Frank Carlucci

Frank Carlucci was a prominent American government official who held several high-level positions, including former CIA deputy director and later Defense Secretary. He was also a member of the board of directors for [Wackenhut Corporation.¹

Carlucci's connections extended into the intelligence community, with Harold Okimoto reportedly working under his auspices for years. Okimoto, a figure linked to the Yakuza and alleged to be a top Japanese organized crime figure, was also described as an intelligence person who performed services for the U.S. government during World War II.¹

Carlyle and BDM

Carlucci served as chairman of the board of BDM Corporation from October 1990, when a Carlyle Group-led investor group bought the company's business and assets for about 126.5 million dollars, until its sale to TRW in December 1997 (TRW completed its tender offer on December 24 and the merger on December 29, 1997). His filed biography gives him as vice chairman of Carlyle from 1989 to 1993 and chairman and a managing director from 1993, after service as Secretary of Defense from 1987 to 1989; the 1995 filing lists his other directorships as Ashland Oil, Bell Atlantic, East New York Savings Bank, General Dynamics, Kaman Corporation, Neurogen Corporation, Northern Telecom, The Quaker Oats Company, SunResorts, Texas Biotechnology Corporation, The Upjohn Company and Westinghouse Electric Corporation. The Carlyle stockholders agreement of October 23, 1990 provided for seven directors designated by Carlyle, five by management and three independent directors, with the board fixed at 13. By 1997 he chaired BDM's compensation committee and sat on its executive and nominating committees. BDM paid Carlyle an annual fee of 500,000 dollars plus expenses; Carlucci owned 35,934 shares before the 1995 offering and 75,560 in 1997. Under the November 1997 merger agreement Carlyle's affiliates, holding 7,660,000 shares (25.8 percent), agreed to tender at 29.50 dollars a share.² The Los Angeles Times of September 19, 1990 reported that Loral said on September 18 it would sell BDM International to the Carlyle Group for 130 million dollars (the SEC filings give a closing price of about 118 million dollars, adjusted to about 126.5 million dollars in 1991), that Carlyle with partner Westinghouse Electric Corporation had bid unsuccessfully for all of Ford Aerospace, and that Carlyle said it would name "former Defense Secretary Frank C. Carlucci chairman of BDM."³