CONFIDENTIAL The Life of Secret Agent Turned Hollywood Tycoon Arnon Milchan Meir Doron Joseph Gelman GEFEN BOOKS Copyright © Joseph Gelman and Meir Doron All rights reserved. No part of this publication may be translated, reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronics, mechanical, photocopying, recording or otherwise, without express written permission from the publishers. Cover Design: Darko Bovan Typesetting: David Yehoshua Images courtesy of New Regency Productions, unless specified otherwise. Back cover quotes: Peres quote: Authors interview, Feb. 8th, 2010, Presidents Residence, Jerusalem. Chernin quote: September 18, 2008 at gala honoring Arnon Milchan, Paramount Studio, Los Angeles. Murdoch quote: January 27, 2011, News Corporation press release. Netanyahu quote: September 18, 2008 at gala honoring Arnon Milchan, Paramount Studio, Los Angeles (via video message). Redstone quote: Authors interview. Robert De Niro quote: “The Last Tycoon,” Los Angeles Magazine, April 2000, in article by Ann Louise Bardach. First Edition 2011 1 3 5 7 9 8 6 4 2 Gefen Books Distributed in Israel by: 600 Broadway Gefen Publishing House Ltd. Lynbrook, NY 11563, USA 6 Hatzvi Street 1-800-477-5257 Jerusalem 94386, Israel [email protected] 972-2-538-0247 www.gefenpublishing.com Comments to the authors at [email protected] Printed in Israel Send for our free catalogue Library of Congress Cataloging-in-Publication Data Doron, Meir, 1954-; Gelman, Joseph, 1960- The life of secret agent turned Hollywood tycoon Arnon Milchan / Meir Doron, Joseph Gelman. p. cm. Includes a filmography and index. ISBN 978-0-615-43381-3 (alk. paper) 1. Milchan, Arnon. 2. Motion picture producers and directors–United States–Biography. 3. Spies–Israel–Biography. 4. Businessmen–Israel–Biography. I. Gelman, Joseph. II. Title. PN1998.3.M513D67 2011 • 791.4302'32092–dc22 [B]• 2011016156 To our loving wives and children, who tolerated our late-night writing sessions and general obsession to get this story told Contents Acknowledgments Prologue 1 Man on Fire 2 The New Age 3 The Mirror Has Two Faces 4 Six Degrees of Separation 5 Don’t Say a Word. 6 Dangerous Beauty 7 The Client 8 The Man Who Knew Too Little 9 Under Siege 10 The Devil’s Advocate 11 Mud 12 Guilty by Suspicion 13 Once upon a Time in America 14 Falling Down 15 Fight Club 16 Mr. and Mrs. Smith 17 Pretty Woman 18 Entrapment 19 The Negotiator 20 City of Angels 21 Jumper Epilogue Appendix A / The Smoking Gun Appendix B / Novels of “Jon Schiller” Appendix C / Arnon Milchan Filmography Index Acknowledgments We would like to thank all those who helped in the writing of this book, especially those who agreed to talk on the record, such as Israeli president Shimon Peres, Viacom chairman Sumner Redstone, former chairman of Warner Brothers Terry Semel, Meir Teper, and Dr. Michael Ledeen at the Foundation for Defense of Democracies, among others. We are also very thankful for the many sources who talked “off the record.” You know who you are. We would like to thank Hadas Klein, Ety Kanner, Dvora Ben Yitzhak, Yair Lapid, Roger Schneider, and Aya Markovitch in Israel. A big thank you to Jane Bulmer at New Regency Films and Gal Shor of Israel Weekly in Los Angeles. Thanks to Gary Ginsberg who at the time was at News Corporation in New York, but has since moved to Time Warner. We also thank David Kuhn of Kuhn Projects in New York for his early guidance. We are thankful to all of those talented journalists and researchers whose diverse body of work over the years undoubtedly helped us piece together this story: people like Yossi Melman, Ronen Bergman, Dan Raviv, Ben Caspit, Dr. Avner Cohen, Seymour Hersh, Wolf Blitzer, Ann Louise Bardach, John M. Goshko, Jack Mathews, Bob Woodward, Thomas Reed, Danny Stillman, and many more. We would like to thank Ilan Greenfield for immediately grasping the importance of the material spelled out in this book, and of course, a big thanks to our editors, Kezia Raffel Pride and Katie Roman. Thank you to all of the staff at Gefen Publishing House who have worked so hard on this project. And last but most important, we are thankful to Mr. Arnon Milchan himself, for leading such an incredible life, and for agreeing to respond to the many assertions made in this book, even though, as would be the case with any human, not all are flattering. It takes a man of special confidence and honor to do so, and for that we are grateful. Joseph Gelman and Meir Doron Prologue I would rather nobody write a book about me. Arnon Milchan The evening of September 18, 2008, the Paramount studio lot could have easily been mistaken for a high-profile movie premiere. Powerful searchlights reached up into the sky as A-list stars walked the red carpet accompanied by blinding camera flashes. But this event was different; the more than seven hundred attendees were powerful studio executives and community leaders who had come to honor not a movie, but a man. Arnon Milchan arrived with his wife Amanda, seemingly uncomfortable both in his tuxedo and with all of the lavish attention heaped upon him. He quickly sought refuge in the anonymity of the crowd. But there would be no escaping the numerous speeches praising him, and the elaborate film documenting his cinematic achievements. Although his name is connected to Hollywood blockbusters such as Pretty Woman, The War of the Roses, L.A. Confidential, Fight Club, Mr. and Mrs. Smith, and the Oliver Stone–directed conspiracy epic JFK, few in the audience had any awareness of the secret life of the man they were about to publicly honor with a Lifetime Achievement Award. To paraphrase Winston Churchill, Milchan is a riddle wrapped in a mystery inside an enigma. This book lifts that shroud of mystery. This is the controversial story of a secret agent, of nuclear proliferation, billion- dollar high-tech defense transactions, ideology, patriotism, and the awe-inspiring Hollywood career of a mysterious mogul. Arnon Milchan, born in Israel in 1944, has led the kind of life that Ian Fleming and John le Carré loved to write about, that Steven Spielberg or perhaps even Oliver Stone like to make movies about. Milchan is a real risk taker, charming yet tough, secretive yet famous – but only among famous people. He’s a superagent in the real-world sense, and the closest thing to a real-life James Bond that one could imagine. He understands fine wines and high-stakes gambling, deception, exotic cars, exotic weapons, and exotic women, and maintains a private $600-million art collection spread among his grand dwellings around the world – from Monaco to South Africa, from Paris to Malibu to Israel. We began this endeavor as unauthorized biographers and quickly evolved into detectives, peeling away layer after hidden layer, revealing the narrative of a unique man and his deep involvement in Israel’s clandestine struggles for survival. For many months, without Milchan’s knowledge or approval, we immersed ourselves in court records and obscure articles from both the Hebrew and English presses, as well as in novels and private memoirs. We leaned heavily on our direct knowledge of the culture and language from which our main subject emerged, talked privately with the key figures mentioned in this book, and visited most of the locations described. We have made every effort to chronicle the events as honestly and as completely as possible – fairly, accurately, and by placing matters in their full historic context. Many quotes attributed to Milchan and others are extracted or translated from rare interviews given over the decades to the international press. Other sources include a self-published autobiography of Milchan’s grandfather, as well as a series of obscure manuscripts (fiction and nonfiction), written under an assumed name, by a person directly involved in Milchan’s secret life. We discovered this author through the investigative process, confronted him in person, and confirmed his real identity. Many revelations are unique to this book. Following the completion of the manuscript, we surprised Milchan with its existence, and extended him an opportunity to respond. Initially, he was highly reluctant and perhaps even a little concerned. Eventually, he agreed to meet after we gave him every assurance of our good faith and honorable intentions. Through a few amicable meetings, we were able to confirm the accuracy of most of our assertions in this book, and corrected a number of factual errors. For his part, Milchan refused to confirm or deny the numerous sensitive defense-related assertions. However, through the highest authorities in Israel, we have more than confirmed the overall security-related and highly sensitive contentions spelled out in this book. There were many sources, but the ultimate confirmation came from the mouth of Israeli president Shimon Peres himself, in a private interview that we conducted with him at the president’s residence in Jerusalem on February 8, 2010: Arnon is a special man. It was I who recruited him. Working secretly, from outside the official system, he brought extraordinary ideas and a level of creativity that greatly contributed to our country. When I was at the Ministry of Defense, Arnon was involved in numerous defense-related procurement activities and intelligence operations. His strength is in making connections at the highest levels in countries around the world, including important countries with which Israel does not officially maintain relationships. His activities gave us a huge advantage, strategically, diplomatically and technologically… And he continues to do so to this day, though only on the strategic level. Few people in Hollywood, or anywhere else, are aware of Milchan’s exploits, and many of his closest friends will be surprised as they read what follows. As Sumner Redstone, the legendary owner of the media giant Viacom, told us: “Beyond the whispers and the movies, few people know of Arnon’s role in supplying Israel with its defense needs, and in creating its ultimate deterrence capabilities. I and most people don’t know the details, but I suspect just enough to consider him a great man. For me, he is ‘Mr. Israel.’ He has introduced me to every Israeli prime minister since the 1980s.” Global media tycoon and News Corporation chairman Rupert Murdoch states, “Arnon Milchan is a multifaceted, passionate enthusiast for all he touches. He is an Israeli businessman, an Israeli political enthusiast, a Hollywood producer and a remarkable art collector. He is a loyal and generous friend who also happens to be a great long-term and trustworthy partner.”1 Or as Peter Chernin, chairman and CEO of Fox Entertainment, once joked in reference to Milchan, “Never, never tell jokes about a man with easy access to weapons of mass destruction.”2 Indeed, they may be unaware of the details of his secret life, yet almost every person on the plwanet would recognize any number of his contributions to our popular culture. (We've named the chapters of this book after his films – for a full filmography see the back of the book.) As with any man in the arena, he’s made a few profound mistakes, and has been involved in some controversial endeavors. He’s rubbed a few people the wrong way and seems to spark a higher level of vitriol, and even jealousy, from some of his “victims,” many of whom would be more than happy to work with him again, despite everything.
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