Part I and Part II provide the background of a unique bank fraud investigation. Last time, Sandman, influenced by his interfering inamorata, could not grasp that having cheated a bank once, he was no longer in a position to negotiate tough deals to make matters right.
No one had any notion of the unreal turn the case would take.
A sizable entourage gathered in North Carolina: the vice president, a local consultant, a legal assistant, two attorneys, a company officer, Chase, and a brace of company people who stayed in the background.
I hadn’t previously met the bank’s attorney, a pretty, dark-haired girl with beauty, brains, and a beguiling sense of humor. Diane and I hit it off immediately.
The vice president introduced the other attorney, a local Greensboro man who’d made good. He’d graduated Harvard summa cum laude, then returned home to practice. His Clark Kent glasses lent a vague, intellectual uncertainty that would fool most people. Women zeroed in on tall, dark, and handsome, although he’d probably suffer an academic stoop in later life. Chase used the term ‘Esquire’, which became the man’s sobriquet for the rest of the trip.
The attorneys laid out a simple plan. They intended to search Sandman’s residence and, if necessary, his workplace for the source code. Since Sandman worked nights and slept days, they hoped to catch him napping– literally.
Esquire’s clerk had filed a brief and affidavits, including a couple from me, in support of search warrants for Sandman’s residence and place of work. They drafted carefully the motion to search the workplace, Carolina Steel. They weren’t Sandman’s employer, they merely let Sandman use their computers for development in exchange for his software and services. Two of their employees, Harry Church and Charley Barley, collaborated with Sandman.
 |
| Guilford County courthouse |
An out-of-state entity requesting to search a local company might give a judge pause, but banks enjoyed certain federal privileges and protections. Trailing after the attorneys, we convened at the Guilford County courthouse to obtain a judge’s signatures on the court orders and warrant.
And then we waited. And waited. The courthouse’s architecture would have given Howard Roark apoplexy, a dull cell block unrelieved by a Greco-Roman temple façade. Its uncommonly hard benches had been cunningly copied from a Spanish Inquisition design. After painful hours of aching back and backside, I’d have confessed to assassinating Warren G Harding.
Once we discovered judges had adjourned for lunch, we followed suit. Esquire stayed behind in case a magistrate returned early. We need not have worried. The clock read well after lunch hour when Esquire came dashing back.
Why Southern Deputies Have Stereotypes
 |
 |
 |
||
| Sheriff J.W. Pepper | Sheriff B.T. Justus | our Deputy I.B. Dimbulb |
|---|
The next step entailed the sheriff’s office executing the search warrant. While we waited, the Sheriff’s Department assigned a deputy to us. Jaws dropped. I wasn’t sure about the others, but I gulped in dismay.
Sheriffs J.W. Pepper and Buford T. Justice– movie fans might recognize them as the fat, stogie-chomping clichés portrayed by actors George Clifton and Jackie Gleason, respectively. Our guy looked like their bigger, nastier, meaner brother, the Southern deputy the South has done its best to stamp out.
Mean little eyes peeked out from the fat pads of his cheeks. His hair was losing the follicle war fought on an oily battlefield. He chewed a fat cigar mashed out so often, its end looked exploded. This good ol’ boy had worked hard developing a beer gut, the kegger kind that gave meaning to barrel-chested.
Chase and I’d been chatting up the pretty attorney between us, idly flirting to keep in practice. The deputy looked around at the gathered crew, hitched up his gunbelt and seized upon her to impress.
“Lil lady, whuz this here all about?”
Diane explained we were waiting for a warrant.
“Whut, you’re a legal lady? Purty lil theng lack you? Listen here, I’ll check on it, pull a few strings.”
He wandered off, came back, and glowered at Chase and me still sitting on either side of her. He plumped down next to the law clerk, facing us, legs apart to accommodate the sag of his kilderkin belly. Guilford County law enforcement shirts were made out of sturdy twill, not flimsy civilian fabric that might rupture at the next Big Mac.
“We wait a bit. At least this here’s simpler than last week. Yes sir. We wuz down in n-town, middle of the night, had my nightstick out whaling away, an’ you wun’t believe how shy them dark ones gets facing real lawnforcement.”
A man with a gun, a prejudice, and a loose screw had been turned loose on the streets of Greensboro.
The rest of us sat aghast. The local paralegal looked as if he wanted to shrink out of sight. Our VP, lounging against the wall, grimaced in disgust and departed the scene of the crime.
Next to me, attorney Diane tried to reassure me, the Yankee in the group. She whispered, “Believe me, this is not what Southerners are all about. This moron is… is…”
“An abomination,” muttered Chase. “Pardon the expression, but an utter asshole.”
His eye-watering cigar breath wilted most of us. I couldn’t decide if the deputy was oblivious to our reactions or encouraged by them. Had some of us managed to conjure obsequious interest, the course of events might have changed.
He continued. “Yep, now you takes a good oak nightstick, it makes a real good impression. It’s a grand persuader and if someones gets a bit messed up, you don’ gotta file no reports lack if you draw down. Nows this one darkie…” He didn’t use the word darkie.
I worked and traveled throughout the South, but I never encountered anything like this. More than sickening, this guy frightened us.
Once upon a time, the don’t-tread-on-me temper I inherited from my mother would override the quiet reason of my dad’s DNA contribution. Chase glanced at me in alarm. He’d seen me erupt once before. He leaned over and rested a calming hand on my wrist.
“Leigh, don’t, man. Don’t let anger cloud your vision. We need this guy on our side; it’s too important.”
Chase was right. We didn’t need to antagonize the repellant lawman assigned to us. I stalked toward the restrooms.
Hands on the marble counter, I leaned forward gathering myself. The vice president stepped out of a stall. He washed his hands and said, “Piece of work, isn’t he.”
“That bastard gets his jollies clubbing kids. Makes me sick.”
“That’s why I left before I told him off. We can’t change him now.” He clapped a hand on my shoulder. “C’mon, we endure.”
And we did for two more hours. None of us knew how much more of the deputy we could take before one of us turned homicidal.
Chase and the VP grew increasingly agitated the warrant was taking so much time. As shadows grew long, legal delays put at risk the plan to surprise Sandman asleep. Now past mid-afternoon, the time neared for his inner vampire to stir.
Esquire appeared and waved the vice president over. Minutes later they handed the deputy the court order.
The deputy squinted at the documents.
“Whut’s this here software?”
Chase said, “Computer programs, apps. Software runs the computer.”
“Whut’s it look like?”
“It could be listings, discs, hard drives, or even tape.”
“Yuh, but which?”
“It could be any of the above: print-outs, discs, cartridges, or tape.”
“Yuh, I said which?”
Chase turned helplessly to me.
I said, “We don’t know, sir. If this order was for music, it could be on a cassette, a CD, a vinyl record, or even sheet music, see? Same idea; we don’t know if it’s on a hard drive, CD, or printed sheets. It could be any or all.”
“Listen up. If you don’ know whut you’re lookin’ fur, we jez ain’t goin’.”
Attorney Diane stepped forward. Beguilingly, she said, “This is a court order signed by a judge; you have the warrant. Leigh here can recognize the software.” She rested her hand on his forearm. “We need an experienced officer like you to execute the warrant.”
“Thet judge pulls bogus orders outta his ass all the time. It don’t spell out what it is, I don’t execute it.”
Esquire hadn’t been regaled with the deputy’s adventures like we had, but the antipathy between the two men had blossomed, instant and intense. He said, “Come, Deputy, explain that to the judge.”
“Folks say you got fancy-ass Harvard law school, but that don’t cut no ice. I don’t tote for you. I works for the Sheriff.”
“The judge hears this, you might not work for anyone.”
The deputy stared at Esquire. He unhurriedly took the cigar out of his mouth, pulled out a paper pouch of tobacco, tucked in a chaw, and reinserted the cigar. He gave the distinct impression he’d like to address Esquire with the nightstick. Finally, he said, “Let’s git.” He turned and stomped away.
The Raid
The deputy’s heavily muscled Dodge led our convoy of four cars. The paralegals and staff came along as witnesses. We pulled in front of a modest house in a suburban neighborhood.
Chase stayed back to avoid antagonizing Sandman. I was kept waiting in the last car, I was told, for the premises to be secured.
Four got out. Both lawyers and the vice president followed the deputy up the walkway. The deputy banged on the door.
A spikey-haired, sleepy-eyed Sandman came to the entry, tying the belt of his bathrobe.
“We lookin’ for a Daniel Sandman. You happen to be him?”
“Yes.”
“We got a warrant for software. You got any this here software?”
“No, no sir, I don’t.”
“None at all?”
“No sir.”
“Well, then, a good day to you.”
“But… but…” said Esquire. “We came to search.”
“No, we ain’t gonna do no search.”
“But we have a warrant, a search warrant, as directed by a judge.”
“You heard the boy: He ain’t got none of this software. His word’s good enough for me.”
The vice president spoke up. “He has the software and we have a court order.”
The deputy spoke in mean, measured words. “You heard the boy. He said he ain’t got software. Now, you wantin’ to mess with me?”
Thwarted, the lawyers trudged back to the cars. Revving the Dodge’s big engine, the deputy whipped the powerful car down the street and out of sight.
“We still have the court order for his workplace,” said the vice president.
“A lot of good that will do us now,” said Esquire. “But let’s try.”
Nervy Steel
He directed us to Carolina Steel’s headquarters. As if anticipated, we were swept straight to the top floor where two company officers and their lawyers met us. Clearly, they knew we were coming.
The company attorneys blathered and blathered, made phone calls and blathered more. They claimed they were waiting for senior counsel. Outside the conference room, security gathered.
One of the executives said, “Our boys downstairs assure us they don’t have any of this software mentioned in the court order.”
Chase muttered in my ear. “Least not anymore.”
“That’s why we brought an expert and a court order to search,” said our vice president.
“Now, now. Normally in Carolina, police or deputies conduct searches. You don’t do it differently in Old Vir-gin-I-A, do you? All y’all can’t expect us just to let you poke around, can you, especially since our boys assure everyone nothing’s to be found? Certainly you don’t mean to question our veracity or abuse our hospitality?”
A legal argument ensued, but it grew clear that without police presence, we wouldn’t be allowed beyond the boardroom.
Security personnel moved in to escort us to the parking lot. The burly males looked menacing enough, but the much scarier short female guard appeared itching to shoot one of us in the kneecap.
Thwarted yet again, we adjourned for a post-mortem. It felt like our own. What should have been a simple mission, abjectly nosedived.
Days later, talking to Sandman, he told me what happened behind the scenes.
“Man, the deputy gave me a scare. As soon as I closed the door, I lit the fireplace. Middle of summer and I get a blaze roaring. I’d stacked listings all over the house, one of them on an end table next to the door, not more than two, three feet from where the deputy stood.
“I gathered them up, feeding them piece by piece to the fire, burning the evidence. I also had a couple of mag tapes around. You wouldn’t believe how Mylar stinks when it burns. Gives off this black ash. The stench still reeks in my nostrils. That left a disc cartridge. I figured if worse came to worst, it might anciently sorta get dropped.
“Simultaneously, I called the computer room, and told Charley and Harry the situation. The entire time you were upstairs with the lawyers stalling you, they were downstairs erasing everything they could off of disc and tape, shredding so many listings they fried the shredder and had to roll in another.
“Every ten minutes the CIO would call in. ‘What’s left? What’s left?’ By the time our lawyers let you go, we’d hidden the key pieces and destroyed the rest.
“Harry, Charley, and me… we worried one or all of would be let go, but Carolina Steel’s attorneys nixed that, saying terminations could be used as prima facie evidence we’d done something wrong like destroying the programs specified in the warrant.
“Man, I shouldn’t gloat, but our insane clown deputy beat your Harvard summa cum laude lawyer. Lot of good he did y’all.”
Post Mortem
I accompanied the bank people back to Virginia. It wasn’t a happy trip. The vice president needed to prepare an explanation for the stockholders. The rest of us and Data Corp’s general manager met at the Arbor, a favorite restaurant for dinner, overeating, and imbibing. Comfort food and drink.
We agreed not to talk about the debacle while we ate, but we couldn’t bear the tension. We cursed the deputy, Sandman, Carolina Steel, and software in general. Finally we pushed fried chicken aside and sat back.
“Well,” said the bank’s attorney, dabbing lipstick where it had worn thin. “That was a right fiasco.”
“And other words that begin with ƒ,” Chase said.
Diane put her lipstick away. “What I don’t see is an option anymore.”
“That was it, the end of the line.”
“We’ve got to consider our exposure, to customers, to shareholders, to ourselves. We face serious liability if customers discover we don’t possess the source code.”
“Hmm,” I said.
“Damn,” said Chase, far down in his beer. “I have clients who want to buy it if we can add features and support for new hardware.”
“There is one option,” I said, but no one was listening.
“Oh Lord,” said the attorney. “I wonder if we’ve stepped on any state or federal banking regulations. We could be accused of fraud here.”
“Not necessarily,” I said.
“Even worse exposure,” she groaned, “most of our sales have been out of state.”
I said. “Folks, listen a moment. I can decrypt the code.”
Chase peered at me speculatively, the lawyer skeptically, and Data Corp’s general manager like I was crazy.
Chase said, “Danny told us over the phone it’s too complex even for him. It can’t be done.”
“When do you stop believing the guy who screwed you and start listening to the guy hired to save your butts?”
For the first time in weeks, Chase looked more relieved than morose. He gulped like a man given a Heimlich maneuver.
The general manager reached across for the last piece of chicken. “I’m pretty certain we can’t afford for Leigh to write us an entirely new program.”
Diane’s paralegal had followed both the legal and technical discussions. She had drafted the original purchase contract with Sandman.
“Leigh, what makes you think you can do this?” she asked. “Not only would you have to figure out the program in the ordinary course of events, but a brilliant and devious guy has done his best to see it can’t be done.”
“If anyone can do it, Leigh can,” Chase said with perhaps more conviction than he felt. “If you’d heard the two of them on the phone, you’d know he’s got Sandman on the run. I’ve seen his work, even more brilliant than Sandman.”
“Are we talking battle of the brains or war of the egos?” said the GM. “He may be quite the code-slinger, but experts say code-smashing can’t be done.”
I said, “The difficult part was figuring out it was encrypted. The second hardest has been deducing how. I’ve been working that out at home while I’ve been waiting.”
“You’re plugged into NSA or CIA or something?” said Diane’s paralegal.
“No, it’s merely a puzzle.” A famous quote came to mind. “A riddle wrapped in a mystery inside an enigma.” They stared at me. The Churchill reference fell flat. I couldn’t blame them; we’d undergone a bad day.
“What’s our guarantee?” the paralegal asked. “We already took the word of one guy. It’s not up to me, but I wouldn’t throw good money after bad.”
I said, “Sandman created programs to strip and encrypt the program. I have to design programs to decrypt and restore the code.”
Diane spoke up. “So why are you saying this isn’t the most difficult thing in the world?”
“Sandman didn’t want to trigger alarms, so no fancy NSA 128-bit encryption. Instead, he scaled up cypher obfuscation to support the legend of a hard-to-comprehend way of doing things. He believed he garbled the code too much to permit serious study. He’s wrong, but it’ll take detective work.”
“Even so,” said Chase, “you won’t get the documentation back, the comments.”
“True, but I’ve been living with this program for months. Once decoded, the label names give clues; that’s why Sandman encrypted them. As for the logic, in a circular way I can learn the code by having to document it and I can document the code by having to learn it. Does that makes sense? I’ll attain a deeper knowledge than if I hadn’t had to do the extra work.”
Chase raised his glass. “I bet on Leigh.”
The attorney– she of little confidence– shook her head. “He’s cute but…”
Chase picked up the check and said to me, “Let’s get sleep and start tomorrow.”
Sandman had blown his chance to negotiate a deal that would have benefited everybody. The bank boxed him in legally and I was closing in on breaking his unbreakable code. He still had one more wrong move to make as we wrap up in Part IV.
