McDonough

1934-1935

An argument between two underworld men devolved into violence during a dance endurance competition in Hollywood, California on April 14, 1934.

Explosion Of Rage

At 7 a.m., the 21th consecutive hour of the walk-a-thon,* competing dancers sluggishly moved about the Winter Garden Auditorium floor. Mobster James “Socks” McDonough, among the spectators, sat at a table in a far corner, playing craps with some buddies.

Suddenly, angry shouting erupted and soon after, gunshots rang out, seven of them.

McDonough slumped in his chair. Chaos ensued.

Emergency personnel rushed the critically injured man to Georgia Street Receiving Hospital where he received emergency treatment for through-and-through bullet wounds to the chest and thighs. After, he was transferred to General Hospital. Reportedly, he had 15 scars from previous gunshots.

The Criminal Life

He likely had gotten those during his years as an alleged member of the Dean O’Banion** (né Charles Dean O’Banion) and Bugs Moran’s (né George Clarence Moran) North Side Gang in Chicago, Illinois. At the time of the walk-a-thon, McDonough had been in Los Angeles for about three years and continuing his criminal ways. At one point he’d been the city’s Public Enemy No. 1.

As such, police had questioned him frequently in connection with various crimes. In 1932, McDonough had gone to trial for allegedly participating in the $50,000 ransom kidnapping of E.L . “Zeke” Caress, betting commissioner at Agua Caliente, but the case again the Chicagoan was dismissed.

Hints Of Mob Involvement

Three to four hours after the potentially fatal incident, a citizen and former U.S. deputy marshal, H.W. Ballard, reported to police a car driving erratically in his neighborhood, about three miles from the Winter Garden.

An officer dispatched to the area discovered the reported car, parked, with actor Thomas O’Rourke, 37, behind the wheel. Lee Moore, 35, bookmaker, former prizefighter and previous bodyguard for professional boxer Jack Dempsey, was passed out in the back seat. When searched, Moore was found to have a small automatic pistol on his person. The officer took both men to the police station.

Faulty Memory, Denial

By this time, detectives working the McDonough case deduced, after hearing witness accounts, that Moore probably was the perpetrator. (McDonough knew who’d shot him but wouldn’t name the man.) On questioning, Moore said he was drunk and didn’t remember anything. O’Rourke relayed he and Moore had gone to the Winter Garden after attending the Hollywood Legion Stadium prize fights, but he didn’t recall a fight or shooting.

Moore was arrested for assault with a deadly weapon with the intent to commit murder and O’Rourke, for drunk driving. While in jail, awaiting trial, Moore served a previously received 30-day sentence for illegal gambling.

Underhanded Tactic

A few days after Moore’s arrest, Ballard received an anonymous phone call in which a man told him, “You better lay off if you don’t want to get yours.” Later, while the local resident was driving, a car pulled up alongside him, and the men inside verbalized a similar threat.

Meanwhile, McDonough remained alive, though barely.

“The shock from the seven wounds, police surgeons stated, probably will prove fatal unless the victim has unusual recuperative powers,” reported the Los Angeles Times (April 16, 1934.)

Mum’s The Word

By the time of Moore’s trial, in July, McDonough defied the odds and pulled through.

In court, nine witnesses, on the stand, suddenly couldn’t remember any specifics of the shooting despite having provided detailed accounts to detectives before. The Times described this phenomenon as “gangland’s shadow” dogging the witnesses. One of them recanted his entire former statement. O’Rourke pleaded the fifth. McDonough testified he didn’t know who’d shot him and denied ever having seen Moore before court.

Who’d gotten to these witnesses? It seems Moore was connected to a criminal entity, but which one? The Los Angeles Mob?

Because of their silence, none of the witnesses placed Moore at the scene of the crime. However, ballistics experts, determined the gun found on the defendant was the weapon that had been used, after comparing it to slugs and the bullet retrieved from the Winter Garden.

The defense countered this fact by having Moore claim he’d purchased the gun at 7:30 a.m., roughly a half-hour after the shooting, “from a guy about 6 feet 8 inches tall in a Hollywood Boulevard beer hall” (Los Angeles Times, July 31, 1934).

Out Of Bogus Stories

Despite the setback for the prosecution, and no motive for the shooting made apparent, Moore was found guilty. The judge sentenced him to one to 14 years to be served in San Quentin State Prison.

The convicted man appealed the court’s decision and lost. He continued to fight, though, taking his case to the Supreme Court of California.

Best You Move On

In September, Los Angeles Captain of Detectives Bert Wallis called McDonough into his office. There, Wallis suggested the Mobster might want to leave the city or he’d likely get arrested for vagrancy. McDonough agreed to go. Wallis helped him procure a train ticket.

That night, he left on the Santa Fe, headed to Chicago. The press captured his departure.

What Comes Next

The following year, 1935, in May, the California supreme court reversed the lower court’s decision, on grounds the evidence on which Moore had been convicted had been insufficient. He was freed.

It wasn’t long, though, until he was in trouble again. He was arrested a year later for involvement in the July 1935 robbery of the Monte Carlo gambling ship.

———————————

* Jack Kearns, current and former manager of professional boxers Mickey Walker and Jack Dempsey, respectively, promoted the event.

** Dean O’Banion headed Chicago’s North Side gang during the 1920s until rival Mobsters murdered him in 1924. Bugs Moran took over for O’Banion. Throughout the decade, the North Side Gang violently fought the South Side Gang, helmed first by Johnny Torrio then Al Capone. In 1929, seven of Moran’s men were duped and gunned down by Mobsters dressed as policemen, suspected to be South Side Gang members, in what is known as the Valentine’s Day Massacre.

Sources

1939

With the recent discoveries of dead bodies there, Lake Mead in Southern Nevada has been in the news.

The 1.5 million acres encompassing this water body and its environs have been a designated national recreation area since 1964, but a portion of them almost had become a Nevada state park three decades earlier.

The federal government quashed the effort to establish such an entity due to gambling, in part.

Piece Of The Pie

Nevada Senator Key D. Pittman introduced a bill to the U.S. Congress in early 1939 that would carve out about 10,000 acres (or 12 square miles out of 2,600) of publicly owned lands on the Boulder Dam National Recreation Area and authorize The Silver State to use them for a park.*

The recreation area, about 18 miles from Las Vegas, included the lake that Hoover Dam (previously called Boulder Dam) created, Lake Mead, named after Elwood Mead, the U.S. Bureau of Reclamation commissioner at the time.

The National Park Service had gained responsibility for Lake Mead and the surrounding land in October 1936. About 10 years later, the name was changed to the Lake Mead National Recreation Area. The attraction drew about 500,000 or more visitors each year.

All About Gambling

U.S. Secretary of the Interior Harold L. Ickes attacked Pittman’s state park idea, purporting that gambling and liquor interests were behind it. He argued that the 160 acres, allocated in the bill for the state park or “other public purposes,” likely would be used for saloons and gambling houses.

To support these claims, he alleged that, according to circulating rumors, gamblers being driven out of Los Angeles in a citywide cleanup intended to open shop in the Lake Mead area to capitalize on the numerous tourists visiting the lake and dam.

“I believe that the people of the United States want the integrity of their national park areas preserved,” Ickes said (Reno Evening Gazette, March 7, 1939).

Guy McAfee

Ickes didn’t name anyone but was referring to Guy McAfee, according to Charles “C.D.” Baker, president of the Las Vegas Chamber of Commerce. McAfee was a former Los Angeles Police Department officer and gambler who’d moved from the City of Angels to Las Vegas due to heat from law enforcement in the former in 1938. The next year he’d acquired and renamed the Pair O’ Dice Club, on Highway 91 between Los Angeles and Las Vegas, the 91 Club. Also, he’d debuted the Frontier Club in downtown Sin City. Baker refuted Ickes’ claims about gamblers, emphasizing McAfee had nothing to do with the proposed state park.

“That is a cooked-up charge to cloud the issues,” Baker said, referring specifically to Ickes’ assertion that Nevada wanted the state park so gambling establishments could be operated and liquor sold at it (Reno Evening Gazette, March 8, 1939).

Baker conceded, however, that Las Vegas wanted the state park so that Nevada, instead of the federal government, could control and benefit economically from the non-gambling/non-alcohol concessions there.

Ickes contended, too, that were Pittman’s bill to become law, it would set an unwise precedent and encourage other states to demand parcels of national parks.

Attempts To Appease

In response to Ickes’ opposition, Pittman expressed his belief that “western lands are rapidly becoming a barony, of the dictator at the head of the Department of the Interior,” but the senator also took steps to resolve the concerns.

He amended his bill. The new verbiage indicated Nevada would forfeit the federal grant for a state park if it “fails to put into effect and practice in said area laws, rules and regulations put into effect and practiced by the Department of the Interior within the Boulder canyon reclamation area relative to gambling, sale of intoxicating liquors, water pollution or sanitation” (Reno Evening Gazette, March 7, 1939).

Pittman also encouraged the Nevada State Park Commission (NSPC) to ban gambling and liquor sales in Nevada parks, which the agency did.

State Support

While Pittman worked in Washington, D.C. on the state park idea, Nevada legislators did so on the home front. They passed Senate Bill (SB) 133, which authorized the governor to accept a grant of land for a state park at Boulder Dam. They also approved SB 132, which authorized the NSPC to prohibit gaming and alcohol sales in the potential state park at Lake Mead.

The Finale

The fate of Pittman’s bill became known in August, when U.S. President Franklin D. Roosevelt vetoed it. His reasons for doing so echoed Ickes’ voiced criticisms of the Nevada state park prospect except those related to gambling and liquor.

“I firmly believe the Boulder Dam/Lake Mead region in its entirety should continue to be administered uniformly by federal government in the interest of the nation as a whole,” Roosevelt said (Nevada State Journal, Aug. 13, 1939). He added that the area warranted consideration as a national park or monument site. (About 25 years later, the federal government officially made it a national recreation area.)

Angry at the decision by Roosevelt, specifically that he’d based it on Ickes’ input, as reported by the press, Pittman issued a statement. In it, he suggested the U.S. president might lose support in western states due to his public land policy.

——————————-

* At the time, Nevada had four state parks, including the Valley of Fire, all of which the legislature had established in 1935.

Photo by Tony Webster

Sources

Duffin

1959-1960

William “Bill” E. Duffin, co-owner of the Senator Club in Carson City, Nevada, was murdered on Christmas morning of 1959 (see Part I). He left behind his wife Gladys, his sister, his nephew, a business partner and many employees to whom he was like a father.

Duffin moved to Nevada in 1943. Before acquiring the Senator with Stella C. Vincent, the two had operated the Wild Horse Hunting Lodge in Elko for 14 years. Prior to that, the Salt Lake City native had operated pinball machines in San Francisco.

The Suspect

Carson City police quickly honed in on Nicholas “Nick” V. Goodman as the likely perpetrator. He was the former Senator Club dealer whom Duffin had fired for cheating customers during 21 games. As a result, Nick’s casino work card had been revoked.

Investigators learned that when Nick had lost that job in mid-1958, he’d threatened Duffin and then-pit boss, Thomas Scarlett. Since, the dealer had harbored a grudge against Duffin.

Throughout those 18 months, Nick had remained unemployed except for a fleeting stint in January 1959. That was when he’d worked for two hours at the Holiday Hotel in Reno and was let go, when this new employer learned about his alleged past cheating.

Senator Club workers told police Nick repeatedly had asked Duffin to “sign a statement clearing him of the cheating charge,” reported the Nevada State Journal (Dec. 29, 1959). Each time, Duffin had refused. This had happened most recently two weeks before the business owner was slain.

Vincent reported Nick had badgered her as well to get his work permit reinstated. She, too, though, had told him again and again she wouldn’t. Their most recent interaction had been on December 21, when Nick had showed up at her home, uninvited, and warned her, “Get my card back or else” (NSJ, May 28, 1960).

Goodman

The Evidence

When investigators questioned Nick, he had gunshot residue on his hands. He explained that by saying he’d fired a gun on Christmas Eve but as a test.

The suspect didn’t have a strong alibi for when the shooting of Duffin had occurred. Nick said he’d been away from home, but had been looking for his wife Genevieve Goodman, as they’d gotten separated when they’d been out earlier. (The time of the murder was 3:20 a.m.)

Some days later, the California Bureau of Criminal Investigation and Identification determined the bullets fired from Nick’s rifle matched those removed from Duffin’s body.

The Help

Police also arrested a Carson City handyman named Jack Armstrong for allegedly having hidden the murder weapon. They charged him with being an accessory after the fact.

Genevieve also wound up in jail, for allegedly having directed Armstrong to get rid of the gun and later, when she’d learned police were searching for it, having told him to move it.

All three suspects were going to be given lie detector tests.

The Admissions

They all came clean, one at a time, on December 28, three days after the crime.

Armstrong conceded he’d repaired the 0.22-caliber rifle Nick had used and had hidden it in a manure pile after the shooting.

Genevieve gave up Nick. Her hot-tempered husband, she added, had been growing increasingly angry at and preoccupied with Duffin for more than a year. that She also admitted her role.

Then Nick himself confessed he in fact had shot Duffin.

“I just went wild … berserk, I guess. I kept pulling the trigger,” Nick told police (NSJ, May 27, 1960).

The confessed murderer also revealed he’d tried to kill his ex-boss six months earlier one day when he’d spotted him inserting coins into a Carson City parking meter. When the gun had misfired, Nick had aborted the attempt.

Police let Armstrong and Genevieve go. The district attorney charged Nick with murder, for which he pleaded not guilty.

The Trial

When Nick’s trial got underway in mid-May 1960, he faced a potential death penalty if convicted.

District Attorney John Tom Ross and special prosecutor Emile Gezelin called a handful of witnesses to testify and played, for the jurors, the tape recording of Nick’s confession. Overall, the prosecutors laid out a strong case for Nick being guilty of the murder.

Nick’s defense attorneys, Samuel Francovich of Reno and Jack B. Tenney of Los Angeles, conceded the defendant had killed Duffin but argued he’d been insane when he’d done it. To save him from capital punishment, the team attempted to prove “Goodman went insane after 18 months of brooding and trying to prove his innocence in a cheating episode which cost the club its gaming license and himself his right to work at Nevada’s legal card tables,” the NSJ reported (June 1, 1960).

The bottom line for the jurors was whether or not Nick had been of sound mind when he’d shot and killed  Duffin. The prosecution asserted yes, he had been. They called for a first degree murder verdict and demanded the death penalty. The defense argued no, he hadn’t been sane. They demanded acquittal.

The Verdict

After nearly eight hours of deliberating, the jury of eight women and four men found Nick guilty of second degree murder. This conviction carried a prison term, not capital punishment, as a penalty.

“Defense attorneys Sam Francovich and Jack Tenney, together with Goodman’s wife, were jubilant over the second-degree finding. But Goodman was angry,” the NSJ reported (June 4, 1960). “‘For what?’ he snapped when newsmen congratulated him.”

Judge Frank B. Gregory sentenced Nick to a statutory 10 years to life term in Nevada State Prison.

After serving six years, Nick was granted early parole and released. 

——————————-

Sources

1958-1959

Two major impactful events occurred, one in 1958, the second 1.5 years later, involving the Senator Club, which offered the game 21 and slot machines. Near the Nevada capitol in Carson City, this casino-restaurant-bar was popular among state legislators and politicians.

At the time, Stella C. Vincent and William “Bill” E. Duffin had co-owned the business, 63 percent and 37 percent, respectively, for about two years. Duffin, though, ran the place.

Impetus For First Upset

Cheating at the Senator Club came to light in January 1958 when Nevada Gaming Control Board (NGCB) investigator William Walts witnessed Nicholas “Nick” V. Goodman dealing seconds, using the second versus top card in the deck, during 21 games. The NGCB called Goodman in for a chat. Agents told him they’d received unfavorable reports about his conduct and warned him he better deal cleanly.

Four months later, three Reno insurance salesmen filed a complaint with the tax commission, alleging a dealer named Nick had swindled them at the Senator. They’d seen Nick burn a card in the middle of a hand (take it from the top and put it face up on the bottom of the deck). This is usually only done after each shuffle. Nick also allegedly turned the deck or dealt from the bottom mid-game, so he could access cards used in earlier hands.

Also in April, Michael MacDougall, a gambling detective the Nevada Tax Commission hired to survey the industry in The Silver State, reported he witnessed cheating at the Senator Club (and at the New Star in Winnemucca).

Hammer Comes Down

To address the alleged cheating at the Senator, the NGCB held a hearing, per protocol, in June, for Vincent and Duffin to explain why they should be allowed to keep their gambling licenses.  

At the proceeding, NGCB agents questioned all of the witnesses, the co-owners and Goodman. Duffin and Vincent asserted they didn’t know cheating was taking place. Goodman denied he’d knowingly cheated, ever.

In late July, the Nevada Tax Commission, on the NGCB’s recommendation, revoked both gambling licenses associated with the Senator Club. All gambling activity ceased there. This was the first big blow to the gambling business during the Duffin-Vincent time.

Picking Up The Pieces

The co-owners made the best of it. They kept open the restaurant and bar and installed a dance floor in the casino space. Later, in early 1959, they leased the gambling concession to an outside operator.

Goodman, however, didn’t fare so well. He was fired from the Senator Club, for starters.

“The case washed up Goodman as a Nevada dealer, although he has steadfastly maintained he was not cheating,” wrote the Nevada State Journal (Dec. 27, 1959).

Shocking, Irreversible Loss

At the end of shift early Christmas morning in 1959, Duffin invited the Senator Club employees leaving work and some patrons still there to join him for breakfast at the nearby Silver Spur café-casino. Reportedly, Duffin often showed such kindnesses, including driving home employees so they wouldn’t have to walk or take a taxi in the dark wee hours.

Following the meal, the group dispersed. Duffin, on his way through the parking lot, stopped to wish several Silver Spur employees Merry Christmas.

Once at his car, after he opened the driver’s side door, a handful of bullets hit him in the back and drove him to the ground.

Duffin died then and there.  

———————————–

It Really Happened! will publish Part II next Wednesday, April 20, 2022.

Sources

Hands Up! by The Cowboy Artist, Joachim Lüdcke

1891-1935

“No matter in which position you face it, whether from front, above, below or at either side, the subject has you constantly under his eyes and his ‘gun.’ In fact, as you move, the figure appears to move with you.” This is how Reno Chief of Police John “Jack” M. Kirkley described the gunman in Hands Up!, the painting that adorned a wall of his office during his tenure, from 1919 to 1935.

Kirkley

The work of art was more than eye candy. An actual 19th century gambling-related crime in Nevada had inspired it.

In And Out

On Thursday, April 9, 1891 at about 11:30 p.m., “a tall man with a black silk handkerchief with eye-holes in over his face” armed with a six-shooter entered the faro room of Al White’s Palace Hotel and robbed the dealer, James Conroy, of about $800, a significant amount back then, reported the Daily Nevada State Journal (April 10, 1891).

Soon after, the police arrested a man who had $270 in gold coins and a 0.48-caliber revolver in his valise. He identified himself as Thomas Hale, a detective for the Chicago, Illinois-based Pinkerton National Detective Agency. His real name was Thomas H. Horn, Sr., but because he was working undercover in the area on a railroad wrecking case, he was reticent to tell it to them. Horn didn’t have the full $800 on him, so police theorized he’d had an accomplice, but they never identified or found one.

Horn went to trial for the crime, but the jury couldn’t decide one way or the other.

A Strong Defense

The state of Nevada retried Horn in September. During the proceedings, witnesses identified him as having been the robber. They described how he allegedly had come on the scene and yelled, “Hands up!” Then he’d held at bay numerous employees and gamblers, known to be gunfighters, and while doing so, had gathered the money and fled.

During cross-examination, Horn’s attorney highlighted these claims as ludicrous. He noted it was incredulous to think one person could control a dozen, gun-trained and -toting men for a period of time during which not one of them would resist or make a move.

Horn

Pinkerton

William A. Pinkerton, superintendent of the agency bearing his name, testified that Horn in fact was a detective employed by him and had been working a case in Northern Nevada at the time of his arrest. The jury acquitted the defendant.

Supposedly, the actual bandit remained on the loose and continued robbing people throughout the western states.

It Is Possible

Joachim Lüdcke, known in the American West as The Cowboy Artist, watched Horn’s trial in court. He boasted he could depict a man covering, with a pistol, numerous people simultaneously. Using an experienced Spokane scout and trapper nicknamed Death on the Trail as a model, Lüdcke created a watercolor version of Hands Up!.

H.G. “Doc” Brown, the owner of the The Owl Club in Spokane, Washington who knew Lüdcke, displayed this original in his gambling-saloon. Pinkerton spotted the artwork there. Given his connection to the story behind it, he asked Brown if he’d have Lüdcke paint a life-sized version for him in oil. The Cowboy Artist did, and Pinkerton hung the piece in his office.* The Pinkerton agency later used the image in its advertising.

A copy of this oil painting is what Kirkley displayed in his city hall office.

The Actual Perpetrator

Two years later, the Pinkerton agency tracked down and arrested the actual person behind the Reno faro bank robbery and many other similar crimes, newspapers reported. He was one Ed Wilson of Gifford, Iowa (according to The Jewelers’ Circular & Horological Review), aka Frank Shercliffe (or Shercliff), aka Kid McCoy, aka James Burke. Detectives caught up with him in Colorado.

The 20-something-year-old with several aliases was “one of the most daring, desperate, uncompromising of highwaymen and  general robbers,” described The Cedar Rapids Evening Gazette (Sept. 23, 1893). “The number of his crimes can only be guessed at, but their quality and the character of the man himself are so thoroughly well known that the police of the entire west say he is the hardest man they ever had to cope with.”

Wilson’s known offenses included robbing faro banks in Tacoma, Washington and San Bernardino, California in addition to the one in Reno and forcefully relieving two women of their diamonds in Salt Lake City.

Ultimately, the desperado was convicted of robbing a traveling jewelry salesman of $15,000 worth of uncut diamonds in November 1892 on a train going from Omaha, Nebraska to Sioux City, Iowa. A judge sentenced him to 17 years in the Iowa State Penitentiary.

Subsequently, Wilson was released on parole, which he then violated by leaving the state. His next run-in with law enforcement was in 1901 in Kansas City, Missouri, when police there arrested him on suspicion of stealing men’s traveling bags. During the takedown, Wilson tried to escape, and officers shot him in the foot. They returned him to Iowa.

The Final Twist

It may have been Horn after all who perpetrated the Reno faro bank heist, and he and the Pinkerton agency conspiratorially pinned it on Wilson, a known jewel thief.  

According to podcaster Simone Whitlow, “After this incident [in Reno] other Pinkertons began to view Horn as a ‘dirty cop,’ and would coerce him to move on to greener pastures – quite literally. His next role [was] officially a farm hand – unofficially an enforcer – for the Swan Land and Cattle Company, Wyoming.”

——————————–

* The original Hands Up! oil painting sold for $9,440 at auction in 2019.

Sources

The Rhythm Boys were all about patterns of sound and movement but in relation to slot machines, not music.

Danny Foster, Johnny Pugh and Robert E. Black made $1,000 (about $11,800 today) from playing the slots for a few hours at the Club Cal Neva in Reno, Nevada in late 1950. Casino management asked them to leave. They did.

Sometime after, they were making money off of the El Cortez Hotel’s slots. During that spree, two Reno policemen approached and ordered them to leave the city by the next night or there’d be “blood on the streets,” Foster later reported to the press (Reno Evening Gazette, Oct. 31, 1951). In their threat, the officers referenced the trio’s continued, local slot playing. The Rhythm Boys moved on, to Lewiston, Idaho.

Trail Of Winnings

Wherever the Rhythm Boys played slots, they won. They used a method for beating the machines that tipped the odds heavily in their favor, boosting slot payoffs by more than 10 percent, reportedly. Morrie Brodsky, manager at the Club Cal Neva, told news reporters he estimated that each of the Rhythm Boys had hit a jackpot once in every 15 plays in his casino.

More distressing to slot operators was that the rhythm method was legal. That fact made them “physically ill,” wrote The Lighter Touch columnist Frank Johnson (Nevada State Journal, May 4, 1958).

“Even today the mere mention of [Rhythm Boys] sends a chill through the gambling fraternity,” Johnson added. “It was that bad.”

Tricks Of The Trade

The Rhythm Boys were nicknamed after their technique. It involved first determining a slot machine’s timing cycle, by the sound the device’s air governor made. Next was repeatedly pulling the slot handle according to a certain rhythm, letting a specific amount of time pass between yanks. Doing so interfered with the timing, slowing it down or speeding it up, such that the reels then “literally floated,” Johnson wrote.

He explained that proficient rhythm players could land the first and third reels in the position they wanted them in and hold them there. Then they could wait for the middle reel to spin to the needed position for a winning row and once there, stop it.

“It’s in the way they pull the handle of the slot. You get it going with a rhythm to it, the right rhythm. And it’ll jackpot for you every time,” columnist Stan Delaplane wrote, quoting a blackjack dealer at Reno’s Circle RB Lodge (Reno Evening Gazette, Feb. 27, 1960).

Attention Mounts

Once in Lewiston, two of the Rhythm Boys, Pugh and Foster, enticed the local news reporters to watch them play by betting they could land several $2 jackpots and spend less than $50 in doing so.

Successful, the duo collected $210 ($2,300 today) in 45 minutes’ time, having fed the machine only $20.

That afternoon, Foster and Pugh entered the 600 Club in Lewiston, and the proprietor turned his slot machines so their front faced the wall.

In October 1951, despite many slot operators urging them to stop playing slots in Lewiston, the Rhythm Boys announced they planned to stay in Idaho for years and make a career out of cleaning up on the gambling machines.

Even Classes On It

The rhythm method had been around since before the Boys drew widespread attention to it. Reportedly, it originated in Las Vegas, Nevada, even was taught there, then expanded.  

Johnson explained in his May 4, 1958 column. “One of the first institutions of higher learning in Las Vegas was a special college for rhythm players conducted by the man who developed the system.  It was no cheap diploma mill. The cost was $500 plus expenses for two weeks of concentrated instruction. Probably there were no more than 30 or 40 graduates during the time the school was in existence, but they were enough to endanger the whole slot machine industry.”

An affiliated school was located in Idaho.

Rhythm Is Gonna Get You

The great publicity surrounding the three slots stars and their method, which the Rhythm Boys invited, was their undoing.

“The thing that really hurt was the fact the rhythm boys were so obvious,” Johnson wrote. “Other casino patrons seemed to catch on wherever they played. Pretty soon jackpots would begin falling all around the section where the rhythm expert was in.”

No longer able to play publicly, the trio sought to capitalize on their system by selling it, outlined in a booklet titled How We Beat The Slots, for $2 a pop. In the publication, they Rhythm Boys noted that “publicity barred us from playing in some clubs and made us unwelcome in others.”

To start, in early 1952, the rhythm method kings sent an estimated 30,000 letters to residents of Eastern Washington and Northern Idaho in which they offered their treatise for sale.

End Of The Road

Eventually, savvy slot machine mechanics learned through the rhythm method course or the grapevine about this shortcoming of slot machines and sought to eradicate it. (Bud Garaventa, the foreman of Harrah’s Club’s slot machine repair shop, was one who attended the class, according to Johnson.)

The solution was a mechanism added to the inside of a slot machine. Described as windmill like, it spun when the slot handle was pulled and dictated how long each reel would spin. It prevented the floating of any and all reels but didn’t change the game’s odds.

“This [development] was at least six or seven years ago, and since then [the industry] has seen a rare slot machine not so equipped,” Johnson wrote in 1961 (Nevada State Journal, Dec. 27).

Sources

Cadell

1947-1950

Starting in 1947, Wiley “Buck” H. Cadell used his governmental position to build a statewide system of protection for illegal gambling operations in California, the first such concerted effort of this kind in the state. At the time Cadell worked as a gambling investigator, and previously an undercover agent, for California Attorney General Frederick N. Howser. Prior to that, he worked for 20 years as an officer for the Los Angeles Police Department.

Howser

Howser was in on (and perhaps the mastermind of) the conspiracy. His role was covering it up and shielding Cadell and his other agents — Charles Hoy and Walter Lentz — from external investigation and prosecution.

Hoy

Lentz

How It Worked

One part of setting up the protection racket involved getting all of the gamblers in a county to pay a monthly fee or close shop. In exchange, law enforcement wouldn’t interfere with their illegal business.

From gambling house owners, the colluding agents demanded anywhere from 20 to 50 percent of their enterprise’s gross earnings. For slot machine operators, the fee was $4 apiece. For punchboard users, it was $2. (A different group of men was involved in organizing a punchboard monopoly and protection system in The Golden State. They, too, did this with Howser’s blessing.)

For the protection scheme to work, the conspirators also had to get the police chief or sheriff in the same county on board. This meant the officers of the law had to agree to ignore the commercial gambling happening in their jurisdiction. For doing so, they’d receive a portion of the collected payoff monies. Another part of the graft went to Howser.

To sway these law enforcement heads, Howser’s representatives emphasized they had powerful friends in Sacramento. They even often outrightly stated they “had the approval and the authority of the attorney general’s office,” the California Crime Commission reported in its Final Report (Nov. 15, 1950).

Progress Made

Howser’s agents worked on expanding the scheme for over a year. During that time, they approached many of California’s counties. The crime commission knew of at least 16, including Los Angeles, San Luis Obispo and San Bernardino. There may have been more.

Unraveling Begins

Cadell’s involvement ended in June 1948 when he was indicted for related activity (and thus, quit working for Howser). The ensuing charges were for organizing a slot machine protection racket and for plotting to bribe Mendocino County Sheriff Beverly Broaddus.

Howser publicly announced he fully supported Cadell. The elected official also claimed the charges against the agent had been trumped up to frame him.

Despite the AG’s position, a jury convicted Cadell (and two others, a former police officer and a resident, both of Los Angeles), each on five counts of bribery and gambling conspiracy. The judge sentenced Cadell, whom he identified as the “arch conspirator,” to three consecutive prison terms (The Modesto Bee and News-Herald, Dec. 18, 1948). They were 1 to 14 years followed by another 1 to 14 years and, lastly, 1 to 3 years.

“This was not a case of operation of an isolated slot machine,” the judge told the defendants, “but the crimes with which you are charged are more serious, about as dastardly as any crimes that are committed” (The Modesto Bee, Dec. 18, 1948).

As for Howser, no irrefutable evidence linked him to the payoffs. However, “he was tainted by the association,” author Ed Cray wrote in Chief Justice.

Impact Of The Unwilling

Not every person Howser’s men approached on both sides, law enforcement and gambling, was keen on the scheme. Some rejected the proposal outright.

One gambler, Tiny Heller, an Alameda County bookmaker, refused to pay any graft. He was told by a member of the protection racket, Mobster-gambler Dave Kessel, that he could keep operating through the end of the football season but not afterwards. Heller continued taking bets. Soon after, before the deadline to close that Kessel cited, Heller’s business was raided, and Hoy arrested him.

Many other targets filed complaints or informed the crime commissioners about various people having tried to recruit them into the scheme. The crime agency detailed and published all such reported events in its 1950 report.

That exposure, combined with Cadell’s conviction and Howser’s failure to get re-elected in 1950, caused the system to crumble.

Sources

1928-1972

Samuel “Sam” F. Termini (1903-1972) was known as a small-time racketeer who worked at and operated gambling enterprises mostly for others.

Here are 10 interesting tidbits about him and his life:

Gambling History

1) Termini was associated with Kansas City Mobster Charles Binaggio. Born and raised in Missouri, Termini had worked for Binaggio before moving to California in 1939 and was one of his godsons.

2) Termini became involved in gambling in Kansas City, Missouri, where, reportedly, he owned and operated some type of business at 404 Independence Avenue where he offered illegal gambling

In Northern California, Termini managed the illegal gambling at the Willow Tree in Colma (San Mateo County), co-owned by Mobsters Emilio Giorgetti and Elmer “Bones” F. Remmer. He held this job from 1942 until the sheriff closed the club in 1947. Also, Termini owned a 10 percent interest in the operation.

Subsequently, in the same county, Termini, using the alias Sam Murray, rented some space in the Silver Saddle tavern-café, in which he debuted and ran the Skyline Club in Redwood City. The illegal gambling there included craps and blackjack.

Termini leased and managed the gambling concession at the Tahoe-Biltmore in Crystal Bay, Nevada during the warm weather season of 1949.

Starting around the mid- to late 1950s (see No. 9), Termini worked as a pit boss at the Horseshoe Club in Las Vegas, Nevada. At the time, his former associate Giorgetti owned it.

3) When Termini ran legal gambling at the Tahoe-Biltmore, Binaggio visited the financially troubled property and decided to bankroll his godson in what was to be “the biggest gambling joint west of the Rockies,” reported the California crime commission in its 1953 report. However, the assassination of Binaggio on April 6, 1950 ended the plan.

4) Police busted Termini for illegal gambling in 1928 at his Kansas City establishment and fined $25 (about $410 today).

Custom Home

5) Termini had a custom home built for him and his family in Hillsborough, California. Constructing a home at the time, in 1946, required veteran’s priority, which Termini didn’t have. So he transferred title of his property and obtained building permits for it in the name of a nephew, a World War II veteran living in Missouri, Jesse LaBoi. This was illegal.

6) Once completed, Termini’s home was an impenetrable fortress. A heavy electronic fence surrounded the property and was controlled from an underground room. This barrier was equipped with a ring of electric eyes linked to an alarm and motion activated floodlights. Gates allowed for entry but only through controls on the Terminis’ cars or by telephoning an unlisted number. The door to the wine cellar was armor plated. An house-wide intercom allowed Termini to hear any and all conversations taking place anywhere inside the home.

Suits Against Him

7) In 1951, the general contractor and the architectural firm that built and designed Termini’s house, respectively, sued him. The former asked for $103,000 ($1.1 million. The latter asked for $16,000 ($107,000 today). Both amounts were the unpaid balances owed them for their services. The case went to trial, and jurors ruled only in favor of Marshall. They awarded him $126,523 ($1.4 million), including interest and court costs.

8) The federal government tried Termini in 1952 for under-reporting his and his wife’s income and underpaying the amount of federal income taxes they owed. The years for which he was charged were between 1945 and 1949 for his taxes and 1945 and 1947 for hers. Termini was found guilty of tax evasion in the amount of about $92,000 ($976,000 today). The judge sentenced him to three years in federal prison and a fine of $20,000 ($212,000 today).

Last 20 Years

9) For the tax evasion, Termini spent three years in the McNeil Island Federal Penitentiary. After getting released, he reportedly lived and worked in Las Vegas. Eventually, he moved to Reno, Nevada.

10) Termini passed away on June 12, 1972 at age 69 in Reno. His body was interred at Mountain View Cemetery.

Sources

1936

A single penny got Los Angeles store owner Ethel Jamison convicted.

One day at her shop, Police Officer James Mulligan placed a penny in the slot machine, pulled the lever, received a penny premium and cashed it with her.

He arrested her, as slot machines were illegal in California, and the case went to trial. The jury found her guilty of possessing a gambling device. She was punished with a 30-day suspended jail sentence.

Source: Reno Evening Gazette (Nev.), “Transaction of Lonely Cent Gets Woman Jail Sentence,” Oct. 17, 1936.

1913-1915

Circumstances of a lawsuit in the U.S. led to an unusual occurrence, even for Nevada: the federal government taking over and running a Silver State casino.

It was The Big Casino, a combination casino, dance hall, hotel and restaurant, in Tonopah, then one of the state’s few remaining true mining towns. At the time, William S. Johnson and G.W. Summerfield owned the business.

The Ball Starts Rolling

The impetus for this unprecedented action was a lawsuit William Johnson’s ex-wife Roxa S. Johnson filed in mid-1913, asking the court to set aside the former couple’s divorce decree. A Nevada judge had granted it about 3.5 years earlier, on Dec. 14, 1909, on grounds that Roxa had abandoned William.

The two had married in 1890 in Ohio, and their union had resulted in a son Clemmer, born in 1896. At some point, the Johnsons had moved to Tonopah, Following the legal split, Roxa and Clemmer had relocated to and lived in Los Angeles. William had stayed put.

Details Of The Suit

In her filing, Roxa claimed she’d been deceived under false pretenses into signing an agreement noting William would give her an existing $13,000 (about $369,000 today) note and pay her $76 ($2,000) per month. His estate, however, was worth multiple times that, an estimated $110,000 ($3 million today).

Roxa also alleged she’d been induced to sign another document that waived notice of the divorce and allowed the case to be heard within an hour. She’d noted that while she’d waited in the office of William’s attorney for him to return, he’d filed the action, and the judge had granted a divorce decree. Roxa had signed the forms at 12:30 p.m., and the case had concluded before 2 p.m.

Further, she claimed the divorce had come about through fraudulent means. Specifically:

• The agreement she’d signed had no legal standing
• Roxa hadn’t known anything about a divorce action until the judge issued the decree

  William’s abandonment claim and his testimony supporting it had been false; she and William had been living together up to three days before the divorce request was filed

• No mention had been made of there being a minor child
• William had claimed he lacked financial means
• A default hadn’t been entered in the case

Judge Hits Pause Button

As a result of Roxa’s lawsuit, in August, Federal Judge William W. Morrow issued an injunction and restraining order to William, barring him from disposing of any of his property until the case got resolved.

Along with The Big Casino, William’s assets included the one-year-old Green Goose Tavern and other real estate, in Tonopah; 27,498 shares of the Nye County Land and Livestock Company; securities in other commercial entities; and about $3,000 ($85,000) in cash and diamonds.

Morrow also appointed a receiver, T.F. “Frank” Bonneau of Tonopah, to take control of and maintain William’s assets until further court order. William sought to have the receivership vacated, arguing that it was detrimental to his casino business and that the order was illegal, given that William wasn’t the sole owner of The Big Casino. The co-proprietor’s efforts, however, were unsuccessful.

Uncle Sam Becomes Gambler

Thus, on Aug. 21, 1913 the U.S. government assumed control of and began operating The Big Casino. Joe Monahan was in charge of the gambling component.

“These were mad, merry days at the dance hall,” reported The Tonopah Daily Bonanza (June 10, 1915). “Uncle Sam enjoyed a splendid revenue … he took the roof off and let the blue sky shine in. He brought forth card tables and other gambling devices and told his patrons to go the limit.”

For about two months, the government was “raking in the money” from this popular enterprise.

That revenue ceased, though, in mid-November, when the Nye County Commissioners revoked the business’ liquor license.

“Finally local authorities decided that Uncle Sam was entirely too rotten in his methods for a God-loving, law-abiding mining camp,” the Bonanza reported.

Once it became a dry establishment, patronage plummeted, and Bonneau closed the place soon after.

The Resolution

A few weeks later, on Dec. 15, 2013, The Big Casino reopened under new, non-governmental management, that of Charles Enquist, a previous owner. Liquor was allowed to flow again and did.

As for Johnson v. Johnson, it dragged on for two years, into 1915, but William wasn’t around for most of it. He died in March 1914 from heart trouble.

Ultimately, the court found Roxa had a legal right to much more than what she’d agreed to, about $80,000 ($2.2 million), according to Court Master Lester J. Summerfield, who’d heard testimony about and had assessed William’s assets.  

————————

Sources