In case you missed it, Part I is available here.

1978-1984

Paul Michael Kodelja, who was about to stand trial on January 4, 1978 for his role in the kidnapping of Reno and Polly Fruzza and the theft of $1.22 million in cash from the First National Bank of Nevada in Las Vegas, was in trouble again. This time it was for purchasing a weapon while under indictment.

He bought the gun for his girlfriend, Linda Naomi Bruno, 36, for her to protect herself from her husband, Thomas Joseph Bruno. Linda said that in August 1977, because of her association with Kodelja, Thomas had beaten her to the extent that she was hospitalized, and he’d threatened to kill the two, the Las Vegas Sun reported (Dec. 3, 1977). Linda also noted that Thomas was involved in “syndicate-type work.”

Previously, Thomas had been the bodyguard of Kings Castle hotel-casino owner Nathan “Nate” S. Jacobson for about two years starting in September 1971. During that stint at the Incline Village-based resort, Thomas had been charged, along with Jacobson, of kidnapping, coercion and false imprisonment for allegedly beating up and holding the keno supervisor, suspected of cheating the keno game, against his will, overnight. (This story is covered at length in the book, A Bold Gamble at Lake Tahoe: Crime and Corruption in a Casino’s Evolution.)

In Las Vegas, Kodelja again was jailed and his bail set at $100,000. To cover it, Linda used her and Thomas’ two homes as collateral.

When the new year came, Kodelja was gone and so was Linda.

Craig Otte

Craig Otte, Kodelja’s reported accomplice in the Nevada crimes, remained in the wind.

Across The Border

A year later, on January 5, 1979, Toronto Metropolitan Police officers arrested a man for exposing himself to women at a local shopping center. In his possession were IDs for five different males with addresses in Ontario, Manitoba and New Brunswick. A fingerprint check, however, revealed the suspect’s true identity — Paul Michael Kodelja — and that he was wanted by the FBI.

In Kodelja’s Canadian apartment, the police spotted a map on which five banks were circled. That led them to $244,500 in cash ($872,000 today) and about $60,000 worth ($214,000 today) of diamond, gold, silver and platinum jewelry — 11 rings, seven sets of earrings, seven bracelets, four brooches, four necklaces and three sets of cufflinks — in safety deposit boxes. Officers also found Linda in Toronto and $10,000 ($36,000 today) in cash in her purse.

While in the Great White North, “to hide his identity, [Kodelja] paid cash for everything — $8,660 for a new car, $215 a month for the apartment and $1,001 for season tickets to baseball games,” noted The Lethbridge Herald (Jan. 15, 1979). “His next step was to be plastic surgery in Switzerland, and finally a life of luxury on a South Sea island.”

After a year on the run, Kodelja and Linda were extradited to Nevada. Subsequently, Kodelja pleaded guilty to the robbery and extortion charges and, ultimately, was sentenced to 15 years in prison.

As for Linda, whether she was charged and/or convicted of any crime(s), is unknown, but she and Thomas got divorced in November of that year.

Aloha From Hawaii

Kona police arrested Craig Otte at the island’s airport in June 1980 and returned him to The Silver State. He’d evaded capture for three years.

The fugitive accepted a plea deal and received two consecutive sentences, one for the Nevada kidnapping-robbery and the other for the 1975 Los Angeles bank robbery. He appealed, asserting that his sentences should’ve been concurrent based on the recommendation in the plea agreement. However, in 1984, the U.S. Court of Appeals for the Ninth Circuit disagreed, and thus, his back-to-back prison terms stood.

Sources

The couple’s harrowing experience started at their Las Vegas home.

Two men disguised with faux facial hair and odd outfits nabbed First National Bank of Nevada executive Reno N. Fruzza as he entered his garage at about 9 p.m. on Monday, May 23, 1977. They held him, 56, and his wife Polly, 50, captive there, overnight, at gunpoint.

Reno had worked for the financial institution for 36-plus years. Polly had had a career as a Western comedy star named Polly Possum in the 1950s and ’60s. The two were active in the community, avid fishermen and big art and antiques collectors.

The next morning, the kidnappers injected the Fruzzos with a poison requiring an antidote to stave off death, they told the couple. They instructed Reno to retrieve $1.22 million dollars from his bank’s vault and then follow directions he’d receive in notes left for him in various places. Otherwise, they’d withhold the antidote from Polly, and she’d die.

Elusive Money Swap

Reno obtained the cash and while doing so, told some bank employees what was happening. Per the typewritten note in his 1963 Cadillac’s glove compartment, he then went to the phone booth outside the Knight’s Inn. Meanwhile, his co-workers had notified the police who’d caught up to and started following Reno but allegedly lost him in traffic.

The next note told him to go into room 125 of the Sahara hotel-casino. There, in an ashtray was another instruction, to find and use the 1964 beige Cadillac sedan in the parking lot to follow spray paint marks on the road. Subsequently, various notes and Polaroid photos led Reno through numerous small rural towns, including Goodsprings, Sloan, Jean and Sandy Valley, and finally to the Calvada Inn in Pahrump, about 60 miles from Vegas. He arrived there at about 1 p.m., and was to stay in its Pony Express Bar until further notice.

While he was there, the perpetrators removed the money from the Cadillac’s trunk. They transferred it to a yellow Cessna 172 (which had false identifying numbers on it) and flew from Pahrump to the North Las Vegas Air Terminal, where they got in waiting cars and left. They phoned Reno at about 3 p.m., thanked him for his cooperation and said he was free to go. The freed captive immediately called police, who subsequently found Polly handcuffed to a bed post in Las Vegas’ Showboat hotel-casino.

Neither Polly nor Reno had been hurt, and the supposed poison they’d been injected with had been a hoax, requiring no lifesaving remedy.

Suspects Identified

FBI agents on the case determined the two culprits were Paul Michael Kodelja, a 30-year-old craps dealer at Circus Circus in Las Vegas and previously Harrah’s in Reno, and 50-year-old Craig Otte. Kodelja was a licensed pilot with no criminal background. Otte, however, had a record including burglary, larceny and other petty crimes. Most recently, though, he allegedly had robbed a Los Angeles bank of $40,000 in 1975, charges for which were pending against him in 1977.

For Otte and Kodelja’s criminal scheme, the federal government charged them with conspiracy, stealing bank money, assault with dangerous weapons and kidnapping.

Accountability On Horizon

The younger of the two turned himself in 10 days after the crimes and after his attorney Oscar Goodman negotiated his surrender. Kodelja posted $150,000 in bail and was released from the Clark County Jail. After pleading innocent to the charges, he turned to the Nevada Supreme Court for dismissal of the counts against him on the grounds that the grand jury indictment contained ambiguous language and other technical problems.

Kodelja, however, lost that appeal in November 1977. A trial date was set for January 4, 1978.

As for Otte, he’d disappeared. The stolen $1.22 million had, too.

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The story concludes in next week’s post, Casino Dealer, Accomplice Execute Elaborate Crime in Las Vegas, Part II.

Sources

A sextet of flimflammers arrived in Las Vegas, Nevada in December, set up at the corner of Main and Fremont Streets and began separating the locals from their money.

” … the spindle was ‘cleaning’ the town — getting away with large sums of ready money, which would otherwise have gone to local merchants or citizens who conduct legitimate gambling games,” reported the Las Vegas Age (Dec. 22, 1906).

The scam involved a spindle game, a classic carnival con involving a spinning wheel. The spindle is spun, eventually stopping at a pin, which is associated with a good or bad prize.

Even in an honestly operated game, the player’s chances of winning were low.

In a cheating game, the operator could physically manipulate the pointer to stop at certain pins. How? The pins were twisted into the board, some ever so slightly higher than others. With a secret gaff, the pointer could be moved up or down to hit either lower- or higher-set pins.

Because the gang had obtained a gambling license from the deputy sheriff, their swindling activity was tolerated for several days. It all came to a head, however, when they fleeced a young man said to be “unsophisticated” out of $125 ($600 in 1913, the earliest year for which inflation conversion is available), and the neighbors encouraged him to press charges. He did.

The scammers were arrested and pled not guilty.

At their ensuing hearing, evidence proved the spindle game was what the Nevada statutes defined as a “hogging” game — one that easily lent itself to cheating — which was illegal. However, based on insufficient evidence against the gamblers, the judge dismissed the case.

The hucksters continued to fleece the locals for another week and, again, were arrested. The second trial ended as the first had.

That time, however, the con men got the hint and left town.

Sources

Elliot Paul Price

1970-1973

When federal agents arrested Elliot Paul Price, 51, during a massive multi-city raid in 1970 and charged him with illegally transmitting race wire information across state lines via telephone, two dominos fell:

• He lost his job as a casino host at Caesars Palace in Las Vegas.

• The Clark County Sheriff’s Office pulled his work card, which is required for casino employment.

In April 1971, however, the sheriff’s department issued him a temporary permit to work in a similar position at Circus Circus. Within the week, though, the Nevada Gaming Commission (NGC) voted to pull it due to his being under federal indictment and allegedly having an unsavory background. On the NGC’s orders, the sheriff’s office revoked his card, leaving Price again unemployed.

Price Won’t Take No

Unable to obtain a casino job, he filed a lawsuit, but it went nowhere because, according to the judge, he hadn’t pursued all possible avenues for re-obtaining his employment permit.

Price asked the NGC and the Nevada Gaming Control Board (NGCB) to reinstate it, but they didn’t. This was because, in a hearing on the issue, he refused to answer questions about his suspected association with underworld individuals. Price hailed from Boston and gambling regulators believed he was entrenched in the Mafia there.

Lawsuit, Take Two

At the start of 1972, with Oscar Goodman as his attorney, Price sued Nevada Governor Mike O’Callaghan and the NGC, claiming the latter had rescinded his work card arbitrarily. The suit purported the agency’s decision hadn’t been based on established guidelines but, rather, on unrelated “charts of the Mafia, ancient newspaper articles, dime store novels, and secret and confidential information” (Nevada State Journal, June 13, 1972). It also asserted the NGCB hearings had violated his freedom of association right and forced him to be a witness against himself.

Goodman requested the withdrawal of Price’s work card be deemed unconstitutional and a temporary restraining order (TRO) be placed against the gambling regulating agencies, preventing them from interfering with his obtaining a new one.

The state, on the other hand, argued that were the court to afford the TRO until the issue got resolved legally, it would be substituting its judgment for that of Nevada in a state administrative matter. Also, were Price to prevail, it “could well emasculate the total regulatory concept of gaming” (Reno Evening Gazette, June 13, 1972).

District Court Judge Howard Babcock granted Price the TRO.

Nevada Fights Back

The NGCB responded with a suit of its own to overturn Babcock’s action on the grounds that the local court lacked jurisdiction in the matter. The NGC and NGCB conceded Price could work in a non-casino job at Las Vegas’ Riviera hotel.

District Court Judge Carl Christensen denied the State of Nevada’s motion to dissolve the TRO. This meant Price could return to his casino host post at Circus Circus until the high court weighed in.

Off To Higher Court Land

Next, Goodman took the case to the Nevada Supreme Court, asking it to allow Price to regain his work card, thereby protecting his constitutional right to due process.

Deputy Attorney General David Polley, for the state, argued that upholding Babcock’s ruling would “set a dangerous precedent which would be detrimental to the inhabitants of Nevada and their major industry” (Nevada State Journal, June 13, 1972).

Resolution Three Years Later

In 1973 the Nevada Supreme Court delivered the opinion that, yes, the lower, or district, court had jurisdiction to rule upon the validity of Price’s right to work in gaming.

In other words, Goodman and Price* won the legal fight. Their doing so established that Nevada couldn’t deprive someone of their work card without due process. Subsequently, Clark County instituted processes for suspending or revoking a work identification card and for an appeal by the card holder.

—————————–

* In 1979, Price would be indicted for multistate race fixing along with other members of Boston’s Winter Hill Gang, James “Whitey” Bulger’s associates, for which he would serve two months. Subsequently, he would disappear, never to be heard from again.

Sources

1941

The brief union between Tony and Dorothy Stralla ended in a suspicious tragedy.

Antonio Cornero Stralla was a colorful, law defying, Southern California rumrunner turned gambler. He was involved, most often as the owner/operator, in a string of casino enterprises,  including the:

• Meadows (Las Vegas, Nevada)
• S.S. Rex (Las Vegas, Nevada)
• Stardust (Las Vegas, Nevada)
• Rex gambling ship (offshore, Santa Monica and Redondo Beach, California)
• Lux gambling ship (offshore, Long Beach, California)
• Montmartre Club (Havana, Cuba)

Dorothy Friend Thaxton was a nightclub singer known as Dorothy Carroll, and, prior to the marriage, Cornero Stralla’s publicist.

He, at about age 41 (records show various birth years), and she, at 25, tied the knot in Las Vegas, Nevada at 2 a.m. on Monday, May 5, 1941. He’d been married before, at least once. It’s unknown whether she had been.

Following their nuptials, she lived in his Beverly Hills home, and he resided in Havana, where he ran the Montmartre nightclub-casino.

The Bloom Is Off The Rose

About two months later, the couple separated following a heated argument at the Southern California house, to which the police were called and Friend Thaxton was taken to the local emergency room for care.

“She first said she had swallowed the contents of two bottles of iodine, and later said she had just stained her lips and hands with the brownish liquid,” reported the Los Angeles Times (July 10, 1941).

A week after that incident, Cornero Stralla filed for a marriage annulment, claiming Friend Thaxton hadn’t “fulfilled her marital obligations” and had pursued the union with him intending never to do so.

The Times noted, “‘Admiral’ Tony Cornero’s latest romance has faded — quick than a sucker’s bankroll aboard one of the floating gambling ships that formerly beckoned the unwary along the Southern California coast.”

“Cold, Harsh, Devoid Of Affection”

Friend Thaxton responded with a cross-complaint, citing cruelty and desertion and asking for separate maintenance. This is an order requiring a spouse to make support, or maintenance, payments to the other, via a separation agreement. In her filing, Friend Thaxton requested $150 (about $2,500 today) per month, 15 percent of Cornero Stralla’s monthly income of about $1,000 ($17,000 today). She denied her husband’s accusations.

On the couple’s subsequent court date in late July, Friend Thaxton showed but Cornero Stralla didn’t. He was away on business, his attorney said. Friend Thaxton told the judge that since she and Cornero Stralla had separated, her husband hadn’t supported her, thereby forcing her to pawn her jewelry and borrow money from friends.

In late July, a judge ordered the gambler to pay the monthly $150 in alimony but only temporarily. Even though the marriage was so short-lived, by California law he had to do so because he’d been the one to initiate the union’s dissolution. Were she to have filed for the annulment instead, he wouldn’t have had to support her.

Whiplash Of Extremes

A month later, the two dismissed their respective legal actions, supposedly having reunited.

Had Cornero Stralla coerced or manipulated Friend Thaxton into dropping her alimony request or had she done so willingly?

A week later, on September 4, the two were in a Las Vegas court, where Friend Thaxton was granted a marriage annulment.

Who Was Responsible?

Following the hearing, she was driving herself home to Hollywood, when she got into a serious car accident about 18 miles west of Baker, California. When she’d tried to pass another car along the shoulder, traveling at a high speed, she lost control. Her vehicle skidded about 140 feet, overturned three times and skidded another 150 feet. She was thrown about 70 feet from where the car came to a rest.

Cornero Stralla had been following her in his car, hoping to overtake her and get her to stop driving, as she’d been drinking and “in no condition to drive,” he told police (Los Angeles Times, Sept. 6, 1941). He claimed she’d exceeded 100 mph at times.

What really happened on that drive?

At 6:15 the next morning, Friend Thaxton died in a doctor’s office from her injuries, which included a skull fracture.

Sources

Commemorative bronze statue of Binion in Las Vegas, Nevada

Today

Although Texas-born Lester B. “Benny” Binion (1904-1989) no longer is with us, he remains a legend among Las Vegas casino owners and operators — gamblers, in industry parlance.

Iconic even in his appearance — large in girth and ever clad in a cowboy hat and boots — Binion was complex. The dichotomous traits he embodied likely helped him attain success; he was charming yet cruel, a family man yet a criminal, and minimally educated (through the second grade) yet savvy in business.

“For those who understood the real game being played in Las Vegas and America, Benny was one of the most influential, and feared, men of his time; and in that enormous power, if not in his crude style, he set an example,” wrote Sally Denton and Roger Morris in The Money and The Power: The Making of Las Vegas and Its Hold on America.

Binion is remembered for owning and operating the Horseshoe Club in Southern Nevada and allowing players to place high-stakes bets on craps at a time when other gambling houses wouldn’t. He also launched the famed World Series of Poker tournament in 1970.

Down And Dirty Details

That’s the part of his story that prevails. Here are 10 lesser-known facts about Benny Binion:

1) He was an FBI informant for a time, providing the governmental agency with the inside scoop about various Las Vegas gamblers and their enterprises.

2) He murdered at least two men — Frank Bolding, a man whom he suspected of stealing liquor from him during his bootlegging days, and Ben Frieden, a competitor in the policy racket in Dallas, the latter slaying earning him the nickname “The Cowboy.” He wasn’t ever charged for the killings. Despite admitting both to Nevada gaming regulators, they granted him a gambling license.

3) His gambling start was running a lucrative numbers operation in Texas.

4) He couldn’t read, write or do basic math.

5) His father was a drunk and excessive gambler, and his brother, Jack, died in a plane crash at age 23.

6) He was openly racist toward African Americans.

7) He secretly brokered the funneling of millions of dollars from prominent Dallas bankers to Las Vegas mobsters and took a 5 percent cut for his services. One such transaction was $500,000 (about $5.1 million today) that Republic Bank provided to Moe Dalitz, the Cleveland mob’s representative in Sin City, for construction of the Desert Inn hotel-casino.

8) Following a drawn out extradition battle and legal wrangling that went to the U.S. Supreme Court, he served 3.25 years, from Dec. 1953 to March 1957, in the U.S. Penitentiary Leavenworth in Kansas on federal charges of tax evasion and state charges of illegal gambling,

9) After his release from prison, he sold the remaining, non-mob-owned interest of the Horseshoe to mobster Meyer Lansky and associates through their front man, Ed Levinson, because Binion needed money to pay past taxes (eventually, he bought back 100 percent of the casino).

10) He applied for a presidential pardon five times but wasn’t granted one.

Sources

1939

Las Vegas gambling houses and saloons were shut for three hours in observance of Good Friday, at the request of the local churches. It was the first time in the Nevada city’s history that such closures occurred for a day of religious significance.

Photo from freeimages.com: “Salvation” by abcdz2000

The hotel-casino resort in 1970

1970s

Caesars Palace in Las Vegas extended $160 million in credit to players in 1977. This was more than the then-considered staggering $106 million cost of the original MGM Grand (early ’70s), also in Sin City, and equals roughly $641 million today.

Offering credit to players who were deemed able to repay it was a common practice among Nevada casinos, and these IOUs, or markers, collectively could add up to great sums. In the 1970s the major casinos on the Las Vegas Strip had as much as $30 million in outstanding credit on their books ($135.5 million today) at any given time; for smaller off-Strip casinos, the figure was closer to $1 million ($4.5 million today).

1947

John Clark Bosworth, of Reno, 47, was sentenced to 10 days in the local jail for playing with fake $25 chips in a Las Vegas casino.

What do you think? Was this a light or heavy sentence?

Photo from freeimages.com, by John Nyberg

Clockwise: Vegas Vic, Bucky Buckaroo, Last Chance Joe, Wendover Will

1940s-Today

They’re one of a kind. Dazzling. Captivating. Iconic. Pure Nevada.

They’re the mascots of the state’s gambling industry. They graced the facades of casinos in the gambling meccas, and some still do. Rather than merely signs, they’re like citizens, but atypical ones — larger, brighter and cartoony.

Here’s a look at four of them:

1) Vegas Vic (Las Vegas)

The 40-foot-tall cowboy resulted from an advertising campaign the Walter J. Thompson firm launched in 1946 that boasted “fun in the sun” and a smiling cowboy whose thumb directed toward Las Vegas. The ads appeared in Esquire, the Saturday Evening Post and other national magazines. A year later, a different agency personified in print the Western figure with the name, Vegas Vic, and a voice saying, “Howdy, pardner.”

In 1951, artist Pat Denner designed the Vegas Vic who’s become the icon, and the Young Electric Sign Company manufactured a neon version of him for the Pioneer Club. The cost was $90,000 (about $835,000 today). For the more than half-century since, Vic has remained at 25 E. Fremont Street, greeting passersby with “Howdy pardner, welcome to downtown Las Vegas.” He even gave an interview to the Las Vegas Sun in 2000.

2) Wendover Will (Wendover)

After Vegas Vic, in 1952, the team of Denner and the Young Company, created Wendover Will, another cowboy but much taller at 63 feet, for the State Line Casino in Wendover. Named after the border locale and the casino’s founder, William Smith, the neon mascot’s job was to lure travelers off of U.S. Highways 40 and 50 (today, Interstate 80) and into the gambling club/hotel/café/bar.

In 2001, when the casino’s ownership changed to the Wendover Nugget, 9-ton Wendover Will was donated to the city. He was restored and relocated to Wendover Boulevard in the heart of town, now West Wendover, where he stands today.

3) Bucky Buckaroo (Reno)

In the 1940s, caricaturist and commercial artist, Lewis “Lew” Hymers, designed Bucky, aka Nevada Bob, yet another cowboy but this one in the shape of Nevada.

Three or four versions were built, which hung on the marquee in the front and back of the Nevada Club at 224 N. Virginia Street. One of the Buckys, owned now by Will Durham, founder of the Nevada Neon Project, is 9 feet high and 7 feet long.

Unlike many of the neon signs manufactured in Nevada at the time, Bucky Buckaroo was made out of porcelain enamel rather than being painted, which helps it “look pristine,” Durham said. It’s impressive for 70 year old.

4) Last Chance Joe (Sparks)

Last Chance Joe is 35 feet high, 8 feet thick and 5,000-plus pounds! Roscoe “Duke” Reading designed the statue, and R.H. Grosh Scenic Studios in Los Angeles built it.

To construct him, workers first used structural angle iron to create his frame then covered it with chicken wire. Next, they applied many, many, many layers of papier mâché followed by two coats of celastic. Lastly, they painted and sprayed Last Chance Joe with plastic.

Once completed, they shipped him in three parts on a Southern Pacific flatcar to Sparks, where he was installed outside of Dick Graves’ Nugget for the 1958 grand opening.

Today, Last Chance Joe can be seen outside of the Sparks Heritage Museum at 814 Victorian Avenue.

Ever-Lasting Symbols

Whether in an original or new location, these vibrant, fun characters, along with many of their peers, endure as symbols — of a U.S. industry once unique to Nevada, gambling, and in turn, of the state’s historic identity. As well, today these icons boast the well-deserved label, Americana.

Sources

Photo of Bucky Buckaroo by Brian Ball, I Shoot Reno