The Chicago Syndicate
The Mission Impossible Backpack

Monday, October 29, 2012

How Lou Peters Took Down Joseph Bonano Sr. and The Mob

In 1977, things were going well for Lou Peters—he was living the American dream with his wife and three daughters, running a successful Cadillac dealership in Lodi, California. And in June of that year, he got an offer he couldn’t refuse.

A man approached Peters expressing interest in buying the dealership. When told it wasn’t for sale, the man was insistent, telling Peters to “name any price.” Finally, Peters said he would sell it for $2 million—nearly twice what the business was worth. The man accepted—then told Peters that the buyer was none other than Joseph Bonnano, Sr., head of the Bonnano organized crime family, who wanted the dealership to launder the family’s illegal funds.

Initially taken aback upon learning of mafia involvement, Peters eventually agreed to the sale, recounting, “I didn’t understand why these people wanted to come into our county. And I wanted to find out.” He then went to a local police chief and told him what had happened. When the chief asked what he was going to do next, Peters replied, “Well, I’m going to the FBI.”

And to the FBI he went, telling all. The FBI saw an opportunity to take down Bonnano and asked Peters for help. He was on board. “I felt it was the right thing to do, and I just did it,” he said.

Over the next nearly two years, Peters played the part of a corrupt businessman, gaining remarkable access to the Bonnano family and even becoming a close companion of Joseph Bonnano, Sr. To gain his confidence, Peters recalled saying something to “the old man” along the lines of, “Well, this should really bring me into the family”—to which Bonnano replied, “Lou, you’re already in the family.”

Through it all, Peters never took his eye off the ball—gathering evidence, secretly recording conversations, and debriefing agents on what he had learned. And his efforts weren’t without personal sacrifice…besides the risk to his life, he had to obtain a (temporary) legal separation from his wife not only to protect his family but also to have a credible reason to move out of his house—and into an apartment that was being monitored by the FBI.

In the end, Peters got what we needed. When he told Bonnano—during a recorded call—that he had been subpoenaed to testify before a grand jury regarding his dealings with the family, the old man directed him to destroy any records that could be linked back to him and his associates. Peters took the tape to the FBI agent on the case. While listening to it, the agent jumped up and said, “You got him!”

Thanks to Lou Peters, Joseph Bonnano, Sr. was found guilty of obstructing justice and sentenced to five years in prison—the first felony conviction in the mob boss’ long life of crime.

To show its appreciation, in October 1980 the FBI presented Peters with an award for his selfless and valiant actions…an award that has been granted annually for the past 30 years as the Louis E. Peters Memorial Service Award, bestowed upon the citizen who best exemplifies the standards set by Peters in providing service to the FBI and the nation.

Shortly before his death in 1981, Peters said, “I was very proud of what I did for my country.” The country is very proud of him, too. Thanks, Lou Peters.

Tuesday, October 23, 2012

The Racketeer by John Grisham is Released Today

Given the importance of what they do, and the controversies that often surround them, and the violent people they sometimes confront, it is remarkable that in the history of this country only four active federal judges have been murdered.

Judge Raymond Fawcett has just become number five.

Who is The Racketeer? And what does he have to do with the judge’s untimely demise? His name, for the moment, is Malcolm Bannister. Job status? Former attorney. Current residence? The Federal Prison Camp near Frostburg, Maryland.

On paper, Malcolm’s situation isn’t looking too good these days, but he’s got an ace up his sleeve. He knows who killed Judge Fawcett, and he knows why. The judge’s body was found in his remote lakeside cabin. There was no forced entry, no struggle, just two dead bodies: Judge Fawcett and his young secretary. And one large, state-of-the-art, extremely secure safe, opened and emptied.

What was in the safe? The FBI would love to know. And Malcolm Bannister would love to tell them. But everything has a price—especially information as explosive as the sequence of events that led to Judge Fawcett’s death. And the Racketeer wasn’t born yesterday . . .

Nothing is as it seems and everything’s fair game in this wickedly clever new novel from John Grisham, the undisputed master of the legal thriller.


Thursday, October 18, 2012

Skinny Joey Merlino, Former Philly Mob Boss, Calls "Jersey Shore" Guys a Disgrace to Italians

Ex-Philadelphia mafia boss "Skinny Joey" Merlino -- who served 12 years in federal prison for racketeering -- says the guys from "Jersey Shore" are a big, fat "disgrace to the Italians" ... seriously.

Merlino -- who was released from the slammer last year -- was at LAX yesterday, where he was picked up from the airport by Howard Stern's favorite mob family member Johnny Fratto.

It's unclear why Joey is in L.A. -- but as Johnny drove off with Merlino riding shotgun, he picked an interesting song choice to bump in his car ... Elton John's "Philadelphia Freedom."

FYI -- Merlino was rumored to have been a heavy gambler before he got locked up ... and when we asked if he had any advice for Harvey (who's been getting killed with his NFL picks) ... "Skinny Joey" had one solid piece of advice ... and it involves one Thomas Edward Patrick Brady.

Thanks to TMZ.

Monday, October 15, 2012

NCTC Praises Service of IRS Commissioner Doug Shulman

As expected, the Internal Revenue Service (IRS) announced last week that commissioner Doug Shulman would be stepping down when his term expires next month.NCTC Praises Service of IRS Commissioner Doug Shulman

On Thursday, the National Community Tax Coalition (NCTC) -- the nation’s largest membership organization of groups offering free tax preparation and asset-building services for low-income families -- praised the dedication to diversity and inclusion that Shulman showed in his administration of the federal government’s tax-collection and -enforcement agency.

“The community tax preparation field has long been able to count on Commissioner Shulman’s commitment to quality and efficiency in the IRS’ operations,” said Jackie Lynn Coleman, executive director of NCTC. “Commissioner Shulman was dedicated to inclusion – inviting individuals from all across the spectrum to discuss the impact of any policy changes and offering ideas on how best to serve American taxpayers. Low- and moderate-income families, in particular, could count on the commissioner’s consideration while moving the IRS forward.”

Commissioners are nominated by the President, and confirmed by the U.S. Senate. Shulman, who was confirmed in 2008, will officially leave the IRS on Nov. 9. Steven Miller – who currently is deputy commissioner for services and enforcement – was named acting commissioner.

“NCTC wishes to congratulate Mr. Shulman on his effective years as IRS commissioner and wish him good luck in future endeavors. We look forward to continuing our work with acting Commissioner Miller to further serve low- and moderate-income taxpayers.”

The National Community Tax Coalition is the nation's largest, most comprehensive membership organization for community-based organizations offering free tax and financial services to low-income working families. The coalition and its national network of members are dedicated to strengthening economies, building communities, and improving lives through tax assistance and asset building activities that produce financial security, protect families and promote economic justice.

Wednesday, October 10, 2012

Mob Hit Site "Purple Hotel" to Get Extreme Makeover

There are plans for a major makeover at the site of one of the most infamous mob hits in Chicago history. Mob Hit Site 'Purple Hotel' to Get Extreme MakeoverA development company recently purchased Lincolnwood's famous "Purple Hotel", and plans to make it the anchor of a new restaurant and retail complex. The building has sat empty for five years.

"It'll be attractive, and because it has such great heritage with having this iconic structure behind it, it should do pretty well," Mayor Gerald Turry said.

Part of that heritage is rooted in Chicago Outfit history. Teamsters lawyer Allen Dorfman was gunned down by two men in the Purple Hotel's parking lot in January of 1983. The month before, Dorfman was convicted along with Chicago Outfit leader Joey "The Clown" Lombardo of trying to bribe a Nevada U.S. Senator, as part of the mob's takeover of several Las Vegas casinos.

Art Bilek of the Chicago Crime Commission was a detective who worked dozens of mob cases. He says Dorfman was assassinated because the Outfit feared he'd talk to get a lighter sentence. "Of course he was going to talk. There was no question about it, so he had to go," Bilek said.

Now, nearly 30 years later, the Purple Hotel may soon be back in business. But, it may have one more mob story to tell, first. The new owners say they've been contacted by location scouts for the FOX series "The Mob Doctor" about possibly using the hotel in an upcoming episode.

Thanks to Dane Placko.

Sunday, October 07, 2012

Former FBI Agent, Robert Whitman, Discusses "Priceless: How I Went Undercover to Rescue the World’s Stolen Treasures" on Crime Beat Radio

October 11, In a command appearance, Robert K. Whitman, former FBI agent discusses his book, Priceless: How I Went Undercover to Rescue the World’s Stolen Treasures, on Crime Beat Radio.

The Wall Street Journal called him “a living legend.” The London Times dubbed him “the most famous art detective in the world.”

In Priceless, Robert K. Wittman, the founder of the FBI’s Art Crime Team, pulls back the curtain on his remarkable career for the first time, offering a real-life international thriller to rival The Thomas Crown Affair.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Thursday, October 04, 2012

Mob Wives Chicago on DVD

"Mob Wives Chicago" follows the lives of five women allegedly connected to "The Outfit," Chicago's version of the Mob, as they bear the cross for the sins of their Mob-associated fathers. With lives that are right off the pages of a story book, each woman has chosen her own way to live her life in the city that was once home to Al Capone, sometimes in spite of and many times because of who her father is. Along the way these women battle their friends, families and each other as they try to do what's best for themselves and their children. But ultimately, it is the ghost of their fathers they battle, living and dead, as they try to overcome and persevere in the face of these men's notorious legacies.

Tuesday, October 02, 2012

Bill O'Reilly's "Killing Kennedy" Released Today

Bill O'Reilly describes himself as a journalistic "watchdog" and a "champion bloviator."

He's not a historian — "not really. That's not my discipline," he says in his corner office at Fox News, home of The O'Reilly Factor, the top-rated show on cable news. But few history books can approach the popularity of O'Reilly's Killing Lincoln, which has sold more than 2 million copies since it was released a year ago. His new book, Killing Kennedy (Henry Holt), about the 1963 assassination of President John F. Kennedy, could be as popular. It goes on sale Tuesday.

Both books were co-written by Martin Dugard, who did most of the research, leaving the writing to O'Reilly, whose approach is to write "history that's fun to read" in a "populist way. No pinheaded stuff, just roar it through!"

It's history as fast-paced thriller, with dramatic foreshadowing in a you-are-there present tense. And, O'Reilly says, "it's all true!"

A few historians questioned details and a lack of documentation in Killing Lincoln. O'Reilly, a former high school history teacher, says any errors, corrected in later editions, are "picayune." The criticism, he says, is just jealousy.

"These guys toil in obscurity their whole lives, and a punk like me comes along and sells 2 million copies. They're not happy."

O'Reilly, 63, is to traditional history what best-selling novelist James Patterson is to literature. Neither gets much respect from academic types. Both say they don't care — all the way to bank.

They also share a collaborator. Dugard (whom O'Reilly calls "the best researcher I could find — and I talked to all the top guys") co-wrote Patterson's 2009 non-fiction bestseller, The Murder of King Tut, about a 3,000-year-old mystery.

O'Reilly says he didn't solve all the mysteries of the Kennedy assassination. He found no evidence of a conspiracy but stops short of ruling it out.

"I know that Oswald killed Kennedy. Now, was he pushed? Encouraged to do it by outsiders? Possibly. Possibly. Was he sitting down with Fidel Castro? No."

But he adds, "There were people around Oswald who shouldn't have been there." He cites George de Mohrenschildt, a well-educated Russian immigrant with possible CIA connections, who "had ties to some very, very important people. Why is he hanging with this loser (Oswald)?"

De Mohrenschildt pops up in other books on the assassination. He's even a minor character in Stephen King's best-selling novel 11/22/63. But O'Reilly has a personal connection.In 1977, as a Dallas TV reporter, O'Reilly tried to interview de Mohrenschildt, who also was a target of congressional investigators re-examining the assassination. As O'Reilly tells it, as he knocked on the door of de Mohrenschildt's daughter's house in Palm Beach, Fla., he heard a shotgun blast. Police later ruled that de Mohrenschildt committed suicide. "There were rumors he was murdered," O'Reilly says, "but I found no evidence of that." He adds, "I'm still working the story. There's something there. What it is, I just don't know."

O'Reilly's biggest surprises were "how crazy, and I mean crazy," Oswald was, and "how little the authorities did to protect Kennedy" in Dallas.

Two-thirds of the book deals with Kennedy's presidency and private life, including his extramarital affairs. It portrays Kennedy as a pragmatic and decisive leader who treated sexual risks as "his carpe diem way of living life to the utmost."

"I wanted to show the good and the bad," O'Reilly says.

He says his biggest break was getting FBI agents who flooded Dallas after the assassination to share what they learned about Oswald. He says that helped him understand the assassin, a former Marine who defected to Russia, then returned to the USA with his Russian-born wife, Marina.

For a taste of O'Reilly's style, consider his description of Oswald on the eve of the assassination as he visits his estranged wife.

As O'Reilly sets the scene, Oswald is undecided about shooting Kennedy as he begs his wife to take him back. "But if she doesn't, " O'Reilly writes, "Oswald will be left with no choice."

"That's how delusional Lee Harvey Oswald's world has become. He now deals only in absolutes: either live happily ever after — or murder the president."

O'Reilly may not be a historian, but his office walls are filled with historic artifacts, including the last South Vietnamese flag to fly over the U.S. Embassy in Saigon and the errant Chicago Tribune front page proclaiming "Dewey Defeats Truman."

He boasts, "Everything in here is an original," which could be applied to O'Reilly himself.

His love-him-or-hate-him personality is part of his appeal. To viewers who complain that he shouts, he says, "Turn down the volume. I don't really shout that much. I'm just a loud Irish guy."

He says that the liberal media "don't get me" — that he's not a conservative but a "traditionalist." In 2009, he supported President Obama's financial bailouts and economic stimulus, which, he says "led to a big brouhaha with (Rush) Limbaugh." Now, O'Reilly complains, Obama "has lost control of the economy." Mitt Romney, he says, can't connect with "the guy making $40,000 a year."

He writes popular history "to get people engaged with their country." He complains that few history books are fun to read: "Even the really good ones, by Robert Caro and these guys — I mean, they're brilliant guys, but to get through 800 pages, you either have to be retired or on vacation for six weeks."

For those keeping score, Caro's fourth book on Lyndon Johnson,The Passage of Power, is 712 pages, including 79 pages of footnotes and sources. Killing Kennedy is 325 pages, including seven pages about its sources.

The Passage of Power landed on USA TODAY's Best-Selling Books list at No. 15 and spent seven weeks in the top 150. Killing Lincoln landed on the list at No. 3 and has been in top 50 for 42 weeks. It's now No. 38. (A kids' version, Lincoln's Last Days, landed on the list at No. 42 and is now No. 61.)

No history book has sold so well since David McCullough's 2001 biography, John Adams, which was adapted as an HBO miniseries. A two-hour version of Killing Lincoln, narrated by Tom Hanks, will be on National Geographic in February.

But beyond its commercial success, Killing Lincoln got mixed reviews. Its "narrative flair" was praised by University of New Hampshire historian Ellen Fitzpatrick in a Washington Post review, but she said it "offers no direct citations for any of its assertions."

Rae Emerson, deputy superintendent at Ford's Theatre, site of Lincoln's assassination, cited seven errors in the book — such as references to Lincoln in the Oval Office, which wasn't built until 1909.

O'Reilly says he invited anyone who challenged his facts to appear on his TV show, but no one would. Emerson didn't respond to questions from USA TODAY.

As with Killing Lincoln, Killing Kennedy doesn't always name names or cite its sources.

It describes a 1962 party at Bing Crosby's home and a rendezvous between Kennedy and Marilyn Monroe this way: "There is an intimacy in their movements that leaves no doubt they will be sleeping together tonight."

O'Reilly says that's based on an article in the British tabloid Daily Mail, confirmed by a federal agent who was at the party. "I don't want to sound defensive, but either you believe what we wrote, or you don't," he says. "I'm not writing a Ph.D. dissertation."

Douglas Brinkley, a Rice University historian and prolific author (most recently of the biography Cronkite), says that popular history often omits footnotes and that O'Reilly shouldn't be "held to a double standard because of his politics."

But Brinkley adds that the Kennedy assassination remains a heated issue, and "whatever O'Reilly writes, it will be picked apart. The lack of footnotes and details about its sources make it harder to find the book's frailties. But someone will find them — if they are there."

Thanks to Bob Minzesheimer.

Sunday, September 30, 2012

Thomas Foley and John Sedgwick Discuss "Most Wanted: Pursuing Whitey Bulger, the Murderous Mob Chief the FBI Secretly Protected" on Crime Beat Radio

On October 4, Thomas Foley and John Sedgwick discuss their explosive book, Most Wanted: Pursuing Whitey Bulger, the Murderous Mob Chief the FBI Secretly Protected, on Crime Beat Radio.

Most Wanted is a true-life thriller, and Foley is the hero at its center. His investigative efforts resulted in criminal convictions of a half-dozen of Boston’s most notorious thugs and also led to the conviction of John Connolly, one of the FBI agents who abetted Bulger; Connolly is now serving a forty-year prison sentence. In this book, Foley, a cop’s cop, honestly recounts how his wide-eyed admiration for the nation’s top law enforcement agency was gradually transformed by dark realities he didn’t want to believe.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Saturday, September 29, 2012

Live by Night - Novel which Centers on Gangster Joe Coughlin, Steeped in Bootleg Booze and Organized Crime of Prohibition-Era America

Boston, 1926. The '20s are roaring. Liquor is flowing, bullets are flying, and one man sets out of make his mark on the world.

Joe Coughlin, the son of a prominent Boston police captain, has long since turned his back on his proper upbringing. Now in the pay of the city's most fearsome mobsters, Joe enjoys the spoils, thrills, and notoriety of being an outlaw.

Joe embarks on a dizzying journey up the ladder of organized crime that takes him from Jazz Age Boston to Tampa's Latin Quarter to the streets of Cuba. Live by Night is a riveting epic layered with loyal friends and callous enemies, tough rumrunners and sultry femme fatales, Bible-quoting evangelists and cruel Klansmen, all battling for survival and their piece of the American dream. A compelling saga of love and revenge, it is a spellbinding tour de force of betrayal and redemption that brings to life a bygone era when sin was cause for celebration and vice was a national virtue.

Friday, September 28, 2012

Leaders of Two Chicago-Area Drug Trafficking Organizations Among 39 Arrested on Federal Narcotics Charges

Two leaders of separate drug trafficking organizations that operated independently while sometimes supplying each other with multiple kilograms of cocaine were arrested and are among 39 defendants who are facing federal drug charges, federal and local law enforcement officials announced today. The charges contained in a criminal complaint stem from an investigation led jointly by the Federal Bureau of Investigation and the Drug Enforcement Administration that began in July 2011, with assistance from other federal, state, and local law enforcement agencies.

Agents yesterday executed three federal search warrants at the same time as they began arresting defendants in the Chicago area, as well as in Indiana, Texas, and California. Agents seized approximately 2.5 kilograms of cocaine, $176,800 cash, and several guns. The two alleged leaders, Jesus Ramirez-Padilla and Humberto Jimenez, were among 27 defendants who were arrested, while the whereabouts of four others were accounted for, and eight remained fugitives. Previously, during the year-long investigation, agents seized more than 13 kilos of cocaine, 10 kilos of marijuana, 1.5 kilos of heroin, and approximately $75,000.

All 39 defendants were charged with various drug distribution offenses in a criminal complaint that was filed Wednesday in U.S. District Court and unsealed yesterday following the arrests. The defendants who were arrested began appearing yesterday before Magistrate Judge Maria Valdez in U.S. District Court and remain in federal custody pending detention hearings scheduled for next week.

Yesterday’s operation brings to nearly 100 the number of defendants who have been arrested and charged in Chicago with federal or state drug trafficking offenses in just the last three weeks.

Gary S. Shapiro, Acting United States Attorney for the Northern District of Illinois, praised the dedication and teamwork of the FBI, DEA, and HSI agents who worked diligently with the Chicago Police Department to disrupt these alleged drug trafficking organizations. Mr. Shapiro announced the charges with William C. Monroe, Acting Special Agent in -Charge of the Chicago Office of the Federal Bureau of Investigation; Jack Riley, Special Agent in Charge of the Chicago Field Office of the Drug Enforcement Administration; Gary Hartwig, Special Agent in Charge of U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) in Chicago; and Garry F. McCarthy, Superintendent of the Chicago Police Department. The U.S. Marshals Service and the Internal Revenue Service-Criminal Investigation Division also assisted, together with the Illinois State Police, the Cook County Sheriff’s Police, and the Berwyn and Oak Lawn Police Departments. The investigation was conducted under the umbrella of the U.S. Organized Crime Drug Enforcement Task Force (OCDETF).

According to the complaint affidavit, the investigation determined that Ramirez-Padilla, 39, and Jimenez, 26, both of Chicago, each led his own drug trafficking organization. Both organizations regularly bought and sold multiple kilos of powder cocaine on Chicago’s southwest side. Each organization had its own wholesale distributors, drug couriers, stash houses, workers, and suppliers. While the Ramirez and Jimenez organizations operated independently, they sometimes supplied each other with kilograms of powder cocaine. Both organizations took steps to protect themselves from detection by law enforcement, including: using code words to disguise references to narcotics and other items; regularly replacing telephones; using different vehicles to transport drugs; and engaging in counter-surveillance techniques.

The 205-page affidavit details conversations among various defendants that were intercepted on 26 different telephones during the investigation pursuant to court-authorized electronic surveillance.

Sixteen defendants, who were charged in two separate conspiracies to possess and distribute cocaine and/or heroin, face a mandatory minimum of 10 years to a maximum of life in prison and a $10 million fine. The remaining defendants face maximum sentences up to 20 or 40 years in prison and a maximum fine of $2 million or $5 million. If convicted, the court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.

The government is being represented by Assistant United States Attorneys Nathalina Hudson, Joseph Thompson, and John Kness.

The public is reminded that a complaint contains only charges and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

Mark Haller, Author of "Life Under Bruno: The Economics of an Organized Crime Family" Passes Away

Mark H. Haller, 83, formerly of Center City, a professor emeritus at Temple University who was an expert on the history of organized crime, died Saturday, Sept. 22, of pneumonia at Brooke Grove, a retirement community in Sandy Spring, Md.

Dr. Haller joined Temple's faculty in 1968. He was a professor in the history and criminal justice departments, which he helped establish, before retiring in 2010.

Dr. Haller, who wrote his doctoral dissertation on the history of the eugenics movement in the United States, transferred his interest to the study of the history of crime while teaching at the University of Chicago.

On Temple's history department's website, he explained how it happened: "In the mid-1960s, I received, unsolicited, a grant to write a report on an aspect of crime and criminal justice in 1920s Chicago. I found the topic challenging."

Dr. Haller said that after joining Temple's faculty, he began to study Philadelphia organized crime, which he preferred to call "illegal enterprise."

Over the years, Dr. Haller published articles describing the structure of gambling, bootlegging, loan sharking, and drug trafficking, and the relationship between organized crime and the community - especially political connections.

In an Inquirer article about the rising rate of robberies in Philadelphia in 1996, Dr. Haller pointed out that a century earlier, people were less likely to be robbed and more likely to lose money on the street to pickpockets. "It doesn't mean you lose more money, but the feeling of safety is very different," he said."I've been mugged twice in Philadelphia in 28 years, and I can tell you that was more frightening than four attempts to pick my pocket in Rome."

In 1990, Dr. Haller was interviewed about Moses L. Annenberg and his son Walter H., former owners of The Inquirer, for a WHYY TV12 series, Mobfathers. Moses Annenberg became a multimillionaire through his monopoly of the racing wire, which telegraphed race results and tracked odds from coast to coast. Eventually, he was convicted of income-tax evasion and went to prison.

Dr. Haller is the author of a book on the eugenics movement and of Life under Bruno : The Economics of An Organized Crime Family.

Thursday, September 27, 2012

Jimmy Hoffa Buried Under Driveway in Roseville, Michigan?

Investigators will take soil samples from the ground beneath a suburban Detroit driveway after a man told police he believes he witnessed the burial of missing Teamsters leader Jimmy Hoffa about 35 years ago, police said Wednesday.

Roseville Police Chief James Berlin said his department received a tip from a man who said he saw a body buried approximately 35 years ago and "thinks it may have been Jimmy he saw interred."

"We are not claiming it's Jimmy Hoffa, the timeline doesn't add up," Berlin said. "We're investigating a body that may be at the location."

Hoffa was last seen on July 30, 1975, outside a suburban Detroit restaurant where he was supposed to meet with a New Jersey Teamsters boss and a Detroit Mafia captain. His body has not been found despite a number of searches over the years.

Innumerable theories about the demise of the union boss have surfaced over time. Among them: He was entombed in concrete at Giants Stadium in New Jersey, ground up and thrown in a Florida swamp or obliterated in a mob-owned fat-rendering plant. The search has continued under a backyard pool north of Detroit in 2003, under the floor of a Detroit home in 2004 and at a horse farm northwest of Detroit in 2006.

After Roseville police received the most recent tip, the Michigan Department of Environmental Quality used ground penetrating radar on a 12-foot-by-12-foot patch beneath the driveway, said agency spokesman Brad Wurfel. It found "that the earth had been disturbed at some point in time," Berlin said.

The environmental quality department on Friday will take soil samples that will be sent to a forensic anthropologist at Michigan State University to "have it tested for human decomposition," Berlin said.

Results are not expected until next week.

The FBI had no immediate comment on the new effort in Roseville. Andrew Arena, who recently retired as head of the FBI in Michigan, told Detroit TV station WDIV that all leads must be followed, but he would be surprised if Hoffa is buried there.

Thanks to Corey Williams.

Rudy "The Chin" Fratto Gets 1 Year and 1 Day in Federal Prison

Reputed made mob member Rudy “The Chin” Fratto wasn’t shy about his status in the Chicago Outfit, the feds say.

“I’m the f------ boss of this area around here. No one else,” Fratto was caught bragging on a secret recording made by federal agents. But Fratto, a reputed leader of the Elmwood Park crew, has publicly denied being part of the mob, once joking outside court he’s a “reputed good guy.” And on Wednesday, a federal judge declined to give Fratto more years behind bars because of his organized crime connections — as federal prosecutors requested — sentencing him instead to a year and a day behind bars for a bid-rigging scheme at McCormick Place.

U.S. District Judge Harry Leinenweber, noting Fratto’s age of 68, contended that the government did not prove that organized crime was connected to the scheme.

The feds, though, contend that mob connections were an integral part of the crime. Fratto encouraged a businessman to take part in the bid-rigging scheme and said he could intercede on the man’s behalf regarding an unpaid loan he had received from mob figures in Cleveland.

Federal prosecutors John Podliska and Amarjeet Bhachu also noted in a sentencing memorandum that mob killer Nicholas Calabrese testified as a government witness in the historic Family Secrets mob trial that Fratto became a made member of the Chicago mob in 1988.

The prison sentence of a year and a day allows Fratto to qualify for time reduction for good behavior while behind bars, which could reduce his sentence to about 10 months.

Thanks to Steve Warmbir.

Mike Rizzo Discusses "Gangsters and Organized Crime in Buffalo: History, Hits and Headquarters" on Crime Beat Radio

On September 27 and again on October 4th, Mike Rizzo, author of Gangsters and Organized Crime in Buffalo: History, Hits and Headquarters, discusses his research about organized crime in Buffalo, on Crime Beat Radio.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Wednesday, September 26, 2012

Frank Calabrese Jr "Operation Family Secrets" Movie in Development with Nicholas Pileggi, Author of "Goodfellas" and "Casino" as Executive Producer and Gary Ross of "The Hunger Games" as Director

One of Chicago's most notorious mobsters has a new home. Fox Chicago has learned convicted gangster Frank Calabrese, Sr. has been moved to a federal prison in North Carolina.

Calabrese, Sr. was recently transferred to Butner Federal Correctional Complex in North Carolina. He is serving life behind bars after his conviction in the historic Family Secrets mob trial of committing more than a dozen murders for the Chicago Outfit. For the last several years Calabrese was held under the highest level of security at a federal prison in Springfield, MO. Despite having virtually no contact with the outside world, Calabrese allegedly convinced a prison chaplain to pass messages to associates in Illinois, in an attempt to recover mob loot worth hundreds of thousands of dollars.

Frank Calabrese, Jr., who secretly recorded his father for the feds and testified against him during the trial, says it's clear why the Federal Bureau of Prisons moved his dad.

"My father's a hot item, meaning that nobody wants to deal with him, and a lot of time in the Bureau of Prisons, instead of dealing with problem prisoners, they'd rather ship them to another prison," Calabrese, Jr. said.

Calabrese, Jr. wrote a best-selling book about his decision to abandon the mob lifestyle and go against his father. He says that compelling story is now being turned into a movie with some Hollywood heavy hitters.

Nicholas Pileggi, who wrote the mob classics "Goodfellas" and "Casino" has signed on to executive produce the Calabrese story. Gary Ross of "The Hunger Games" has agreed to direct the movie. They've also landed Stephen Schiff as screenwriter, who wrote the recent "Wall Street" sequel. The William Morris Endeavor agency is involved, which is headed by Mayor Rahm Emanuel's brother Ari. Calabrese says rather than sell the rights to a studio, he wanted to put together an independent team to make the movie so he could retain some control.

"What I was concerned with is not just somebody that wants to make the next shoot 'em up gangster movie. This is about family. This is about the dark side of crime," he said.

Calabrese says nobody has been cast yet, but he's heard several a-list actors are interested in the role of his father, whom he calls a Shakespearian figure.

"The multiple personalities--in the book I explain there was a good side to my dad. There was a great side to my dad. There were multiple sides to my dad. He could walk in a room and win everybody over, and the next minute he could walk in a room and everybody would run for their life."

Thanks to Dane Placko.

Fashion of the Opera!

The world of opera and fashion collide! The American Chamber Opera (ACO) presents Fashion of the Opera hosted by reigning Miss Chicago Marisa Buchheit and Jeff Conway of NBC’s 24/7 Chicago. All proceeds will benefit the Merit School of Music and their efforts to further bring music education to eager talented children and enhance current programs. Guests will experience an incomparable spectacle of music and fashion with Chicago’s best local designers on the runway to a series of live sensational opera. Designers include: Borris Powell, Anastasia Chatzka, Rachel Frank, Fraley Le and Stix and Roses by Sararose Krenger. Formal reception follows.

When: Friday, October 5th 2012

Time: 7:30pm with entertainment promptly at 8:00 and fashion show at 8:30

Where: Intercontinental Magnificent Mile
Grand Ballroom 7th Floor
505 Michigan Avenue Chicago, IL  60611

$40 General Admission $100 VIP and available at http://www.americanchamberopera.org/fashion

Tuesday, September 25, 2012

Ralph Lamb, Former Sheriff, Inspires New CBS Show on Battle Between Chicago Mob in Las Vegas and Law Enforcement

A new television show based on former Clark County Sheriff Ralph Lamb debuts Tuesday night on CBS. Ralph Lamb, Former Sheriff, Inspires New CBS Show on Battle Between Chicago Mob in Las Vegas and Law Enforcement"Vegas" looks at the battle between organized crime and law enforcement in the 1960s and 1970s.

Lamb was the real-life sheriff at the time and went up against the mob and the Hell's Angels on the streets of Las Vegas.

In an interview with 8 News NOW anchor Paula Francis, Lamb recounts the toughest scrape he ever experienced.

"At the Sands Hotel, I guess," he said. "I was in the Sands alone and there were… they had a big craps game going on there. Some of the biggest guys in the country were shooting craps, and one guy was keeping score on a piece of paper. He'd bet him $50,000, I'll bet you 100. I didn't have any help and no help down there, but the office and the fight broke out. I got a guy named Joe Bernstein, who you know. I drug him kinda' over to the cage and was trying to reach for the phone in there. He was a big bruiser from San Francisco, a big strike breaker, you know. He went to whippin' on me while I had the phone in one hand, and I hit him with the telephone and knocked him down. But, it got pretty hairy there before I got any help."

Lamb says he's amazed he's still alive.

"I've been very lucky... had some close calls, and I've just been blessed with being lucky and knowing what I was doing and watching out for things," he said.

Station Casinos is holding a "Vegas" premiere party Tuesday night. 8 News NOW Chief Investigative Reporter George Knapp is attending to introduce his story on Ralph Lamb. In honor of the show, Governor Brian Sandoval proclaimed Sept. 25 as "Sheriff Ralph Lamb Day."

"Vegas" premieres Tuesday night at 9 p.m. Chicago Time on CBS.

Thanks to KLAS.

Monday, September 24, 2012

Joseph Giordano, Alleged Gambino Capo, Arrested on Extortion Charges

An alleged Gambino capo was dragged from his Long Island home and brought in custody to Central Booking in Manhattan today -- accused of using force and threats to extort $50,000 from a construction company official, according to law enforcement sources.

The reputed crime family captain, Joseph Giordano, was on the Gambino's ruling commission in recent years; his brother, John Giordano, was the consigliere under the notorious John Gotti, Sr.

Josephe Giordano is expected to be arraigned this afternoon before Manhattan Supreme Court Justice Gregory Carro.

Thanks to Laura Italiano.

October "There Goes the Neighbor Hood" Gangster Tour

John BinderThe Chicago Outfit, Mob historian and author of The Chicago Outfit (IL) (Images of America), conducts the popular "There Goes the Neighbor Hood" tour of gangster history in Oak Park and River Forest. This exterior tour visits 15 houses in these two suburbs which were previously owned by major hoodlums, including Tony Accardo, Paul Ricca, Sam Giancana, "Tough Tony" Capezio, and "Machine Gun Jack" McGurn. John will discuss the criminal careers of the former owners, the interesting features of each home, the family's time there, and answer all questions from the audience. The tour lasts two hours and is a deep immersion into the history of organized crime in Chicago from Prohibition to the present day. It is by minibus with no walking required.

Date/Time/Details:
The bus departs from (and returns to) the Oak Park Visitor Center at 1010 Lake St. in Oak Park at 11:00 a. m. and 1:30 p. m. on October 14.  Please call the Visitor Center at 708-848-1500 (or www.visitoakpark.com) to purchase tickets.

Sunday, September 23, 2012

Margaret McLean Discusses "Under Oath" on Crime Beat Radio

On September 27, a former prosecutor, discusses writing crime fiction and her latest book, Under Oath, on Crime Beat Radio.

Attorney Margaret McLean is a legal thriller author and adjunct law professor at Boston College's Carroll School of Management, specializing in business law. Her legal thriller, Under Fire, features an arson and murder trial and was published in June of 2011 by Tor Forge Macmillan. Her second novel, Under Oath, was published in April 2012. She has co-written a dramatic courtroom play, based on Under Oath, which is in development with the Playwrights and Directors Unit at the Actor's Studio in New York City.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Saturday, September 22, 2012

Listening In: The Secret White House Tapes of John F. Kennedy

In July 1962, in an effort to preserve an accurate record of Presidential decision-making in a highly charged atmosphere of conflicting viewpoints, strategies and tactics, John F. Kennedy installed hidden recording systems in the Oval Office and in the Cabinet Room. The result is a priceless historical archive comprising some 265 hours of taped material. JFK was elected president when Civil Rights tensions were near the boiling point, and Americans feared a nuclear war. Confronted with complex dilemmas necessitating swift and unprecedented action, President Kennedy engaged in intense discussion and debate with his cabinet members and other advisors.

Now, in conjunction with the fiftieth anniversary of the Kennedy presidency, the John F. Kennedy Library and historian Ted Widmer have carefully selected the most compelling and important of these remarkable recordings for release, fully restored and re-mastered onto two 75-minute CDs for the first time. Listening In represents a uniquely unscripted, insider account of a president and his cabinet grappling with the day-to-day business of the White House and guiding the nation through a hazardous era of uncertainty.

Accompanied by extensively annotated transcripts of the recordings, and with a foreword by Caroline Kennedy, Listening In delivers the story behind the story in the unguarded words and voices of the decision-makers themselves. Listening In covers watershed events, including the Cuban Missile Crisis, the Space Race, Vietnam, and the arms race, and offers fascinating glimpses into the intellectual methodology of a circumspect president and his brilliant, eclectic brain trust.

Just as the unique vision of President John F. Kennedy continues to resonate half a century after his stirring speeches and bold policy decisions, the documentary candor of Listening In imparts a vivid, breathtaking immediacy that will significantly expand our understanding of his time in office

Friday, September 21, 2012

Nick Calabrese Testimony to be Used at Sentencing of Rudy "The Chin" Fratto

In this Intelligence Report: Federal prosecutors are winding up to throw the book at one of Chicago's top organized crime figures. The I-Team has learned details of next week's sentencing for mob boss Rudy Fratto.

The government wants outfit boss Rudy "the Chin" Fratto to take it on the chin next Wednesday when he is sentenced for his role in a contract bid-rigging scheme at McCormick Place.

Even though Fratto is from a Chicago mob family, he has managed to skate through his career largely unscathed, a routine prosecutors want to end.

In the run-up to next week's federal sentencing, Fratto has seemed to relish his role as a court jester of sorts.

Even though the record of 68-year old Fratto has been devoid of serious criminal charges, something his attorneys will point to next week, prosecutors will ask that Fratto pay the price for a lifetime in mobdom.

According to new records obtained by the I-Team, prosecutors plan to use the testimony of Nick Calabrese to paint a chilling picture of Fratto. Calabrese is the outfit hitman-turned-government witness who was a central witness in Operation Family Secrets.

Quoting Calabrese, prosecutors will say that Fratto was a "made" member of the Chicago outfit, and that in a Hollywood-style fingerpricking ceremony on Father's Day of 1988, Fratto was inducted in the mob. According to the government, a "person would not even be considered for that status until he had committed a homicide on behalf of the outfit." And, Fratto prosecutors say, he "represented himself to be a boss of the Chicago outfit."

It was in that role that Fratto offered to provide mob protection in exchange for a share of the profits from forklift contracts at McCormick Place.

Fratto ran the mob's rackets in Elmwood Park, according to federal agents, where his relative, Luigi Tomaso Giuseppi Fratto, was gangland boss leader from the 1930s into the 1960s.

Luigi Fratto was also known as "Cockeyed Louie" due to his off-kilter eyeball. On Wednesday, the government wants the descendent Rudy Fratto's sentence to be "substantially in excess" of what the law prescribes for the McCormick Place scheme, making it clear he should pay a premium for all those years he got off easy.

The recommended sentence is no more than two years in prison. But the government hopes Judge Harry Leinenweber will hand Fratto much more than that.

In newly filed court documents, lawyers for Fratto claim he is remorseful and regretful and, as they say, not a bad apple.

Fratto is asking for probation -- no prison time, but rather home confinement.

Thanks to Chuck Goudie.

Wednesday, September 19, 2012

The Dixie Mafia Lonely Hearts Scam


Dixie Mafia inmates at the Louisiana State Penitentiary at Angola were behind a scam, in the 1980's, that brought in hundreds of thousands of dollars. Ringleader Kirksey McCord Nix—a convicted murderer serving a life sentence without parole—believed that if he raised enough money he could buy his way out of jail.

Here’s how the scam worked: Inmates paid guards to use prison telephones. Then they placed bogus ads in homosexual publications claiming they were gay and looking for a new partner to move in with. The men who replied to the return post office box address got additional correspondence and racy pictures. But there was a catch—the scammers told their victims a variety of lies about why they needed money before they could leave where they were.

“A lot of money came flowing in,” said retired Special Agent Keith Bell. “There were hundreds of victims.” Men from all walks of life—professors, mail carriers, politicians—fell victim to the scam. “One guy in Kansas mortgaged his house and sent $30,000 to the scammers over a period of months,” Bell recalled.

To add insult to injury, some of the inmates writing letters eventually confessed the scam to their victims—and then extorted even more money by threatening to “out” the men if their demands were not met.

Monday, September 17, 2012

Billionaire Mafia Founder Loves Attention from "Vegas High Rollers"


Addicted to reality TV villains? Odds are good you'll love or loathe Russian diva Lana Fuchs of TLC's "Vegas High Rollers."

She's clearly running out of friends after storming out of a cocktail reception during a weekend film shoot.

Just three weeks into a three-month shoot with the local socialites, the fireworks erupted Friday when the fashion designer's cast mates, concerned about her bad-mouthing, confronted her to clear the air.

Fuchs walked out, with cameras - and eyes - rolling.

"She seems to have an issue with everybody," a source said.

Fuchs appears to love the attention. At their opening shoot at the Hard Rock Hotel's pools, she arrived with an entourage of little people and bodyguards for the Black and White Party, an AIDS benefit.

Fuchs, who grew up in Brooklyn, N.Y., after leaving Russia, is the founder of Billionaire Mafia and Lana Fuchs Couture.

Billionaire Mafia has been a hit with the hip-hop crowd and club scenesters.

The shooting has been taking place throughout the city, from staid Las Vegas Country Club to restaurant hot spots Firefly and Marche Baccus to Rain nightclub at the Palms for a pole dancing expo.

Thanks to Norm Clarke.

Sunday, September 16, 2012

Anthony DiNunzio, Head of New England Mafia, Pleads Guilty to Racketeering

The head of the New England Mafia pleaded guilty to racketeering in federal court in Rhode Island, in yet another blow to organized crime in the region.

Anthony DiNunzio, 53, of East Boston, could serve to 63 to 78 months in prison through an agreement he reached with federal prosecutors. He pleaded guilty to a single count of conspiracy to commit racketeering and is slated to be sentenced Nov. 14.

Outside the courthouse in Providence this morning, Rhode Island US Attorney Peter Neronha said the case was the product of a strong investigation that has already led to convictions of DiNunzio’s underlings in Rhode Island. “We have driven a stake through the heart of organized crime in Rhode Island and we have cut off its head in Boston,” Neronha said.

During a brief hearing this morning, Assistant US Attorney William Ferland told the court that DiNunzio assumed control of the area’s faction of La Cosa Nostra, which oversees eastern Massachusetts and Rhode Island, after former boss Luigi Manocchio stepped down in 2009.

DiNunzio quickly sought to continue Manocchio’s operations in Rhode Island, including the extortion of protection payments from area strip clubs. “He ultimately assumed a leadership role in the enterprise,” Ferland said

DiNunzio, wearing olive green prison garb and glasses, looked to his lawyer for answers as the proceedings continued. He answered loudly “guilty” when asked how he would plead.

Outside the courtroom, Neronha promised that the investigation into organized crime and the New England Mafia will continue, targeting anyone looking to assume DiNunzio‘s position. “When there’s money to be made, the criminal element will step up to take their place,” he said.

Thanks to Milton J. Valencia.

Jerry Castaldo Discusses "Brooklyn New York: A Grim Retrospective" on Crime Beat Radio

On September 20, Comedian Jerry Castaldo discusses his fascinating memoir Brooklyn New York: A Grim Retrospective, on Crime Beat Radio.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Wednesday, September 12, 2012

Dixie Mafia Flashback - The Assassination of Judge Vincent Sherry


This month marks the 25th anniversary of the murder of Judge Vincent Sherry and his wife, Margaret, whose deaths at the hands of the so-called Dixie Mafia exposed the lawlessness and corruption that had overtaken Mississippi’s Gulf Coast in the 1980s.

“It was out of control,” said retired Special Agent Keith Bell, referring to the level of corruption in Biloxi and Harrison County—so much so that in 1983 federal authorities would designate the entire Harrison County Sheriff’s Office as a criminal enterprise. Special Agent Royce Hignight initiated the investigation of the sheriff and was soon joined by Bell.

“They were doing anything and everything illegal down here,” said Bell, who grew up on the Gulf Coast. “For money, the sheriff and officers loyal to him would release prisoners from the county jail, safeguard drug shipments, and hide fugitives. Anything you can think of, they were involved in.”

Bell is quick to point out that there were plenty of honest officers on the force, and some would later help the FBI put an end to the culture of corruption in Biloxi. But for a long time, Sheriff Leroy Hobbs and his Dixie Mafia associates held sway.

The Dixie Mafia had no ties to La Cosa Nostra. They were a loose confederation of thugs and crooks who conducted their criminal activity in the Southeastern United States. When word got out that Biloxi—with its history of strip clubs and illicit gambling—was a safe haven, the criminals settled in.

At the same time, members of the organization incarcerated at the Louisiana State Penitentiary at Angola were running a “lonely hearts” extortion scam with associates on the street. The scam targeted homosexuals and brought in hundreds of thousands of dollars—money they entrusted to their lawyer, Pete Halat. But Halat, who would later become mayor of Biloxi, spent the money. When it came time to hand it over to the crooks, he said the cash had been taken by his former law partner, Vincent Sherry. So the mob ordered a hit on Sherry, a sitting state circuit judge who had no direct ties to the criminals. On September 14, 1987, Sherry and his wife were murdered in their home.

“Gulf Coast residents were shocked by the murders,” Bell said. Local authorities worked the case unsuccessfully for two years. The FBI opened an investigation in 1989, and Bell was assisted in the investigation by Capt. Randy Cook of the revamped sheriff’s office—Leroy Hobbs was convicted of racketeering in 1984 and sentenced to 20 years in prison.

The federal investigation into the Sherry murders lasted eight years. In the final trial in 1997, Pete Halat was sentenced to 18 years in prison. Kirksey McCord Nix—the Dixie Mafia kingpin at Angola who ordered the hits—as well as the hit man who killed the Sherrys each received life sentences.

As a result of the cases, Bell said, “Gulf Coast citizens started demanding more professional law enforcement and better government.” Bell—who wanted to be an FBI agent since he first watched The FBI television series as a child—added, “It meant a lot to me to return to my home and do something about the corruption that had worked its way into government and law enforcement there.” He added, “The majority of citizens realized that if the FBI had not stepped in, the lawlessness and corruption would likely have continued unabated.”

Sunday, September 09, 2012

Carl Gibson, Founder of US UNcut, to Discuss Wall Street Crimes and More on Crime Beat Radio

On September 13, Carl Gibson, founder of US UNcut discusses corporate greed, Wall Street crimes and Occupy Wall Street movement on Crime Beat Radio.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Friday, September 07, 2012

Gunshots Hit Chicago School Bus Packed with Children


Police say no one was injured when a bullet ripped through a school bus taking students to a Catholic school in the South Deering neighborhood of Chicago on Friday.

The bus had 25 children onboard and was picking up two more children for school around 7:48 a.m. at 106th Street and Calhoun Avenue when shots rang out, Chicago Police Department News Affairs Officer Laura Kubiak told NBC News.

Kubiak said a bullet entered the bus through a passenger side window, shattered the glass as it went through a seat and exited through the driver's side window.

The school bus was headed to Our Lady of Guadalupe School at 9050 S. Burley Ave. when it was struck by what appeared to be a bullet, according to Ryan Blackburn from the Archdiocese of Chicago’s Officer of Catholic Schools. The incident happened about two miles from the school.

"Gratefully none of the students were harmed, and this incident demonstrates why the school's mission is so critical to its families," Blackburn told The Chicago Tribune. "Teaching our students to learn well and live as disciples of Jesus Christ is what we do, and any action that threatens our children's safety cannot be tolerated."

The bus driver told investigators he didn't know what had hit the bus, and drove the bus to the school, Kubiak said.

Wednesday, September 05, 2012

James Holmes is Profiled by Renown Forensic Psychiatrist and Tracker of Elusive Serial Killer Discusses Her Discovery

Tomorrow, on Crime Beat Radio, Paula Todd discusses how she tracked down an elusive serial killer and discovered a mother of three. Also, Dr. Michael Stone, world renowned forensic psychiatrist, will profile alleged mass murderer James Holmes and the Aurora, Colorado massacre.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Tuesday, September 04, 2012

Griselda Blanco, "Godmother of Cocaine" Killed by Motorcycle Hitman

A 69-year-old woman known throughout the drug world as the "Godmother of Cocaine" was gunned down by an assassin on a motorcycle in Colombia Monday, according to international news reports.

Griselda Blanco, once listed alongside Pablo Escobar as one of the "most notorious drug lords of the 1980s" by the Drug Enforcement Administration, was fatally shot as she left a butcher's shop in western Medellin Monday afternoon, according to a report by Univision and El Colombiano. Colombia's El Espectador reported authorities are looking for Blanco's killers and are investigating possible motives for the killing.

Blanco served nearly 20 years in an American prison on drug trafficking charges and was at one point tied to as many as 40 murders in the U.S., according to a 1997 Senate testimony given by then-director of DEA international operations Michael Horn. Horn said that Blanco ordered a Florida mall shooting in 1979 that left two dead and four injured, and she apparently enjoyed her line of work.

"To foster her reputation as the 'Godmother' of cocaine, [Blanco] named her fourth son Michael Corleone, after the fictional mob character portrayed in the movie 'The Godfather,'" Horn said.

Court documents filed in 1988, three years after Blanco was caught, detail the shadowy, decade-long hunt for the queenpin that involved federal agents chasing false identities and checking Miami hospitals for gunshot wound victims that matched Blanco's description. But she wasn't able to elude them forever and after being captured in 1985 in Irvin, Calif. and serving nearly two decades behind bars in America, Blanco was released from prison and deported back to Colombia in 2004.

The DEA referred all inquiries into Blanco's death to Colombian authorities, telling ABC News, "she served her time here." The Colombian National Police did not immediately respond to requests for comment for this report.

Thanks to Lee Ferran.

Friday, August 31, 2012

Where Does The Mob Keep Its Money?

THE global financial crisis has been a blessing for organized crime. A series of recent scandals have exposed the connection between some of the biggest global banks and the seamy underworld of mobsters, smugglers, drug traffickers and arms dealers. American banks have profited from money laundering by Latin American drug cartels, while the European debt crisis has strengthened the grip of the loan sharks and speculators who control the vast underground economies in countries like Spain and Greece.

Mutually beneficial relationships between bankers and gangsters aren’t new, but what’s remarkable is their reach at the highest levels of global finance. In 2010, Wachovia admitted that it had essentially helped finance the murderous drug war in Mexico by failing to identify and stop illicit transactions. The bank, which was acquired by Wells Fargo during the financial crisis, agreed to pay $160 million in fines and penalties for tolerating the laundering, which occurred between 2004 and 2007.

Last month, Senate investigators found that HSBC had for a decade improperly facilitated transactions by Mexican drug traffickers, Saudi financiers with ties to Al Qaeda and Iranian bankers trying to circumvent United States sanctions. The bank set aside $700 million to cover fines, settlements and other expenses related to the inquiry, and its chief of compliance resigned.

ABN Amro, Barclays, Credit Suisse, Lloyds and ING have reached expensive settlements with regulators after admitting to executing the transactions of clients in disreputable countries like Cuba, Iran, Libya, Myanmar and Sudan.

Many of the illicit transactions preceded the 2008 crisis, but continuing turmoil in the banking industry created an opening for organized crime groups, enabling them to enrich themselves and grow in strength. In 2009, Antonio Maria Costa, an Italian economist who then led the United Nations Office on Drugs and Crime, told the British newspaper The Observer that “in many instances, the money from drugs was the only liquid investment capital” available to some banks at the height of the crisis. “Interbank loans were funded by money that originated from the drugs trade and other illegal activities,” he said. “There were signs that some banks were rescued that way.” The United Nations estimated that $1.6 trillion was laundered globally in 2009, of which about $580 billion was related to drug trafficking and other forms of organized crime.

A study last year by the Colombian economists Alejandro Gaviria and Daniel Mejía concluded that the vast majority of profits from drug trafficking in Colombia were reaped by criminal syndicates in rich countries and laundered by banks in global financial centers like New York and London. They found that bank secrecy and privacy laws in Western countries often impeded transparency and made it easier for criminals to launder their money.

At a Congressional hearing in February, Jennifer Shasky Calvery, a Justice Department official in charge of monitoring money laundering, said that “banks in the U.S. are used to funnel massive amounts of illicit funds.” The laundering, she explained, typically occurs in three stages. First, illicit funds are directly deposited in banks or deposited after being smuggled out of the United States and then back in. Then comes “layering,” the process of separating criminal profits from their origin. Finally comes “integration,” the use of seemingly legitimate transactions to hide ill-gotten gains. Unfortunately, investigators too often focus on the cultivation, production and trafficking of narcotics while missing the bigger, more sophisticated financial activities of crime rings.

Mob financing via banks has ebbed and flowed over the years. In the late 1970s and early 1980s organized crime, which had previously dealt mainly in cash, started working its way into the banking system. This led authorities in Europe and America to take measures to slow international money laundering, prompting a temporary return to cash.

Then the flow reversed again, partly because of the fall of the Soviet Union and the ensuing Russian financial crisis. As early as the mid-1980s, the K.G.B., with help from the Russian mafia, had started hiding Communist Party assets abroad, as the journalist Robert I. Friedman has documented. Perhaps $600 billion had left Russia by the mid-1990s, contributing to the country’s impoverishment. Russian mafia leaders also took advantage of post-Soviet privatization to buy up state property. Then, in 1998, the ruble sharply depreciated, prompting a default on Russia’s public debt.

Although the United States cracked down on terrorist financing after the 9/11 attacks, instability in the financial system, like the Argentine debt default in 2001, continued to give banks an incentive to look the other way. My reporting on the ’Ndrangheta, the powerful criminal syndicate based in Southern Italy, found that much of the money laundering over the last decade simply shifted from America to Europe. The European debt crisis, now three years old, has further emboldened the mob.

IN Greece, as conventional bank lending has gotten tighter, more and more Greeks are relying on usurers. A variety of sources told Reuters last year that the illegal lending business in Greece involved between 5 billion and 10 billion euros each year. The loan-shark business has perhaps quadrupled since 2009 — some of the extortionists charge annualized interest rates starting at 60 percent. In Thessaloniki, the second largest city, the police broke up a criminal ring that was lending money at a weekly interest rate of 5 percent to 15 percent, with punishments for whoever didn’t pay up. According to the Greek Ministry of Finance, much of the illegal loan activity in Greece is connected to gangs from the Balkans and Eastern Europe.

Organized crime also dominates the black market for oil in Greece; perhaps three billion euros (about $3.8 billion) a year of contraband fuel courses through the country. Shipping is Greece’s premier industry, and the price of shipping fuel is set by law at one-third the price of fuel for cars and homes. So traffickers turn shipping fuel into more expensive home and automobile fuel. It is estimated that 20 percent of the gasoline sold in Greece is from the black market. The trafficking not only results in higher prices but also deprives the government of desperately needed revenue.

Greece’s political system is a “parliamentary mafiocracy,” the political expert Panos Kostakos told the energy news agency Oilprice.com earlier this year. “Greece has one of the largest black markets in Europe and the highest corruption levels in Europe,” he said. “There is a sovereign debt that does not mirror the real wealth of the average Greek family. What more evidence do we need to conclude that this is Greek mafia?”

Spain’s crisis, like Greece’s, was prefaced by years of mafia power and money and a lack of effectively enforced rules and regulations. At the moment, Spain is colonized by local criminal groups as well as by Italian, Russian, Colombian and Mexican organizations. Historically, Spain has been a shelter for Italian fugitives, although the situation changed with the enforcement of pan-European arrest warrants. Spanish anti-mafia laws have also improved, but the country continues to offer laundering opportunities, which only increased with the current economic crisis in Europe.

The Spanish real estate boom, which lasted from 1997 to 2007, was a godsend for criminal organizations, which invested dirty money in Iberian construction. Then, when home sales slowed and the building bubble burst, the mafia profited again — by buying up at bargain prices houses that people put on the market or that otherwise would have gone unsold.

In 2006, Spain’s central bank investigated the vast number of 500-euro bills in circulation. Criminal organizations favor these notes because they don’t take up much room; a 45-centimeter safe deposit box can fit up to 10 million euros. In 2010, British currency exchange offices stopped accepting 500-euro bills after discovering that 90 percent of transactions involving them were connected to criminal activities. Yet 500-euro bills still account for 70 percent of the value of all bank notes in Spain. And in Italy, the mafia can still count on 65 billion euros (about $82 billion) in liquid capital every year. Criminal organizations siphon 100 billion euros from the legal economy, a sum equivalent to 7 percent of G.D.P. — money that ends up in the hands of Mafiosi instead of sustaining the government or law-abiding Italians. “We will defeat the mafia by 2013,” Silvio Berlusconi, then the prime minister, declared in 2009. It was one of many unfulfilled promises. Mario Monti, the current prime minister, has stated that Italy’s dire financial situation is above all a consequence of tax evasion. He has said that even more drastic measures are needed to combat the underground economy generated by the mafia, which is destroying the legal economy.
Today’s mafias are global organizations. They operate everywhere, speak multiple languages, form overseas alliances and joint ventures, and make investments just like any other multinational company. You can’t take on multinational giants locally. Every country needs to do its part, for no country is immune. Organized crime must be hit in its economic engine, which all too often remains untouched because liquid capital is harder to trace and because in times of crisis, many, including the world’s major banks, find it too tempting to resist.

Thanks to Roberto Saviano, a journalist and the author of the book “Gomorrah.” He has lived under police protection since 2006, when he received death threats from organized crime figures in Italy. This essay was translated by Virginia Jewiss from the Italian.

Thursday, August 30, 2012

Did the Judge Grant a Favor in Sentencing Jerry "The Monk" Scalise?

One of Chicago's most notorious mobsters was sentenced to federal prison Wednesday. But Jerry Scalise's sentence wasn't as long as it could have been.

In this Intelligence Report: Why a federal judge did a favor for Scalise's lawyer.

At the age of 74, Outfit legend Jerry "The Monk" Scalise has what federal prosecutors call an "unbroken history of criminal conduct." So, Scalise wouldn't seem to qualify for favors or special treatment by the justice system. But, Wednesday, that is just what he received when his lawyer asked for a favor in open court; and, even more surprising, received it.

Even as he was a special consultant on the Johnny Depp film about Dillinger, federal authorities say Jerry Scalise was plotting crimes for the Chicago Outfit.

The FBI had Scalise and his burglary crew under surveillance, and in 2010, the trio was arrested in mid-scheme. Scalise pleaded guilty to planning the take down of an armored car and a break-in at the home of a deceased Outfit boss.

Wednesday in court, prosecutors ticked off dozens of crimes Scalise has committed since 1960, including the 1980 theft of the 45-carat Marlborough diamond, still missing.

Assistant U.S. attorney Amarjeet Bhachu said Scalise did crimes for the thrill of hurting people and taking things, and requested a prison sentence of nearly 10 years.

Then Scalise's attorney Ed Genson asked for what he called "one favor for a man who probably doesn't deserve it": Mercy, the lowest legal sentence of eight years and 10 months.

Judge Harry Leinenweber, saying he probably shouldn't grant such a favor, did so anyway.

"It's unusual that I would ask," said Genson. "On the other hand, I don't usually step up for people who I've known for almost 40 years...Jerry Scalise is an extraordinarily exceptional man, exceptional family, he's erudite, he's gregarious, He's just an all-around good person. He's wasted his life. He knows it. This is sad for me because I'm fond of him. Hopefully he will have a few years out and make up for whatever he has done."

The I-Team asked Bhachu if he was surprised the judge granted the lawyer's requested favor. "Our response in court was that this is a man who is not deserving of mercy," said Bhachu. "He's a man who throughout his life has committed crimes and has appeared before any number of judges to be sentenced, and it seems from our position in court-- it seems somewhat incredible that you should be given mercy when you have devoted yourself over your life to the commission of criminal activity."

The rest of Jerry Scalise's mob crew is going to prison too. Wednesday, Robert Pullia received the same sentence as Scalise, after pleading guilty.

Previously, Art "The Genius" Rachel was convicted at trial and sentenced to about 8 and a half years.

Thanks to Chuck Goudie.

Wednesday, August 29, 2012

Vice Presidential Nominee, Paul Ryan, Tied to Irish Mafia?

Forget Gangs of New York, the 'Irish mafia' has a new power base: Janesville, Wisconsin.

Home to representative Paul Ryan -- Mitt Romney's vice-presidential nominee -- this town of 64,000 people has suddenly been thrown into the spotlight as journalists the world over seek to get a handle on the new Sarah Palin. And, in anything that has been written, the Ryan family association with the so-called Irish mafia of Janesville invariably gets a mention. But as John Nichols -- a Washington correspondent for The Nation magazine -- explains, the Janesville mafia is not quite as sinister as it sounds.

"It's a slightly unfair term in that it's not like the Italian mafia," said Nichols. "It's not a criminal endeavour.

"Janesville was a factory town and a lot of Irish folks came there in the early years of the 20th Century to find jobs. Some of them started construction companies and, because they happened to be Irish, people started referring to them as the Irish mafia," he added.

The Ryan family -- owners of a major road-building company -- was just one of the families who fell under that umbrella.

"In general, you'd say they're known for business success," said Wisconsin state senator Tim Cullen, himself a member of one of the 'mafia' families. "But I think the big thing about being Irish for Paul is that he inherited a lot of the stereotypical Irish skills. He's a good-looking guy, he has a great smile and a great way of greeting people and talking with them," he added.

"He has all the Irish political skill. He's a 'hail fellow, well met' with the gift of the gab. All the clichés that people want to bring into play, he's got them all," agreed Nichols. But just how important is that connection today?

"They're old-school Irish in Janesville," said Nichols. "They like their St Patrick's Day parties. It's a very Catholic town and the people take their Irish connections pretty seriously ... but I wouldn't paint it like some neighbourhoods in New York or Chicago."

"[Ryan] played on his Irish ancestry a lot when he first ran for office," said Cullen, referring to an early campaign ad which showed the then 28-year-old Ryan walking among the tombstones of his ancestors in Janesville. "But he did that to associate himself with Janesville. He hadn't been in Wisconsin from the age of 18 to when he came back to run, so that TV ad was more about identifying him with the Ryan family history in Janesville," he added. And it worked. Ryan became one of the youngest ever members of the House of Representatives and has been re-elected with ease ever since.

Now one of the most influential Republicans in Congress (not to mention the pride and joy of his party's most conservative wing, the Tea Party) Ryan has made a name for himself as a man with a plan for the economy, and a very strict ideological take on government supports such as social security, Medicare and Medicaid.

"He's very conservative and just has complete faith that the free market system has all the answers," said Cullen who, despite coming from the other side of the divide, still speaks fondly of him.

So what would Ryan make of modern-day Ireland?

According to Cullen, there's little chance that he would approve of our "European-style" government. "Almost all his views are the antithesis of the social welfare system. He talks about not letting America become Greece, and you could almost substitute Ireland for Greece," said Cullen.

Regardless of what happens on election day in November, however, Cullen believes Ryan has been catapulted to a higher level in US politics for the rest of his career.

"If he comes out of this thing with a fairly good national reputation and Romney loses, Ryan will be the frontrunner for the 2016 presidential race," he said.

Thanks to Niamh Sweeney.

Monday, August 27, 2012

Mara Shalhoup Discusses "Big Meech and the Black Mafia Family" on Crime Beat Radio

Mara Shalhoup, journalist, discusses her riveting book about Big Meech and the Black Mafia Family on August 30th on Crime Beat Radio.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Thursday, August 23, 2012

Julie Davis on Crime Beat Radio Tonight!

Julia Davis, a former Customs and border protection agent and a national security whistleblower, discusses her case against the Department of Homeland Security, as well as national security issues, tonight on Crime Beat Radio.

On the air since January 28, 2011, Crime Beat is a weekly hour-long radio program that airs every Thursday at 8 p.m. EST. Crime Beat presents fascinating topics that bring listeners closer to the dynamic underbelly of the world of crime. Guests have included ex-mobsters, undercover law enforcement agents, sports officials, informants, prisoners, drug dealers and investigative journalists, who have provided insights and fresh information about the world’s most fascinating subject: crime.

Crime Beat is currently averaging 130,000 listeners plus each week, and the figure is growing. Crime Beat is hosted by award-winning crime writer and documentary producer Ron Chepesiuk (www.ronchepesiuk.com) and broadcast journalist and freelance writer Will Hryb.

Tuesday, August 21, 2012

Shadowbosses: Government Unions Control America and Rob Taxpayers Blind

Shadowbosses: Government Unions Control America and Rob Taxpayers Blind tells a story of intrigue, drama, and corruption and reads like an organized crime novel. But it is actually a true story of how labor unions are infiltrating our government and corrupting our political process. This compelling and insightful book exposes how unions have organized federal, state, and local government employees without their consent, and how government employee unions are now a threat to our workers' freedoms, our free and fair elections, and even our American way of life. And, Mallory Factor reveals what's coming next: how unions are targeting millions of Americans--maybe even you--for forced unionization so that unions can collect billions more in forced dues and exert an even greater influence over American politics. A chilling expose, Shadowbosses is also a call to citizen action against those who really hold power in America today.

Sunday, August 19, 2012

Cosa Nostra: A History of the Sicilian Mafia

Cosa Nostra vividly reconstructs the stories of the men and women who have lived and died in the mafia's shadow. It explains how the mafia began, how it responds to threats and challenges and how it maintains its grip on the society where it was born. Cosa Nostra takes us inside the thought-processes of the mafia's leaders and foot soldiers, its friends and its foes. Its cast of characters includes Antonino Giammona, the first man with a claim to the title 'boss of bosses'; Emanuele Notarbartolo, the honest and courageous banker who in 1893 became the mafia's first 'eminent corpse'; New York cop Joe Petrosino who underestimated the Sicilian mafia and paid for this with his life, and Bernardo 'the Tractor' Provenzano, the current boss of bosses who has been in hiding in Sicily since 1963.

Wednesday, August 15, 2012

Chicago Mob Challenged by Organized Crime Gangs from Eastern Europe

Organized crime wears a new face in Chicago — and the retiring special-agent-in-charge of the area’s FBI office says many times, it speaks a foreign language.

At the same time, the FBI’s Robert Grant said, the “Family Secrets” trial did not de-fang the Chicago Outfit.

“It’s like a cancer in remission,” or a bully who’s lost a few teeth, Grant said during the taping of Sunday’s WBBM Newsradio “At Issue” program, which airs at 9:30 a.m. and 9:30 p.m.

Grant said Eastern European-based organized crime has moved quickly into Chicago and now draws as much manpower and attention from his office as the Mafia.

“Fifteen years ago, we had two organized crime squads (in Chicago) focused strictly on the Outfit,” he said. “Now we have one that, a part of their apparatus is focused on the Outfit, but the other is focused almost exclusively on Eastern European organized crime activity.”

The Outfit, he said, has always been locally run, and has focused most of its illegal activities — gambling, prostitution, juice loans and the like — locally. Not so with these new gangs.

“Some of the actors are here in Chicago. A lot of the actors are in foreign countries,” he said.

Much of that is cyber and financial crime, he said. Grant said the FBI uses much the same techniques that it has in the past with locally-based organized crime and corrupt politicians, including wiretaps and hidden microphones, but said translating can sometimes be a problem. And he said the differences in laws can make it difficult to work with foreign law enforcement, no matter how good their intentions.

“When they pick up an organized crime figure and don’t have a place to put in in a witness protection program or they don’t have the ability to plea down their sentence in return for intelligence and cooperation that affects their ability to get inside of organized crime,” he said.

Grant said in some former Soviet-bloc countries, the distrust of clandestine agencies runs high because of the abuses of the KGB and similar organizations.

That is not to say that the problem is exclusively one with roots elsewhere.

Grant said street gangs also pose a growing problem and said the FBI continues to work closely with local law enforcement. He said that in all, more than 100 of the 500 agents in his office are devoted to organized crime activity.

Grant has headed the Chicago field office of the FBI for more than seven years, but will be stepping down Sept. 3 to work with the global security team at the Walt Disney Co., where he will assess security threats and recommend responses.

Thanks to "At Issue".

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