Heritage USA Fraud
Between 1984 and 1987, Jim Bakker, a well-known televangelist, raised over $400 million by selling “lifetime partnerships” at a Christian theme park in Fort Mill, South Carolina. However, Heritage USA—said to be a Grand Hotel, park, and ministry—was nothing more than a con man’s elaborate scheme to take money from innocent victims.
The Scheme
In January 1984, Bakker introduced the Grand Hotel to potential partners on his show, The PTL Club. He explained that for $1,000 they would become partners in the venture, and in return they would be allowed to stay for four days and three nights every year for the rest of their lives.
Bakker had said he could only accept 25,000 partnerships, but by the end of 1987, he had already sold a total of 159,903. Bakker seemed to care greatly about his partners, showing them photos of the grounds and keeping them updated on his highly watched talk show. All the while, he was using the money to pay for his lavish lifestyle.
The Investigation by the Inspection Service
Postal inspectors quickly grew suspicious of Jim Bakker and Heritage USA. Bakker’s entire scheme depended on the use of the mail. Partners had to send money by mail for the partnership to be accepted. This became a national case. Jim Bakker was seen on every news outlet across the country. Postal inspectors knew help was needed and began by creating a task force comprised of postal inspectors, FBI agents, and the IRS.
Together, they examined every aspect of Bakker’s scheme. On December 5, 1989, Jim Bakker and co-conspirator Richard Dortch were indicted by a federal grand jury on counts of wire fraud, mail fraud, and conspiracy to commit mail and wire fraud. The same day, co-conspirators David and James Taggert were indicted on counts of tax fraud and conspiracy to impede the IRS in collection of taxes.
Trial and Punishment
On October 5, 1989, Bakker was found guilty on all 24 counts charged against him. On October 24, 1989, U.S. District Judge Robert Potter gave Bakker a 45-year sentence and a fine of $500,000. Bakker would have to serve a minimum of 10 years in prison. Robert Dortch was also fined $500,000 and sentenced to 8 years in prison.
David Taggert was given 18 years and five months. James Taggert was sentenced to 17 years and nine months. Judge Potter also fined them $500,000 each and ordered them to pay $250,000 in income taxes. Bakker was released from prison in 1994 and returned to televangelism in 2003. He found himself in trouble again in 2021 for false claims regarding COVID.
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