LIBN 65th Anniversary Look Back: The 1970s

The 1970s were a time of turmoil, including the Vietnam War, which wouldn’t end until 1975, an oil crisis and the Watergate scandal. In 1975, President Ford refused to provide the federal assistance that would rescue New York City, essentially telling the region to “drop dead” – a phrase he would later deny.

On Long Island, Hofstra University opened its law school in 1970, and Stuart Rabinowitz, now the university’s president, joined the faculty. Hofstra Law’s clinical program was a pioneer in fully integrating clinical education into a law school. By the late 1970s it was one of the largest clinical programs in the nation. The program gave law students opportunity to help the underserved by ensuring quality legal services for those most in need in the community.

New starts

German-speaking immigrants Gerard and Lilo Leeds became pioneers in tech journalism in 1971 when they cofounded CMP Media. The firm was considered the first on Long Island to offer corporate-based childcare, and frequently included in Working Mothers 100 Best Companies list. The Leeds sold the company to Britain’s United News & Media for nearly $1 billion in 1999.

Nature’s Bounty, a provider of vitamins and supplements, got its start in 1971. The company was launched by Arthur Rudolph in Plainview with a $5,000 loan. Today, the company is located in Ronkonkoma. Carlyle Group, a private investment firm, purchased the company in 2010 for $3.8 billion.

Posh origins

The Garden City Hotel in 1971 closed when its owner, Michael Forte, deemed the structure “physically and economically obsolete.” Torn down in 1973, the building is said to have served such well-knowns as John F. Kennedy, Margaret Thatcher, George H.W. Bush, Hillary Clinton and Charles Lindbergh, who slept there prior to his transatlantic flight to Paris in 1927. By 1983, the hotel was rebuilt and in 2012 purchased by Morris Moinian, the founder and president of Fortuna Realty for $42 million.

The wine’s the thing

Long Island’s wine country was born in 1973 when then-husband and wife team Louisa and Alex Hargrave began planting 17 acres of vines in Cutchogue. The area was chosen for its climate, which seemed to offer the potential to produce French grapes, and a market where they could sell their wine. Thanks to their pioneering, a new industry transformed the North Fork. Today, the region produces about 500,000 cases of wine annually, and delivers to 13 states along the East Coast as well as Japan, Germany, Denmark and beyond.

In 1973, Home Box Office founder Charles Dolan sold out his New York City holdings and purchased Time’s Long Island cable network for $900,000.

By the numbers

The year 1974 saw the closing of Franklin National Bank, which had been one of the most profitable banks in the nation. Its founder Arthur T. Roth is recognized as having been instrumental with industry innovations that include credit cards, installment buying, full-service banking, giveaways, attractive landscaping at branches, parking lots and drive-up windows. Just two years before the bank folded, Italian financier Michele Sindona, said to have ties to the Mafia and the Vatican, purchased a controlling interest. Sindona funneled funds and the bank suffered big losses in the foreign exchange markets and in its efforts to recover. Sindona was extradited to Italy and convicted of murder and fraud. He died in prison in 1986, after claiming he was poisoned.

The Federal Reserve Bank thwarted the bank’s collapse with $2.8 billion in credits. By 1974, European American Bank purchased the assets. The FDIC took a $2 billion load of loans and receivables, and ultimately, Roth as well as stockholders lost everything.

Holtz Rubenstein & Co got its start in 1975, which grew to a firm of about 200 with offices in Melville and New York. The firm would become one of the top 25 accounting firms in the region. By 2013 it became part of Baker Tilly.

Tech Island

In 1976, Charles Wang co-founded Computer Associates with Russell Artzt, developing software products for businesses. Headquartered in Islandia for many years, the company, later called CA Technologies, would become a software giant, employing nearly 20,000. Wang was later New York Islanders’ majority owner, and served as one of the region’s largest philanthropists. He also served as chairman of NeuLion. Wang died in 2018, the same year that CA Technologies was purchased by Broadcom.

A new law firm

In 1976, the law firm now known as Forchelli Deegan Terrana opened for business. Headquartered in Uniondale, the firm now has 60 attorneys. What started as a firm specializing in real estate, land use and zoning, now also includes litigation, IDA benefits, corporate, employment and labor and other focuses.

In Hauppauge

The Kulka Group, a Hauppauge-based construction firm, got its start in 1977. What started as a firm by Jack Kulka, in the basement of his Smithtown home, would go on to construct more than 22 million square feet across the region and South Florida.

In 1978, the Hauppauge Industrial Association formed. Organized to represent the park’s tenant, the group has become an important voice in Long Island’s business landscape.  

Arts and recreation

Staller Center for the Arts opened in 1978. Housed at Stony Brook University and named in memory of Max and Mary Staller, the center offers music, dance, theater, fine arts and film.

The center, along with other destination spots across the region, is promoted through Discover Long Island, the region’s tourism agency. The agency launched in 1978, with support from the Long Island Association.

Resilience

By 1979, Fortunoff, the iconic department store in Westbury, opened a specialty jewelry store on Fifth Avenue in Manhattan, with Lauren Bacall as a spokeswoman. Yet by 2005, with family members ready to retire, and the store was sold to two private equity groups. During the 2008 recession, however, the new owners filed for bankruptcy and Fortunoff was liquidated. By 2009, the family reacquired its intellectual property. And in 2010, a Fortunoff cousin, with Texas-based Chair King, reopened Fortunoff Backyard Store locations. Esther Fortunoff, meanwhile, launched fortunoffjewelry.com.

Today, Esther Fortunoff runs Fortunoff Fine Jewelry in Westbury, offering fine jewelry at every price point.  

The year 1979 saw the start of Long Island Development Corporation. It formed to provide low cost loans and free technical assistance to business and nonprofits in the region, allowing companies to grow through its broad program of resources.

And in 1979 Henry Schein— a provider of health care products and services to office-based dental, animal health and medical practitioners— hit $58 million in sales. The company now boasts sales of $12.5 billion.