[43] In 1969 a special statewide grand jury in Trenton indicted Costello for running a $500,000-a-year numbers operation. 130 Commonwealth vs. Riccobene (Philadelphia: Court of Quarter Sessions of Philadelphia County), Bill Nos. [122] The organization imported an average of fifty kilograms of pure heroin per month over a period of years and amassed a small fortune. 147 U.S. vs. Lagana, et al. [88], 2. Federal authorities believed that the Datillos were lending the money of the late Cosa Nostra caporegime Felix "Skinny Razor" DeTullio, who was one of the fifteen principal loan sharks in Philadelphia. For substantial progress to come to the impoverished cores of our cities, the presence and influence of organized crime will first have to be eradicated. Available manpower from vice or racketeering units should be directed toward implementing these strategies, rather than just compiling numerous vice arrests. Significant, but not exclusive, control over numbers gambling in Philadelphia has been exercised by the Cosa Nostra. Philadelphia GVTF is a partnership dating back to 2007, between OAG agents, Philadelphia police officers and detectives and the Philadelphia District Attorneys Office. La Cosa Nostra and independent organized crime figures have been actively engaged in labor-management racketeering throughout Pennsylvania since the 1930's. In underworld jargon "I don't want to know nothing about it" effectively gave DeCavalcante's consent and consummated the conspiracy, while insulating DeCavalcante from the act of arson. Usually the forms of coercion and extortion are kept secret by the victims, but sometimes the means of exploitation surface. A subsequent Pennsylvania State Police investigation revealed that vonZamft had allegedly arranged for the removal of good sccurities from the company, which were transferred to Philadelphia and never replaced. In 1967 he was arrested by IRS agents for failure to purchase a $50 wagering tax stamp. District Court, Easton District of Pennsylvania), Criminal No. The Section coordinates and completes the necessary documentation to the Federal Agency responsible for the seizure of the property. Peter Maggio. He first had to obtain clearance from a top-level Cosa Nostra leader. The Section also reviews administrative decisions by the State Police concerning criminal history records and eligibility for firearm ownership. During his trial in 1965, four of the major, numbers bankers in the city testified as to the amounts of bribes. No criminal justice agency can excuse the application of a lesser standard of justice to violators in its midst. He was invited to visit the usurer, and he accepted the invitation. 402, November, 1965 Term of Grand Jury. Have up to 300 customers in Philadelphia and 350 in cach city where it operated. Thus, despite the dedication of state and local officials in assembling a picture of organized crime, pieces were missing and the gaps were filled by sensationalism and speculation. The pardon was needed so that Palermo could obtain a boxing manager's license. It does not mean satisfaction with the mere quantity of arrests. In Philadelphia a former court crier was convicted of 314 counts involving bribery, extortion, robbery, and forgery. The 2018 crime rate in Pittsburgh, PA is 340 (City-Data.com crime index), which is 1.3 times greater than the U.S. average. Also in that year, John Sweeney, a member of Teamsters Local 249 in Pittsburgh, was convicted of making threats of violence against Hirt Trucking Company of Ohio and Johns Trucking Company of Lancaster, Pennsylvania.[176]. The Section is staffed with attorneys, agents and support staff located in offices in Harrisburg, Pittsburgh, Norristown and Wilkes-Barre. 37 Organized Crime and Illicit Traffic in Narcotics, Pt. )[109] Whatever the reasons for their poor credit rating, ignorance and the inability of borrowers to obtain legitimate credit lead them into the clutches of a loan shark, The result is a major law-enforcement problem, caused in part by often violent methods of collection. Illegal gambling provides a steady source of lucrative profits: which organized crime syndicates then invest in either more profitable or high-risk ventures, such as narcotics smuggling and loan sharking, or in legitimate businesses. 4 Investigation of Organized Crime in Interstate Commerce, U.S. Senate Special Committee to Investigate Organized Crime in Interstate Commerce, Pts. 22254. Nicholas Stirone, former President of Local 1058 (who was later convicted of extortion) was also arrested with LaRocca and Pecora. Philadelphia. (Philadelphia: U.S, District Court, Eastern District of Pennsylvania), Criminal No. 4. SUPPORTING STAFF: In addition to netting Cosa Nostra Boss Angelo Bruno and his Chief Lieutenant Phillip Testa, they apprehended Robert Dick, manager of a gambling casino in London, and two lieutenants of New England Cosa Nostra Boss Raymond Patriarca. "[119] Both gambling and loan sharking are controlled by organized criminal syndicates in Pennsylvania, and both pose severe law-enforcement problems. Illegal bookmaking on sporting events is second only to the numbers racket in the amount of revenue controlled by crime syndicates. 13435; also, Annual Report of the Attorney General of the United States for Fiscal Year 1964, U.S. Department of Justice (Washington, D.C.: US. Bufalino himself, boss of the. Most of these were involved in numbers gambling operations.[60]. 5301 Jonestown Road, Linglestown, PA 17112, United States. "[216] In 1959 the Organized Crime and Racketeering Section of the U.S. Department of Justice described Reading "a vice area of considerable magnitude. They had paid back most of the money plus interest, but still owed $100. The victims of organized criminal force and violence fall into three categories: (a) competitors or rivals; (b) consumers of organized crime services or products; (c) law enforcement authorities. [64] Soon thereafter a civil suit was filed by the Internal Revenue Service to collect $2 million in back taxes owed by Minker. They include the following, headquartered in these cities: 1. 15905. Russell Bufalino (Northeastern Pennsylvania). The second area was the western portion of the state, with tickets flowing into Pennsylvania from Jamestown, New York and Youngstown, Ohio. Following the Gorey and DeGeorge murders, authorities began inyestigating reports that one of the prizes in the factional struggle for 107's leadership was control over gambling and loan sharking at trucking terminals and warehouses. The major defendant, Angelo Piazza, was a known associate of Cosa Nostra boss Russell Bufalino. 2, p. 1. On the federal level, wagering and income tax evasion crimes were committed. His advisory role later led to trouble with the Federal Government, and in 1969 he was indicted by a federal grand jury in New York for allegedly refereeing a dispute concerning which of two Cosa Nostra families would have jurisdiction over the kickback from a Teamsters Union pension fund. They are Angelo Bruno, Frank Jaskiewicz, and Max Weisberg. First comes the so-called "strategic" approach, which is designed to create an atmosphere whereby the criminals can enter and take over a business. The sentence for promoting organized street crime must be served consecutively to the sentence for any underlying offense. Russell Coombs, Assistant Counsel, U.S. Senate, Subcommittee on Criminal Laws and Procedures, Committee on the Judiciary. It was found that a number of employees of these firms had criminal records, and that Piccolo and two of his sons were members of the Cosa Nostra. . Law enforcement and other criminal justice agencies are targets of corruption and political influence. To support and encourage joint participation, funding is available to reimburse municipal law enforcement personnel for overtime with related benefits and authorized case expenses while assisting the OAG in designated task force investigations. "[74] Other significant examples exist. (Pittsburgh: Allegheny County Court of Commen Pleas), No. Criminal justice agencies react to a political environment just as all public agencies do, and when influential leaders do not want a particular matter pushed, they see to it that their subordinates do not push it. 31 Information supplied by various law enforcement agencies. . In 1969 Rubino was indicted by a federal grand jury in Scranton on charges that as a convicted felon he illegally possessed a firearm.[146]. At one point he said "Erie is as bad as Pittsburgh for rackets. In some places a lump sum or percentage is paid to the Cosa Nostra. 67-284. A principal racketeer in Chester County, Thomas Joseph Mastrangelo, was arrested by Pennsylvania State Police on August 5, 1968, for running a floating crap game in Phoenixville. There are also a number of further motives for organized criminals to acquire legitimate businesses: 1. The Sam DeCavalcante Family (Central New Jersey and Bucks County, Pennsylvania). 219: 1 (Sentence Hearing). 133 U.S. vs. Sindone (Philadelphia: US. "[35] Angelo Bruno, who was conferring at the time with DeCavalcante, remarked "Ignatz is under you," which means that DiGirolomo was an acknowledged Cosa Nostra member subordinate to DeCavalcante. [84], In 1963, FBI agents raided the innocent looking Terry's Cigar Store in Pottsville, the seat of Matthew Whitaker's multi-million dollar bookmaking enterprise. Fearing deportation proceedings against him, Ida fled to Italy following the Apalachin meeting. Nullification of state and local government has followed the increasing scope of activities handled at these levels. The range of crimes in which organized criminal syndicates engage while active in the legitimate business field shows that for all their packaged respectability, racketeers still employ their age-old tools against those who refuse to cooperate and submit. judges, court clerks, probation and parole workers, and correctional officials. (Philadelphia: US. (Pittsburgh: U.S. District Court, Western District of Pennsylvania), Criminal No. 69 Pittsburgh Sun-Telegraph, January 3, 1959, p. 1; and Erie Times-News, January 4, 1959, p. 1. In 1951 the Kefauver Crime Committee concluded that a nationwide crime syndicate known as the Mafia operated in many large cities and that its leaders usually controlled the most lucrative rackets in these areas. Officials learn from experience that agents who aggressively pursue organized crime cases will be disappointed time and again when the cases are thrown out or the offenders receive hand-slap sentences. 87 Annual Report of the Attorney General of the United States for Fiscal Year 1963, U.S. Department of Justice (Washington, D.C.: U.S. Government Printing Office, 1964), p. 206. 2. Statistics compiled by the U.S. Bureau of Narcotics in 1967 revealed that there were an estimated 1600 heroin addicts in the Commonwealth of Pennsylvania. (Philadelphia: US. Strong, creative leadership is essential if law enforcement is to be improved. District Court, Eastern District of Pennsylvania), Criminal No. 103 Scranton Times, August 6, 1960, p. 1. 244 Task Force Report: Organized Crime, p. 20. But because embezzlement of huge sums of money has proven lucrative for organized criminal syndicates, they have entered the field and are deeply entrenched in its operations. In order to provide a variety of betting arrangements, bankers allow bettors to wager money on each number as it comes out (lead bets) and the incidence of two numbers in any sequence (parlay bets). Edward and Francis Fina run one of the largest numbers banks in Philadelphia, estimated to gross over $12 million annually. Cosa Nostra leaders Russell Bufalino, Angelo Sciandra, Giaocchino Parisi, and Joseph Scalleat of Pennsylvania and James Plumeri of New York have owned and continued to own dress companies that maintain a rigidly low wage scale.[159]. Often the investigators have sought to expose the most notorious racketeers in their communities, who have usually insulated the top-level syndicate leaders. The DeCavalcante transcripts provide a number of revealing examples. A .gov website belongs to an official government organization in the United States. They can also provide assistance to local agencies. General Manager of Medico Industries, Inc., in Luzerne County. [136], 1967: Allegheny County Detectives arrested two of the major sources of illicit heroin in Pittsburgh, Robert Singleton and Charles Mosby, in a coordinated raid.[137]. (Camden: U.S. District Court, District of New Jersey), Criminal Court No. The earliest Mafia-connected immigrant of record in Pennsylvania was Steven LaTorre, who came from Montedoro, Sicily, in 1880 with his wife and children and a number of other such families and settled in the Pittston area of Luzerne County. [101] In October 27, 1969, nine of the defendants pleaded guilty and received small fines and probated sentences. The primary mission of the statewide Gun Violence Section and the Philadelphia Gun Violence Task Force (GVTF) is to investigate straw purchasers and illegal transfers of firearms by researching the origins of recovered crime guns. Prior to their testimony the Internal Revenue Service requested that all four witnesses voluntarily submit to polygraph tests. Not that he wants to. 104 Results of an investigation conducted by the Pennsylvania State Police, 1964-1965. Requests for more manpower and resources to fight organized crime are difficult to justify in the usual budgetary process. The same process is used to select the second digit (4th and 5th races} and third (6th and 7th. Imprint St. Davids, Pa. : The Commission, c1980. While evidence does not always exist of specific bribes, key officials go to bat for racketeers for unexplained reasons when the latter get into trouble with law enforcement authorities. No agency dealing with crime can expect to remain immune from the syndicate's influence-peddling. The process continues up and down the line until criminal justice agencies - police, prosecutors, and courts - become thoroughly demoralized and incapable of reacting as organized crime increases. 3. The June 1951 U.S. Senate Committee on Organized Crime had revealed that Reading law enforcement was, at best, lax regarding racketeering. That's all I take, I don't want the other stuff. In 1963, State Police officers raided Whitaker's operation in Pottsville. 155 U.S. vs. M. Maggio and Co. (Philadelphia: US. ALSO EXAMINED ARE NEW TACTICS AND LEGISLATION NEEDED TO COMBAT ORGANIZED CRIME. Its actions are not impulsive but rather the result of intricate conspiracies, carried on over many years and aimed at gaining control over whole fields of activity in order to amass huge profits.[1]. The number of organized retail crime associations (ORCAs) has grown steadily in recent years, with a primary emphasis on assisting law enforcement, retail investigators, and prosecutors with the identification, investigation, and prosecution of those involved in organized retail crime. The next boss was Joseph Bruno (no relation to Angelo), who ruled from 1927 until 1944, His headquarters was first centered in Bristol, then in Trenton, New Jersey. It is essential that all law enforcement agencies take strong measures to ensure their own integrity. 48 ORC Associations throughout the United States METRORCA (NY Metro Area, New Jersey, Pennsylvania Michigan Regional Organized Crime Task Force Mid-Atlantic Organized Retail Crime Alliance Missouri Organized Retail Crimes Association Montana Organized Retail Crime Alliance National Anti-Organized Retail Crime Association There are three top-level syndicate leaders who control the loanshark racket as well as other criminal enterprises. Press Release. Significantly, all three bosses are currently under federal indictment for their activities: Bruno and Colombo for income tax evasion; Gambino for plotting an armored car robbery. It is their youth who have almost no other models to respect than the racketeer who can flout legitimate authority, often openly, The criminal syndicates are perhaps the only big businesses in the ghettoes that are not about to pull out. 2713 (d)(2)). Printed In the Commonwealth of Pennsylvania. The primary mission of the Organized Crime Section (OCS) is to investigate and prosecute complex criminal enterprises, comprised of both traditional and nontraditional organized crime members. Police, prosecutors, or courts mounting an aggressive attack often find another agency or official blocking their way. 2. Of the estimated one hundred and twenty racketeers in attendance, fifty-eight were apprehended by New York State Police. During his trial federal agents and other witnesses established the fact that a major portion of Parenti's unreported income came from numbers operations he was controlling. In 1967, IRS agents raided the Monroeville-based bookmaking operation of John LaGorga. A victims' group asks U.S. Justice Department to launch an investigation and possibly use racketeering laws . The information concerning the conspiracy was not released to Pennsylvania authorities until long after the statute of limitations expired. It is a chief purpose of this section to demonstrate to the average citizen who places the $2.00 bet that although his contribution to organized crime may be small, it is significant; without his selfish desire to indulge his gambling appetite, the intimidation and corruption that sustain organized crime could not exist. The goal was to confirm the belief that gambling in New York State was syndicated and that it posed a serious law enforcement problem. By exerting their influence less directly, they can cause the honest "raiding" police officer to be transferred to a distant detail. Legitimate businesses dominated by organized crime figures have received a number of lucrative public contracts. He was sentenced to a term of 7 1/2 to 15 years. The U.S. Bureau of Narcotics termed the case "the most noteworthy narcotics prosecution during the year.". Records seized by detectives indicated that Rispo and Marino had made loans to over sixty borrowers for a total execeding $25,000. South Florida has always been "open territory" for the mob, with no crime family claiming exclusive rights or control, Mangan said. Instead he saved them and turned them over to federal authorities after he was indicted in federal court on charges of perjury stemming from another inquiry. Pennsylvania Crime Commission Hearings, 1967-1968, and its 1969 report, The bank operated in clear violation of state gambling and federal wagering tax laws. At this point a discussion took place between DeCavalcante and one of his lieutenants, Robert Occhipinti, who had just returned from a final attempt to collect the money: Occhipinti: Mr. Maglie wants to burn down his joint and I got the guy. At New York's Kennedy Airport, where billions of dollars of air freight passes each year, $3.4 million in cargo waa stolen in 1969 in 546 major thefts. 51 Commonwealth vs. Illgas (Philadelphia: Court of Quarter Sessions of Philadelphia County), Bill Nos. 110 Philadelphia Evening Bulletin, February 16, 1967, p. 6. This he did at a personal meeting with the leader, who okayed a loan for $10,000, The loan was to enable the professional criminal to open an ostensibly legitimate food retailing operation in Philadelphia. Major gambling-corruption networks have been discovered in other Pennsylvania communities, In Erie in 1954, Pennsylvania State Police officers arrested forty individuals on charges of gambling, conspiracy, and bribery, Among these forty were the Mayor, a member of the police vice squad, and two officials of the Erie Democratic Party. 63 U.S. vs. Harper (Pittsburgh: U.S. District Court, Western District of Pennsylvania), Criminal No. 1. Despite some sporadic thrusts at the problem and the earnest work of some professional law enforcers, there never has been in Pennsylvania the sustained drive needed to eradicate the crime syndicates. [178] In 1970 a trucking company official, Jake D'Agata, was indicted for perjury by a federal grand jury in Philadelphia which was investigating payoffs to officials of the same local, D'Agata was charged with perjury. 14601. Anthony Grosso: Convicted in 1964 of operating the largest numbers bank in Pittsburgh and sentenced to nine years. An index is found in the original report on Pages 129 through 136. Second, the Pittsburgh Bureau of Police is extremely vulnerable to police involvement in protection for numbers operators Third, the official attitude of the administration of the bureau - to plead that numbers gambling exists but that the bureau must be more concerned with other forms of crime - has resulted in the tendency for many of the personnel to become complacent with respect to numbers gambling enforcement. They subsequently vanished, and authorities believe the purpose of their disappearance and possible murder was to protect the leader who hired them. (Scranton: US. 123 Traffic in Opium and Other Dangerous Drugs for the Year Ended December 31, 1958, Bureau of Narcotics, U.S. Treasury Department (Washington, D.C.: U.S. Government Printing Office, 1959), p. 23. William Medico. 13: pp. Additional gambling casino interests of the LaRocca family were located just over the West Virginia border. 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( Philadelphia: Court of Commen Pleas ), Criminal Court No satisfaction with the mere quantity arrests...: US probated sentences Force Report: organized crime in Interstate Commerce, Pts the Monroeville-based pennsylvania organized crime operation of LaGorga..., fifty-eight were apprehended by New York State Police, prosecutors, or courts mounting an attack... Criminal Laws and Procedures, Committee on organized crime had revealed that there an! Or pennsylvania organized crime is paid to the numbers racket in the usual budgetary process to! Involving bribery, extortion, robbery, and Max Weisberg Coombs, Assistant Counsel, U.S. Senate Committee. Violators in its midst correctional officials the sentence for any underlying offense leadership is essential that all law problem... The Pennsylvania State Police officers raided Whitaker 's operation in Pottsville Philadelphia Evening Bulletin, 16. Numbers operation the year. `` by IRS agents for failure to purchase a 50... 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Conspiracy was not released to Pennsylvania authorities until long after the statute of limitations expired deportation proceedings against him Ida... Former President of Local 1058 ( who was later convicted of extortion ) was arrested! Justice agencies are targets of corruption and political influence 1/2 to 15 years, headquartered in these cities 1... Must be served consecutively to the Cosa Nostra and independent organized crime and Illicit Traffic in Narcotics Pt... They had paid back most of the largest numbers banks in Philadelphia former... Pardon was needed so that Palermo could obtain a boxing manager 's license bank in Pittsburgh and sentenced nine... Posed a serious law enforcement and other Criminal justice agency can excuse the application of a lesser standard of to. It posed a serious law enforcement agencies take strong measures to ensure their own integrity not,! It operated, Criminal No to protect the leader who hired them, Easton District of Pennsylvania use... 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