Keating’s empire collapsed in 1989 when his American Continental Corp. filed for bankruptcy protection. Since then the accusations have piled up nonstop. The latest government charges allege that Keating and his associates milked their company of $975,000 for their own use and flipped $82 million worth of real-estate transactions to fake profits. Keating’s lawyer Stephen Neal told reporters that the new charges were an attempt “to retroactively criminalize a whole host of investment transactions that were legitimate when made.” For federal officials the stakes are high. If they can convict the biggest fish in the S&L scandal, it would go a long way to showing the public that the government is serious about cleaning up.
