The Wolf of Wall Street (2 page)

Two minutes later Mark was at the tubing system with a quarter-million-dollar buy order for a stock called Microsoft. I’d never heard of Microsoft before, but it sounded like a pretty decent company. Anyway, Mark’s commission on the trade was $3,000. I had seven dollars in my pocket.

By twelve o’clock I was dizzy, and I was starving. In fact, I was dizzy and starving and sweating profusely. But, most of all, I was hooked. The mighty roar was surging through my very innards and resonating with every fiber of my being. I
knew
I could do this job. I knew I could do it
just
like Mark Hanna did it, probably even better. I knew I could be smooth as silk.

To my surprise, rather than taking the building’s elevator down to the lobby and spending half my net worth on two frankfurters and a Coke, I now found myself ascending to the penthouse with Mark Hanna standing beside me. Our destination was a five-star restaurant called Top of the Sixes, which was on the forty-first floor of the office building. It was where the elite met to eat, a place where Masters of the Universe could get blitzed on martinis and exchange war stories.

The moment we stepped into the restaurant, Luis, the maître d’, bum-rushed Mark, shaking his hand violently and telling him how wonderful it was to see him on such a glorious Monday afternoon. Mark slipped him a fifty, which caused me to nearly swallow my own tongue, and Luis ushered us to a corner table with a fabulous view of Manhattan’s Upper West Side and the George Washington Bridge.

Mark smiled at Luis and said, “Give us two Absolut martinis, Luis, straight up. And then bring us two more in”—he looked at his thick gold Rolex watch—“exactly seven and a half minutes, and then keep bringing them every five minutes until one of us passes out.”

Luis nodded. “Of course, Mr. Hanna. That’s an excellent strategy.”

I smiled at Mark, and said, in a very apologetic tone, “I’m sorry, but I, uh, don’t drink.” Then I turned to Luis. “You could just bring me a Coke. That’ll be fine.”

Luis and Mark exchanged a look, as if I’d just committed a crime. But all Mark said was, “It’s his first day on Wall Street; give him time.”

Luis looked at me, compressed his lips, and nodded gravely. “That’s perfectly understandable. Have no fear; soon enough you’ll be an alcoholic.”

Mark nodded in agreement. “Well said, Luis, but bring him a martini anyway, just in case he changes his mind. Worse comes to worst, I’ll drink it myself.”

“Excellent, Mr. Hanna. Will you and your friend be eating today or just imbibing?”

What the fuck was Luis talking about? I wondered. It was a rather ridiculous question, considering it was lunchtime! But to my surprise, Mark told Luis that he would not be eating today, that only I would, at which point Luis handed me a menu and went to fetch our drinks. A moment later I found out exactly why Mark wouldn’t be eating, when he reached into his suit-jacket pocket, pulled out a coke vial, unscrewed the top, and dipped in a tiny spoon. He scooped out a sparkling pile of nature’s most powerful appetite suppressant—namely, cocaine—and he took a giant snort up his right nostril. Then he repeated the process and Hoovered one up his left.

I was astonished. Couldn’t believe it! Right here in the restaurant! Among the Masters of the Universe! Out of the corner of my eye I glanced around the restaurant to see if anyone had noticed. Apparently no one had, and, in retrospect, I’m sure that they wouldn’t have given a shit anyway. After all, they were too busy getting whacked on vodka and scotch and gin and bourbon and whatever dangerous pharmaceuticals they had procured with their wildly inflated paychecks.

“Here you go,” said Mark, passing me the coke vial. “The true ticket on Wall Street; this and hookers.”

Hookers?
That struck me as odd. I mean, I’d never even been to one! Besides, I was in love with a girl I was about to make my wife. Her name was Denise, and she was gorgeous—as beautiful on the inside as she was on the outside. The chances of me cheating on her were less than zero. And as far as the coke was concerned, well, I’d done my share of partying in college, but it had been a few years since I’d touched anything other than pot. “No thanks,” I said, feeling slightly embarrassed. “The stuff doesn’t really agree with me. It makes me…uh…nuts. Like I can’t sleep or eat, and I…uh…well, I start worrying about everything. It’s really bad for me. Really evil.”

“No problem,” he said, taking another blast from the vial. “But I promise you that cocaine can definitely help you get through the day around here!” He shook his head and shrugged. “It’s a fucked-up racket, being a stockbroker. I mean, don’t get me wrong: The money’s great and everything, but you’re not creating anything, you’re not
building
anything. So after a while it gets kinda monotonous.” He paused, as if searching for the right words. “The truth is we’re nothing more than sleazoid salesmen. None of us has any idea what stocks are going up! We’re all just throwing darts at a board and, you know, churning and burning. Anyway, you’ll figure all this out soon enough.”

We spent the next few minutes sharing our backgrounds. Mark had grown up in Brooklyn, in the town of Bay Ridge, which was a pretty tough neighborhood from what I knew of it. “Whatever you do,” he quipped, “don’t go out with a girl from Bay Ridge. They’re all fucking crazy!” Then he took another blast from his coke vial and added, “The last one I went out with stabbed me with a fucking pencil while I was sleeping! Can you imagine?”

Just then a tuxedoed waiter came over and placed our drinks on the table. Mark lifted his twenty-dollar martini and I lifted my eight-dollar Coke. Mark said, “Here’s to the Dow Jones going straight to five thousand!” We clinked glasses. “And here’s to your career on Wall Street!” he added. “May you make a bloody fortune in this racket and maintain just a small portion of your soul in the process!” We both smiled and then clinked glasses again.

In that very instant if someone told me that in just a few short years I would end up owning the very restaurant I was now sitting in and that Mark Hanna, along with half the other brokers at LF Rothschild would end up working for me, I would have said they were crazy. And if someone told me that I would be snorting lines of cocaine off the bar in this very restaurant, while a dozen high-class hookers looked on in admiration, I would say that they had lost their fucking mind.

But that would be only the beginning. You see, at that very moment there were things happening away from me—things that had nothing to do with me—starting with a little something called
portfolio insurance,
which was a computer-driven stock-hedging strategy that would ultimately put an end to this raging bull market and send the Dow Jones crashing down 508 points in a single day. And, from there, the chain of events that would ensue would be almost unimaginable. Wall Street would close down business for a time, and the investment-banking firm of LF Rothschild would be forced to shut its doors. And then the insanity would take hold.

What I offer you now is a reconstruction of that insanity—a satirical reconstruction—of what would turn out to be one of the wildest rides in Wall Street history. And I offer it to you in a voice that was playing inside my head at that very time. It’s an ironic voice, a glib voice, a self-serving voice, and, at many times, a despicable voice. It’s a voice that allowed me to rationalize anything that stood in my way of living a life of unbridled hedonism. It’s a voice that helped me corrupt other people—and manipulate them—and bring chaos and insanity to an entire generation of young Americans.

I grew up in a middle-class family in Bayside, Queens, where words like
nigger
and
spick
and
wop
and
chink
were considered the dirtiest of words—words that were never to be uttered under any circumstances. In my parents’ household, prejudices of any sort were heavily discouraged; they were considered the mental processes of inferior beings, of unenlightened beings. I have always felt this way: as a child, as an adolescent, and even at the height of the insanity. Yet dirty words like that would come to slip off my tongue with remarkable ease, especially as the insanity took hold. Of course, I would rationalize that out too—telling myself that this was Wall Street and, on Wall Street, there’s no time for symbolic pleasantries or societal niceties.

Why do I say these things to you? I say them because I want you to know who I really am and, more importantly, who I’m not. And I say these things because I have two children of my own, and I have a lot to explain to them one day. I’ll have to explain how their lovable dad, the very dad who now drives them to soccer games and shows up at their parent–teacher conferences and stays home on Friday nights and makes them Caesar salad from scratch, could have been such a despicable person once.

But what I sincerely hope is that my life serves as a cautionary tale to the rich and poor alike; to anyone who’s living with a spoon up their nose and a bunch of pills dissolving in their stomach sac; or to any person who’s considering taking a God-given gift and misusing it; to anyone who decides to go to the dark side of the force and live a life of unbridled hedonism. And to anyone who thinks there’s anything glamorous about being known as a Wolf of Wall Street.

BOOK I

CHAPTER 1

A WOLF IN SHEEP’S CLOTHING

Six Years Later

T
he insanity had quickly taken hold, and by the winter of ’93 I had this eerie feeling that I’d landed the starring role in one of those reality TV shows, before they came into vogue. The name of my show was
Lifestyles of the Rich and Dysfunctional,
and each day seemed to be growing more dysfunctional than the last.

I had started a brokerage firm named Stratton Oakmont, which was now one of the largest and by far the wildest brokerage firm in Wall Street history. The word on Wall Street was that I had an unadulterated death wish and that I was certain to put myself in the grave before I turned thirty. But that was nonsense, I knew, because I had just turned thirty-one and was still alive and kicking.

At this particular moment, a Wednesday morning in mid-December, I was sitting behind the controls of my twin-engine Bell Jet helicopter on my way from the 30th Street Heliport in midtown Manhattan to my estate in Old Brookville, Long Island, with enough drugs running through my circulatory system to sedate Guatemala.

It was a little after three a.m., and we were cruising along at a hundred twenty knots somewhere over the western edge of Long Island’s Little Neck Bay. I remember thinking how remarkable it was that I could fly a straight line while seeing two of everything, when suddenly I began to feel woozy. Then all at once the helicopter was in the midst of a steep dive and I could see the black waters of the bay rushing toward me. There was this terrible vibration coming from the helicopter’s main rotor, and I could hear the panic-stricken voice of my copilot coming through my headset, screaming frantically, “Jesus Christ, boss! Pull up! Pull up! We’re gonna crash! Holy shit!”

Then we were level again.

My loyal and trusted copilot, Captain Marc Elliot, was dressed in white and sitting before his own set of controls. But he’d been under strict orders not to touch them unless I either passed out cold or was in imminent danger of smashing into the earth. Now he was flying, which was probably best.

Captain Marc was one of those square-jawed captain-types, the sort who instills confidence in you at the mere sight of him. And it wasn’t only his jaw that was square; it was his entire body, which seemed to be comprised of squarish parts, unit-welded together, one atop the other. Even his black mustache was a perfect rectangle, and it sat on his stiff upper lip like an industrial-grade broom.

We’d taken off from Manhattan about ten minutes ago, after a long Tuesday evening that had spiraled way out of control. The night had started out innocently, though—at a trendy Park Avenue restaurant named Canastel’s, where I’d had dinner with some of my young stockbrokers. Somehow, though, we’d ended up in the Presidential Suite at the Helmsley Palace, where some very expensive hooker named Venice, with bee-stung lips and loamy loins, had tried using a candle to help me achieve an erection, which turned out to be a lost cause. And that was why I was running late now (about five and a half hours, to be exact), which is to say I was in deep shit, once again, with my loyal and loving second wife, Nadine, the righteously aspiring husband-beater.

You may have seen Nadine on TV; she was that sexy blond who tried to sell you Miller Lite beer during
Monday Night Football,
the one walking through the park with the Frisbee and the dog. She didn’t say much in the commercial, but no one seemed to care. It was her legs that got her the job; that and her ass, which was rounder than a Puerto Rican’s and firm enough to bounce a quarter on. Whatever the case, I would be feeling her righteous wrath soon enough.

I took a deep breath and tried to right myself. I was feeling pretty good now, so I grabbed hold of the stick, sending a signal to Captain SpongeBob SquarePants that I was ready to fly again. He looked a bit nervous, so I flashed him a warm, comrade-in-arms sort of smile and offered him a few kind words of encouragement through my voice-activated microphone. “Ooo gone get hazdiz duzy pay fuh dis, buzzy,” said I, who was trying to say, “You’re going to get hazardous duty pay for this, buddy.”

“Yeah, that’s
great,
” replied Captain Marc, releasing the controls to me. “Remind me to collect, if we should happen to make it home alive.” He shook his square head in resignation and amazement, then added, “And don’t forget to close your left eye before you start your descent. It’ll help with the double vision.”

Very shrewd and professional, this square captain of mine was; in fact, he happened to be quite the party animal himself. And not only was he the only licensed pilot in the cockpit, but he also happened to be the captain of my 167-foot motor yacht, the
Nadine,
named after my aforementioned wife.

I gave my captain a hearty thumbs-up sign. Then I stared out the cockpit window and tried to get my bearings. Up ahead I could see the red-and-white-striped smokestacks that rose up from out of the wealthy Jewish suburb of Roslyn. The smokestacks served as a visual cue that I was about to enter the heart of Long Island’s Gold Coast, which is where Old Brookville is located. The Gold Coast is a terrific place to live, especially if you like blue-blooded WASPs and overpriced horses. Personally, I despise both, but somehow I ended up owning a bunch of overpriced horses and socializing with a bunch of blue-blooded WASPs, the latter of whom, I figured, viewed me as a young Jewish circus attraction.

I looked at the altimeter. It was at three hundred feet and spiraling downward. I rolled my neck like a prizefighter stepping into the ring, beginning my descent at a thirty-degree angle, passing over the rolling fairways of the Brookville Country Club and then easing the stick right and cruising over the lush treetops on either side of Hegemans Lane, where I started my final descent onto the driving range at the rear of the property.

Working the foot pedals, I brought the helicopter into a stationary hover about twenty feet above the ground and then attempted to land. A little adjustment with the left foot, a little adjustment with the right foot, a little less power to the collective, a tiny bit of back pressure to the stick, and then all at once the helicopter slammed into the ground and started rising again.

“Oh, zit!”
I muttered, on the way up. Out of panic, I slammed down the collective and the helicopter began sinking like a stone. And then all at once—
SLAM!
—we landed with a giant thud.

I shook my head in amazement.
What an incredible rush that was!
It wasn’t a perfect landing, but who cared? I turned to my beloved captain, and with great pride I slurred, “Am I goodz, buzzy, or am I goodz!”

Captain Marc cocked his square head to the side and raised his rectangular eyebrows high on his square forehead, as if to say, “Are you out of your fucking mind?” But then he began nodding slowly, his face breaking out into a wry smile. “You’re good, buddy. I have to admit it. Did you keep your left eye shut?”

I nodded my head. “It zwork like charm,” I mumbled. “You za best!”

“Good. I’m glad you think that.” He let out a tiny chuckle. “Anyway, I gotta bolt out of here before we get ourselves in trouble. Want me to call the guardhouse to come get you?”

“No, I fine, buzzy. I fine.” With that, I undid my safety restraints, gave Captain Marc a mock salute, and opened the cockpit door and climbed out. Then I wheeled about and closed the cockpit door and banged two times on the window, to let him know that I’d been responsible enough to close the door, which gave me a feeling of great satisfaction, insofar as a man in my condition could be sober enough to do that. Then I wheeled about once more and headed for the main house, straight into the eye of Hurricane Nadine.

It was gorgeous outside. The sky was filled with countless stars, twinkling brilliantly. The temperature was unseasonably warm for December. There wasn’t a stitch of wind, which gave the air that earthy, woodsy smell that reminds you of your childhood. I thought of summer nights at sleepaway camp. I thought of my older brother, Robert, whom I’d recently lost touch with after his wife threatened to sue one of my companies for sexual harassment, at which point I took him out for dinner, got too stoned, and then called his wife an asshole. But, still, they were good memories, memories from a much simpler time.

It was about two hundred yards to the main house. I took a deep breath and relished the scent of my property.
What a fine smell it had!
All the Bermuda grass! The pungent smell of pine! And so many soothing sounds! The ceaseless croaking of the crickets! The mystical hooting of the owls! The rushing water from that ridiculous pond and waterfall system up ahead!

I had purchased the estate from the Chairman of the New York Stock Exchange, Dick Grasso, who bore an odd resemblance to Frank Perdue, the chicken salesman. Then I dumped a few million into various improvements—most of it sucked into that ridiculous pond and waterfall system and the remainder sucked into a state-of-the-art guardhouse and security system. The guardhouse was manned twenty-four hours a day by two armed bodyguards, both of whom were named Rocco. Inside the guardhouse were banks of TV monitors that received images from twenty-two security cameras positioned throughout the estate. Each camera was tied to a motion sensor and floodlight, creating an impenetrable ring of security.

Just then I felt a tremendous gust of air, so I craned up my neck to watch the helicopter ascend into the darkness. I found myself taking small steps backward, and then the small steps became bigger steps, and then…
Oh, shit! I was in trouble! I was about to hit the dirt!
I wheeled about and took two giant steps forward, extending my arms out like wings. Like an out-of-control ice skater I stumbled this way and that, trying to find my center of gravity. And then, all at once…a blinding light!

“What the fuck!”
I put my hands to my eyes, shielding myself from the searing pain of the floodlights. I had tripped one of the motion sensors and was now a victim of my own security system. The pain was excruciating. My eyes were dilated from all the drugs, my pupils as big as saucers.

Then, the final insult: I tripped in my spiffy crocodile dress shoes and went flying backward and landed flat on my back. After a few seconds the floodlight went off, and I slowly lowered my arm to the side. I pressed my palms against the soft grass.
What a wonderful spot I picked to fall on!
And I was an expert at falling, knowing exactly how to do it without hurting myself. The secret was to just go with it, like a Hollywood stuntman did. Better still, my drug of choice—namely, Quaaludes—had the wonderful effect of turning my body into rubber, which further protected me from harm.

I resisted the thought that it was the Quaaludes that had made me fall in the first place. After all, there were so many advantages to using them that I considered myself lucky to be addicted to them. I mean, how many drugs made you feel as wonderful as they did, yet didn’t leave you with a hangover the next day? And a man in my position—a man burdened with so many grave responsibilities—couldn’t afford to be hungover, now could he!

And my wife…well, I guess she’d earned her scene with me, but still; did she really have that much reason to be angry? I mean, when she married me she knew what she was getting into, didn’t she? She had been my mistress, for Chrissake! That spoke volumes, didn’t it? And what had I really done tonight? Nothing so terrible, or at least nothing that she could prove!

And around and around that twisted mind of mine went—rationalizing, justifying, then denying, and then rationalizing some more, until I was able to build up a healthy head of righteous resentment. Yes, I thought, there were certain things that went on between rich men and their wives that dated all the way back to the caveman days, or at least back to the Vanderbilts and Astors. There were liberties, so to speak, certain liberties that men of power were entitled to, that men of power had earned! Of course this wasn’t the sort of thing I could just come out and say to Nadine. She was prone to physical violence and she was bigger than me, or at least the same size, which was just one more reason to resent her.

Just then I heard the electric whir of the golf cart. That would be Rocco Night, or perhaps Rocco Day, depending on when their shifts changed. Either way, some Rocco was coming out to fetch me. It was amazing how everything always seemed to work out. When I fell down, there was always someone to pick me up; when I got caught driving under the influence, there was always some crooked judge or corrupt police officer to make an accommodation; and when I passed out at the dinner table and found myself drowning in the soup du jour, there was always my wife, or, if not her, then some benevolent hooker, who would come to my aid with mouth-to-mouth resuscitation.

It was as if I was
bulletproof
or something. How many times had I cheated death? It was impossible to say. But did I really want to die? Was my guilt and remorse eating at me that voraciously—so much, in fact, that I was trying to take my own life? I mean, it was mind-boggling, now that I thought about it! I had risked my life a thousand times yet hadn’t gotten so much as a scratch. I had driven drunk, flown stoned, walked off the edge of a building, scuba dived during a blackout, gambled away millions of dollars at casinos all over the world, and I still didn’t look a day over twenty-one.

I had lots of nicknames: Gordon Gekko, Don Corleone, Kaiser Soze; they even called me the King. But my favorite was the Wolf of Wall Street, because that was me to a T. I was the ultimate wolf in sheep’s clothing: I looked like a kid and acted like a kid, but I was no kid. I was thirty-one going on sixty, living dog years—aging seven years for every year. But I was rich and powerful and had a gorgeous wife and a four-month-old baby daughter who was living, breathing perfection.

Like they say, it was all good, and it all seemed to work. Somehow, and I wasn’t sure how, I would end up beneath a $12,000 silk comforter, sleeping inside a royal bedchamber draped with enough white Chinese silk to make silk parachutes for an entire squadron of paratroopers. And my wife…well, she would forgive me. After all, she always had.