February 11, 2009 5:09 PM
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Dennis Kozlowski: Prisoner 05A4820
The prosecution accused Kozlowski of granting himself unauthorized bonuses and running hundreds of millions of dollars worth of personal expenses through interest-free Tyco loan programs. No expense was too great or too small to run through Tyco. None of this, claimed the prosecution, was authorized by the Tyco board.
"I am absolutely not guilty of the charges brought upon me," Kozlowski says. "There was no criminal intent here. Nothing was hidden. There were no shredded documents. Nobody was told not to say anything. All the information the prosecutors got was directly off the books and records of the company."
In the trial Kozlowski took the stand, and testified that everything he did was authorized. But he did not have a single document to prove it. He had already repaid many of the loans and claimed he was simply an overworked executive who left the details for underlings to handle.
"I was pushing the company, and growing the company and pushing all aspects of it to continue to grow and I just don't think we put enough infra-structure in place to support some of that growth," Kozlowski says.
"Yeah, but some of the lines got blurred, correct? Some of the lines between what was your money, what was Tyco's money became very fuzzy," Safer remarks.
"I think I did everything accordingly to you know, the way the programs were outlined, and the way it was done by my predecessors," he says.
Asked if there was a situation where the rules got lost, Kozlowski says, "Morley, as I said, you know, we're in appeal on this, and there's also civil litigation, so at this point in time I think we're crossing the line here."
The Tyco board had given Kozlowski virtual carte blanche and the one person Kozlowski said could clear it all up, the head of compensation, was dead.
Whatever Kozlowski did, it was clear that the Tyco board was not exactly meticulous in carrying out its oversight. But the jury believed that Kozlowski was guilty of grand larceny. Even so, Kozlowski believes he was a "dead duck" from the start.
"I was a guy sitting in a courtroom who made $100 million a year. And I think a juror sitting there just would have to say, 'All that money, he musta done somethin' wrong.' I think it's as you know, it's as simple as that," he says.
Kozlowski says he was done in by bad timing: the Enron and WorldCom catastrophes. He feels that most people believe that's what happened to Tyco—that employees were left high and dry. But Tyco remains a thriving $60 billion company.
"The company went on after I left there. The company is alive today. It's doing well," Kozlowski says.
Asked if it makes him angry to be lumped together with Ken Lay and Bernie Ebbers, Kozlowski tells Safer, "That just frustrated me to no end. These are companies that had financial and accounting schemes, that had major scams, and that wasn't Tyco. You know, this was a major pay dispute."
But the jury didn't see it that way. He was sentenced to eight to 25 years and ordered to pay restitution and fines of almost $200 million. It's unclear if he'll have any money left when he is released.
In the meantime, he spends much of his time in prison focused on his appeal. He can receive visitors on the weekends, but he says he has few friends left.
"In the final analysis, most of the people were close to you because of your power and your wealth?" Safer asks.
"That's correct. And they wanted to share in that. That was probably 90 percent of the people in my life," Kozlowski says.
And it is not just his friends who have left him – he and his wife Karen are divorcing.
Asked if the marriage was all about money, Kozlowski says, "Morley, we're in the middle of a divorce and agreement. I'm not going to say anything about that, you know, at this time."
He says he tries to stay positive. He's 60 years old now, but the harsh reality of his predicament is inescapable.
"When you're sleeping in jail, you wake up all the time because there's a light on all nigh. So you kinda wake up every hour, hoping and wishing and praying and hoping it was just a dream, you know. It's reality and it's where you are," Kozlowski says.
"Often times, guys get religion inside. Has that happened with you?" Safer asks.
"There's a spiritual side that, you know, I think about and reflect on from time to time. But that's personal and private, you know, within me," he replies.
"Yeah. And you've got the time to do it now," Safer remarks.
"I have plenty of time," Kozlowski says. "Yes. That I have. Yeah."
Produced By Deirdre Naphin
Copyright 2009 CBS. All rights reserved. "I am absolutely not guilty of the charges brought upon me," Kozlowski says. "There was no criminal intent here. Nothing was hidden. There were no shredded documents. Nobody was told not to say anything. All the information the prosecutors got was directly off the books and records of the company."
In the trial Kozlowski took the stand, and testified that everything he did was authorized. But he did not have a single document to prove it. He had already repaid many of the loans and claimed he was simply an overworked executive who left the details for underlings to handle.
"I was pushing the company, and growing the company and pushing all aspects of it to continue to grow and I just don't think we put enough infra-structure in place to support some of that growth," Kozlowski says.
"Yeah, but some of the lines got blurred, correct? Some of the lines between what was your money, what was Tyco's money became very fuzzy," Safer remarks.
"I think I did everything accordingly to you know, the way the programs were outlined, and the way it was done by my predecessors," he says.
Asked if there was a situation where the rules got lost, Kozlowski says, "Morley, as I said, you know, we're in appeal on this, and there's also civil litigation, so at this point in time I think we're crossing the line here."
The Tyco board had given Kozlowski virtual carte blanche and the one person Kozlowski said could clear it all up, the head of compensation, was dead.
Whatever Kozlowski did, it was clear that the Tyco board was not exactly meticulous in carrying out its oversight. But the jury believed that Kozlowski was guilty of grand larceny. Even so, Kozlowski believes he was a "dead duck" from the start.
"I was a guy sitting in a courtroom who made $100 million a year. And I think a juror sitting there just would have to say, 'All that money, he musta done somethin' wrong.' I think it's as you know, it's as simple as that," he says.
Kozlowski says he was done in by bad timing: the Enron and WorldCom catastrophes. He feels that most people believe that's what happened to Tyco—that employees were left high and dry. But Tyco remains a thriving $60 billion company.
"The company went on after I left there. The company is alive today. It's doing well," Kozlowski says.
Asked if it makes him angry to be lumped together with Ken Lay and Bernie Ebbers, Kozlowski tells Safer, "That just frustrated me to no end. These are companies that had financial and accounting schemes, that had major scams, and that wasn't Tyco. You know, this was a major pay dispute."
But the jury didn't see it that way. He was sentenced to eight to 25 years and ordered to pay restitution and fines of almost $200 million. It's unclear if he'll have any money left when he is released.
In the meantime, he spends much of his time in prison focused on his appeal. He can receive visitors on the weekends, but he says he has few friends left.
"In the final analysis, most of the people were close to you because of your power and your wealth?" Safer asks.
"That's correct. And they wanted to share in that. That was probably 90 percent of the people in my life," Kozlowski says.
And it is not just his friends who have left him – he and his wife Karen are divorcing.
Asked if the marriage was all about money, Kozlowski says, "Morley, we're in the middle of a divorce and agreement. I'm not going to say anything about that, you know, at this time."
He says he tries to stay positive. He's 60 years old now, but the harsh reality of his predicament is inescapable.
"When you're sleeping in jail, you wake up all the time because there's a light on all nigh. So you kinda wake up every hour, hoping and wishing and praying and hoping it was just a dream, you know. It's reality and it's where you are," Kozlowski says.
"Often times, guys get religion inside. Has that happened with you?" Safer asks.
"There's a spiritual side that, you know, I think about and reflect on from time to time. But that's personal and private, you know, within me," he replies.
"Yeah. And you've got the time to do it now," Safer remarks.
"I have plenty of time," Kozlowski says. "Yes. That I have. Yeah."
Produced By Deirdre Naphin
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