Atlantic City Conference

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The Atlantic City Conference held in 1930 was a historic summit of leaders of organized crime in the United States. It is considered by most crime historians to be the earliest organized crime summit held in the US. The conference had a major impact on the future direction of the criminal underworld and it held more importance and significance than the Havana Conference of 1946 and the Apalachin meeting of 1957. It also represented the first concrete move toward a National Crime Syndicate.^[1]

Some historians believe that representation at the conference was not representative of the ethnic make-up of the US criminal element, being that the delegations consisted of mostly Italian and Jewish crime leaders. Because of the lack of a substantial Irish delegation, a conclusion was made that this could have been the beginning of underworld domination by Italian and Jewish crime groups. The Irish still possessed an influential presence in America's criminal and political worlds and had a number of dominant crime leaders in New York, Boston and Philadelphia that were not invited and eliminated soon afterward, leading some to believe it was decided the Irish were to be left on the fringes of the underworld.^[2]

Crime leaders at the conference allegedly discussed the violent bootleg wars in New York and Chicago, systematic elimination of various Irish-American gangsters presently dominating underworld activities and influencing politics in the largest cities across US, diversification and investment into legal liquor ventures, expansion of illegal operations to offset profit loss from the probable repeal of Prohibition, and reorganization and consolidation of the underworld into a National Crime Syndicate.

The Conference

Jewish crime Boss Meyer Lansky was married in early May 1929 and his closest underworld friends concluded that the resort town of Atlantic City, New Jersey would be an ideal place to have his honeymoon and hold the conference, allowing Lansky to mix pleasure and business, along with the rest of the Bosses. The date and place was set for the weekend of May 13–May 16, making the conference the first known underworld summit of its kind, which could be considered the first concrete move towards establishing the National Crime Syndicate that eventually controlled all major criminal activities across the United States.

The Atlantic City Conference was said to be hosted by John Torrio, Charlie "Lucky" Luciano, Frank Costello and Meyer Lansky, depending on who you ask. The old world leaders or "Mustache Petes" from New York, Giuseppe "Joe the Boss" Masseria and Salvatore Maranzano, were not invited, as well as future underworld power Joseph "Joe Bananas" Bonanno since he was Maranzano's top lieutenant at the time. The list of crime leaders who were invited to attend the conference read like a who's who of the Prohibition era and the future of organized crime. The host of the conference was powerful, Atlantic City and South Jersey crime Boss, Enoch "Nucky" Johnson, who provided the hotel accommodations, food and entertainment for all, while making a guarantee of no police interference.

Of course the largest delegation in the conference came from the New York/New Jersey area and included Bosses John "The Fox" Torrio, formerly of Chicago, Charlie "Lucky" Luciano, Frank Costello, Giuseppe "Joe Adonis" Doto and Vito Genovese, all top members of Manhattan's powerful Masseria Family, Albert "The Mad Hatter" Anastasia, Frank "Cheech" Scalise and Vincent Mangano, from the D'Aquila/Mineo Family of Manhattan, Gaetano "Tommy Brown" Lucchese, represented the Reina Family out of the Bronx, Quarico "Willie Moore" Moretti, represented the Masseria Family's Newark, New Jersey interests, Meyer "The Brain" Lansky and Benny "Bugsy" Siegel, Bosses of the Bugs and Meyer Mob, who protected liquor shipments in the New York/New Jersey areas, Louis "Lepke" Buchalter and Jacob "Gurrah" Shapiro, considered the underworld's "Rockefellers" and also known as the "Gorilla Boys", Abner "Longy" Zwillman, also representing Newark, New Jersey, Dutch Schultz, Bronx beer baron and Harlem numbers king, Owen "Owney the Killer" Madden, Boss of Manhattan's Hell's Kitchen and the Irish Combine, Frank Erickson, former Rothstein Lt., Costello associate and future bookmaking kingpin.

Chicago was represented by Alphonse "Scarface" Capone, Frank "The Enforcer" Nitti, Jake "Greasy Thumb" Guzik, Frank "Frank Cline" Rio, top members of the South Side Capone Gang and representing Mid West interests, Capone body guard and only one of two Irish gangsters present Frank McErlane of the South Side Saltis/McErlane Gang. From Philadelphia came the top Jewish Bosses, Irving "Waxey Gordon" Wexler, Harry "Nig Rosen" Stromberg, Max "Boo Boo" Hoff, Irving "Bitzy" Bitz and Charles Schwartz. From Cleveland came the "Little Jewish Navy" of Morris "Moe" Dalitz and Louis "Lou Roddy" Rothkopf, along with adopted Polizzi Family member, Leo "Charles Polizzi" Berkowitz who represented "Little Italy's", "Mayfield Road Mob". The feared Purple Gang of Detroit was represented by brothers Abe and William Joseph "Bugs Bill" Bernstein. Boston's most prominent bootlegger, Charles "King" Solomon was present, while Kansas City's "Balestrere Gang" and the "Pendergast Machine" were represented by Boss John Lazia. Delegations from Florida and Louisiana were also present at the time, which would most likely be, Luciano and Costello allies, Santo Trafficante, Sr. of Tampa and Sylvestro "Silver Dollar Sam" Carolla of New Orleans.

Two of the underworld's most powerful leaders, Giuseppe "Joe the Boss" Masseria and Salvatore Maranzano of New York were not invited. The old guard or "Mustache Petes" maintained traditional old world ideals and business practices that restricted them from working with other ethnic gangs outside of the Italian underworld, this was counter to the ideals and principles that the leaders, such as Luciano and Torrio wished to express to the other delegates in Atlantic City. At the time of the conference, future underworld power, Joseph "Joe Bananas" Bonanno was Maranzano's top Lt. and aide and was not invited to Atlantic City, but he would soon become one of the architects of the "National Crime Syndicate" and the La Cosa Nostra Commission.

The conference started off with a bit of an embarrassing incident for some of those invited who tried to check into the first hotel Nucky Johnson had them registered at. Johnson had registered them at the exclusive Atlantic City Breakers Hotel along the Boardwalk, which was restricted to white Anglo-Saxon Protestants, and Nucky had used proper Anglo-Saxon aliases for the guests. (Ironically, in later years, the Breakers Hotel catered to a mainly Jewish clientele, becoming known as "The Aristocrat of Kosher Hotels".) Once the hotel's management got a look at some of the guests who were trying to check in, the aliases didn't match the Italian and Jewish faces staring at the management and they delegates were refused admittance in to the hotel, the manager not knowing who he was refusing. By this time Johnson had heard about the problem and rushed over to the hotel to take care of the situation. Al Capone being himself screamed at Nucky Johnson for not making the proper arrangements and a loud argument ensued between the two gangsters while the others watched and hoped they would not come to blows. Suddenly Johnson who was taller and heavier than Capone shoved him into a limousine and ordered every one to follow him. They headed for the Ritz-Carlton and Ambassador Hotels and when Capone reached the hotel he ripped several framed paintings and photos off the walls of the hotel and started to throw them at Nucky Johnson. The others concentrated on keeping Al Capone calm and quiet for the time being.

For the first three days there were a constant round of parties at the hotels with Nucky Johnson supplying plenty of liquor, food and girls for entertainment. For the guests who brought their wives or girlfriends, Johnson provided the women with fur capes as gifts. Meyer Lansky who was the new bride groom and guest of honor received the Presidential suite at the Ritz Hotel, with a constant supply of champagne for him and his wife Anna.

There were several important items to discuss among the Bosses and attendees such as constant competition for imported and bootleg liquor profits among the gangs, what to do about the liquor business if or when Prohibition ends, greater investment in gambling operations and what to do about the Chicago and Irish problems. As would be expected with sharply dressed gangsters from around the United States, the Atlantic City delegates conducted their more serious discussions and business, privately in conference rooms atop the Ritz and Ambassador Hotels, but not all the meetings were held in a room around a long table, some discussions were had out in the open, with the delegates taking their socks off and rolling up, their pants for walks along the beach, on the sand and in the open air. This made the Conference no great secret, with local newspapers carrying photos of Al Capone and some of the other prominent delegates as they cruised down the boardwalk and beaches, dipping their feet into the water.^[2] Important decisions were made to stop competing with each other during the remainder of Prohibition and cooperate in pooling their resources to maximize profits and develop a national monopoly in the illegal liquor business. One of the most important discussions was what to do when Prohibition ends. The Bosses decided to reorganize themselves and their gangs into cooperative organizations, investing in legitimate breweries, distilleries and liquor importation franchises. By making investments in the legitimate liquor business and by owning nightclubs, bars and restaurants to distribute the liquor and maximize profits, this gave the Syndicate some security against the repeal of Prohibition.

The delegates held discussions about taking a larger interest in illegal and cooperative gambling activities such as bookmaking, horse racing and casinos. The New York and Chicago representatives laid out a plan to tie in the national wire service for horse racing bettors with the Daily Racing Form and to lay off bets throughout the United States. This idea was introduced to the conference delegates after Al Capone ran into Chicago's Moses Annenberg who controlled the mob that enforced distribution of William R. Hearst's newspapers in the Chicago area. The Families in New York and Chicago would oversee and direct operations for this cooperative and very lucrative venture. New York Bosses, Frank Costello and Meyer Lansky were chosen as directors to coordinate the operations along with Chicago representatives. New York's future layoff king and gambling czar Frank Erickson was chosen to oversee the organization of the operation along with Chicago's Moses Annenberg. Chicago businessman and underworld associate Moses Annenberg was not originally invited to the conference, but after running into Capone, the well known Annenberg was most likely invited to confer with the leaders on business matters concerning the national race wire.

It was agreed by the conference delegates that investments in the legitimate liquor business and gambling was the way to offset the loss of profits from the end of Prohibition and discussions to divide the country into exclusive franchises and territories for the Bosses and their gangs were started at the Atlantic City Conference.

Another important topic was the ongoing violence and bloodletting that was occurring in Chicago. The underworld wars in Chicago and to some extent New York, had brought about a public and media outcry on law enforcement to stop the violence. There had been added media and law enforcement attention and this was placing pressure on underworld rackets and operations around the country. Most of the pressure was mainly due to the recent St. Valentine's Day Massacre in Chicago. With former Al Capone Boss and mentor Johnny Torrio taking the lead and Charlie "Lucky" Luciano and the other delegates backing him up, Capone was chosen as a sacrificial lamb to ease the heat brought on the underworld and its leaders. Al Capone was convinced after much debate and refusal to allow himself to be arrested on a minor charge and sent to prison for a short period of time, deflecting the media and law enforcement pressure for the good of the whole underworld. After the conference was concluded, Chicago underworld Boss Al Capone and his bodyguard Frank Rio went to Philadelphia where two friendly cops arrested and charged them with carrying a gun. Al Capone and Frank Rio were sentenced to a year in prison, but were released and back in Chicago after several months.

The future of organized crime

Before the end of the conference, emphasis was laid on the fact that all of the future plans and operations had to be appropriated and administered peacefully among the country's Bosses and criminal organizations, avoiding the sort of violent conflicts that had plagued the underworld in the past. The highly successful "Big Seven Group" was used as a model of future organization and peace for the new "National Syndicate". New York Bosses, Giuseppe "Joe the Boss" Masseria and Salvatore Maranzano, were two old guard mafiosi who held a lot of power and influence nationally and could not be taken lightly. The two major underworld powers were ready to square off in a war, which was seen as running counter to the organizational plans for the future the Atlantic City delegates had agreed upon. The leaders that attended the conference all agreed that to continue with the Syndicate's future plans, the old guard or "Mustache Petes" would have to be eliminated eventually. It was understood that New York's Charlie Luciano and Meyer Lansky group, along with their alliance of up and coming "Young Turks" would have to deal with the old line Bosses once the time was right. The new national alliance or Syndicate in Chicago, Detroit, Boston, Philadelphia and elsewhere would back up the New York forces through removal of the old guard in their areas if need be. It was clear to the delegates at the Atlantic City Conference that Charlie "Lucky" Luciano was a leader who commanded great respect and would eventually become first among equals in the Syndicate. Underworld leaders such as Charlie Luciano, Johnny Torrio, Frank Costello, Meyer Lansky and Arnold Rothstein were men of the same ideology and vision, who saw the future of crime in organization and cooperation. They led America's most powerful criminals with innovation and determination and laid the foundations for the National Syndicate and its long reign over the underworld, which was started with the Atlantic City Conference in 1930.

Atlantic City delegates

The terms Capo and Consigliere were not used until Salvatore Maranzano labeled the Italian underworld Cosa Nostra in 1931, the terms Lieutenant and Advisor were more common at the time, except with the Maranzano Family, (future Bonanno crime family) which had already been following the strict Cosa Nostra traditions of their native Sicily. The position of Consigliere did not exist until Charlie "Lucky" Luciano became the defacto first amongst equals in La Cosa Nostra and added the position to the Family hierarchy in 1931, when he formed the Commission.

Underworld members, city or delegation they represented and their rank at time of conference:

Atlantic City:

• Enoch "Nucky" Johnson - South Jersey/Atlantic City Boss/Host

New York/New Jersey:

Chicago:

• Alphonse "Scarface" Capone - South Side/Capone Gang Boss/Chicago
• Frank "The Enforcer" Nitti - South Side/Capone Gang Lt./Capo/Chicago
• Jake Guzik - South Side/Capone Gang Lt./Capo/Chicago
• Frank "Frank Cline" Rio - South Side/Capone Bodyguard/Chicago
• Frank McErlane - Saltis/McErlane Gang Boss/Chicago

Philadelphia:

• Irving Wexler - Jewish Mob Boss/Philly
• Max Hoff - Jewish Mob Boss/Philly
• Harry Stromberg - Jewish Mob Boss/Philly
• Irving Bitz - Jewish Mob Boss/Philly
• Charles Schwartz - Jewish Mob Boss/Philly
• Samuel Lazar Jewish Mob Boss/Philly

Cleveland:

• Morris Dalitz - Little Jewish Navy Boss/Cleveland
• Louis Rothkopf - Little Jewish Navy Boss/Cleveland
• Leo Berkowitz - Little Jewish Navy/Mayfield Road Mob Associate/Cleveland^[5]

Detroit:

• William Joseph Bernstein - Purple Gang Boss/Detroit (a.k.a. "Bill Bugs")
• Abraham Bernstein - Purple Gang Boss/Detroit

Kansas City:

• Giovanni Lazia - Pendergast Machine/Balestrere Gang Lt./Capo/Kansas City (a.k.a. Lazio)

Massachusetts:

• Charles Solomon - Jewish Mob Boss/Boston^[6]
• Frank "The Cheeseman" Cucchiara - Boston North End Gang/Buccola Family Lt.^[7]
• Frank "Bootsy" Morelli - Providence Morelli Gang Boss.^[8]

Florida:

• Santo Trafficante Sr. - Senior Tampa Family Member/Tampa^[9]

Louisiana:

• Sylvestro Corallo - Matranga/Giacona Family Lt./Capo/New Orleans^[10]

Problems identifying attendees

Some crime historians, such as T. J. English, believe that the Italian and Jewish crime bosses did not invite the most prominent Irish bootleggers and criminals of the time to the Atlantic City Conference because they intended to wipe them out along with the old guard or "Mustache Petes" that controlled the majority of criminal operations in the big cities. Daniel "Danny" Walsh of Providence, Rhode Island, was one of the leaders that most crime historians are unsure attended the meeting. Walsh was one of the most prominent Irish bootleggers of the Prohibition era, was an associate and partner of New York's Irish Combine leaders (William "Big Bill" Dwyer and Owney Madden), and was an alleged member of the "Big Seven Group". This alone should have guaranteed his invitation, but some crime historians point to the fact that the Irish bosses were about to be eliminated and that only two other Irish bosses were present at the meeting. Walsh's membership in the "Big Seven Group" and the fact that he was not eliminated until 1933, makes for a good argument to include him. But had he been present, he would have been the only Irish boss in attendance.

The most prominent and well known Irish Bosses of the time included Frank Wallace of Boston, Daniel "Danny" Walsh of Providence, George "Bugs" Moran, the South Side O'Donnells (brothers Edward (Spike), Steven, Tommy and Walter), the West Side O'Donnells (Klondike and Myles), William "Big Bill" Dwyer, Charles "Vannie" Higgins, Jack "Legs" Diamond and Vincent "Mad Dog" Coll of New York. None of these men were present, not even Walsh.

Many historians believe English is correct: The Italians and Jews wanted to wipe out the Irish bosses, and so did not invite them. Frank Wallace was killed by hitters in Boston's Italian Mob in 1931, Danny Walsh was dealt with and disappeared in 1933, Bugs Moran would have been the Irish Boss to represent Chicago, but he had just missed being killed in the St. Valentine's Day Massacre when his gang was decimated and he faded into obscurity soon after, the South Side and West Side O'Donnells of Chicago weren't as powerful as Moran and would not have been chosen to represent Chicago, they were at war with Capone and his allies. New York's Vannie Higgins, Legs Diamond and Vincent Coll were involved in the "Manhattan Beer Wars" against Jewish Bosses Dutch Schultz, Waxey Gordon and English/Welsh Boss, Owney Madden. At the Atlantic City Conference, Schultz was heard saying at the Ambassador Hotel. "This crazy maniac Coll is causing me no end of grief", were Gordon added, "Yeah, and what about this bastard, Legs Diamond? He's hijacking my trucks and raiding our clip joints all over North Jersey".^[2] Vannie Higgins was killed on January 19, 1932 in New York, Legs Diamond was shot three times and killed in his Albany, New York hideout on December 18, 1931 and Mad Dog Coll was killed inside a New York phone booth by Schultz gunmen, while talking to Owney Madden on February 8, 1932.

In the New England area Prohibition wars, Jewish Mob Boss and Boston's most prominent crime leader and bootlegger, Charles "King" Solomon was killed at his Roxbury, Boston speakeasy, known as the Cotton Club on January 24, 1933. Law enforcement theorize that either Italian or Irish underworld leaders in the North End Buccola Family of Boston, Massachusetts or the Walsh Mob of Providence, Rhode Island had Solomon assassinated, either way, Solomon became another victim of the mob war for dominance in New England's underworld. As Irish Bosses Wallace and Walsh were killed by Boston's North End Italians, Solomon was most likely killed by them as well, being that Italian dominance was uncontested in the New England underworld thereafter.^[11]

Another interesting sidenote was that future US Ambassador to Britain, millionaire and father of president John F. Kennedy, Joseph P. Kennedy was allegedly a leading Prohibition era rum runner and whisky baron in Massachusetts, Rhode Island and New York. Kennedy made his legitimate millions in banking, real estate and the Hollywood movie business, but he was an alleged associate of gangsters Bill Dwyer, Owney Madden, Danny Walsh, Frank Costello, Al Capone and is also mentioned in Joseph Bonanno's book, "A Man of Honor". In recent years information on Joseph Kennedy has been leaked to the media and various investigative reporters linking him to these gangsters, exposing his Prohibition operations. It is alleged that he did business with Dywer, Madden and Costello's New York Combine, their regional offshoot in Providence run by Danny Walsh and with Al Capone's Chicago organization. Kennedy was not a bootlegger, per se, but an importer and wholesaler, who purchased large quantities of alcohol from England and Canada and facilitated its shipment. after the booze was purchased, it was usually transferred from Nova Scotia to the eastern seaboard, where it was off-loaded under cover of darkness along the Massachusetts or Rhode Island coastline or somewhere in Long Island, New York. The crime syndicates or gangs and their bootleggers would take over from there, making Joseph P. Kennedy and his family very rich. It is alleged that Kennedy kept his associations with the underworld all through his life, becoming the middleman between the underworld and political worlds of Massachusetts and New York, using the underworld's connections to labor unions for business and political purposes. Joseph P. Kennedy's most famous act was getting the Chicago and New York underworlds to assist in the election of his son John F. Kennedy to the Presidency of the United States by having the underworld solicit votes and support from the labor unions, politicians and prominent community members all under the mobs influence.^[2]

See also

Crime portal

Notes

1. ^ Sifakis, p. 21-22
2. ^ ^{a b c d} English, p. 173
3. ^ Gagliano was Tommy Luchese's superior and close associate, and a Charlie Luciano ally. If he was an ally of the Luciano faction he would have been represented by Tommy Luchese, his second in command.
4. ^ He was a Frank Scalise associate and business partner, and eventually a strong supporter and future ally of Charlie Luciano.
5. ^ Leo Berkowitz was of Jewish descent, but he was adopted into a prominent Cleveland underworld family, the Polizzi Family and was taken under the wing of his mentor Al Polizzi. His Jewish decent and Italian associations allowed him to be recognized as an affiliated member of both the Little Jewish Navy and Mayfield Road Mob, which aligned themselves into a larger crime group in the 1930s to form Cleveland's leading criminal organization and recognized crime family.
6. ^ Allegedly, Solomon did not want to fully co-operate with the Luciano faction or create new alliances with former Italian rivals in his area of Boston, he was eventually eliminated by Luciano allies.
7. ^ His group was a leading underworld power in Boston, just behind Frank Wallace & Charles Solomon. After the elimination of Wallace and Solomon in Boston, Massachusetts, along with Walsh in Providence, Rhode Island, the Italians reigned supreme in New England's underworld. Cucchiara and Charlie Luciano were born in neighbouring Sicilian villages in 1897 and stayed close friends throughout their lives, Frank Cucchiara worked closely with Charlie Luciano in New York and Al Capone in Chicago throughout the 1920s and remained a close associate of both men. It is more than likely Cucchiara would have been the Boston representative for the Italians. The future New England Family Consigliere later represented his Family, along with the deported and deposed New York Bosses, Charlie Luciano and Frank Costello at the 1957 Apalachin Meeting.
8. ^ Frank Morelli led a powerful Prohibition era gang that controlled bootlegging and gambling operations in Providence, Connecticut and Maine and would most likely be the Italian representative for Providence in Atlantic City. His gang merged with the Boston North End Gang/Buccola Family in 1932 to form the New England Family. Morelli the Family's Underboss until his retirement in 1947.
9. ^ Trafficante is the most likely delegate. Trafficante held close ties with the New York mafia, but he was aligned with boss Joe Profaci, a close Maranzano ally and the man who allegedly supported Trafficante's leadership in Tampa. Trafficante being present at the meeting may have been seen as a betrayal to his allies in New York, so he was most likely not present.
10. ^ Corallo is the most likely delegate. He was a leading group leader within the New Orleans mafia who was considered by many Mob historians to be street boss of the old Matranga faction and possibly acting boss of the New Orleans crime family at this time. The New Orleans crime family was very autonomous throughout its history and shown much respect by affiliate mafia groups due to it being the oldest mafia family in America. Corallo was the leading bootlegger in his territory or area and had dealings with certain east coast bosses and rumor was he had been approached by Luciano to support his eventual coup against the old guard leaders within the mafia, but there is no solid or concrete proof of any kind that Corallo was present.
11. ^ Fopiano, p. 11

References

• McPhaul, Jack. Johnny Torrio: The First of the Gang Lords. Arlington House, 1970.
• Messick, Hank. Lansky. Berkley Medallion, 1971.
• Gosch, Martin & Hammer, Richard. The Last Testament of Lucky Luciano. Dell Publishing Company, 1974.
• Wolf, George. Frank Costello: The Prime Minister of the Underworld. William Morrow & Company, 1974.
• Charbanneau, Jean Pierre. The Canadian Connection. Optimum Publishing, 1976.
• Fopiano, Willie & Harney, John. The Godson: A True Life Account of 20 Years Inside the Mob. St. Martins Press/Thomas Dunne Books, 1993.
• Time Life Books. True Crime: Mafia. Time Warner, 1993.
• Sifakis, Carl. The Mafia Encyclopedia: Second Edition. Checkmark Books, 1999.
• Reppetto, Thomas. The American Mafia: A History of Its Rise to Power. Henry Holt & Company, 2004.
• English, T. J. Paddy Wacked: The Untold Story of the Irish American Gangster. Regan Books, 2005.

External links

• Johnny "The Fox" Torrio: The Father of Modern American Gangsterdom by Allen May
• Waxey Gordon: Half A Century At Crime by Allen May
• Three Thin Dimes: The Demise of Larry Fay by Allen May
• Vannie Higgins: Brooklyn's Last Irish Boss by Allen May