Full Name and Common Aliases

Charles Keating Jr.
Also known as Charles T. Keating Jr.

Birth and Death Dates

March 23, 1923 – January 31, 2014

Nationality and Profession(s)

American, Financier, Real Estate Developer, Attorney, Politician

Early Life and Background

Charles T. Keating Jr. was born on March 23, 1923, in Milwaukee, Wisconsin, to Charles T. Keating Sr., a successful businessman, and his wife. He grew up in a middle-class family with two siblings and developed an interest in finance and entrepreneurship at a young age.

Keating earned his Bachelor's degree from St. Mary's College (now known as Marian University) in 1943 and later served in the U.S. Navy during World War II, where he attained the rank of Lieutenant Commander. After the war, he pursued a law degree at the University of Wisconsin Law School, graduating in 1950.

Major Accomplishments

In the early 1960s, Keating made his mark as a successful real estate developer and financier. He co-founded the American Continental Corporation (ACC), which eventually merged with Lincoln Savings and Loan Association in 1983. Under Keating's leadership, ACC expanded rapidly through aggressive acquisitions and investments.

However, it was during this period that Keating became embroiled in controversy surrounding his business practices and financial dealings. Critics accused him of inflating the value of properties held by American Continental Corporation to artificially boost its stock price.

Notable Works or Actions

Keating's notoriety grew when he founded Lincoln Savings and Loan Association, which eventually collapsed in 1989 due to a combination of reckless lending practices, corruption, and regulatory failures. The collapse led to significant financial losses for depositors, taxpayers, and investors.

In the aftermath of the collapse, Keating was charged with numerous counts of securities fraud, racketeering, and other crimes related to the Lincoln Savings debacle. He faced trial in 1989 but was acquitted on some charges; however, he later pleaded guilty to multiple counts of securities and mail fraud.

Impact and Legacy

Keating's financial dealings left a lasting impact on American politics and finance. The collapse of Lincoln Savings contributed significantly to the savings and loan crisis of the late 1980s, which led to billions of dollars in losses for taxpayers and resulted in significant reforms within the U.S. banking system.

The Keating Five scandal, where five U.S. Senators (Dennis DeConcini, John McCain, Donald Riegle, Alan Cranston, and John Glenn) were accused of accepting large campaign donations from Keating in exchange for favorable regulatory treatment, also marred his legacy. While not all senators were found guilty or charged with wrongdoing, the scandal highlighted issues of cronyism and political corruption.

Why They Are Widely Quoted or Remembered

Although Charles Keating's actions have left a lasting negative impact on American finance and politics, he remains an infamous figure for his pivotal role in the savings and loan crisis. His story serves as a cautionary tale about the dangers of unchecked ambition, greed, and corruption within the financial industry.

The controversy surrounding Keating has also made him synonymous with financial scandals and regulatory failures. His name is often invoked to illustrate the consequences of corporate malfeasance and regulatory inadequacy.