Rich, Marc (1934–)

INDICTED FUGITIVE financier Marc Rich (a.k.a. Marc David Reich) was born in Belgium in 1934. His family fled the Nazis in 1942 and emigrated to America. Rich served his apprenticeship as a commodities trader under the tutelage of his millionaire father (a burlap-sack producer) and later, Philipp Brothers, a broker in raw metals. His tenure with Philipp Brothers taught Rich the dynamics of trading in natural resources with third world nations.

Rich's involvement with highly suspect business deals brought him to the attention of the U.S. federal government, and in the early 1980s, he was indicted for income tax fraud and breaking a U.S. embargo by selling oil to Iran during the hostage crisis. A criminal indictment was filed against Rich and his partner, Pincus Green, by U.S. Attorney Rudolph Giuliani in 1983. Rich and Green, however, fled the country for Switzerland before the pair could be brought to court to answer the charges. Both Rich and Green remained on the Most Wanted list of the Justice Department for 18 years.

That is, until January 20, 2001. A few hours before leaving office, President Bill Clinton fully pardoned Rich and Green, thereby nullifying the indictment against them. The presidential pardon was controversial because Rich had a long history of questionable transactions with third world nations and because Denise Rich, Rich's ex-wife, had lobbied hard for the pardon. The lobbying effort included donations of $70,000 to Hillary Clinton's Senate campaign, several hundred thousand dollars to the Democratic Party, and $450,000 to Clinton's presidential library. The president denied any connection between the lavish contributions and his decision to pardon Rich and Green. The U.S. Senate Judiciary Committee held hearings to review the legality of the pardon in February 14, 2001, but the results were inconclusive.

Rich had not returned to the United States since 1983. A billionaire commodities trader, Rich claimed citizenship status in Spain, Israel, and Switzerland, rejecting the idea that the United States has any jurisdiction over possible delinquent taxes while he resided there. The issue of citizenship is significant as it reflected both Rich's modus operandi in business and his philosophy toward the laws of other nations. He specialized in dealing with “outlawed” or dictatorial countries, regardless of world opinion, embargoes, and legal restraints.

Since 1979, Rich brokered deals in raw products to the following nations: Iran (oil and metals), Libya (oil), South Africa (oil), Cuba and Russia (sugar for oil), and Nigeria (oil). In an interesting turn of events. Rich used one of his American companies to secure 21 contracts with the U.S. mint. From roughly 1989 to 1992, Rich's firm supplied nickel, copper, and zinc to the U.S. mint to cast coins for distribution in the American economy.

Because he was pardoned by Clinton, Rich is not liable for prosecution in the United States for the original 1983 charges. It is possible that he could be held responsible in civil court for tax evasion if he were to return to the United States. Rich claimed that he denounced his American citizenship, but the matter remained unresolved.

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