FBI makes explosive find in Hollywood detective's office

Every private detective worth his salt gets into trouble now and again. But everybody thought Anthony Pellicano, the most famous PI in Hollywood, was different, until his offices were raided by the FBI and he was arrested for possession of hand grenades and military-grade plastic explosives.

Mr Pellicano has been doing the dirty work for celebrities for almost two decades, and is paid handsomely for it. He helped to defend the car industry big-shot John DeLorean against cocaine racketeering charges in the early Eighties, and a decade later he was Michael Jackson's spin doctor during the height of the child molestation allegations levelled against the singer. These days, he will charge $25,000 just to take on a case, and several tens of thousands of dollars more in day-rates, plus expenses.

Now he has been linked to an affair so tawdry it could have leapt off the pages of Raymond Chandler or Ross Macdonald. And it could end more careers than just his.

The mystery has its origins in a business dispute between Steven Seagal, the one-time action film star who now professes to be a pacifist Buddhist, and his former partner, Julius Nasso. Mr Nasso sued Mr Seagal for $60m (£39m) for dropping out of four films.

Then a police investigation into the Gambino crime family on Long Island suggested Mr Nasso was skimming money from Mr Seagal's projects on behalf of the Mafia. Fast forward to June of this year, when a Los Angeles Times reporter investigating the story found a dead fish and a rose on her car, with a warning word: "Stop".

The FBI, using an informant, stumbled on a low-life called Alexander Proctor, who eventually admitted he was responsible for the threat. Then Mr Proctor claimed he was working for Mr Pellicano, who was acting for Mr Seagal.

Mr Pellicano and Mr Seagal have denied the threat, saying they had nothing to do with each other over the affair. Last week, the FBI decided to swoop on Mr Pellicano's offices on Sunset Boulevard.

They found nothing linking the PI to the Seagal case, but they did find something else. An FBI affidavit claimed two safes inside the office were found to contain loaded guns, 15 to 20 bundles of cash amounting to tens of thousands of dollars, two hand grenades and plastic explosives "consistent with military C-4".

Mr Pellicano was arrested and charged with possession of illegal explosives. His lawyer says there is a good explanation, but is not saying for the moment what that good explanation might be.

Mr Pellicano has never made any secret of the sometimes dirty tricks of his trade. He is more than willing to dig up dirt on his client's enemies and resort to threats if necessary, backed up with his trademark Louisville baseball bat. But he insists there are limits. "I always start out by being a gentleman," he said once. "I use intimidation and fear only when I absolutely have to."