You might recall the fantastic fraudsters profiled in one of our recent posts. Manhattan attorney, Marc Dreier , has been deemed the most brazen of the tricksters to have surfaced in this downturn. According to prosecutors, Dreier spent over four years selling hundreds of millions of dollars’ worth of bogus debt obligations to nearly 40 investment funds run by some of Americas most sophisticated asset managers. The scammed businesses were thought to include the likes of Fortress Investment Group, Elliott Associates, and hedge funds later acquired by Perella Weinberg Partners and Blackstone Group. Outrageous tactics were employed by Dreier to continue the scheme which could have collapsed at any time. If just one of the many duped hedge fund officials had ever run into real estate developer Sheldon Solow, the head of the company supposedly issuing most of the notes, the game would have been up.

On top of this, it now emerges that super-lawyer, Dreier, turned up in the black book of Hollywood madam Jodi "Babydol" Gibson. Ms. Gibson, served prison time on the charge of pimping and has since been released and written a book about her experience as a “supermadam,” in the high-end scandal of a prostitution ring run in the 1990s. She provided DealBook with copies of pages from her infamous black books and Mr. Dreier’s name, as well as the phone number of his old law firm, are in there. In 2007, Ms. Gibson published a tell-all book naming many stars that she said used her service, such as Bruce Willis and Ben Affleck – representatives for both men called the allegations a “complete fabrication”.

According to The New York Times :

"Ms. Gibson says Mr. Dreier was a frequent client but that she met him just once, and only briefly, to pick up checks, which she says were his preferred form of payment for bills that often topped $6,000 a month . “I had no idea that he was involved in any financial wrongdoings,” Ms. Gibson said. “He was just a successful financial attorney — that is all that I knew about him.”

Dreier’s lawyers have denied the claims.