In early November 2000, Abramoff flew to Miami to meet with Boulis and Kidan "to try to mediate their differences for the good of the business," Abramoff's attorney said later. "Abramoff met alone with Boulis and his representatives. Boulis recounted Kidan's bad acts and at one point stated 'Kidan stole my company.' " Abramoff said later in court documents he learned for the first time at this meeting with Boulis that Kidan had not given Boulis the $23 million. "Abramoff was flabbergasted by this news," his attorney wrote. "He could not believe that it could be true, given Kidan's representations to Abramoff."

But Abramoff, along with Kidan, had signed sworn documents faxed to the closing in which he and Kidan attested that they had paid Boulis the $23 million. And in e-mails exchanged with Kidan and Wagner, Abramoff continued to support Kidan.

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By late November, threats were flying. Boulis's allies began to stir trouble, including a business associate who accused Kidan of having mafia connections at a community meeting in Mayport, Fla., where SunCruz docked one of its gambling boats. Kidan threatened to sue.

The conflict exploded on Dec. 5. Joan Wagner, Boulis's chief financial officer, had called a meeting of the SunCruz principals except for Abramoff, who was traveling abroad. They met at the company's offices in Dania Beach, Fla., to try to resolve the increasing acrimony. What happened there is in dispute.

Kidan later filed a police report stating that Boulis assaulted him with a pen, drawing blood. He claimed in court papers that Boulis "attacked [Kidan] in the face and neck and kicked his body," before being pulled off by a SunCruz employee.

Police said that at least one other witness stated that Kidan provoked Boulis by calling Wagner names and making threats. According to this account, Boulis told Kidan to stop, but Kidan instead repeated an insult. Boulis then punched Kidan.

The day of the fight, Wagner e-mailed Abramoff pleading with him to come to Florida to mediate.

"The crisis at suncruz took on new meaning today with gb [Gus Boulis] and ak [Adam Kidan] getting physical," Wagner wrote. "Money is being wasted and lost and it shouldn't continue. . . . I'm telling you that you must address the issue asap. Your delay is only emboldening Adam and he is really on the edge."

Wagner wrote, "I liked Adam and thought I would be working with all of you to build an empire to be proud of and make us all alot of money too." But now she said, "the only recourse" was for Abramoff to join with Boulis and Waldman to vote Kidan out of SunCruz.

A day later, Wagner pointedly noted that Boulis, as a lender to the Kidan group, could "veto certain activities and transactions," thus canceling the takeover of SunCruz.

Abramoff forwarded Wagner's last e-mail to Kidan and Waldman. In response, Kidan told Abramoff, "We need to shut her down."

Kidan also urged, "Jack, you need to act above all of this."

In his e-mails to Abramoff, Kidan made a cryptic reference to an ally who had sent protection to Kidan in Florida.

"My friend in NY is acting out of concern for my safety," Kidan wrote to Abramoff. "By sending security I am afraid it will make things worse and I will ask him today to remove them. I appreciate his efforts, but the situation is at a critical point."

Kidan proposed "a concerted press effort" against Boulis.

"I was the victim of family violence before," Kidan wrote. "Lets use that in our favor (my mother wouldn't mind) to show how we can't tolerate violence and the like of criminals. Lets get the protective order. By painting the picture we box him. The negative is that his profile shows that he will retaliate against me."

Abramoff replied, "I agree with this completely."

He e-mailed Boulis attorney Anthone Damianakis: "It is my belief that Gus and Adam need to resolve the issue of what Gus is owed and Gus needs to move on out of the company."

Kidan hired a security firm to assess what kind of threat was posed by Boulis, who once had been arrested for harassing a girlfriend who had obtained a restraining order after she accused him of beating her. Kidan paid for three bodyguards and ordered an armor-plated Mercedes, according to court records. He also requested a restraining order, which was granted. He alleged that Boulis vowed to have him killed.

A week later, SunCruz made the first of $145,000 in payments to Moscatiello. Three checks for $10,000 each were made to Jennifer Moscatiello, daughter of Anthony, and $115,000 to Gran-Sons, a company the Moscatiellos ran. The payments were for catering, consulting and "site inspections," Kidan said later.

However, there is no evidence that any food or drink was provided or consulting documents prepared. The checks to Jennifer were made at Anthony's instruction, Kidan said, even though she performed no services. A lawyer for the Moscatiellos declined to comment.

On Jan. 19, 2001, Boulis went to court, seeking an injunction to prevent Kidan from operating the boats and to force him to make his payments to Boulis.

The next day, Kidan and Scanlon were guests at a reception in DeLay's Capitol Hill office celebrating the inauguration of George W. Bush, according to two people who were at the reception.

A week later, Abramoff and his partners leased a corporate jet to ferry congressional staffers down to Tampa for the Super Bowl game and a night of gambling aboard a SunCruz ship. Among those aboard were DeLay aide Tim Berry, who is now DeLay's chief of staff, and two staffers to Sen. Conrad Burns (R-Mont.). DeLay's former deputy chief of staff, Tony Rudy, by then a newly minted lobbyist working for Abramoff, was there, too.

Berry failed to report the trip on his disclosure forms. A DeLay spokesman said Berry had no idea SunCruz paid for the trip. He thought it was a Republican fundraising trip allowable under House rules.

On Jan. 31, the Kidan-Boulis brawl hit the front page of the Sun-Sentinel. Kidan told the newspaper that Boulis said: "I'm not going to sue you, I'm going to kill you. . . . This guy is violent -- he's sleazy."

CONTINUED : Federal target

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