Catch Me If You Can (Greek Edition)

Many of you might have seen Catch Me If You Can, the 2002 American biographical crime comedy-drama directed by Steven Spielberg, starring Leonardo DiCaprio and Tom Hanks. The screenplay, written by Jeff Nathanson, was based on the book of the same name, published in 1980, in which Frank Abagnale claimed that, before his nineteenth birthday, he had successfully carried out a series of extraordinary frauds worth millions of dollars. According to his account, he managed to impersonate a Pan American World Airways pilot, a doctor in Georgia, and a Louisiana prosecutor, although the accuracy of several of these claims has since been challenged.

If I had not known that Spielberg's film was based on Abagnale's story, I might have thought that he had drawn inspiration from another remarkable case, this time from Greece. The story of George Koskotas, our protagonist, possesses many of the characteristics of a Hollywood crime drama: an extraordinary rise to wealth and power, deception, political connections, and eventually, a spectacular collapse. Yet the events were real, and their consequences extended far beyond the life of one man.

Poor Beginnings

George Koskotas was born on October 3, 1954, in Greece. In 1969, at the age of fifteen, he immigrated with his family to the United States, hoping for a better future. His family was far from wealthy, and he initially worked in his father's painting and building-renovation business to help support their household. At the same time, he pursued studies in economics and business. Koskotas returned to Athens from New York in June 1979, still in his mid-twenties. In September of the same year, he was hired by the Bank of Crete, working in its accounting and foreign-exchange administration.

Our protagonist appeared remarkably resourceful. His financial knowledge reportedly impressed the bank's then-owner, shipowner Yannis Karras, as well as its managing director, Professor Georgios Kalamotousakis. What theywould not fully appreciate, however, was the troubled history he had left behind in America. Despite his young age, Koskotas had already attracted the attention of American authorities. An outstanding indictment concerned 64 alleged offences, principally involving fraudulent tax claims and the creation of fictitious employees in businesses connected to his father's painting operations. These allegations would return to haunt him years later.

There was another particularly interesting aspect of his personal presentation. Koskotas claimed academic qualifications that he did not actually possess, including a doctorate in economics. His apparent expertise, confidence, and ability to persuade those around him helped him advance within an institution that should have been particularly careful about whom it entrusted with financial responsibility. As some would later remark, the Koskotas affair appeared to demonstrate a familiar Greek expression:

"In Greece, you are whatever you say you are."

The Bank of Crete

Within just three years, by 1982, Koskotas had risen to become a manager in the bank's accounting division. Around the same period, he became involved in publishing, collaborating with the well-known journalist Pavlos Bakoyannis, the son-in-law of Konstantinos Mitsotakis, in the establishment of the publishing company Grammi S.A. Then, in 1984, at only thirty years old, he accomplished something almost unimaginable for a man who had entered the bank as an employee just five years earlier. He acquired control of the Bank of Crete itself.

What makes this development extraordinary is that the money behind his growing financial empire was not what it appeared to be. Investigations later established that Koskotas had been systematically embezzling funds from the bank, transferring money into accounts under his control and using the proceeds to finance business acquisitions. In other words, an employee had managed to take control of the very institution from which he was stealing. The total amount eventually identified in the scandal reached approximately 33.5 billion drachmas, an extraordinary sum for Greece at the time.

When Koskotas became the bank's president and chief executive in 1984, it operated a network of approximately 35 branches. By 1988, that network had grown to almost 90, with international operations extending to cities such as London and Frankfurt. The bank also acquired the historic King George Hotel in Syntagma Square, Athens. But banking was only one part of Koskotas's growing ambitions. Through Grammi S.A., he developed an extensive publishing empire, acquiring newspapers, magazines, and other media interests. Among the publications associated with his expansion were Kathimerini and Vradyni, two historic Greek newspapers.

In a remarkably short period, a young man who had returned from America with modest beginnings had gained influence over three of the most powerful sectors of Greek public life: banking, the media, and, eventually, football.

Ronald Reagan

On October 8, 1987, Koskotas was in Washington, D.C., attending an international conference whose participants were scheduled to visit the White House during Ronald Reagan's presidency. It was another extraordinary moment in the career of a man who, just a few years earlier, had been working as a bank employee in Athens. This time, however, his past finally caught up with him. During security checks connected with the White House visit, American authorities discovered an outstanding federal indictment dating back to 1980. Koskotas was arrested by Internal Revenue Service agents over the charges relating to his earlier activities in the United States. The arrest was particularly embarrassing because he had travelled as part of an officially sponsored international delegation, despite the existence of an outstanding warrant against him.

The Bail was set at one million dollars.

The circumstances surrounding his departure from the United States soon attracted further attention. Koskotas sought replacement travel documentation from Greek diplomatic authorities after reporting his passport missing, even though American officials questioned the circumstances of that claim. He nevertheless managed to return to Greece, where his already impressive business empire was about to expand into an entirely different field.

Lagios Detari

A few months later, thousands of football supporters gathered in the centre of Piraeus in adulation for the new star signed by their beloved team. Olympiacos had put off a footballing coup by bringing to Greece one of the biggest stars at the time, the Hungarian midfielder Lagios Detari.

According to Koskotas's later account, Prime Minister Andreas Papandreou had encouraged him to purchase a majority stake in Olympiacos Football Club, one of Greece's largest and most popular sporting institutions. Koskotas claimed that the political ambition behind the proposal involved the construction of a new stadium and the possibility of gaining electoral support. These were his allegations, however, rather than judicially established facts. Papandreou was subsequently acquitted of the criminal charges brought against him in connection with the wider Bank of Crete scandal. Whatever the political motivations may have been, Koskotas's involvement in football became a reality.In November 1987, he acquired Olympiacos.

On July 13, 1988, more than 50,000 delirious fans gathered at Korai Square in Piraeus to welcome Detari, whose signing cost the Greek club the astronomical amount of 1.1 billion drachmas.
Detari, wearing the famous red and white shirt of Olympiakos with the Number 10 on his back, came out on the balcony milking in the crowd’s applause. For the supporters, the arrival represented the possibility of a glorious new era for their club. For Koskotas, it was another demonstration of the extraordinary financial and social influence he had accumulated.

Yet behind the celebrations, the foundations of his empire were already beginning to collapse.

The Revenge of the Editors

The rapid rise of Koskotas had not gone unnoticed by the traditional owners of Greece's major newspapers. As his influence within the media expanded, competing publishers began examining his past and questioning the origins of his considerable wealth. On August 1, 1987, almost all of Greece's daily political newspapers, except those controlled by Koskotas, published an open letter addressed to Prime Minister Andreas Papandreou.The letter, signed by five prominent publishers, denounced what had become known as the "Koskotas phenomenon." The five were Georgios Bobolas of Ethnos, Christos Lambrakis of Ta Nea and To Vima, Christos Tegopoulos of Eleftherotypia, George Kouris of Avriani, and Aris Voudouris of Eleftheros Typos. Their intervention reflected the increasing concern surrounding Koskotas's financial activities, but it also revealed how deeply the affair had become entangled with competition for influence over the Greek press. His expansion had threatened the position of established publishers, who now demanded government intervention and an official investigation into the financial activities of his businesses.

Following his arrest in Washington in October 1987, the questions surrounding his American past became even more difficult to ignore. The man who had acquired newspapers, a bank, and eventually one of the most popular football clubs in Greece was now facing growing scrutiny from rival publishers, journalists, financial authorities, and the justice system.

Preliminary examination

On July 11, 1988, the Athens Appeals Prosecutor, Dimitrios Tsevas, ordered a preliminary investigation into the allegations surrounding Koskotas, following a series of press reports, including those published by Eleftherotypia. The subsequent financial investigations, alongside the intervention of the Bank of Greece, began to expose the extent of the irregularities at the Bank of Crete.

Eventually, investigators established that Koskotas had embezzled approximately 33.5 billion drachmas from the bank. The findings threatened everything he had accumulated over the previous decade. As pressure increased, Koskotas moved to dispose of his business interests. His banking shares, his publishing empire, and Olympiacos were transferred to other businessmen, including Christos Arfanis, Nikos Chionis, shipowner Yiannis Alafouzos, and Argyris Saliarelis.

His rapid rise had once seemed almost limitless. Now, in the space of only a few months, the entire structure of his business empire was coming apart. The scandal was no longer merely a financial case involving one unusually ambitious businessman. It had become a major political crisis, raising questions about the relationships between banking, media ownership, government influence, and the apparent failure of institutions to detect or prevent the misuse of enormous sums of money.

The end

After credits scene: Colombia

On October 20, 1988, Koskotas was indicted on charges involving forgery and embezzlement and was suspended from his position as chairman of the Bank of Crete.By early November, he had disappeared from Greece despite restrictions on his movements and police surveillance. His departure was followed by a journey through several countries, including Brazil, as he attempted to evade arrest. His wife and five children joined him during his flight. On November 24, 1988, Koskotas was arrested by FBI agents at Hanscom Field in Bedford, Massachusetts, after arriving in the United States aboard a private jet.

The man who had once commanded a vast financial empire was now facing detention and extradition. Following his arrest, Koskotas fought against his return to Greece, arguing that the charges against him were politically motivated and that his life would be in danger if he were extradited. On August 24, 1989, US Magistrate Judge Joyce Alexander ordered his extradition to Greece. The decision was subsequently upheld by US District Judge Douglas Woodlock in June 1990. The legal proceedings continued for years. In January 1992, Koskotas received a five-year prison sentence for forgery. In November 1994, he was sentenced to 25 years in prison in connection with the Bank of Crete embezzlement scandal.

He was eventually released on March 16, 2001, after serving approximately twelve years in prison. Conditions imposed upon his release included restrictions on travel and regular reporting to the police. The empire he had built, however, was gone. And so was the extraordinary image of the young businessman who had appeared capable of acquiring almost anything he desired.

The story of George Koskotas remains one of the most remarkable financial scandals in modern Greek history, involving not only the rise and fall of a single individual, but also the political and institutional weaknesses that allowed his activities to continue for so long. Yet there is another part of the story that is much less familiar.

After-Credits Scene: Colombia

The Story of Stavros Koskotas

George was not the only member of the Koskotas family whose name became associated with the scandal. His younger brother, Stavros, also played an important role in the family's business activities. Stavros was closely involved in the banking, publishing, and sporting interests controlled by his older brother, holding senior positions within several of the businesses.

When the scandal emerged and legal proceedings began, the authorities also turned their attention towards him. An arrest warrant was issued against Stavros Koskotas in 1990, concerning allegations that he had received proceeds connected to the embezzlement of substantial sums from a Greek bank. But the warrant was never executed. By then, Stavros had disappeared from public view, in circumstances that seemed almost as cinematic as his brother's flight from Greece.

For years, his whereabouts remained uncertain. Where had he gone? How had he managed to remain beyond the reach of the authorities for so long? And what happened to him during the years in which his older brother was arrested, extradited, convicted, and imprisoned?

Various theories emerged, many of them placing him somewhere in Latin America.Bolivia was mentioned, but one of the most persistent rumours concerned Colombia, particularly Medellín, the city from which his wife reportedly originated.

At the time, Medellín was internationally associated with Pablo Escobar and the violent activities of the drug cartel that operated under his leadership. Reports concerning drug trafficking between Latin America and Europe, sometimes involving maritime transport, formed part of the wider criminal history of that period. These circumstances helped give the rumours surrounding Stavros Koskotas an almost cinematic quality. However, the speculation about Colombia was never reliably established, and there is no verified basis here for suggesting that Stavros Koskotas was involved with Escobar, the Medellín cartel, or the trafficking networks associated with them.

The essential mystery remained far simpler: Stavros Koskotas had disappeared, and the authorities had been unable to bring him before a court.

He was never arrested on the outstanding warrant. Then, in June 2014, after approximately 25 years, the legal situation changed. The offences underlying the warrant had become time-barred, and official documentation confirmed that the criminal proceedings could no longer continue. Stavros Koskotas was therefore free to return to Greece without facing arrest under that warrant.

His case had not ended with a conviction or an acquittal on the merits. It had ended through the passage of time and the legal principle of limitation.

There is something remarkable about the contrast between the two brothers. George Koskotas became one of the most recognisable figures in Greek financial and political history, spending years in prison after the collapse of his empire. Stavros, meanwhile, remained largely absent from public life while the proceedings against him eventually expired.

Written and Published by Sergios Saropoulos

Sources and Selected Bibliography

1. Anderson, Jack, and Joseph Spear. “Greek Scandals a Menace to U.S. Ties.” The Washington Post, 28 October 1987. Contemporary reporting on George Koskotas's arrest in Washington and the outstanding American indictment.
   https://www.washingtonpost.com/archive/local/1987/10/29/greek-scandals-a-menace-to-us-ties/6339cb73-f5ce-465e-b061-f6c12c98f04d/

2. Ajemian, Robert. “Scandals: The Looting of Greece.” TIME, 13 March 1989. An extensive investigation and interview with Koskotas concerning his financial empire, the Bank of Crete scandal, and his allegations about political figures.
   https://time.com/archive/6702074/scandals-the-looting-of-greece/

3. United States District Court, District of Massachusetts. Koskotas v. Roche, 740 F. Supp. 904, 27 June 1990. Judicial decision examining the extradition proceedings, financial allegations, and the legal circumstances surrounding Koskotas's arrest.
   https://law.justia.com/cases/federal/district-courts/FSupp/740/904/1951738/

4. Montalbano, William D. “Court Acquits Papandreou of All Charges in Scandal.” Los Angeles Times, 17 January 1992. Reporting on the special court's verdict and the political consequences of the Bank of Crete scandal.
   https://www.latimes.com/archives/la-xpm-1992-01-17-mn-275-story.html

5. Kathimerini. “Καταδίκη Γ. Κοσκωτά.” Historical newspaper archive, 22 May 1997. Coverage of the embezzlement findings and the 25-year prison sentence upheld on appeal.
   https://www.kathimerini.gr/k/100yk/1057213/katadiki-g-koskota/

6. The Irish Times. “Banker Freed After 12 Years.” 16 March 2001. Reporting on Koskotas's release from prison after serving approximately twelve years.
   https://www.irishtimes.com/news/banker-freed-after-12-years-1.291255

7. Syriodis, Nikos. “Σκάνδαλο Κοσκωτά: Ο τραπεζίτης που ρήμαξε τον Ολυμπιακό.” SPORT24, 11 March 2016. A historical investigation into Koskotas's ownership of Olympiacos, the transfer of Lajos Détári, and the relationship between football, finance, and politics.
   https://www.sport24.gr/longreads/skandalo-koskota-o-trapezitis-pou-rimaxe-ton-olimpiako/

8. LiFO. “Φωτοαφιέρωμα: Γιώργος Κοσκωτάς.” 23 November 2013. Historical photographs and archival material documenting Koskotas's public life, including his involvement with Olympiacos.
   https://www.lifo.gr/san-simera/fotoafieroma-giorgos-koskotas

9. Fortune Greece. “Ελεύθερος να εμφανιστεί από σήμερα ο Σταύρος Κοσκωτάς!” 28 June 2014. Reporting on the expiration of the criminal proceedings against Stavros Koskotas after approximately 25 years, citing documentation from the Greek Ministry of Foreign Affairs.
   https://www.fortunegreece.com/article/eleftheros-na-emfanisti-apo-simera-o-stavros-koskotas/