War Dogs is based on the true story of two young entrepreneurs in the defense industry. The historical events were first covered in articles by Guy Lawson and later in his book Arms and the Dudes.
Efraim Diveroli and his childhood best friend David Packouz became defense contractors simply to get rich. Seeking to take advantage of the lucrative economy in the infamous military industrial complex, they instead found themselves in a world of trouble.
The two led a Miami lifestyle filled with drugs, parties, and arms dealing. The young entrepreneurs worked their way up the industry ladder to become big players. They eventually landed a three hundred million dollar contract to supply the entire Afghan National Army with ammunition. The deal was made possible by securing a massive ammunition purchase from Albania. However, Diveroli and Packouz realized, to their horror, that the ammo was made in China. Already in motion, their contract stated that the bullets could not come from China.
In over their heads, the two concluded their only way out was concealing the prohibited origin of the product. They would repackage over one hundred million rounds before shipping the order to Kabul. Before long however, they were ratted out by associates. Their office was subsequently raided by the government and the two faced serious charges. Efraim Diveroli was sentenced to 4 years. David Packouz was given 7 months house arrest.
Watch the Crime Watch Daily video to learn more.