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His musical career began to decline with the lukewarm reception to 1995's HIStory: Past, Present, and Future, Book I, which featured some of his earlier hits as well as new material. The record spawned two hits, "You Are Not Alone" and his duet with sister Janet Jackson, "Scream." "Scream" earned Michael and Janet a Grammy Award for Best Music Video, Short Form that year. Another track from the album, "They Don't Care About Us," however, brought Jackson intense criticism for using an anti-Semitic term.

By the release of 2001's Invincible, Jackson was better known as an eccentric whose quirks were reported in the tabloids than as a performer. The album sold well, but stories of his odd behavior started to overshadow his talent. He often appeared in public wearing a surgical mask, and he hid his children's faces under veils.

In 2002, Jackson seemed confused and disoriented on stage at an MTV awards show. Soon after, he received enormous criticism for dangling his son, Prince Michael II, over a balcony while greeting fans in Germany. In a later interview, Jackson explained that "We were waiting for thousands of fans down below, and they were chanting they wanted to see my child, so I was kind enough to let them see. I was doing something out of innocence."

Jackson's reputation was served another blow in 2003 with the television documentary, Living with Michael Jackson. British journalist Martin Bashir spent several months with Jackson, and he got Jackson to discuss his relationships with children. He admitted that he continued to have children sleepover at his ranch, even after the 1993 allegations. Jackson said that sometimes he slept with the children in his bed. "Why can't you share your bed? That's the most loving thing to do, to share your bed with someone," Jackson told Beshir.

Jackson faced more legal woes in 2004 when he was arrested on charges related to incidents with a 13-year-old boy the previous year. Facing 10 counts in all, he was charged with lewd conduct with a minor, attempted lewd conduct, administering alcohol to facilitate molestation, and conspiracy to commit child abduction, false imprisonment and extortion. The resulting 2005 trial was a media circus with fans, detractors, and camera crews surrounding the courthouse. More than 130 people testified, including Macaulay Culkin who appeared on Jackson's behalf. He said that he had been friends with Jackson as a young teen. While he had stayed over at the Neverland Ranch, he told the court that Jackson never tried to molest him. Jackson's accuser also appeared via videotape and described how Jackson had given him wine and molested him.

On June 14, 2005, Jackson was acquitted of all charges. He stayed at Neverland for only a short time after the trial and then moved to Bahrain. A friend of the king of Bahrain's son, Jackson was able to avoid the intense media scrutiny he had been subjected to during the trial. Plans were made for Jackson to record a comeback album with the king's son's record company, but the album never materialized.

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