The Chicago Syndicate: Philip Priola
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Showing posts with label Philip Priola. Show all posts
Showing posts with label Philip Priola. Show all posts

Friday, June 26, 2015

Reinhard in 1969: Rockford Mobsters 'Retired or Inactive'

Federal judge and former Winnebago County State’s Attorney Philip G. Reinhard said in an April 4, 1969, interview with the Rockford Morning Star that he believed Mob figures in Rockford were "retired or inactive." Reinhard added he had "seen no evidence or indication" of Mafia-related activity in the Rockford area at that time.

Reinhard’s comments are in contrast with articles published in the past 15 months by The Rock River Times that detailed past Mob-related activity dating back to at least the 1970s.

Reinhard was Winnebago County assistant state’s attorney from 1964 to 1967, and Winnebago County state’s attorney from 1968 to 1976. He was nominated as federal judge for the Western Division of the U.S. District Court for Northern Illinois by President George H.W. Bush in 1991. Reinhard has been on the federal bench since Feb. 10, 1992.

During the 1969 interview, Reinhard reacted to a question about the extent of Mafia activity in Rockford by saying: "There is a local structure, but if it has any ties with the national syndicate, they are very loose. There are individuals who, perhaps, made their money in syndicate-connected activities years ago and are now 'retired' or inactive. In the short time that I have been state's attorney, I have seen no evidence or indication that there is organized, syndicate activity here."

Reinhard did not respond for comment for this article, but did acknowledge during a February 2005 interview that he never knowingly prosecuted any Mob members during his tenure as state’s attorney.

MOB ATTORNEY TURNED INFORMANT

Reinhard's 1969 perception of Mafia activity contrasts with comments by former Chicago Mafia attorney turned federal informant Robert Cooley. He said in a Nov. 24, 2004, article in The Rock River Times that the Chicago Mafia, which is known as "The Outfit," had considerable interest in Rockford during the 1970s and 1980s.

Specifically, Cooley said: "[Chicago Mob captain and member of the Elmwood Park/North side crew] Marco [D'Amico], at the time when we were in power, Marco had a major crew working up there in the Rockford area. They had some illegal gambling interests up there."

According to the Chicago Crime Commission’s 1997 publication The New Faces of Organized Crime, D'Amico and eight others were indicted in 1994 "for running an illegal sports bookmaking operation, using extortion to collect gambling debts, and juice loans and conspiring to commit racketeering."

Cooley described in his 2004 book, When Corruption Was King: How I Helped the Mob Rule Chicago, Then Brought the Outfit Down, how he assisted federal agents set up the illegal gambling sting that snagged D'Amico in November 1989 in Lake Geneva, Wis., which resulted in the 1994 indictment.

Cooley turned from Mob attorney to federal informant in 1986 after the death of his father. During the next 11 years, Cooley's efforts to expose public corruption resulted in bringing more than 30 lawyers, politicians, and Mobsters to justice by secretly taping dozens of Mob meetings.

INDICTMENTS

Whether the recent naming of 10 Rockford-area men in an illegal gambling ring was connected to D'Amico’s former crew is not known.

However, according to a separate, but likely related, indictment last April in Chicago, alleged Mob hit man from Rockford, Frank G. Saladino, was a member of the South side/Chinatown crew at the time he committed crimes for the Chicago Mob sometime between the 1960s and 2005.

Cooley explained during an interview last April that Saladino may have been a member of both the North and South side crews at differing times during that period. Saladino was named a co-conspirator in the Feb. 1 federal indictment, which alleged the sports betting operation accepted "bets and wagers on the outcome of sports events, including football and basketball games" from the early 1980s until about May 2002.

A former bookie familiar with the illegal sports gambling ring in the Rockford area alleged in 2004 one of the key organizers was a prominent business leader. That leader was not among the individuals indicted.

Saladino was found dead April 25, 2005 — the same day he was indicted on federal charges of murder and undisclosed criminal activities on behalf of the Chicago Mafia. The Kane County coroner ruled Saladino's death was due to natural causes in May 2005.

Specifically, the FBI-led probe named "Operation Family Secrets," alleged the Chicago Mob was involved in 18 murders and racketeering conspiracy extending from the mid-1960s to 2005. The alleged racketeering involved sports betting, video gambling, loan sharking and collecting "street tax" from participants in illegal activities.

According to the 2005 indictment, Saladino was a "member of the South Side/26th Street crew." Saladino's last known Rockford address in 2004 was 1303 Montague Rd.

PROBES AND LAWSUITS

But illegal gambling charges and probes extend further back than the February 2006 indictment. In December 1968, a federal grand jury in Freeport called at least
eight people for questioning in connection with illegal gambling and other Mob-related activity in Rockford and northern Illinois. Reinhard became Winnebago County state's attorney in November 1968.

Among those subpoenaed before the Freeport grand jury were: Rockford Mob boss Joseph Zammuto; Adviser Joseph Zito; Underboss Charles Vince; Zammuto’s successor, Frank J. Buscemi; Philip Priola and Mob Soldier Joseph J. Maggio (see Mob Murder Suggests Link to International Drug Ring).

Priola is former AFL-CIO union official and one of the original members of a group that wanted to bring a casino boat to Rockford in the early 1990s. He was also one of the owners of U Grill It Inc., which did business in Machesney Park Mall several years ago as Texas Grill Steakhouse and Lounge.

Priola and others in his family were charged by federal officials on July 29, 2003, for allegedly conspiring to "defraud" the IRS and U.S. Treasury Department.

In response to an Oct. 6, 2003 article in the Rockford Register Star, which detailed the case, Priola sued the Rockford Register Star in 2004 alleging the article concerning U Grill It was libelous.

The case is still in the discovery phase, and was scheduled for a March 22 status hearing with 17th Judicial Circuit Court Judge Janet Holmgren. The Register Star is seeking tax returns and other documents related to the litigation, which also involved Priola’s son-in-law, Todd Gage.

When interviewed by The Rock River Times in 2004 about the lawsuit, Priola said he moved from Rockford to Las Vegas. He and other members of his family eventually pled guilty to the charges before a scheduled trial.

The indictment alleged that from at least 1992 to 1998, Priola and others "intentionally conspired" to under-report "gross receipts and net profits of
LT's Bar." It also alleged a cash-skimming operation took place for the benefit of the named family members.

Included in the alleged skimming operation were proceeds from "cigarette vending machines and coin-operated amusement machines."

Buscemi, a Chicago native, was owner of Stateline Vending Co., Inc., and Rondinella Foods Co., before his death in Rockford Dec. 7, 1987. Winnebago County court documents from 1988 indicate Saladino worked for Rondinella in the 1980s when Buscemi owned the business. The vending machine company was dissolved in 1988.

According to Buscemi's FBI file, the Rockford Mob was alleged to control the
vending machine business in Rockford during the 1980s, and used "extortionate business practices."

Vince, another person in addition to Priola and Buscemi who was called before the 1968 grand jury, was identified in a March 4, 1984, Rockford Register Star article as residing in an apartment at 1904 Auburn St., in Rockford. Land records for the address show the property was owned by the grandparent's of Peter and Mathew Provenzano from 1964 to 1987.

In July 1978, federal court documents show Vince, along with other members of the Rockford and Milwaukee Mafia, were alleged to have tried to extort money from a competing upstart vending machine company owner. The owner of the company the Mob members tried to shakedown was actually an undercover federal agent named Gail Cobb who was masquerading as Tony Conte.

Cobb and legendary FBI agent Donnie Brasco, whose real name was Joseph P. Pistone, worked together at the behest of the Bonanno crime family in New York to forge an alliance between the Rockford, Milwaukee and Bonanno family (see Mob Murder Suggests Link to International Drug Ring).

Actor Johnny Depp portrayed Pistone in the 1997 movie Donnie Brasco, during the time in the late 1970s when Pistone infiltrated organized crime.

As to Vince's residence and the Provenzano family's ownership of the property, Peter Provenzano was given the opportunity in October to comment about this coincidence and other questions, but declined after he was given an advance copy of topics for the interview.

Provenzano is a board commissioner at Rockford/Chicago International Airport, proponent for Rockford's return to home rule, and part owner of military contractor SupplyCore, Inc. Since its incorporation in 1987 as Pro Technical Products, Inc., the companies have been awarded more than $1 billion in U.S. Defense Department contracts—most of which has been awarded since the late 1990s.

Pro Technical Products, which was formed by Provenzano's father, changed its
name to SupplyCore in 2001, according to state records. Provenzano's brother, Mathew Provenzano, is secretary of SupplyCore and is one of the board of directors for the taxpayer-supported MetroCentre in Rockford.

Both Provenzano brothers were nominated for their positions by Rockford Mayor Larry Morrissey. SupplyCore heavily financed Morrissey's successful mayoral campaign last year.

About the author:
Jeff Havens is a former award-winning reporter for the weekly newspaper The Rock River Times in Rockford, Ill. Havens lived most of his life in the Rockford area, and wrote dozens of news articles about the Mob in Rockford and Chicago. Assistant Editor for The Rock River Times, Brandon Reid contributed to this article.

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