14,029
As long as they don't default.
1019
01:07:15,445 --> 01:07:16,737
That's what collateral's for.
1020
01:07:53,071 --> 01:07:56,238
My partner Joe comes in town
every other week from LA.
1021
01:07:56,737 --> 01:07:57,922
He's looking forward to meeting you.
1022
01:07:57,946 --> 01:08:00,071
I told him this is
the best barbecue around here.
1023
01:08:00,154 --> 01:08:00,987
Thank you.
1024
01:08:01,071 --> 01:08:03,737
Look, the books I keep are pretty simple.
1025
01:08:04,279 --> 01:08:06,696
But I can go back to the office
and bring 'em out.
1026
01:08:06,779 --> 01:08:07,779
You can look 'em over.
1027
01:08:07,862 --> 01:08:09,570
- That would be great. Thank you.
- Okay.
1028
01:08:13,987 --> 01:08:15,071
You're late.
1029
01:08:16,154 --> 01:08:17,737
Florance discovered the black loans.
1030
01:08:18,987 --> 01:08:22,238
He's been wary of me from the beginning,
now he's watching me like a hawk.
1031
01:08:22,737 --> 01:08:23,737
Any reason why?
1032
01:08:23,821 --> 01:08:25,696
Well, yeah, he had dreams
of being the boss,
1033
01:08:25,779 --> 01:08:28,737
not reporting to some guy from California
ten years younger than him.
1034
01:09:08,570 --> 01:09:09,570
I hate it here.
1035
01:09:12,778 --> 01:09:15,404
Come on.
We've only been here three months.
1036
01:09:15,487 --> 01:09:16,612
It's enough time to know.
1037
01:09:19,280 --> 01:09:20,946
Why did you agree to do this?
1038
01:09:21,612 --> 01:09:23,404
I'm making 25,000 a year.
1039
01:09:23,486 --> 01:09:25,946
We bought this house
with one month's salary.
1040
01:09:26,029 --> 01:09:28,796
When you started with them you said
they were gonna make you a partner.
1041
01:09:28,820 --> 01:09:30,988
- Yeah, and...
- A partner isn't on a salary.
1042
01:09:31,071 --> 01:09:32,196
A partner is an owner.
1043
01:09:33,029 --> 01:09:35,279
Isn't that what you always told me
you wanted to be?
1044
01:09:35,363 --> 01:09:37,071
And I will be.
1045
01:09:38,569 --> 01:09:40,071
You know, on the next bank we buy.
1046
01:09:42,904 --> 01:09:44,196
You're buying another one?
1047
01:09:46,404 --> 01:09:47,779
We're thinking about it, yeah.
1048
01:09:51,862 --> 01:09:53,445
Now that would be something.
1049
01:09:54,654 --> 01:09:55,654
Wouldn't it?
1050
01:10:00,404 --> 01:10:03,029
So, we all agree
the barbecue place is a good bet, right?
1051
01:10:11,696 --> 01:10:13,529
You must be Bernard Garrett.
1052
01:10:15,238 --> 01:10:16,529
And you're Joe Morris?
1053
01:10:16,612 --> 01:10:17,736
What, you follow me here?
1054
01:10:17,820 --> 01:10:20,028
Just trying to understand
who really owns my bank.
1055
01:10:28,238 --> 01:10:29,612
You boys are famous.
1056
01:10:32,238 --> 01:10:35,029
That's you and Vice President Johnson,
if I'm not mistaken.
1057
01:10:39,779 --> 01:10:40,779
Listen,
1058
01:10:42,363 --> 01:10:44,363
I've got nothing against
you people personally.
1059
01:10:44,445 --> 01:10:46,113
That's mighty white of you.
1060
01:10:46,196 --> 01:10:48,238
But if this town found out
1061
01:10:48,321 --> 01:10:52,280
that not only was their bank
regularly making loans to Negroes,
1062
01:10:53,280 --> 01:10:54,946
but was actually owned by two of 'em,
1063
01:10:56,404 --> 01:10:57,737
there'd be a run on the bank.
1064
01:10:58,821 --> 01:11:00,280
Well, why would they find out?
1065
01:11:02,321 --> 01:11:03,946
They don't have access to our books.
1066
01:11:04,321 --> 01:11:05,154
You do.
1067
01:11:05,238 --> 01:11:07,029
Took you three months to figure it out.
1068
01:11:08,113 --> 01:11:09,988
- I could tell 'em.
- Yeah, you could.
1069
01:11:10,071 --> 01:11:12,946
Then you'd own 20% of a failed bank
instead of a booming one.
1070
01:11:15,196 --> 01:11:16,238
What do you want?
1071
01:11:17,904 --> 01:11:19,154
To protect my investment.
1072
01:11:19,988 --> 01:11:23,863
This bank collapses, my 20% is worthless.
1073
01:11:25,155 --> 01:11:26,779
So, we're in this together?
1074
01:11:27,487 --> 01:11:28,696
Not quite.
1075
01:11:28,779 --> 01:11:31,445
See, my father didn't know
he was selling his bank to two Negroes,
1076
01:11:31,529 --> 01:11:33,988
so that's fraud.
1077
01:11:34,487 --> 01:11:36,071
I don't know about that, Bob.
1078
01:11:36,696 --> 01:11:40,404
See, both our names
were on that bank contract you signed.
1079
01:11:40,487 --> 01:11:42,321
You even asked about us.
1080
01:11:43,029 --> 01:11:44,363
Don't know who told you that.
1081
01:11:44,445 --> 01:11:46,863
Didn't have to be told. I was there.
1082
01:11:47,404 --> 01:11:48,737
No, you weren't.
1083
01:11:50,779 --> 01:11:51,821
Bring back memories?
1084
01:11:54,612 --> 01:11:57,029
And for the record, your father knew.
1085
01:11:58,863 --> 01:11:59,863
You're lying.
1086
01:11:59,946 --> 01:12:03,737
Ask him, or I can find a letter
where he and Silverthorne discussed it.
1087
01:12:06,571 --> 01:12:08,196
You boys think you're so smart.
1088
01:12:08,280 --> 01:12:09,321
We are.
1089
01:12:09,863 --> 01:12:11,238
For a couple colored boys.
1090
01:12:13,321 --> 01:12:14,880
You couldn't just make a loan
here, there to your kind.
1091
01:12:14,904 --> 01:12:17,155
You had to make 19 of them
right off the bat?
1092
01:12:19,988 --> 01:12:21,446
Well, here's another letter.
1093
01:12:21,529 --> 01:12:24,946
This one's from the Comptroller of
the Currency. The US Treasury Department.
1094
01:12:25,029 --> 01:12:28,113
They're moving our yearly inspection up
two quarters.
1095
01:12:28,196 --> 01:12:29,529
That's a month from now.
1096
01:12:29,612 --> 01:12:32,404
Because of anonymous reports
we're making unsafe loans.
1097
01:12:33,904 --> 01:12:37,363
You think you have this town figured out,
when you moved here three months ago?
1098
01:12:38,571 --> 01:12:39,654
Well, you don't.
1099
01:12:40,071 --> 01:12:41,071
I was born here.
1100
01:12:41,155 --> 01:12:44,196
So was I. In this house.
1101
01:12:47,988 --> 01:12:49,113
Well,
1102
01:12:49,654 --> 01:12:52,529
then you should've known
you couldn't keep this a secret very long.
1103
01:13:14,696 --> 01:13:18,196
We're gonna have to stop giving out loans
to Negroes until after this inspection.
1104
01:13:18,280 --> 01:13:20,696
What about the ones already on the books?
1105
01:13:22,863 --> 01:13:24,363
Can I propose something?
1106
01:13:24,446 --> 01:13:25,988
Can I get a stiff drink?
1107
01:13:28,113 --> 01:13:29,612
We should buy another bank.
1108
01:13:29,696 --> 01:13:31,113
Make that a double.
1109
01:13:32,155 --> 01:13:33,487
What? No, I'm...
1110
01:13:33,571 --> 01:13:34,696
I'm serious.
1111
01:13:43,654 --> 01:13:45,446
Okay, the Bank of Marlin is small.
1112
01:13:45,529 --> 01:13:48,196
You can purchase it outright for 274,000,
1113
01:13:48,280 --> 01:13:50,821
half of what you paid for 80% of Mainland.
1114
01:13:50,904 --> 01:13:52,155
As president of both banks,
1115
01:13:52,238 --> 01:13:55,446
I could move all the Negro loans
we made at Mainland to the Bank of Marlin
1116
01:13:55,529 --> 01:13:57,155
before Mainland gets inspected.
1117
01:13:57,612 --> 01:13:59,863
It should keep the government
out of our business
1118
01:13:59,946 --> 01:14:01,946
and hopefully make Florance an ally.
1119
01:14:02,404 --> 01:14:03,612
It's an interesting idea,
1120
01:14:03,696 --> 01:14:07,904
but Joe and I don't have
$274,000 in cash laying around.
1121
01:14:08,612 --> 01:14:11,988
And I doubt Silverthorne will finance us
buying another bank in Texas.
1122
01:14:12,071 --> 01:14:14,779
Right, well, I think I have
a solution to that.
1123
01:14:15,821 --> 01:14:17,821
The Bank of Marlin has
two million in deposits,
1124
01:14:17,904 --> 01:14:19,654
but it's only made one million in loans.
1125
01:14:19,738 --> 01:14:21,404
Which is why it's not making a profit.
1126
01:14:21,487 --> 01:14:22,529
So, we buy the bank.
1127
01:14:22,612 --> 01:14:25,863
We use that extra million in deposits
to purchase loans from an aggregator.
1128
01:14:26,238 --> 01:14:31,113
I've already identified a package of loans
with an 8% interest offered at 6.5%.
1129
01:14:31,196 --> 01:14:34,404
That 1.5% spread
puts the bank instantly in profit.
1130
01:14:34,487 --> 01:14:36,071
Unless there's a high default rate.
1131
01:14:36,155 --> 01:14:37,738
Check the underlying loans yourself.
1132
01:14:37,821 --> 01:14:39,404
They seem rock-solid to me.
1133
01:14:39,487 --> 01:14:42,071
The whole package is for sale
for 971,000.
1134
01:14:42,155 --> 01:14:45,280
Yeah, that doesn't help
the cash flow problem for Joe and me.
1135
01:14:45,363 --> 01:14:49,238
All right, it doesn't,
but if you and Joe incorporate as brokers,
1136
01:14:49,322 --> 01:14:51,196
the Bank of Marlin
can pay you a commission
1137
01:14:51,280 --> 01:14:53,904
of close to 200,000
on that package of mortgages.
1138
01:14:53,988 --> 01:14:57,738
That's an awful lot of commission
on a million-dollar package of mortgages.
1139
01:14:57,821 --> 01:14:59,904
Maybe, but it's completely legal.
1140
01:14:59,988 --> 01:15:01,571
It cuts your investment by two-thirds.
1141
01:15:01,654 --> 01:15:04,571
The bank stays profitable
and we keep loaning to Negroes.
1142
01:15:04,654 --> 01:15:05,654
Everyone wins.
1143
01:15:05,738 --> 01:15:07,196
It sounds too good to be true.
1144
01:15:07,654 --> 01:15:09,404
Well, then have your lawyers check.
1145
01:15:10,487 --> 01:15:13,238
Look, Matt, even if it does check out,
1146
01:15:14,030 --> 01:15:17,404
Joe has to spend his time in LA
overseeing our properties there.
1147
01:15:17,904 --> 01:15:20,322
And I'm here
overseeing you and Mainland Bank,
1148
01:15:20,404 --> 01:15:22,696
which I can't even get in
the front door of.
1149
01:15:24,071 --> 01:15:27,779
I just don't think it's the right time
for us to pick up a second bank in Texas.
1150
01:15:27,863 --> 01:15:30,363
Well, you won't have to,
if you let me run this one.
1151
01:15:31,196 --> 01:15:32,195
I mean really run it.
1152
01:15:34,988 --> 01:15:35,987
Matt,
1153
01:15:37,071 --> 01:15:39,821
I can't speak for Joe,
but I'm not comfortable with that.
1154
01:15:40,905 --> 01:15:43,196
I'm sorry to interrupt.
1155
01:15:43,280 --> 01:15:44,363
Would you like one?
1156
01:15:44,446 --> 01:15:45,529
- No.
- Okay.
1157
01:15:55,613 --> 01:15:58,322
Look, we agreed I'd co-own the next bank.
1158
01:15:58,404 --> 01:15:59,779
We even put it in the contract.
1159
01:16:00,196 --> 01:16:02,672
Three months ago, you didn't know
the first thing about banking.
1160
01:16:02,696 --> 01:16:04,214
Come on. I've learnt a lot in that time.
1161
01:16:04,238 --> 01:16:06,529
It's not that I don't have faith in you,
it's just...
1162
01:16:07,571 --> 01:16:08,571
What?
1163
01:16:09,529 --> 01:16:13,988
It's $274,000 of Joe's and my money.
1164
01:16:14,738 --> 01:16:16,988
We should at least
have the final say, right?
1165
01:16:21,280 --> 01:16:22,654
If I can't become my own man here,
1166
01:16:22,738 --> 01:16:24,863
then I think I need to resign
and go back to LA.
1167
01:16:27,529 --> 01:16:30,071
- Is this you blackmailing us?
- No.
1168
01:16:30,779 --> 01:16:31,905
No, that's not fair, Joe.
1169
01:16:31,988 --> 01:16:33,487
You guys have taught me so much.
1170
01:16:33,571 --> 01:16:34,988
I just wanna be more like you.
1171
01:16:35,404 --> 01:16:36,404
An owner.
1172
01:16:37,696 --> 01:16:39,113
Whatever you decide...
1173
01:16:40,529 --> 01:16:43,113
I really appreciate
everything you guys have done for me.
1174
01:16:47,113 --> 01:16:49,363
You said this was gonna be complicated.
1175
01:16:49,446 --> 01:16:53,529
What I said was, "This is a bad idea."
1176
01:16:54,821 --> 01:16:58,322
Then I agreed to drive off the cliff
with you and here we are.
1177
01:16:59,280 --> 01:17:04,113
Now, we gotta buy a kid with 90 days of
banking experience his own goddamn bank.
1178
01:17:05,905 --> 01:17:06,988
Without a chaperone.
1179
01:17:15,030 --> 01:17:18,821
Hey, everyone, I just wanted to say
I'm excited to work with all of you.
1180
01:17:18,905 --> 01:17:20,946
We're gonna do great things
with this bank.
1181
01:17:21,030 --> 01:17:24,571
Growing it while helping the community
around it grow at the same time.
1182
01:17:25,988 --> 01:17:27,155
My door is always open.
1183
01:17:27,905 --> 01:17:29,696
Let's show the public our new face.
1184
01:17:41,613 --> 01:17:44,280
Twelfth loan in the package,
it's that one right there.
1185
01:17:45,280 --> 01:17:47,529
Another beautiful house
in a white neighborhood.
1186
01:17:47,613 --> 01:17:48,780
Give it a five.
1187
01:17:51,696 --> 01:17:52,905
Thank you for doing this.
1188
01:17:54,863 --> 01:17:56,322
How else am I supposed to learn?
1189
01:18:06,488 --> 01:18:07,488
You can stop.
1190
01:18:07,571 --> 01:18:09,780
There's no one here
to see you cleaning anymore.
1191
01:18:09,863 --> 01:18:12,280
Whatever I do, I try to do my best.
1192
01:18:16,197 --> 01:18:17,654
I'm sorry you have to wear that.
1193
01:18:18,988 --> 01:18:21,571
I wish they'd just trust me,
then you wouldn't have to.
1194
01:18:22,404 --> 01:18:23,946
Do you resent me being here?
1195
01:18:26,738 --> 01:18:27,738
A little.
1196
01:18:31,322 --> 01:18:33,529
Do you resent me
for wanting to run my own bank?
1197
01:18:36,363 --> 01:18:37,363
A little.
1198
01:18:38,280 --> 01:18:39,322
Really?
1199
01:18:41,571 --> 01:18:43,613
Come on. You know
I wasn't born into money.
1200
01:18:44,280 --> 01:18:46,197
I just learnt to fake it.
And you helped me.
1201
01:18:49,529 --> 01:18:50,571
I do realize...
1202
01:18:51,529 --> 01:18:53,155
I had to be white for that to work.
1203
01:18:54,613 --> 01:18:55,654
And a man.
1204
01:18:58,696 --> 01:18:59,696
I just...
1205
01:19:01,404 --> 01:19:04,030
I wanna be respected
for what I've done for the business.
1206
01:19:06,364 --> 01:19:08,072
Respect is a big thing.
1207
01:19:08,738 --> 01:19:11,821
Sometimes people take big risks
to chase it.
1208
01:19:13,072 --> 01:19:15,322
I want this bank to succeed
just as much as you do.
1209
01:19:15,404 --> 01:19:16,780
I want you to succeed.
1210
01:19:17,780 --> 01:19:19,988
And I hope you don't take this
the wrong way,
1211
01:19:20,988 --> 01:19:23,654
but you just took up banking
three months ago.
1212
01:19:26,404 --> 01:19:27,404
So did Bernard.
1213
01:19:38,113 --> 01:19:39,113
They're all solid.
1214
01:19:39,197 --> 01:19:41,613
We looked at the property
securing every single loan.
1215
01:19:42,113 --> 01:19:43,238
That was fast.
1216
01:19:43,322 --> 01:19:47,197
Just be sure the documentation matches
exactly before handing over any money.
1217
01:19:47,280 --> 01:19:48,113
Yeah, of course.
1218
01:19:48,197 --> 01:19:50,446
And contact that lawyer I told you about
in Houston.
1219
01:19:50,529 --> 01:19:53,446
I worked with him before.
O'Keefe. Michael O'Keefe. I trust him.
1220
01:19:53,529 --> 01:19:55,048
I already did. He said he'll be there.
1221
01:19:55,072 --> 01:19:56,072
Perfect.
1222
01:19:56,613 --> 01:19:57,613
Excuse me.
1223
01:19:58,488 --> 01:19:59,905
Man, this place is so good.
1224
01:20:00,988 --> 01:20:02,988
So, I'm gonna head back in the morning.
1225
01:20:04,988 --> 01:20:06,364
It's okay.
1226
01:20:07,197 --> 01:20:09,030
I'll have it fixed in no time.
1227
01:20:16,488 --> 01:20:17,655
Okay.
1228
01:20:25,613 --> 01:20:27,947
I thought his statement
was rather cautiously worded.
1229
01:20:28,030 --> 01:20:30,905
I didn't get any assurances
that Mr. Khrushchev or the Soviet Union
1230
01:20:30,988 --> 01:20:33,155
was out of the space race at all.
1231
01:20:33,238 --> 01:20:34,072
I think it's...
1232
01:20:34,155 --> 01:20:37,780
Mr. Steiner, your attorney's almost
finished reviewing the packet of loans.
1233
01:20:37,863 --> 01:20:38,905
Great.
1234
01:20:45,529 --> 01:20:47,364
- Let me know if you need anything.
- Thanks.
1235
01:20:47,905 --> 01:20:50,488
Thank you again for doing this so quickly.
1236
01:20:50,905 --> 01:20:52,529
How are the underlying loans looking?
1237
01:20:52,613 --> 01:20:55,072
Solid. You can start
signing the contracts now.
1238
01:20:55,155 --> 01:20:56,155
Great.
1239
01:21:19,239 --> 01:21:20,404
- Hi.
- Hey.
1240
01:21:23,404 --> 01:21:24,655
Hi. How are you?
1241
01:21:24,738 --> 01:21:25,780
Good, how are you?
1242
01:21:25,863 --> 01:21:27,113
Good.
1243
01:21:27,197 --> 01:21:28,239
How'd it go?
1244
01:21:29,322 --> 01:21:32,280
Well, I just wrote a check for $971,000.
1245
01:21:32,988 --> 01:21:33,988
Never done that before.
1246
01:21:34,529 --> 01:21:36,072
You're a natural businessman.
1247
01:21:36,947 --> 01:21:38,364
I don't know. I mean...
1248
01:21:38,905 --> 01:21:41,547
tell that to the people who invested
in the drive-in ice cream shop.
1249
01:21:41,571 --> 01:21:42,696
You were 19.
1250
01:21:43,113 --> 01:21:45,530
Yeah. But, I dunno,
it was my dad's savings.
1251
01:21:45,613 --> 01:21:48,322
I just don't want to lose
Bernard and Joe's money the same way.
1252
01:21:48,404 --> 01:21:49,655
They're lucky to have you.
1253
01:21:49,738 --> 01:21:53,072
No. I'm the lucky one. I'm learning
from people a lot smarter than I am.
1254
01:21:54,155 --> 01:21:55,239
Matt,
1255
01:21:55,322 --> 01:21:56,780
they're not smarter than you.
1256
01:21:57,239 --> 01:21:59,030
I mean, they can't be.
1257
01:22:00,530 --> 01:22:01,655
They're my friends.
1258
01:22:02,446 --> 01:22:04,905
Hey. Look, I'm sorry. I didn't...
1259
01:22:04,988 --> 01:22:06,530
- No.
- Just... Matt.
1260
01:22:07,239 --> 01:22:08,322
Don't talk like that.
1261
01:22:09,905 --> 01:22:10,947
Hello?
1262
01:22:11,696 --> 01:22:12,695
It's Florance.
1263
01:22:14,197 --> 01:22:15,696
I've got four white customers here
1264
01:22:15,780 --> 01:22:18,197
saying they wanna withdraw all their money
from the bank
1265
01:22:18,280 --> 01:22:19,571
because they think it's owned
1266
01:22:19,655 --> 01:22:22,696
by the National Association
for the Advancement of Colored People.
1267
01:22:35,738 --> 01:22:37,446
This was on the door at Mainland.
1268
01:22:39,322 --> 01:22:40,322
Subtle.
1269
01:22:41,364 --> 01:22:45,072
Five white customers withdrew
all their money in the past two days.
1270
01:22:45,446 --> 01:22:47,863
Nine were convinced by Florance to stay.
1271
01:22:48,488 --> 01:22:49,488
Fitting.
1272
01:22:49,571 --> 01:22:54,197
Considering Florance probably the one
who started and spread the rumors himself.
1273
01:22:54,280 --> 01:22:56,197
What? Why would you say that?
1274
01:22:57,613 --> 01:22:59,571
Told you long time ago, Bernard.
1275
01:22:59,655 --> 01:23:00,655
I don't trust people.
1276
01:23:01,571 --> 01:23:03,530
Especially white people. I remember.
1277
01:23:03,613 --> 01:23:07,613
No, what I said was white and black.
1278
01:23:07,696 --> 01:23:10,947
The difference is,
when a white person screws you over,
1279
01:23:11,030 --> 01:23:14,239
they can count on other white folks
out there to look the other way.
1280
01:23:14,322 --> 01:23:17,696
And just knowing that
brings out the worst in people.
1281
01:23:18,905 --> 01:23:22,280
How can you be so pessimistic
and still get out the bed in the morning?
1282
01:23:23,364 --> 01:23:25,822
Even a rigged game's fun to play, Bernard.
1283
01:23:35,613 --> 01:23:36,613
Matt Steiner?
1284
01:23:37,446 --> 01:23:38,613
Yes.
1285
01:23:38,696 --> 01:23:41,655
I'm an examiner with the office
of the Comptroller of the Currency.
1286
01:23:43,530 --> 01:23:44,613
How can I help you?
1287
01:23:53,322 --> 01:23:54,322
Hello?
1288
01:23:54,405 --> 01:23:56,738
A federal bank examiner
just left my office.
1289
01:23:56,822 --> 01:23:58,530
I thought that wasn't until next month.
1290
01:23:58,613 --> 01:24:00,364
No, I meant Marlin, not Mainland.
1291
01:24:02,655 --> 01:24:03,780
What did he say?
1292
01:24:04,655 --> 01:24:07,114
To get the master books out.
He's coming back in an hour.
1293
01:24:08,696 --> 01:24:09,696
Shit.
1294
01:24:11,780 --> 01:24:12,822
This can't be chance.
1295
01:24:12,905 --> 01:24:14,072
Matt's not ready.
1296
01:24:14,155 --> 01:24:15,155
Well, how could he be?
1297
01:24:15,239 --> 01:24:16,655
And he's gonna get tripped up.
1298
01:24:16,738 --> 01:24:18,030
We can't let that happen.
1299
01:24:18,114 --> 01:24:21,947
I'd have to be sitting in the room next to
him the whole time for it not to happen.
1300
01:24:22,030 --> 01:24:24,114
And I can't exactly do that, now can I?
1301
01:24:24,197 --> 01:24:26,114
Well, you could do something close to it.
1302
01:24:28,364 --> 01:24:29,947
There's gotta be another way.
1303
01:24:32,822 --> 01:24:35,530
Well, Joe's not too proud
to put on a chauffeur's uniform.
1304
01:24:35,613 --> 01:24:38,280
Well, Joe was born
with a silver spoon in his mouth.
1305
01:24:38,364 --> 01:24:39,905
For him it's like playing dress-up.
1306
01:24:39,988 --> 01:24:42,655
Well, I wasn't.
I was barely born with a spoon.
1307
01:24:42,738 --> 01:24:45,405
How many times have I worn this uniform
to help this business?
1308
01:24:45,488 --> 01:24:46,488
You're...
1309
01:24:47,030 --> 01:24:48,530
- A woman?
- Yeah.
1310
01:24:50,738 --> 01:24:51,613
I love you, Bernard.
1311
01:24:51,697 --> 01:24:53,631
But how is that any different
from a white man telling you
1312
01:24:53,655 --> 01:24:55,738
you shouldn't mind
some daily assault on your dignity
1313
01:24:55,822 --> 01:24:56,822
because you're black?
1314
01:25:56,905 --> 01:25:59,281
Should've took limo driver
when you had the chance.
1315
01:26:00,530 --> 01:26:03,281
I don't like what hats do
to the shape of my face.
1316
01:26:03,989 --> 01:26:05,613
You made an actual joke.
1317
01:26:05,697 --> 01:26:07,697
Well, what else can I do
in this situation?
1318
01:26:09,488 --> 01:26:11,947
See, you find out how life really works,
1319
01:26:13,030 --> 01:26:14,405
can't do nothing but laugh.
1320
01:26:18,322 --> 01:26:20,697
You sure you don't want
a coffee or anything?
1321
01:26:20,780 --> 01:26:21,780
No, thank you.
1322
01:26:21,863 --> 01:26:23,405
A cold water maybe?
1323
01:26:23,488 --> 01:26:25,364
As of close of business Friday,
1324
01:26:25,446 --> 01:26:29,030
the total number of loans delinquent
beyond 60 days was under 5%?
1325
01:26:30,446 --> 01:26:31,446
Yes.
1326
01:26:31,530 --> 01:26:32,947
What was the exact percentage?
1327
01:26:35,863 --> 01:26:37,155
3%.
1328
01:26:46,613 --> 01:26:50,197
We are discussing
confidential information.
1329
01:26:50,655 --> 01:26:52,572
I'm sure the janitor
wouldn't understand it.
1330
01:26:52,655 --> 01:26:53,822
Someone else might.
1331
01:26:58,197 --> 01:26:59,780
Take me through this transaction.
1332
01:27:00,488 --> 01:27:04,072
That's a package of loans we bought
to increase our loan-to-capital ratio.
1333
01:27:06,572 --> 01:27:07,572
He's in trouble.
1334
01:27:10,405 --> 01:27:12,239
I can read the description myself.
1335
01:27:12,322 --> 01:27:14,613
I'm curious about this related charge.
1336
01:27:14,697 --> 01:27:20,822
$189,186.04
to Valley National Mortgage Company.
1337
01:27:21,405 --> 01:27:23,072
There's no description for that.
1338
01:27:23,572 --> 01:27:24,864
It's a broker's fee.
1339
01:27:26,697 --> 01:27:33,114
$189,000 as a finder's fee
for a $971,000 package of loans
1340
01:27:33,697 --> 01:27:35,613
sitting in an aggregator's office
in Houston?
1341
01:27:36,281 --> 01:27:37,822
That's a pretty hefty finder's fee.
1342
01:27:38,446 --> 01:27:42,905
No, 19.5%, but that includes payment
for future consultation.
1343
01:27:43,446 --> 01:27:45,281
Well, that's a strange arrangement.
1344
01:27:45,364 --> 01:27:46,780
Mr. Garrett and Mr. Morris?
1345
01:27:46,864 --> 01:27:49,114
Is that something that should concern you?
1346
01:27:49,197 --> 01:27:51,281
Aren't you here
to make sure my bank is sound?
1347
01:27:52,530 --> 01:27:54,572
Okay, let's turn to the loans themselves.
1348
01:27:55,655 --> 01:27:59,488
You paid $971,213 for these loans.
1349
01:27:59,572 --> 01:28:01,780
You have them valued as such
on your books.
1350
01:28:01,864 --> 01:28:03,197
Yes, of course.
1351
01:28:03,281 --> 01:28:06,613
Show me the methodology you used
to justify that book value.
1352
01:28:08,281 --> 01:28:09,655
I have an expert to do that.
1353
01:28:09,738 --> 01:28:10,822
Bring him in, please.
1354
01:28:13,030 --> 01:28:14,072
He's not in today.
1355
01:28:19,114 --> 01:28:21,905
But I can check his files.
1356
01:28:22,405 --> 01:28:23,530
Please.
1357
01:28:37,488 --> 01:28:41,281
He wants to know the exact methodology
we used to value the loans in the package.
1358
01:28:41,364 --> 01:28:42,364
Okay.
1359
01:28:43,156 --> 01:28:44,156
Pay attention.
1360
01:28:45,197 --> 01:28:47,156
It's a standard present value equation.
1361
01:28:48,156 --> 01:28:51,239
This is an individual loan's
monthly payment schedule.
1362
01:28:51,322 --> 01:28:53,947
Now, adjust that
with the risk factor for default.
1363
01:28:54,030 --> 01:28:56,114
Standard 5% in Texas.
1364
01:28:56,572 --> 01:28:57,572
That's what I used.
1365
01:28:58,613 --> 01:28:59,738
Tear that out for me.
1366
01:28:59,822 --> 01:29:01,714
You can't go in the room
with that piece of paper.
1367
01:29:01,738 --> 01:29:03,364
It's got Bernard's handwriting on it.
1368
01:29:03,447 --> 01:29:04,464
- Memorize it.
- No, I can't.
1369
01:29:04,488 --> 01:29:06,697
Sure you can. You got a great memory.
1370
01:29:06,780 --> 01:29:07,655
No, I'm too nervous.
1371
01:29:07,738 --> 01:29:08,864
Hey, listen.
1372
01:29:08,947 --> 01:29:11,864
You fail this test
and he's gonna write down those loans
1373
01:29:11,947 --> 01:29:13,705
and it'll threaten
the stability of the bank.
1374
01:29:13,738 --> 01:29:14,737
Your bank.
1375
01:29:15,197 --> 01:29:16,281
This is your bank, Matt.
1376
01:29:16,364 --> 01:29:18,780
Now, pull it together
and go out there and save it.
1377
01:29:20,655 --> 01:29:22,281
Okay, let me see that one more time.
1378
01:29:27,822 --> 01:29:30,989
Okay, I have the methodology.
1379
01:29:31,072 --> 01:29:32,156
Put a pin in that.
1380
01:29:32,239 --> 01:29:34,864
I found problems with individual loans
while you were gone.
1381
01:29:35,530 --> 01:29:37,655
I valued those loans conservatively.
1382
01:29:38,072 --> 01:29:39,364
We didn't do anything wrong.
1383
01:29:39,447 --> 01:29:42,905
They wanna shut us down,
they got plenty ways they can do that.
1384
01:29:43,322 --> 01:29:45,322
"5% default rate?
1385
01:29:46,197 --> 01:29:48,697
Hell. What if there's a drought?
1386
01:29:48,780 --> 01:29:51,114
You niggers need to value them loans
1387
01:29:51,197 --> 01:29:55,114
assuming there's gonna be
a once-in-a-generation drought.
1388
01:29:55,613 --> 01:29:58,197
25% default rate for y'all."
1389
01:30:00,239 --> 01:30:02,739
This loan's gonna have to be
sold off immediately.
1390
01:30:03,905 --> 01:30:05,239
And this one.
1391
01:30:05,655 --> 01:30:07,613
And this one.
1392
01:30:07,697 --> 01:30:09,739
Why? Why? What's wrong with them?
1393
01:30:09,822 --> 01:30:11,697
Well, that loan is for $21,000.
1394
01:30:11,780 --> 01:30:14,364
Your capital account is $200,000.
1395
01:30:14,447 --> 01:30:15,447
Okay.
1396
01:30:17,655 --> 01:30:19,905
You don't understand why that's a problem,
do you?
1397
01:30:21,447 --> 01:30:25,947
The National Banking Act specifies that no
bank shall have a single loan on the books
1398
01:30:26,031 --> 01:30:28,364
that exceeds 10% of equity capital.
1399
01:30:28,447 --> 01:30:30,572
Or $20,000 in this case.
1400
01:30:31,488 --> 01:30:32,487
Right.
1401
01:30:36,072 --> 01:30:37,780
Okay, but this one's only 4,000.
1402
01:30:37,864 --> 01:30:40,072
It's for a 25-year term.
Same with this one.
1403
01:30:41,572 --> 01:30:44,072
A bank of this size
is limited to 20-year terms.
1404
01:30:45,239 --> 01:30:49,364
And this loan is legal on its face,
but it's three months delinquent.
1405
01:30:50,281 --> 01:30:53,197
I'm not gonna require you to sell it,
but I'm gonna classify it.
1406
01:30:53,281 --> 01:30:55,613
Take its value down on your books by 40%
1407
01:30:55,697 --> 01:30:57,613
to account for the elevated risk
of default.
1408
01:31:03,864 --> 01:31:06,613
Hold on. I'll be right back.
1409
01:31:12,031 --> 01:31:14,072
How the hell
did these loans get in the package?
1410
01:31:14,156 --> 01:31:16,031
- I don't know.
- Unacceptable.
1411
01:31:16,114 --> 01:31:18,114
I looked over every individual loan, Matt.
1412
01:31:18,197 --> 01:31:21,031
There was nothing over $20,000.
Nothing over 20 years.
1413
01:31:21,114 --> 01:31:23,364
Did you look at the loans
when you picked them up?
1414
01:31:24,031 --> 01:31:26,114
Did you look at the goddamn loans?
1415
01:31:26,197 --> 01:31:28,355
Yes, I looked through them.
Maybe not carefully enough.
1416
01:31:28,405 --> 01:31:29,405
I read the top sheet...
1417
01:31:29,488 --> 01:31:30,614
Unbelievable.
1418
01:31:31,156 --> 01:31:32,822
Well, they can't lie on the top sheet.
1419
01:31:32,905 --> 01:31:35,488
Matt, there aren't any limiters.
1420
01:31:35,572 --> 01:31:36,364
What?
1421
01:31:36,447 --> 01:31:39,364
There isn't anything on this top sheet
about individual loan limits,
1422
01:31:39,447 --> 01:31:41,031
dollar amounts or durations.
1423
01:31:41,114 --> 01:31:42,364
They're all averages.
1424
01:31:43,572 --> 01:31:44,697
They didn't lie.
1425
01:31:44,780 --> 01:31:46,697
They just hid the shit in the averages.
1426
01:31:46,780 --> 01:31:49,114
How the hell did our lawyer miss that?
1427
01:31:49,739 --> 01:31:51,822
- I couldn't use O'Keefe.
- What?
1428
01:31:51,905 --> 01:31:54,582
Bernard checked the properties so fast
I moved up the purchase date.
1429
01:31:54,655 --> 01:31:56,464
O'Keefe couldn't make it,
so I hired someone else.
1430
01:31:56,488 --> 01:31:58,087
- How did you find him?
- I asked around.
1431
01:31:58,114 --> 01:32:00,488
You asked... He asked around.
What the hell's that mean?
1432
01:32:00,572 --> 01:32:03,323
We told you you weren't ready
to run your own bank. We told you.
1433
01:32:03,405 --> 01:32:05,239
You forced our hand. Now here we are.
1434
01:32:05,323 --> 01:32:06,323
Whoa, whoa, whoa.
1435
01:32:07,031 --> 01:32:11,697
Who exactly did you ask
to find this lawyer?
1436
01:32:14,072 --> 01:32:15,072
Who, Matt?
1437
01:32:15,906 --> 01:32:16,906
Florance.
1438
01:32:17,989 --> 01:32:19,114
Florance?
1439
01:32:19,697 --> 01:32:21,281
You asked Florance?
1440
01:32:22,655 --> 01:32:24,947
He switched the goddamn mortgages.
1441
01:32:25,031 --> 01:32:26,197
Why? Why would he do that?
1442
01:32:26,281 --> 01:32:27,614
To kill Marlin.
1443
01:32:27,697 --> 01:32:31,405
And the worst part is I have to learn
about it here, in this ridiculous outfit,
1444
01:32:31,488 --> 01:32:32,655
that you helped him do it!
1445
01:32:32,739 --> 01:32:34,281
No, that's gotta be illegal, right?
1446
01:32:35,281 --> 01:32:36,864
What does he get from that, anyway?
1447
01:32:36,947 --> 01:32:38,364
Leverage.
1448
01:32:38,447 --> 01:32:40,655
Against us at Mainland.
1449
01:32:41,447 --> 01:32:43,239
Or maybe just to watch us fail.
1450
01:32:52,488 --> 01:32:58,239
We have to sell 27 bad loans in a week
and cover all the markdowns ourselves.
1451
01:32:59,530 --> 01:33:01,405
We're gonna lose $300,000,
1452
01:33:01,488 --> 01:33:06,655
unless Matt Steiner can make Marlin
the most successful bank in Texas history.
1453
01:33:10,198 --> 01:33:11,989
Or you could let it close.
1454
01:33:14,239 --> 01:33:15,697
Matt got you here, you didn't.
1455
01:33:15,780 --> 01:33:17,906
No, I did.
1456
01:33:18,739 --> 01:33:22,405
Soon as I thought I was clever enough
to come down here and take on all of this.
1457
01:33:23,198 --> 01:33:24,239
Joe warned me.
1458
01:33:25,364 --> 01:33:26,364
You warned me.
1459
01:33:28,822 --> 01:33:30,822
My daddy warned me when I was 13.
1460
01:33:35,323 --> 01:33:38,780
If this was easy, somebody else
would have done it a long time ago.
1461
01:33:44,572 --> 01:33:46,405
So, you're just gonna walk away from it?
1462
01:33:46,947 --> 01:33:48,489
It's the only rational thing to do.
1463
01:33:48,572 --> 01:33:50,031
No, we could sue the bastards.
1464
01:33:50,114 --> 01:33:53,447
You signed a document saying
you knew exactly what you were buying.
1465
01:33:53,530 --> 01:33:55,364
But the lawyer lied to me. We can sue him.
1466
01:33:55,447 --> 01:33:57,614
Maybe you can, Matt, but we can't.
1467
01:33:58,239 --> 01:34:00,947
Me and Bernard can't win that case,
not in Texas.
1468
01:34:01,489 --> 01:34:04,530
Plus, Marlin will be gone by then anyway.
1469
01:34:04,614 --> 01:34:07,323
I'm not gonna lose Marlin.
There's gotta be something I can do.
1470
01:34:07,405 --> 01:34:08,405
Look, I'm sorry, Matt.
1471
01:34:08,489 --> 01:34:11,364
I know it was your baby,
but I need you to focus on Mainland now.
1472
01:34:13,739 --> 01:34:14,739
Well, how?
1473
01:34:14,822 --> 01:34:16,239
Keep an eye on Florance.
1474
01:34:16,323 --> 01:34:18,447
And make sure when white folks
come in that bank,
1475
01:34:18,530 --> 01:34:20,864
they see a white man
in the president's office
1476
01:34:20,947 --> 01:34:22,739
so they won't pull their deposits.
1477
01:34:43,572 --> 01:34:44,781
Garrett residence.
1478
01:34:45,323 --> 01:34:47,447
Yes, he's here. Just a moment.
1479
01:34:47,947 --> 01:34:49,405
Joe, it's for you.
1480
01:34:51,572 --> 01:34:52,739
Yeah, this is Joe.
1481
01:34:52,822 --> 01:34:53,882
You didn't hear this from me,
1482
01:34:53,906 --> 01:34:57,281
but I got a friend at the Comptroller's
office who kind of looks out for me.
1483
01:34:57,989 --> 01:34:59,156
Called me yesterday to say
1484
01:34:59,239 --> 01:35:02,323
Matt Steiner managed to get all
"must sell" loans off Marlin's books.
1485
01:35:02,822 --> 01:35:03,655
That don't matter,
1486
01:35:03,739 --> 01:35:06,299
'cause we decided we ain't gonna
put no more money in there anyhow.
1487
01:35:06,323 --> 01:35:08,031
At face value. No discount.
1488
01:35:08,114 --> 01:35:10,739
Which means Marlin's in the black again,
fully solvent...
1489
01:35:11,947 --> 01:35:13,239
without capital from you.
1490
01:35:14,239 --> 01:35:17,489
Who the hell would pay face value
for those piece of shit loans?
1491
01:35:18,114 --> 01:35:20,031
Mainland bank in Willis, Texas.
1492
01:35:20,114 --> 01:35:21,239
Say what?
1493
01:35:21,781 --> 01:35:23,614
Son of a bitch!
1494
01:35:47,114 --> 01:35:48,405
What the hell are you doing?
1495
01:35:48,489 --> 01:35:50,073
You had Mainland pay face value
1496
01:35:50,156 --> 01:35:52,739
for the loans the feds
already had you mark down at Marlin?
1497
01:35:52,822 --> 01:35:53,989
It's just temporary.
1498
01:35:54,073 --> 01:35:56,323
- It's fraud.
- No, if we classify them differently...
1499
01:35:56,405 --> 01:35:59,239
If you keep this up,
you're gonna sink both banks, Matt.
1500
01:35:59,989 --> 01:36:01,114
Get the books.
1501
01:36:01,781 --> 01:36:04,114
- Shouldn't we wait until...
- Get the goddamn books now.
1502
01:36:23,073 --> 01:36:25,239
All I did was transfer the...
1503
01:36:25,323 --> 01:36:27,697
Matthew Steiner,
president of Mainland Bank?
1504
01:36:28,906 --> 01:36:29,906
- Yes.
- I'm Norman Dunn,
1505
01:36:29,989 --> 01:36:32,906
Deputy Comptroller of the Currency
for the Southern District.
1506
01:36:32,989 --> 01:36:36,239
The Treasury Department has revoked
Mainland's license to do banking.
1507
01:36:36,323 --> 01:36:40,031
Your bank is being placed in FDIC
receivership per the National Banking Act.
1508
01:36:40,114 --> 01:36:42,031
This is Mr. Amos of the FDIC.
1509
01:36:42,447 --> 01:36:44,739
Mr. Steiner, you're fired.
1510
01:36:44,822 --> 01:36:46,673
I'm going to need to escort you
from the building now.
1511
01:36:46,697 --> 01:36:48,656
Please leave the ledgers where they are.
1512
01:36:51,073 --> 01:36:52,281
Ladies and gentlemen,
1513
01:36:52,365 --> 01:36:56,405
the United States Treasury Department
has closed this bank until further notice.
1514
01:36:56,489 --> 01:37:00,572
All deposits up to $10,000
are insured by the federal government.
1515
01:37:00,656 --> 01:37:04,489
Upon FDIC review of the bank's books,
your money will be returned to you.
1516
01:37:04,989 --> 01:37:06,906
The building is now closed to the public.
1517
01:37:06,989 --> 01:37:09,073
We must ask that you leave.
1518
01:37:18,739 --> 01:37:21,281
I'm so sorry.
I thought that I could save both...
1519
01:37:21,365 --> 01:37:22,405
Get out of my face.
1520
01:37:23,156 --> 01:37:25,281
- Bernard Garrett and Joseph Morris?
- Yes.
1521
01:37:25,365 --> 01:37:27,198
- FBI. You're under arrest.
- For what?
1522
01:37:27,281 --> 01:37:28,423
Turn around and face the wall.
1523
01:37:28,447 --> 01:37:30,840
No. What are we under arrest for?
What did we do that's illegal?
1524
01:37:30,864 --> 01:37:32,090
- The judge will tell you that.
- No, screw the judge.
1525
01:37:32,114 --> 01:37:33,965
- You tell me what we did that's illegal.
- Bernard.
1526
01:37:33,989 --> 01:37:35,299
- What's he complaining about?
- I get it.
1527
01:37:35,323 --> 01:37:38,174
A black man makes some money and it's okay
as long as he keeps to himself.
1528
01:37:38,198 --> 01:37:40,506
But if he try to bring other brothers up,
that's intolerable.
1529
01:37:40,530 --> 01:37:42,198
This is happening, Mr. Garrett.
1530
01:37:42,281 --> 01:37:45,447
The only question to ask yourself
is do you want to get hurt fighting it?
1531
01:37:46,323 --> 01:37:48,323
- Hey, get off of him!
- Bernard, no! No!
1532
01:37:53,323 --> 01:37:54,323
Come on.
1533
01:38:04,948 --> 01:38:08,114
The state banking charges
have all been dropped.
1534
01:38:08,198 --> 01:38:11,864
The federal charges,
however, are all still in place.
1535
01:38:12,697 --> 01:38:16,447
Now, it's my feeling
that we're in a political space here.
1536
01:38:16,822 --> 01:38:18,489
So if we play our cards right,
1537
01:38:18,989 --> 01:38:21,365
we'll be able to get
those charges dropped as well.
1538
01:38:21,447 --> 01:38:22,530
Political how?
1539
01:38:23,365 --> 01:38:25,531
Well, Senator John McClellan of Arkansas
1540
01:38:25,614 --> 01:38:29,656
is holding a set of hearings
on federally funded banks.
1541
01:38:29,739 --> 01:38:35,240
The goal seems to be to shit all over
the so-called "lax oversight"
1542
01:38:35,323 --> 01:38:37,156
that our Treasury provides,
1543
01:38:37,739 --> 01:38:41,697
so as to justify his committee
expanding its jurisdiction.
1544
01:38:41,781 --> 01:38:46,114
Thereby ensuring a steady stream
of campaign donations
1545
01:38:46,198 --> 01:38:48,739
and favors from the banking industry.
1546
01:38:48,822 --> 01:38:50,822
So, what does that have to do with me?
1547
01:38:50,906 --> 01:38:52,989
You want the stated
or the unstated version?
1548
01:38:54,365 --> 01:38:55,365
Unstated.
1549
01:38:55,447 --> 01:38:57,240
"We need to change these laws.
1550
01:38:57,323 --> 01:38:58,614
And I mean quick!
1551
01:38:58,697 --> 01:39:03,281
Or niggers like these can own banks
and loan money to other niggers."
1552
01:39:03,365 --> 01:39:04,365
That.
1553
01:39:05,365 --> 01:39:07,031
On the bright side, Bernard,
1554
01:39:07,114 --> 01:39:10,864
'cause we fit so neatly
into McClellan's power grab,
1555
01:39:11,365 --> 01:39:15,823
the whole country's talkin' about
how two Negroes managed to buy two banks
1556
01:39:15,906 --> 01:39:20,031
full of white folks' money in Texas
and loan it to other Negroes.
1557
01:39:20,405 --> 01:39:23,739
I thought McClellan was one of the first
people to stand up to McCarthyism.
1558
01:39:23,823 --> 01:39:24,656
He was.
1559
01:39:24,739 --> 01:39:26,823
So he must be a decent man, right?
1560
01:39:30,073 --> 01:39:34,156
You know, Bernard, I don't have
the ability to look into a man's soul.
1561
01:39:35,365 --> 01:39:36,989
But I will tell you this...
1562
01:39:37,572 --> 01:39:39,948
he means to make a point
with these hearings.
1563
01:39:40,031 --> 01:39:42,114
And if you want
to help him make that point,
1564
01:39:42,697 --> 01:39:47,656
I highly doubt that you're gonna have any
problem with any kind of criminal charges.
1565
01:39:49,781 --> 01:39:51,489
So, where's Matt in all this?
1566
01:39:51,572 --> 01:39:54,281
Now, that is a good question.
1567
01:40:03,405 --> 01:40:04,948
My lawyer doesn't want me here.
1568
01:40:05,948 --> 01:40:08,739
Then your lawyer doesn't have
your best interests at heart, Matt.
1569
01:40:09,240 --> 01:40:11,948
Because we can make a deal here
that could save your life.
1570
01:40:12,031 --> 01:40:13,240
How does that work exactly?
1571
01:40:14,489 --> 01:40:15,489
You're gonna...
1572
01:40:16,073 --> 01:40:18,489
give me back my money? My house?
1573
01:40:19,572 --> 01:40:20,781
Hardly.
1574
01:40:20,864 --> 01:40:22,948
But I can give you immunity.
1575
01:40:23,405 --> 01:40:25,531
And you might avoid
being called to account
1576
01:40:26,156 --> 01:40:28,906
for lying to the public
on 23 separate occasions
1577
01:40:28,989 --> 01:40:32,073
about the true ownership
of the Mainland and Marlin banks.
1578
01:40:33,073 --> 01:40:35,989
Fraudulently valuing loans in these banks.
1579
01:40:37,031 --> 01:40:41,156
Illegally transferring said loans
between the banks in question.
1580
01:40:44,739 --> 01:40:45,989
It's an easy story to tell,
1581
01:40:46,781 --> 01:40:49,989
how these two men manipulated you,
1582
01:40:51,073 --> 01:40:55,281
used you to make money by duping everyday
citizens into thinking you were the boss,
1583
01:40:55,365 --> 01:40:58,823
when really it was
two Negroes pulling the strings.
1584
01:41:00,781 --> 01:41:03,198
But they didn't force me
to do the things I did.
1585
01:41:04,156 --> 01:41:05,823
They were careful to follow the law.
1586
01:41:05,906 --> 01:41:08,365
You won't find any evidence
that they committed a crime.
1587
01:41:08,739 --> 01:41:10,656
See, that's the thing about banking crime,
1588
01:41:11,656 --> 01:41:13,572
there's always a subjective element to it.
1589
01:41:14,656 --> 01:41:15,698
Now,
1590
01:41:16,323 --> 01:41:18,989
these two Negroes earned...
1591
01:41:20,739 --> 01:41:23,531
189,000 between the two of them,
1592
01:41:24,531 --> 01:41:30,365
off a $971,000 purchase of mortgages
that in fact were worth 663,000.
1593
01:41:30,447 --> 01:41:34,323
See, that is a misuse of bank funds
in my book.
1594
01:41:35,323 --> 01:41:36,989
And a misuse of bank funds is a crime.
1595
01:41:37,073 --> 01:41:38,572
It's more complicated than that.
1596
01:41:38,656 --> 01:41:40,240
I don't think it is, Mr. Steiner.
1597
01:41:41,739 --> 01:41:45,531
Unless you're telling me they didn't force
you to buy these dog-shit mortgages...
1598
01:41:47,531 --> 01:41:50,906
so they could bilk the bank
of $189,000 of commission.
1599
01:41:53,614 --> 01:41:55,031
Then maybe they are innocent
1600
01:41:56,781 --> 01:41:58,864
and maybe
someone else needs to go to prison.
1601
01:42:06,864 --> 01:42:08,864
I'm really sorry I ever brought him in.
1602
01:42:08,948 --> 01:42:10,365
You didn't force me to hire him.
1603
01:42:10,864 --> 01:42:12,990
Joe warned me a dozen times as well.
1604
01:42:15,531 --> 01:42:17,323
Just wanted to believe in him, I guess.
1605
01:42:19,906 --> 01:42:23,281
I hope whoever owns this place is taking
good care of you for the renovation.
1606
01:42:26,281 --> 01:42:27,281
He is...
1607
01:42:28,990 --> 01:42:29,990
'cause it's me.
1608
01:42:33,406 --> 01:42:34,406
Yeah.
1609
01:42:35,282 --> 01:42:36,823
Yeah.
1610
01:42:56,447 --> 01:42:59,531
So, it's your testimony that
you've always been under the direction
1611
01:42:59,614 --> 01:43:01,323
of Bernard Garrett and Joe Morris.
1612
01:43:01,406 --> 01:43:02,531
Is that correct?
1613
01:43:06,198 --> 01:43:07,447
It is. Yes.
1614
01:43:08,365 --> 01:43:10,572
You ever refuse an order
from Garrett or Morris?
1615
01:43:12,323 --> 01:43:16,489
For example, the initial purchase
of mortgages by the Marlin bank,
1616
01:43:17,282 --> 01:43:21,864
for which Garrett and Morris
were compensated $189,000,
1617
01:43:22,739 --> 01:43:26,614
or Mainland Bank's subsequent purchase
at grossly inflated prices
1618
01:43:27,531 --> 01:43:29,365
of problem mortgages from Marlin?
1619
01:43:32,489 --> 01:43:35,365
They were my employers.
I carried out their wishes to the letter.
1620
01:44:19,282 --> 01:44:21,489
I'm surprised
you requested this meeting, Melvin.
1621
01:44:22,323 --> 01:44:25,447
{\an8}It seemed my offer required
a simple answer, yes or no.
1622
01:44:26,240 --> 01:44:28,573
{\an8}Especially given
how solid Steiner was today.
1623
01:44:29,406 --> 01:44:31,531
Well, John, Bernard's not the kind of man
1624
01:44:31,614 --> 01:44:34,365
to make a deal
without checking all the details.
1625
01:44:36,282 --> 01:44:38,906
It seems to me
that a large part of his purported defense
1626
01:44:38,990 --> 01:44:40,115
is that he did just that.
1627
01:44:42,115 --> 01:44:45,073
You want me to put the banking rules
on trial in my testimony.
1628
01:44:45,489 --> 01:44:46,906
I want you to tell the truth.
1629
01:44:47,739 --> 01:44:49,365
Which should have that result, yes.
1630
01:44:51,115 --> 01:44:54,573
The rules allowed you
to hide your identity from the public
1631
01:44:54,656 --> 01:45:00,031
and take the successive actions that led
to two national banks becoming insolvent,
1632
01:45:01,614 --> 01:45:05,406
risking the savings
of thousands of innocent depositors.
1633
01:45:06,656 --> 01:45:08,531
You and I see the truth very differently.
1634
01:45:10,365 --> 01:45:11,656
Son, I'm from Arkansas.
1635
01:45:12,282 --> 01:45:15,739
You don't have to tell me that Negroes
sometimes get the short end of the stick.
1636
01:45:16,198 --> 01:45:17,323
"Sometimes."
1637
01:45:20,323 --> 01:45:21,781
We're not gonna change that here.
1638
01:45:23,990 --> 01:45:27,240
The truth is, whatever obstacles
they put in your way,
1639
01:45:27,323 --> 01:45:29,823
you kept your head down,
did your business,
1640
01:45:30,198 --> 01:45:33,865
became one of the richest Negroes
in the country.
1641
01:45:37,948 --> 01:45:39,781
You were living the American dream
1642
01:45:41,990 --> 01:45:47,031
before you decided to go mucking around
with the social order in Texas.
1643
01:45:49,157 --> 01:45:50,531
Might be a lesson there.
1644
01:45:51,240 --> 01:45:52,323
You have a choice now.
1645
01:45:54,406 --> 01:45:56,282
Take the immunity deal.
1646
01:45:56,365 --> 01:46:00,031
Go in there and confirm
what Steiner just told us,
1647
01:46:00,115 --> 01:46:05,448
that you took advantage of lax rules
in order to enrich yourself.
1648
01:46:06,406 --> 01:46:09,656
And let Congress fix those rules,
and you'll be a free man.
1649
01:46:10,740 --> 01:46:13,323
Or you can refuse the deal...
1650
01:46:14,406 --> 01:46:15,573
and say whatever you want.
1651
01:46:17,740 --> 01:46:18,740
But just know,
1652
01:46:20,282 --> 01:46:25,948
after you're done saying your piece
about racism and the plight of the Negro,
1653
01:46:26,031 --> 01:46:28,740
we're gonna compare your testimony
point for point
1654
01:46:28,823 --> 01:46:30,865
with what we heard
from Steiner and Florance,
1655
01:46:30,948 --> 01:46:32,698
and a whole bunch of other white people.
1656
01:46:32,781 --> 01:46:36,531
Well, thank God the Constitution
doesn't make those types of distinctions.
1657
01:46:37,656 --> 01:46:39,448
Well, at the end of all that,
1658
01:46:39,531 --> 01:46:41,656
a determination will be made
by a court of law
1659
01:46:41,740 --> 01:46:43,406
to decide who's telling the truth...
1660
01:46:44,448 --> 01:46:45,448
and who's lying.
1661
01:46:47,032 --> 01:46:48,531
And the liars are going to prison.
1662
01:46:53,282 --> 01:46:55,282
Sure is pretty from the outside.
1663
01:46:59,282 --> 01:47:00,406
Guess you were right.
1664
01:47:01,198 --> 01:47:04,323
It was too early
for two Negroes to own a bank in Texas.
1665
01:47:05,906 --> 01:47:06,906
Maybe.
1666
01:47:07,489 --> 01:47:09,489
Or maybe you were right to do it now.
1667
01:47:11,740 --> 01:47:12,823
Why?
1668
01:47:15,282 --> 01:47:16,489
Look where you ended up.
1669
01:47:19,115 --> 01:47:21,823
White people get to buy homes
and build businesses
1670
01:47:21,906 --> 01:47:23,573
because banks will loan them money.
1671
01:47:24,865 --> 01:47:26,157
Black people don't.
1672
01:47:26,240 --> 01:47:29,240
And maybe it is time that someone
shine a bright light on that now,
1673
01:47:29,823 --> 01:47:31,489
in order for things to change.
1674
01:47:32,740 --> 01:47:36,489
Well, if I shine the light too bright,
McClellan will get rid of my immunity.
1675
01:47:39,573 --> 01:47:41,282
What do you think I should do in there?
1676
01:47:43,324 --> 01:47:45,489
Everyone thought I was crazy to marry you.
1677
01:47:47,698 --> 01:47:50,240
You always thought differently
from everyone else.
1678
01:47:51,865 --> 01:47:54,198
But that's why
I fell in love with you, Bernard.
1679
01:47:55,365 --> 01:47:59,157
And whatever you decide to do
in there today is not gonna change that.
1680
01:48:12,573 --> 01:48:14,282
Would you mind giving me a minute?
1681
01:48:17,990 --> 01:48:20,240
Should I be jealous
you get to testify first?
1682
01:48:20,324 --> 01:48:21,406
No, man.
1683
01:48:22,240 --> 01:48:25,324
I'm just a warm-up act
for the criminal mastermind to follow.
1684
01:48:26,573 --> 01:48:28,324
Well, they gonna be disappointed as hell
1685
01:48:28,406 --> 01:48:30,406
because I plan to
blame all this shit on you.
1686
01:48:30,489 --> 01:48:32,573
Damn. That was my plan too.
1687
01:48:34,948 --> 01:48:36,823
You know, when I first laid eyes on you,
1688
01:48:36,906 --> 01:48:40,365
I thought you were this uptight,
square-ass Negro
1689
01:48:40,448 --> 01:48:42,740
who wouldn't know
whitey's hand was 'round his neck
1690
01:48:42,823 --> 01:48:44,448
if he was staring at it in a mirror.
1691
01:48:45,740 --> 01:48:47,698
Glad I made such a good first impression.
1692
01:48:49,240 --> 01:48:50,240
Turns out,
1693
01:48:51,157 --> 01:48:52,990
you a goddamn revolutionary.
1694
01:48:54,448 --> 01:48:56,032
You know, when I first met you,
1695
01:48:56,823 --> 01:48:59,406
I thought you were
an entitled playboy clown.
1696
01:49:01,448 --> 01:49:02,489
Man,
1697
01:49:03,948 --> 01:49:07,531
you saw things years before I did.
1698
01:49:09,032 --> 01:49:10,115
Even about myself,
1699
01:49:13,073 --> 01:49:14,489
five minutes after meeting me.
1700
01:49:43,406 --> 01:49:45,865
Committee calls Bernard S. Garrett
to testify.
1701
01:49:50,115 --> 01:49:52,448
Do you have his glasses?
He doesn't have his glasses.
1702
01:49:52,531 --> 01:49:53,698
He doesn't need 'em.
1703
01:49:54,199 --> 01:49:55,907
He's got to read his opening statement.
1704
01:49:56,406 --> 01:49:59,199
He doesn't need his glasses. He never has.
1705
01:50:01,781 --> 01:50:04,823
Mr. Garrett,
I think you understand the stakes.
1706
01:50:09,240 --> 01:50:10,573
We'll take your statement now.
1707
01:50:12,157 --> 01:50:13,240
Mr. Chairman.
1708
01:50:14,115 --> 01:50:18,990
Our nation's founding documents declare
that "all men are created equal"
1709
01:50:19,615 --> 01:50:21,365
and endeavor to create a society
1710
01:50:21,448 --> 01:50:24,573
where citizens receive
the equal protection of our laws.
1711
01:50:25,240 --> 01:50:26,365
It's a noble goal.
1712
01:50:27,365 --> 01:50:30,907
But we all know,
for many citizens it's a lie.
1713
01:50:33,115 --> 01:50:34,531
This hearing is supposed to be
1714
01:50:34,615 --> 01:50:40,157
about uncovering and reforming
unsafe banking practices.
1715
01:50:40,990 --> 01:50:42,199
But I think it's really about
1716
01:50:42,282 --> 01:50:47,199
how on earth did two black men
pull off owning a bank in Texas.
1717
01:50:47,282 --> 01:50:50,740
Mr. Garrett, I think you
should tread carefully now.
1718
01:50:52,365 --> 01:50:54,324
Well, I can talk at length about that.
1719
01:50:54,948 --> 01:50:58,115
Or I can sum it up with this.
1720
01:51:01,073 --> 01:51:02,072
The dress code.
1721
01:51:02,615 --> 01:51:04,406
Mr. Garrett, you are out of order, sir.
1722
01:51:04,490 --> 01:51:05,907
- I'm not finished.
- Out of order.
1723
01:51:05,990 --> 01:51:08,823
If you can't get a loan,
you can't own a home.
1724
01:51:08,907 --> 01:51:09,986
You can't start a business.
1725
01:51:10,032 --> 01:51:11,531
Mr. Garrett, you have been warned.
1726
01:51:11,615 --> 01:51:14,240
- Which means you can't build wealth.
- Mr. Garrett!
1727
01:51:14,324 --> 01:51:16,240
And you're excluded
from the American dream.
1728
01:51:16,324 --> 01:51:17,948
Sergeant-at-arms, remove the witness.
1729
01:51:18,032 --> 01:51:22,282
Why is it so important to you
to exclude an entire race of people
1730
01:51:22,365 --> 01:51:23,907
from the American dream?
1731
01:52:42,948 --> 01:52:44,823
Figures they'd let you out before me.
1732
01:52:44,907 --> 01:52:47,115
Man, they couldn't wait
to get rid of my ass.
1733
01:52:52,573 --> 01:52:53,782
Let's go home.
1734
01:52:55,656 --> 01:52:56,948
They took 'em all, remember?
1735
01:52:57,032 --> 01:52:58,282
Well, let's go somewhere.
1736
01:53:01,782 --> 01:53:03,199
What are you two laughing about?
1737
01:53:03,282 --> 01:53:04,531
They didn't take all of 'em.
1738
01:53:04,615 --> 01:53:07,366
They didn't know about the two
we bought next door to each other
1739
01:53:07,448 --> 01:53:08,448
in the Bahamas.
1740
01:53:08,531 --> 01:53:09,530
What?
1741
01:53:10,657 --> 01:53:12,115
Bernard, how did you do that?
1742
01:53:14,740 --> 01:53:17,115
Matt called me
the night before he testified.
1743
01:53:18,448 --> 01:53:19,740
He was pretty broken up.
1744
01:53:28,865 --> 01:53:29,865
Hello?
1745
01:53:30,490 --> 01:53:31,490
It's Matt.
1746
01:53:33,740 --> 01:53:34,740
Can we talk?
1747
01:53:35,990 --> 01:53:38,531
He told me
he was facing 50 years in prison
1748
01:53:38,615 --> 01:53:40,823
if he didn't say
what they wanted him to say.
1749
01:53:42,406 --> 01:53:44,406
I told him to do what he had to do,
1750
01:53:45,949 --> 01:53:48,657
but since the government
hadn't taken all of our money yet,
1751
01:53:52,740 --> 01:53:54,240
I asked him to do me a favor.
126677
Can't find what you're looking for?
Get subtitles in any language from opensubtitles.com, and translate them here.