Investigation of organized crime in interstate commerce. Hearings before a Special Committee to Investigate Organized Crime in Interstate Commerce, United States Senate, Eighty-first Congress, second session, pursuant to S. Res. 202 .. (Volume pt. 10) online

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Given By



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U, S. S:



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INVESTIGATION OF ORGANIZED CRIME
IN INTERSTATE COMMERCE



HEARINGS

BSFORB THB

SPECIAL COMMITTEE TO INVESTIGATE

ORGANIZED CEIME IN INTERSTATE COMMERCE

UNITED STATES SENATE

EIGHTY-FIRST CONGRESS

SECOND SESSION
AND

EIGHTY-SECOND CONGRESS

FIRST SESSION
PURSUANT TO

S. Res. 202

(81 st Congress)

A RESOLUTION AUTHORIZING AN INVESTIGATION OF

ORGANIZED CRIME IN INTERSTATE COMMERCE



PART 10



NEVADA-CALIFORNIA



NOVEMBER 15, 16, 17, 18, 20, 21, 22, 27, AND

DECEMBER 13, 1950; FEBRUARY 27, 28, AND

MARCHI2, 3, 1951



Printed for the use of the Special Committee To Investigate
Organized Crime in Interstate Commerce

I-

X





INVESTIGATION OF ORGANIZED CRIME
IN INTERSTATE COMMERCE



,,. . c -p HEARINGS

UO^^I^CSSS**^'^' BEFORE THE

SPECIAL COMMITTEE TO INVESTIGATE

OEGANIZED CEIME IN INTEKSTATE COMMEECE

UNITED STATES SENATE

EIGHTY-FIRST CONGRESS

SECOND SESSION
AND

EIGHTY-SECOND CONGRESS

FIRST SESSION
PURSUANT TO

S. Res. 202

(81st Congress)

A RESOLUTION AUTHORIZING AN INVESTIGATION OF

ORGANIZED CRIME IN INTERSTATE COMMERCE



PART 10



NEVADA-CALIFORNIA



NOVEMBER 15, 16, 17, 18, 20, 21, 22, 27, AND

DECEMBER 13, 1950; FEBRUARY 27, 28, AND

MARCH 2, 3, 1951



Printed for the use of the Special Committee To Investigate
Organized Crime in Interstate Commerce




UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON : 1951



PUBLIC



IL S. SUPERINTENDENT OF DOCUMENTS

MAY 18 1951



SPECIAL COMMITTEE TO INVESTIGATE ORGANIZED CRIME IN
INTERSTATE COMMERCE

ESTES KEFAUVER, Tennessee, Chairman
HERBERT R. O'CONOR. Maryland CHARLES W. TOBEY, New Hampshire

LESTER C. HUNT, Wyoming ALEXANDER WILEY, Wisconsin

RUDOLPH Halley, Chief Counsel

n



CONTENTS



Testimony of — Page

Ahem, Frank, inspector, police department, San Francisco, Calif. _ 489-503

Alioto, Joseph L., attorney, San P>ancisco, Calif 418-419'

Anderson, Clinton H., chief of police, Beverly Hills, Calif 713-720

Baker, William P., president, Regal-Amber Brewing Co., and vice pres-
ident, California State Brewers' Institute, San Francisco, Calif, _ 988-994

Bircher, Donald O., tax consultant, Glendale, Calif 326-336

Biscailuz, Eugene Warren, sheriff, Los Angeles County, Calif 279-304

Blom, Rex, Palos Verdes, Calif 1026-1035

Bompensiero, Frank, San Diego, Calif 336-345

Bonelli, William G., member of the fourth district. State board of

equalization, Calif 771-82 &

Bowron, Hon. Fletcher, mayor, Los Angeles, Calif 657-664

Brown, Edmimd G., district attorney, San Francisco, Calif., accom-
panied by Thomas C. Lvnch, chief assistant district attorney, San

Francisco, Calif 4 19-446'

Bucher, Carroll S., attorney, San Francisco, Calif., accompanied by

Thomas J. Riordan, attorney, San Francisco, Calif 1054-1058,

1101-1102, 1128-1131

Burkett, William A., Sacramento. Calif 518-551, 610-631

Burt, W. L., tax consultant. Long Beach, Calif 305-312

Butler, George, lieutenant, police department, Dallas, Tex 936-952

Cahill, Thomas, inspector, police department, San Francisco, Calif __ 489-503

Clark, Wilbur Ivern, Las Vegas, Nev 52-64

Cohen, Michael (Mickey), Los Angeles, Calif., accompanied by
William Strong and Benjamin E. Schwartz, attorneys, Beverly

Hills, Calif 194-278

Cohen, Stanle}^ San Francisco, Calif., accompanied by Leo Friedman,

attorney, San Francisco, Calif 1036-1051

Contratto, James J., Las Vegas, Nev 373-374

Dalitz, Morris, Detroit, Mich., accompanied by Charles Carr, at-
torney, Los Angeles, Calif 907-928

Davies, Charles E., special agent, Intelligence Unit, Bureau of Internal

Revenue, United States Treasury Department 607-631

English, James, chief of inspectors, San Francisco Police Department- 489—

503

Entenmann, Carl, Glendale, Calif 762-766

Entenmann, Norman, Glendale, Calif 762-766

Feenev, Thomas E., attorney, San Francisco, Calif 446-447

Gentry, Dale, San Bernardino, Calif 861-868, 872-878

Georgetti, Emilio, Summit Hill, Calif., accompanied by Eugene

Meacham, attorney, Washington, D. C 633-651

Glasser, Irving, Los Angeles, Calif 360-362, 375-394, 827-861

Gould, Polly, Los Angeles, Calif 904-906

Greeson, L. R., chief of police, Reno, Nev 48-52

Guasti, Al, formerly captain in the sheriff's office, Los Angeles County,

Calif 312-325, 688-712

Hamilton, Capt. James E., head of intelligence department, adminis-
trative bureau, Los Angeles Police Department 164-172, 720-742

Hamilton, James G., secretary, California State Brewers' Institute, San

Francisco, Calif 968-988, 1109-1110, 1210-1211

Hartmann, Martin, San Francisco, Calif 1084-1101

Hill, Carey S., Los Angeles, Calif 667-680

Hoertkorn, Harold T., certified public accountant, San Francisco,

Calif 1051-1054, 1102-1105, 1204-1214

Holleran, Charles, manager, Horseshoe Club, Gardena, Calif 878-880

Jewell, Arthur C, under sheriff, Los Angeles County 108-132

Jones, Clifford, Lieutenant Governor, State of Nevada 25-34, 38-41



IV CONTENTS

Testimony of — Continued Page

Kaltenborn, Robert J., Las Vegas, Nev 94-103

Kessel, David N., Piedmont, Calif., accompanied by Harold Faulkner,
attorney, and Messrs. Pechart and Mathewson, San Francisco,

Calif 464-48^

Krause, Allan, San Francisco, Calif 1 140- 1 147

Lawry, Fred L., assistant special agent, Bureau of Internal Revenue,

United States Treasury Department 607-631

Lubbes, Charles B., San Francisco, Calif 1002-1012

Matranga, Mrs. Maria, Los Angeles, Calif., accompanied by Frank

Desimone, attorney, Los Angeles, Calif 953-954

Miller, Hyman, Los Angeles, Calif 363-368, 397-416

Mitchell, Michael, chief of police, San Francisco, Calif 489-503

Mooney, Patrick, Sr., formerly chief field deputy. Bureau of Internal
Revenue, Reno, Nev., accompanied by Patrick Mooney, Jr.,

accountant, Reno, Nev 1_ 1063-1082

Moore, William J., Las Vegas, Nev 2-25, 37-38

Palmer, C. H., counsel for the Alfred Hart Distilleries, Inc., Los

Angeles, Calif 1131-1139

Parker, William H., chief of police, Los Angeles, Calif 164-172, 720-742

Pechart, Walter, El Cerrito, Calif., accompanied by Mathewson and

Faulkner, attorneys 505-5 18

Philbrick, Howard R., Central Casting Corp., Los Angeles, Calif. _ 750-759

Phillips, Henry, Las Vegas, Nev 34-38

Picard, Henry K., vice president and general manager, San Francisco
Brewing Co., and G. L. Fanning, vice president, Lucky Lager

Brewing Co., San Francisco, Calif 994-996

Prunty, Jolin, Prunty Insurance Co., Fresno, Calif., accompanied by

Kenneth L. Say, attorney, Fresno, Calif 1012-1025

Quattrin, Sante, executive secretary. Wholesale Liquor Distributing

Association of Northern California, Inc., San Francisco, Califs 996-1002

Randolph, Mrs. Lucille W., city clerk, Gardona, Calif 749-750, 75i)-762

Reid, Ralph R., retired special agent, Intelligence Unit, Bureau of

Internal Revenue, United States Treasurv Department 607-631

Robertson, William L., Seal Beach, Calif-..' 368-373, 552-569

Rogers, Donald B., group leader, Bureau of Internal Revenue, United

States Treasury Department 607-631

Rotondo, Casper, Jr., Los Angeles, Calif ..._ 362-363

Rotondo, Casper, Sr., San Bernardino, Calif 362-363

Ruditsky, Barney, Los Angeles, Calif 179-193

Russell, Floyd, San Francisco, Calif., accompanied by James Davis,

attorney, San Francisco, Calif 448-464

Sackman, Harry, accountant, Beverly Hills, Calif 144-164

Sanford, Holden, special agent. Internal Revenue Bureau, San
Francisco, Calif., accompanied by \\'alter M. Campbell, regional
counsel. Penal Division, Bureau of Internal Revenue, San Francisco,

Calif 1058-1063, 1110-1128

Samish, Arthur H., San Francisco, Calif. __ 963-967, 1105-1108, 1161-1222

Schmid, Walter R., Orange County, Calif 766-770

Schino, Ernest M. (Mike,', former chief field deputy, office of collector
of internal revenue. Northern District of California, San Francisco,
Calif., accompanied by Emmet Hagerty, attorney, San Francisco,

Calif 579-593, 612-631, 1147-1161

Sedway, Moe, vice president Hamingo Hotel, Las Vegas, Nev 64-94

Sica, joe, Burbank, Calif., accompanied by Russell E. Parsons,

attorney, Los Angeles, Calif 888-894

Simpson, William Edward, district attorney, Los Angeles County. _ 132-141
Smiley, Allen, Los Angeles, Calif., accompanied by Otto Christensen,

attorney, Los Angeles, Calif 894-904

Smvthe, James, collector of internal revenue for the First District of

California 593-631

Stocker, James, Big Bear Lake, San Bernardino County, Calif., accom-
panied b}- Milan Medigovich, attorney, Los Angeles, Calif 869-878

Tolin, Ernest, United States attorney for southern California, Los

Angeles, Calif 325-326

Tucker, Samuel, the Desert Inn, Las Vegas, Nev., accompanied by

Charles Carr, attorney, Los Angeles, Calif 929-935



CONTENTS V

Testimony of — Continued Page

Utley, James, Hollywood, Calif 345-360, 880-888

Wiener, Louis, attorney, Las Vegas, Nev 41-48

Wolcher, Louis, San Francisco, Calif., accompanied by Ralph Taylor

and Conrad Hubner, attorneys, San Francisco, Calif 569-579

Schedule and summary of exhibits v

Wednesday, November 15, 1950 1

Thursday, November 16, 1950 105

Fridav, November 17, 1950 179

Saturdav, November 18, 1950 305

Mondav, November 20, 1950 375

Tuesday, November 21, 1950 (Los Angeles, Calif.) 395

Mondav, November 27, 1950 (Los Angeles, Calif.) 397

Tuesday, November 21, 1950 (San Francisco, Calif.) 417

W^ednesday, November 22, 1950 (San Francisco, Calif.) 505

Wednesdp.v, December 13, 1950 633

Tuesday, February 27, 1951 653

Wednesday, Felmiary 28, 1951 827

Fridav, March 2, 1951 959

Saturday, March 3, 1951 1083

Appendix 1225

Supplemental data 1229

SCHEDULE OF EXHIBITS



Number and summary of exhibits



Intro-
duced on
page —



Appears

on
page —



1. Digest of racing wire situation in Las Vegas. Nev

2. Memorandum for committee on certain licensed gambling

operations in Nevada

3. Letter to the committee from Sheriff Biscailuz, together with

data of arrests and reports of his office

4. Card given Accountant Sackman by Mickey Cohen re loan...

5. Sheet of paper re loan to Mickey Cohen from J. W. Federman.

6. Notation by Accountant Sackman that Cohen phoned re his

loan from Bernard Cohen

7. Notation, December 19, 1950, Cohen received $25,000 from

Federman, and. September 14, won $2,380 on horses

8. Photograph of Mickey Cohen, two policemen, Russell Par-

sons, Jimmy Rist, and Eli Rubin

9. Set of five photographs, taken at the time of Cohen's arrests..

10. FBI record of arrests and convictions of James Rist

11. FBI record on Joseph Sica

12. FBI record on David Ogul

13. FBI record on Eli Lubin, alias Jerry Martin

14. FBI record on Michael Cohen, alias Mickey Cohen

15. Report to Sheriff Biscailuz from C. H. Pearson, captain, anti-

vice and narcotics detail, dated February 14, 1950

16. Outline of activities of Sheriff Biscailuz' antigangster squad,

dated November 6, 1950

17. Memorandum of Richard Hyer of San Francisco Chronicle, in

response to a questionnaire sent by the committee to edi-
tors

18. Article in San Francisco News, November 17, re committee's

power to examine income-tax returns

19. Oakland Tribune article, November 17, re the committee

20. Series of articles in California newspapers re the committee..

21. Letter to the committee, dated October 16, 1950, from the El

Cerrito Group Committee

22. News article from San Francisco News of November 17, en-

titled "Kefauver Group Will Check San Francisco Figures'
Tax Returns''

23. Article from Oakland Tribune of November 17 re witnesses

facing quiz on the juggling of taxes

Footnotes on p. VII.



25



127
145
145

145

145



420

466
468
469

487



506
507



(0



25 (1)



0;
(2)
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215


0)


215


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217


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217


(')


218


(1)


218


0)


218


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281


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282


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VI



CONTENTS
SCHEDULE OF EXHIBITS— Continued



Number and summary of exhibits



Intro-
duced on
page



24. Additional news clippinsis submitted by Walter Pechart re tax

returns investisiation by Committee

25. Statement of Gertrude Jenkins, given at Tehachapi, Calif.,

June 27, 1950

26. Photostats marked "Slots," in San Mateo County, Calif.

27. Statement, dated .'Vpril 15, 1948, of Patrick Mooney, re prep-

aration of Elmer F. Remmer's tax returns

28. List of duties of Chief, Field Division, Bureau of Internal

Revenue, submitted by Michael Schino

29. Pan 3 of <he report of the California Crime Commission, re

Internal Revenue Department

30. Miscellaneous Document No. 58, filed in the United States

Supreme Court (Earl W. Taylor charges conspiracy exists
to cau.se him to be illegally imprisoned)

31. Communications addressed lO vhe committee from the district

attorney, Dallas, Tex., with respect to Benny Binioa

32. A report of the subconunitvee of the Attorney General's Con-

ference on Organized Crime

S3. Report of grand jury, Los Angeles County: jury foreman,
Carey S. Hill

34. Papers submitted by Captain HamiPon, re Plaza Bridgo, in-

cluding photosrat of application for license, dated June 30,
1949, signed by Gilbert Brown as sole owner and opera or;
record of Marvin Brown and James Contratto

35. Phovostals of ;he applications of Irving Glasser for licenses for

Fortune Bridgo and Rose Bridgo

36 Committee staff report on poker parlors at Gardena, Calif

37. I^ntire reijon of Kdwiii N. Aiherton and Associates, identified

by Howard R. Pliil brick

38. Ordinances of i he city of Gardena, Calif., submitted by Lucille

W . Randolph, city clerk ._.

39. Conclusions bv Hon. William J. Palmer, judge, department 4,

Superior Court No. 79,024

40. Photostat of articles of incorporation of California State

Brewers' Association

41. Copy of agreement between Arthur Samish, California State

Brewers' Association, and certain named individual brewers
members of association

42. Transcript of ledger sheets re Authur Samish, special account

in Crocker First National Bank

43. Copy of minutes of California State Brewers' Institute direc-

tors' meetings of January 8 and February 7, 1951

44. Copy of itemization of checks and canceled checks, submitted

by Charles B. Lubbes

45. Letter from Acting Commissioner Fred S. Martin, Office of

Commissioner of Internal Revenue, to Senator Kefauver,
dated February 16, 1951

46. Photo of Hueneme Hotel, Hueneme, Calif

47. Photostat of check dated August 16, 1948, payable to Mac

Gilson and Morris (Jovtlied for $10,000, signed by John
Prunty

48. Subpena directed to Stanley Cohen

49. Copy of list of purchasers of Mountain City Consolidated

Copper Co. stock, July 9, 1943, to May 1946

50. Photostat of agents' working papers of schedule of stock cer-

tificates issued by Mountain City Consolidated Copper Co.
for period from September 1947"to March 31, 1949 _-.

51. Copy of a progress report on current operations of Mountain

City Consolidated Copper Co., reproduced from the Reno
Evening Gazette




518
581
596

606
635
659
668

722

722
735

751

759

805

968

976

976

982

1009



1010
1015



1015
1043

1077



1082



1094



Footnotes on p. VII.



C'ONTETNTS
SCHEDULE OF EXHIBITS— Continued



VII



Number and summary of exhibits



Intro-
duced on
page —



Appears



52. Analysis of public-relations fund, dated September 30, 1949.-.

53. Copy of letter dated January 21, 1944, ':o Stanley Baar, exec-

utive vice president of Allied Liquor Industries, from Arthur
H. Samish

54. Copy of letter to Herbert J. Charles, president, United States

Brewers' Association, from Arthur H. Samish

55. Copy of In the Public Welfare, 1942, issued by public relations

department, California State Brewers' Institute

56. Copy of letter dated October 6, 1950, to alcoholic beverage

industry from Arthur H. Samish

57. Copies of news letters issued by Samish & Associates, dated

January 4, 11, 18, 25, and February 1, 8, and 21

58. Copy of West Coast Brewer, dated February 1951

59. Copy of digest of bills amending Motor Vehicle Act or affect-

ing highway transportation

60. Copy of miscellaneous legislation and constitutional amend-

ment proposals

61. Copy of listing and digest of assembly and senate bills, pro-

posing changes to Alcoholic Beverage Control Act

62. Photostat of letter dated March 15, 1948, from Tony Monti to

Arthur H. Samish



1105



0)



1166




1166




1173




1174




1174
1174




1175




1175




1175




1217





1 On file with committee.

2 Returned to witness.
' Written into record.



SUPPLEMENTAL DATA



Page

1. Letter dated November 20, 1950, to Senator Kefauver from Donald O.

Blrcher, tax consultant, Hollywood, Calif 1229

2. Letter dated January 9, 1951, to Senator Kefauver from W. J. Moore,

Jr., executive vice president. Hotel Last Frontier, Las Vegas, Nev 1229



IISYESTIGATION OF ORGANIZED CEIME IN INTEESTATE

COMMERCE



WEDNESDAY, NOVEMBER 15, 1950

United States Senate,
Special Committee To Investigate
Organized Crime in Interstate Commerce,

Las Vegas, Nev.
confidential

The committee met, pursuant to call of the chairman, in Las Vegas,
Nev., at 10 a. m.. Senator Estes Kefauver (chairman) presiding.

Present: Senators Kefauver, Tobey, and Wiley. Also present:
Rudolph Halley, chief counsel ; H. G. Robinson, associate counsel and
chief investigator; William G. Ruymann, special counsel; Herbert
Van Brunt, special representative to the committee; Julius Cahn,
administrative assistant to Senator Alexander Wiley.

EXECUTIArE session

The Chairman. Do you have a resolution prepared, Mr. Halley?

Mr. Halley. Could we have a resolution in the record that one of
the committee members would propose such a resolution, to read as
follows :

That the chairman is hereby authorized to hold at his discretion subcommittee
meetings in the States of Nevada and California, to appoint proper subcom-
mittees to meet in the States of Nevada and California, and that such subcom-
mittees may consist of one or more members of the committees, and that one
committee member shall constitute a quorum for the purpose of swearing wit-
nesses, taking testimony, and all other business pertinent to the hearings of this
committee.

Senator Wiley. Move for the adoption of the resolution.

The Chairman. Second the motion ? All in favor say "Aye." Let
it be known by saying "Aye."

Let the record show that the motion was made by Senator Wiley,
seconded by Senator Tobey, unanimously passed by Senators Wiley,
Tobey, and Kefauver.

The Chair designates subcommittee consisting of Senators Tobey,
Wiley, and himself to hold hearings in the State of Nevada and the
State of California, and also the Chair may appoint, as set forth in
the resolution, one member of such subcommittee to swear witnesses
and to take sworn testimony.

Anything else for the record that we need ?

Mr. Halley. Nothing.



2 ORGANIZED CRIME IN INTERSTATE COMMERCE

TESTIMONY OF WILLIAM J. MOOEE, LAS VEGAS, NEV.

The Chairman. Mr. Moore, do you solemnly swear the testimony
you Avill give this committee will be the truth, the whole truth, and
nothing but the truth, so help you God ?

Mr. Moore. I do.

Mr. Halley. Mr. Moore, your full name is William R. Moore?

Mr. ]MooRE. William J. Moore.

Mr. Halley. What is your address ?

Mr. Moore. 710 South Eighth Street, Las Vegas, Nev.

Mr. Halley. What is your occupation?

Mr. Moore. Hotel executive.

Mr. Halley. With what hotel are you connected?

Mr. MooRE. Hotel Last Frontier.

Mr. Halley. Do you hold any public office in the State of Nevada?

!Mr. INIooRE. I am a member of the Xevada Tax Commission.

Mr. Halley. How long have you been a member of that commis-
sion ?

Mr. Moore. Approximately three and a half years.

Mr. Halley. Are you chairman of that commission ?

Mr. MooRE. No.

INIr. Halley. Have you ever been chairman?

Mr. ]\IooRE. No.

Mr. Halij:y. Mr. Moore, are you acquainted with the history of
the investigation conducted in the State of Nevada which resulted
in the passage of the race wire service law which became effective
July 1, 1949^

]\fr. Moore. Yes.

Mv. Halley. Would you tell the committee what led to the hold-
ing of hearings regarding the race-wire law in the State of Nevada,
what facts and circumstances led to it, and in general describe the
proceedings which were held ?

Perhaps, first you should state the position you held and the part
you took in those proceedings.

Mr. Moore. At the time the proceedings took place, I was acting
as a member of the Nevada Tax Commission representing business.
I was appointed to the Nevada Tax Commission before the legislature
turned the administration of the issuance of licenses and control of
gambling over to the tax commission.

Serving as a member of this Nevada Tax Commission, we received
a letter from the local district attorney stating that conditions were
bad in the race horse book business in Las Vegas.

^Ir. Halley. You are referring to Robert E. Jones ?

ISIr. INIooRE. Yes.

Mr. Halley. District attorney of Clark County?

Senator Wiley. When you say "local," do you mean the Federal
or the State?

Mr. Moore. County attorney.

ISIr. Halley. He wrote on approximately, would you say, October
23, 1948, or thereabouts ?

Mr. MooRE. I do not remember the date, but we did receive a letter
from Robert E. Jones.

ISIr. Halley. Did he state that the situation was fraught with
danger to the public peace ?



ORGANIZED CRIME IN INTERSTATE COMMERCE 3

Mr. Moore. Yes.

Mr. Halley. And he pointed out that the condition could result in
very unfavorable publicity to the State of Nevada, did he not, sir?

Mr. Moore. As I remember, yes.

Mr. Halley. Can you state what led to such a letter on the part
of the district attorney? About a year previously a man named
Benjamin Siegel had been killed ; is that correct ?

Mr. Moore. Yes.

Mr. Halley. Was he not one of the owners of the Flamingo Hotel ?

]Mr. Moore. Yes.

Mr. Halley. Do you know what other interests he had in the State
of Nevada ?

Mr. ]\IooRE. To my knowledge, he owned an interest in the race
book in the Golden Nugget, and several other race books in the
community.

Mr. Halley. Did he not also have an interest in the racing wire
service ?

Mr. MooRE. At one time I believe he attempted to establish his
own service.

Mr. Halley. Did not your hearing show that he exercised consider-
able powers over the decision as to who would have racing wire
service in the Las Vegas area ?

Mr. Moorns,. Yes.

]Mr. Halley. Following his assassination in 1947, was there a period
of flux, particularly in and about the city of Las Vegas, with regard
to the racing wire service ?

IMr. MooRE. What do you mean by "flux" ?

Mr. Halley. Well, things were unsettled, weren't they ?

]Mr. Moore. Yes.

]\Ir. Halley. Was it that which led the district attorney to feel that
there might be an outbreak of gang warfare ?

]Mr. Moore. I presume so.

Mr. Halley. What do you know of your own knowledge, Mr.
Moore, of it?

Mr. Moore. To my own knowledge, I knew very little because at
that particular time we did not have a race-book operation in the
hotel. However, I can only state what I was told by numerous opera-
tors that Mr. Siegel said who was to get race-book service and who
was not to get it.

Mr. Halley. Those whom he said could not have it just didn't get
it; is that what occurred?

Mr. Moore. They didn't get it, and some of them were very un-
happy about it, and from time to time probably went to the district
attorney to put in their gripes.

Mr. Halley. Would you say that it became known that in return
for giving people race wire service, Siegel would demand an interest
in the proceeds of such service?

JSIr. IMooRE. I believe the hearing pointed that out.

Mr. Halley. In other words, he seemed to have the say-so on who
would get the wire service ; is that right so far ?

;Mr. Moore. That is right.

]\Ir. Halley. And those who got it would have to allow him to par-
ticipate in the profits of their racing book?



4 ORGANIZED CRIME IN INTERSTATE COMMERCE

Mr. Moore. That is what the hearing brought out; yes.

Mr. Halley. So the people who were not getting such service were
bitterly opposed to Siegel ; is that right ?

Mr. Moore. Yes.

Mr. Halley. After Siegel's death, a man named Rosen, Benjamin
Eosen, came to Las Vegas; is that right? Morris Rosen?

Mr. Moore. Morris Rosen ; yes.

Mr. Halley. Did Rosen succeed to many of Siegel's interests in the
wire service?

Mr. Moore. Frankly, I believe the hearing pointed out that Rosen