Bugsy Siegel Part 17

FBI Vault

Bugsy Siegel

Bugsy Siegel Part 17

99

17

Document text

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I &#39;bol*that it did not appear to beadvisable for him to ma e s trip, as SIEGEL and his associates
are very suspicious of any new people, and if they found out he
was connected with the FBI n d come of it. I told him 1
y careful not to ls ow that ye are interested ~
as to do so would on hisI
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Loo Angeles California _ -EDJuly 2:3 1946 am.1:1:@.-.-~- 11% °°w
E§Sz&#39;:¬$§1MEMO, SAC
Re BENJAMIN "BUGSY" SIEGEL
£1
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any remark to this effect to SIEGE.L.
would of his om volitionthat
one st
JAMES G . ELLSWORTH
JUL 291915 I
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July 29 1946 ,¢,1.11?"&#39;b? asaiil 15 a! MP=H<>- S "
intervi
for clarRB: BEIJJAMIN "BUGS" SIEGEL
MISCELLANEOUS ; INFORI--U1? ION
CRIME SURVEY
On Page 7 of this e
With referenceinfornat
states that
to your memorandum of June 24, 1946CONCERN DIG 3
ooverinw your
matters
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Re: BENJALTIN "sues" SIEGEL -
I-TISCELLMiEC&#39;JS; INFOR-LATICN CC-N0 ERNIPG;
cnnze S"IRV1-IY . _ -
with reference to your memorandum of June 26, 1946, on Page 1,there is a reference to the fact an investigation at Chicagc was to be made .-concerning "The *9 the Old Capone Gang". I would like to [v7/&#39;know f &#39; is or your language. In other words,
did actually use e p a e "Reactivation of the Capone Gang",
which a e p esent time is a phrase used only within the Bureau?
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Lvs Angeles, California mu CON mi-Y1July 30, 1945 §§L1¬Q5&#39; D IE9HEREIN iezrm, SAC: . 2- BY
Re: BENJAMIN "mos" srnom
nzscstmmzons; II-TFOR1-&#39;ATIO.I ccr=c2amze;
CHI!--E snow-:2
_ . JThe r011 -=» 5 " 0 are su e &#39; of the memorande. 107/
covering interviews &#39;
See memora.ndu.m oi
4 Pave /YSoec ml Aga . &#39; 22, O 4. _
Identify and ct background infonnation on ___4___ ifSee memorandwn Agentdated June 22, 1946 Page .
_ . . . ._ A ._ r
See memorandum Agent
e une , Page .
Secure the details concerning the murder of HARRY MYERS IQ,-L,at the Axnbassador Hotel, date not stated. See meznora.ndu.m Agenl5 4 &#39;
dated June 26, 1946, Page 4.
Assemble all material concerning the murder f G ENBERG atos Anreles on November 22, 1939 in order that 5?!n be further questioned concerning , 1 as *a. 0 nvestigation may enable the state of California to try *7and convict SIEC-EL for this murder. See memorandum Special Ag6n_ Z? L
dated June 26, 1945, Page 5.
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| JUL ,0 1946
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material available for release to you.
l:l information pertained only to a third party with no reference to you or the subject of your request.
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Name of Complainant
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Address of Complainant_  _BEll_SIE§EL __ _
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i Date and Time Complaint ReceivedChaxlacter of Case W j Z
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Sieglo moved from Room #1401 to room {M2 inthe Lats Frontier Hotel on 7-50-L6
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Loe Angeles California " 92Augullt l, 1946 ALL 1:~r"-".-c.=w.»&#39;92r10!* ;&_&#39; ". HEREIN &#39;= W l  1 - ....:.-:112910 FOR THE FILE: V - .1¢L§ I! - "-=1-"<" -
Ra: BEiJAliI&#39;N B*JGS" 3_I§I?EL
&#39; LIISCELLAHEOTJS; nrronmrlon corrcarrnrcs
CRIi&#39;_E. SURVEY
At 3:45 a.m. today I spoke with
El in th absenc t t Director ROS .at L05 Angelea had informed
nection W1 6 construction of the Flamingo Hotel in La: &#39;-Togas the const
tion had reached a point only where there were a few stakes in the ground
-.-Lac-. 4-1,... n-R--111.... n......I.....L-r-.. 1 __-r_.:_.L..._.L.s_._ ___.1..._ n____1___ 1...:-|_a.n___ ____ ___Bureau
con-
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m&#39;B m°=¥ KVQ H-19 t0 Senator RAT - 1i&#39;m . area er, an order came
the
I pointed out tomthat I would recommend an open
and thorough investigation o is ma ter on both the Bribery and Fraud
Against the Government theory; that this would enable us to examine the
books and records concerning; the construction of the Flamingo Hotel; would
pennit us to examine witnesses under oath and we could trace back every
cent of money that has been put into the construction of this Hotel.
I said that besides posibly developing a violation through which we could
put SIEGEL in jail, it would also have the effect of virtually bankrupting
him and his associates if our investigation should result in the stoppage
of construction.5:10
illances have indicated
tated that as of today
are tyring to
,000that SIEGEL in a
they have $1,162,500 in
make a loan of $500,000
loan from s. Utah Corpora
front-page article in the LAB VEGAS TRIBUNE which construc-
tion of the Flamingo Hotel at a time when materials are needed for the con-
struction ot homes for veterans. I advised him that independently of our
CIID. investigation such a newspaper article might bring about an invvltiga-~
tion either by ourselves or some other Government agency, and I felt that
Ire should take the opportunity to move into the picture. I 1- seam that _
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I ad-viee chet in connection with this imreetigaticn,i __ *- o-   at
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would be a constant legal battle to secure the bqolte and records and we i
would probably need eubpoenae in order to demand the recerdl. ,J - .
nquiz-ed whether the technical inetallati "V one - _were producing and I advised him that they are, pointing out that the
information concerning the amount of money invested in the Flamingo Hotel
and the
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Refecrenc-e"in made to Salt Lake Division letter to the Bureau dated -July 26, 1946, a copy of which was made available to your office. _
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SIEGEL original because
of e. cruise he took wit and
&#39; others on e yacht, when crew rou e es we as e ms. e- o e esse er 1&#39;79 *&#39;"P P "Elist caused the entire orpise to receive considerable publicity in the
press and allegations existed that in addition tc&#39; smuggling activities
the cruise was intended to facilitate 9. meeting of hoodlums somewhere =
on the high sees. Supposedly some mobster hiding out in Mexico met the V
ship on which SIEGEL and the others were sailing
that was bringing
positive the
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________..... ..----- .--.-n --.&#39; .-van vv u4.nn an 92IU&#39;l.l..l.&92-lU.l-I-IJU gill-lllh LIIwould make available at this time oongerning SIEGEL, with the dnderetanding 92
thnt the Agents would treat it in the manner in which it wee being given.e stated that thi information was goeeip in that he personally had no
knowledge of the facts involved, nor could he vouch for the source of hie -
informntion, but he was making the information available to whet it in worth.Tn coniiection with the Flamingo Hotel which srmn 92  57¢are building in Lee Vegan, Hende, tiond t cone rue on _ 5on this hotel had not gotten any m er "e few stakes being driven 1 -=79
in the ground when the freeze order regulating all comer-oiel building
ame intoeteo- Ilhe orde o e h Ilim under G.P.A. c r t n thin r em throu; the ingo
Hotel had not
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license hadbee d ied u cl ksaid that this is a arentn 3 ab, or ¢.§:tZm
is lPP!l°l-!1°l1l Ll  $ liquor iienses and
L0! Angelcs_ dOVl1O]InOnllwhich IcreICC
SIEGBL and for the first time he 1| W11 .1;° an f. no. Qth."srnsn. 1- going to Ln veg" nanuaq, 11 at 1, 19, in ,,d,,. 1,,P°"°*]-11" WP." 591&#39; 01&#39;! 15110 Cmlnty Ccmissicners in an effort to secure
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,_ advised hi! of the telephone conversation tron BB! 8I:!IL to .Las Vegas and asknd his that had developed at Lac Vegas.
that the application of the Flamingo Hotel for
to
Los Angelcs and the conferenceswith BIEGIL. This has apparently been quite g 1,1" to
um ummni u III"" 
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_ ¢ BE IN A POSITION &#39;10 COVE HILL&#39;S ACTIVITIES WHIIE IN GiICAGO- &#39; - I
YOU WILL BE wvzsm EXACT mm or HILL&#39;S DEPARTURE min 1.1 urn nim 
or EXPECTED ARRIVAL IN cmcmo. - * 7
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lnoloood in o photograph of VIBGIIIA HILL, currentniltrou of BEIUAIII "BUGS" SIMBL. I110 pioturo 1| boing tor-Ilrdo-dfor your uu in uq rum» involjkigationl involving this 7
pa:-son.
It 1| not lcnonn Il1othoq£5RDIIIA HILL looks u tho* don in this photo rm bg ph ooouso this in obviously c notion pioturotutmhot and roprolontl a "glamour" pooo. &#39;
his pioturo no undo in 19142 by Sumo]. Oolhyn Studiol.
Yory truly yours, A 92
I Bnol oluro o 2%
. A. I. OBTHOI-ROI?
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Agen- telephoned from 4&#39;at 9:15 this noring. RAH ff;-Iand an individual named -- -" 5;;Iith &#39; ."!_z&#39;
- temporarily. on a private 4 15&#39;! a eo e a e Del lax _ wroom. the situation has been such that no l1.u&#39;- T veillanoe has been possible due to the tact t moving from "bx, ,-one place to another and until he is settled I111 be ilpolsibleto institute surveillance» Ir. IURPHI said apparently
snake book on behalf oi /QIQQEL and hi: Hi iaid that
RAF! had an innzluelfy
toward
He said that
re an unusually tlarge number oi hoodhns darn tron hos ,j_n5010l, Glevelgdi hiege .-.1-.11.other point! and mu there ateto be fixed noes. 7"
$70
I advised Ir. IURPBI our experienee
connection with this investigation had not been
told Ir. IIRPH! Iould be e11 right to haveonly general inquiries £m 0Mem1q the general .setup but that no unusual rest should be displayed in &#39; 1;»;&#39;1ms&#39; amen. for fear tut the word light pt beck to amn. &#39;¥"*"&#39;-"*&#39;I-I|s-¢- &#39;  - "e -=-
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Deleted under exemptionlsl E _ 16 PC 5 zip with no segnegable
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Information pertained only to a third party. Your name is listed in the title only.
Docnmens! originating with the following government agencyes! _ _,_________ ___o _t 1 _ _
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Page s! referred for consultation to the following govemment agency ies!; _i.__i._,_..
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be advised of availability upon return of the material to the FBI.
Page s! withheld for the following reason sl:
For your information: _
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A/95-3:_Z93 7? 7/59/7 &#39; _ E: e , Ll" __ an i_
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Ln: Angelee 3! CaliforniaAugust 1, 194.6 _ _- " ,&#39; DECLh53£2.1*!&#39;_..f-"" ""  A
sac, San Diego A -&#39; &#39;__ 01  ,- _
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CRIME mmR0:
Dear Sir: V &#39; " h 3 &#39;
 1.... e __I_ .a. _ .a._92__92_____ _ ___._____.l..l_._ 92_&#39;_J.______ ____.i_&#39;IRUIQTBIJOO ll IIIIQG F0 I Ii-OLIPHOIII OOBTOTIIIIDI DQVIOGI1 SPIOIIA  , I
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OSTHOL {OFF on A at 7, 1946, wherein IT. MURPHY requested a criminalreeord  {hie 1e sat out below: ,  -&#39; _  .- A  
been mentioned in Grime Survey Icnoranda
from the
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but of the Angelo: Office that he ie a epineleae " e
individual personally and it ie onlybeeauae of hie friendship Iith SHGIL
that he getsby ae he doea.
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SLO, Sm Diego August 7, 1946
BENJAHII "BUGS" SIEGEL
in previous Grim Survey llemornndl. lubmitted. to t San Diego
Angelou. A copy of the report of special Agent
entitled RACKETEERIHG ACTIVITIES, LOB AIBEI.-ES
Very truly you:-I,
A I OSTHOLTHOFP
OG&#39;GUQ I C-
Enol. !
mzsonu. mn crrnmrrrn.
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Information pertained only to a third party. Your name is listed in the title only.
Documends! originating with the following government agencyliesl ____ __ _
_ 1 E _ re . was/were forwarded to them for direct response to you.
Pagelsl referred for consultation to the following government agencyes!; _iil_r__.__
__ _c__ 7 as the information originated with them. You will
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zhzrui urnau uf inuznttgahun
-0 Ilimteh Etatze Baum-tment nf llustucn »
Salt Lake City, Utah
August 7, 1946  7
Hr. A. E. Oetholthoff
Federal Bureau of Investigation
900 Security Building
Lo: -lngeles 13, California
R6 g
Dear Sir: _
Reference is made to :~~v F:1-4.. d .-- .-.-.-I -1- _ -
[3 - __ __ -
PERSO V i ONFIDENT_laL
Bsmulm "sues" SIEGEL *
gI§g_Ey.gg¢_m_ous mgggmrxou coucmsgwgmg
the teletype from the Bureau to I
Los Angelea and Salt Lake City dated August 6, 1946, entitled ,t_
  EGE CHARLES U IAN SCEI.-LAN BENJA*IN &#39;BUGS&#39; SI L,
INFORMAT ION CONCERN
gard lugsous, 7 "&#39;
all available information
All the informs. ntained inmemoranda of Special Agent  dated at Salt
L k Cit J &#39;24 1946 4 a e y une , and une , eria e 5 and 7, re-
spectively, of Salt IA-ke City File 62 1123, ent itled "REACTIVATION
OF THE CAPONE GANG, MISCELLANEOUS INFORMATION CRIME SURVEY "
Both of these serials were among those previously furnished you
from which you made photoetatio eopiea.
tion
all
62-1130
ct: 62-1125Very truly yours,
4:.»
Eliaauso &#39;n*1:qr:
P-UG &#39; ° 1°45
l.OBANGIl..I.CH-IF r

MEMO, SAC:
telephoned fro
Special Agen
e. pllnt at Les
why, he made the
former agent in Les Vegas,
that the agente had e lent in
9. statement -i I»
leaicalifornia - nu-
August 7, 1946
Re: BENJAMIN "BUGS" SIEGEL
MISCELLANEOUS! INFORMATION CONCERNING;
CRIME SURVEY
zeid
saidbeen-:ppr1 the agents were 1- n £70this and aake
talking to ano or
he understood
instructed to approachOn the evening o£__A_uzust 1, 1946 gpacial Azen&#39;I
why he mode such
t 2. 1946 Agentqadvieed um; he ma spokent t who aid that he not have any information that
e. p e a Innn opera I D1118 ROI
§ 70
pap
t he had not receivedany information to thia ef iaousaM t with
an one exce t former A en QY P E &#39;!!I!!s=P1-M *!!!*=h=-do not have any plant: in opera on an t it is preo on y pooeiblg
to receive authority eince 1210 end of the war to make any technical
installations.
L. E. OSTHOLTI-E!FF&#39;
&#39;7 _ . £@  W,
D-921r"&#39;*F~""""..- . EDA1»T»"1Y-- "mvL.1_&#39;j,?.&#39;g3  {§¬5i>-g-&#39;
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AUG &#39;8 I946
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Loa Angelo: 5! California
Lllgult B, 1945
j - nzc&#39;.ssi£&#39;2s :;&#39;._- A &#39;
sac, Sm Diego o 91L ll-.13..-.1 -&#39;*
Dear Sir:- PERSONAL urn nlmnu. &#39; j -- o
I 110: BENJAMIN SIEGEL, HAS &#39; o
MISCELLANEOUS} INFORMATION CONCHIHING-3&#39; CRIME SURVEY &#39;
Thin will oonrn the tolophoho conversation with you today. -

as: -.2 /37» $7.100
xi _.
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SAC, $311 D1950 Lugmt 8, 1945 &#39;
R0: HBHJAHIH SIEGEL, HAS
_1e described an _ &#39; l 9292
. _1e deecfibed as:  -   &#39; o 9 . - V
ue Bureau inn
information oonoerfnin;
grephe end fingerprintsI described ae:i
Z
A70 if ; J70
." 1&#39;
:1. 1,
F;bk, 
r.
thin urn nuke eflilebl to you  Q}; 70
r infometionq; the U&#39;.i- Guanine here H. - &#39;  u 1thin morning tho has definitely oroued the border into the * L70 f &#39;United Staten ed that the untou Ortioo in Sen Diego Q70bee e. file o It 1e euggeeted thet "  -
before securing ho ho r r
_=p 3 ep ngerp these hdividuele 7check the files of the son Diego Custom otoe. &#39;
, T Very truly your-e,
£70 _z_ £9" .- L I. OBTELTHOPP
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LOSA FROM NEW YORK 2 15 5-49 - PM HmSAC URGENT §
&_?¢al£BY
BENJAMIN  BUGS" SIEGEL, MISCELLANEOUS INFO CONCERNING, CRIME SURVEY.
&#39;  1" ALL
AVAILABLE SOURCES OE INFO IN NYC CHECKED WITH NEGATIVE RESULTBO
INFO NY FILES. IN EVENT ADDITIONAL INFO OBT _ AINED LA RE IDENTITY OF
THIS WOMAN EFFORTS WILL BE MADE TO DETERMINE HER IDENTITY AND BACK-
GROUND IN NY AREA.
P conmov _7
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FEDERAL BUREAU OF INVESTIGATIONS
UNITED STATES DEPARTMENT OF JUSTICE
_ - - - . - - - - - _ - - --- 1 . _ r
&#39;  - A &#39; . &#39; nut!!! .Transmit the followmg Teletypa message to. _L_mFOR,,;q- r _ mun . ,rm LOS amass - I s-15-1+6 A gigg-In &#39;  -sncsnmmcxsco A 1 uacnm n-D
&#39; &#39; n
BENJAMIN "BIES" SIEEL, HISC. INFO. CONCERNING, CRIME SURVEY. _ FOR PUR-
POSES OF CLARIFICATION OF NAMES REURTEL AUGUST T1-lIR&#39;1&#39;EEN&#39;I&#39;l-I LAST, LINES
&#39;
m~ M 1&#39;mE»°"°&#39;1&#39;"EL
I.
IHITE CONS&#39;IRU_CTION COIPANY UNQUOTE SHOULD READ DEL WEBB -CONSTRUCTION
COMPANY. REURTEL AUGUST &#39;I&#39;HTR%N&#39;1H LAST AT SIX NAUGHT TWO H,_ LINES &#39;
sxxmzn ma szmrrmm QUOTE srmm sun &#39;nm- amp 0? ma: CPA
HERE UNQUOTE ms maomaous mm &#39;ro._ susazcrs nxs1m=omm&#39;1on.1s
mm pr cm AT ammo, NEVADA. LINE mm QUO&#39;IEUNQUOTE
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I-M W we rm m <==-<»=1u~==m Ii
11s1m&#39;sL Auuusr nnksm mm mm! EIGHT
m, um: sxxmm mes om: QUO&#39;l"UNQUO&#39;l&#39;B :m_HAvn&#39; nmznnm 1&#39;0 A
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KIOIR R3 SUBJECT AND
IS.-FRI w-in_. | . --1 -
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- Apprvnl ________._} MM
Agent in OhsrilwASSOCIATES; ; Pm om: LIIl!*QUO&#39;1&#39;! am unaven-A -AIi
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.-~>92=,§5&§@3" * - J 1,"_  lateral ureau uf lnwegatmno&#39;  Hnitrh Staten Bepartmxmi nf luniirn 7
A Salt Lake City, nun
iv.92
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BUY
IIIIIII
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.
IIIIIII
nae-into &#39; August 14&#39; 1946HM _ _ _ .of T ,;;;4o=h--rvvfru.|:n0._..._______.-.. &#39; ] }!§CL%Sg I L1" K-$!__ _ _ A 1.-2.1-in J
m-. A. E. Oetholtboff rmnsouu.Federal Bureau of Investigation   * C T . W
900 Security Buildin S
Loe Angelee, California
Re: BENJAMIN "BUGS" SIEGEL
MISCELLANEOUS; IHFCRMATION CONCEHI ING3
cams smv§1r_DOB! S11!  lil ij &#39; &#39;
Reference is nade to your letter of Auguet 9, 1946, requesting
information concerning the divorce reportedly obtained by ESTHER SIEGEL
from BENJAMIN SIEGEL at Reno, Nevada»
92 C &#39; 0
ugue , was gran e a divorce rom
BENJAMIN SIEGEL The com laint recited tint the were married in New Y rk$70
T -The divorce recorde of the Waehoe Cou e, Reno,
under #105261, ae made available reflect
the following information: C
On A 1; 5 l% E L. smom. 1: a 1&#39;
e P Y  O
City, New York, on Janus. 9 8 d the. mi chi
ieeu
i __, __ he cclnplaint aleo reci e t e property eettle ;___
nentllhid been agreed upon per, a contract made June 20, 1946, and the plaintiff PK
offered thie ae exhibit "1&#39; in the prooeedinge, and aeioed tint the terme
thereof be adopted in the divorce decree. The compiint alleged that the
defendant had been guilty of extreme cruelty, mental in nature, and the
prayer of the complaint was that an absolute divorce be granted, with the
cuetody of the children given to the plaintiff, but with e right cf visita-
tion by the defendant "at all reasonable and eeaeonable time. lire. SIEGEL
Iae repreeented by DOHNELL RICHARDS, a Reno attorney. w
The file contained an Appearance and Waiver eigned by BEIIJAMII
SIHGEL and acknowledged at Loe Angelee, California, July 2, 1946, before
ANNA TAYLOR, Rotary Public, in which he in effect cemented to a default
decree, _
 The decree granted an absolute divorce, gave the custody of the
children to the mother, rith a right of vieitation ae let out in the complaint;
The property agreement was approved and fully adopted by the ecurt. ,
r7:-=-from-2-_=
AUG 16 1946l
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The above constitutes n informatio
62-!13O
co: 62-1123
cc: 94-142
£933.n contained in tho _divoroe filo.
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Wlrehiule £11110 and Sammy Calm were first called to Metro to write thewords and music to lt Happened in Brooklyn," theyesaid to pmducer Jack
Cummings, Let&#39;s not make the same mistake with this picture as they made
here with Anchors Aweigh. "
Cummings looked at the boys as if they had just escaped from the nearest
asylum. "The same mistake? Don&#39;t you know that every day truckloads ridein the front gate to unload millions of dollars this picture is coining all over
the country?" -
"Oh, we approve of that kind of take!  minus the rnisl. What we mean
is, we don&#39;t want to make the mistake of having Frank Sinatra and Kathryn
Grayson in the same picture and not have them sing at least one number
together." which explains why in "It Happened in B|Ook|yn, Sinatra and
Grayson will duet an aria from La Giovanni." &#39; -
The other p.m. Styne and Ca-hn played and sang me the entire soore-for
the picture, and in the words of Schnozzle himself, "It&#39;s collosial. It&#39;s a
cinch you will be hearing "I Believe," l&#39;rn So Lucky -to Be Loved By You,"
and "I Love the Brooklyn Bridge" on the Hit Parade, but the one I got thebiggest bang out of was the specialty number, As Long as It Comes fromthe Heart," with which Jimmie and Frankie will tear down -the house. Aspart of the patter, Jimmie asks Frank, "What makes Caruso the greatest-singer of the day? &#39; &#39;
"His voice? asks Sinatra. &#39; """""&#39;-&#39;
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