Authors: John Buntin
Siegel first visited Los Angeles in 1933 to check in on his childhood friend George Raft. Raft, a nightclub dancer in New York, had become a Hollywood star by playing gangsters like Bugsy in the movies. (His breakthrough role came in the 1932 movie
Scarface
as the coin-flipping sidekick to the Al Capone-esque Paul Muni.) It was not the most auspicious year for a first visit to Los Angeles. That spring, a massive earthquake had leveled a wide swath of Long Beach, killing more than fifty people and badly
shaking the confidence of the region. A quarter of the working-age population was unemployed. A vast hobo encampment (nicknamed “The Jungle”) had spread along the Los Angeles River. Siegel was entranced.
He was receptive to Los Angeles for another reason as well. The same year that Siegel made his first visit to the city, Congress repealed the Twentieth Amendment, ending national Prohibition. This was something the Syndicate had long feared. What happened next, though, caught Siegel and his associates off guard. Almost overnight they became wealthy—and quasi-legitimate businessmen. Underground distribution networks could become legal liquor distributorships. The Syndicate steamers loaded with booze suddenly had a future as legal importers. Speakeasies like the 21 Club and the Stork that had once operated behind barred doors with lookout holes now hung out Welcome signs. Siegel and Lansky’s car and truck rental company on Cannon Street, originally a front for bootlegging, was now a successful business in its own right. Siegel quickly became a partner in one of the biggest liquor distributorships in New York City.
Siegel’s lifestyle reflected his success. In the midst of the Depression, Siegel had an apartment at Broadway and 85th and a suite at the Waldorf-Astoria, as well as a house in Scarsdale for his wife and kids. Wealth and the possibility of legitimacy had a profound psychological effect on Siegel and his associates. “Viewed from their luxurious apartments and ducal estates, jail houses became utterly repugnant,” wrote newspaper columnist Florabel Muir, who’d observed Siegel’s career as a hoodlum since the early 1920s.
“Caution, fathered by the urge to preserve and enjoy their vast fortunes, overtook them,” she continued, adding, “There is nothing like a million dollars to bring about a conservative point of view.”
Los Angeles offered the chance for a new start. If a Lower East Side tough-turned-speakeasy-“hoofer” like George Raft could transform himself into a movie star there, then perhaps a former gangster could transform himself into a gentleman of leisure. And so in 1934 Siegel moved his wife, his two daughters, and the family German shepherd to Beverly Hills and promptly set out to join the movie colony elite. He rented a luxurious house on McCarthy Drive in Beverly Hills that had once been the home of opera star Lawrence Tibbett. He enrolled his two daughters in an elite private school and an exclusive riding academy. He became a member of the Hill-crest Country Club, the social center of the film colony. He shed his New York City gangster attire (hard-shelled derby hat, fur-trimmed coats, rakish lapels) in favor of two-hundred-dollar sports coats and cashmere slacks. He took as his mistress the most flamboyant hostess in Hollywood, Dorothy di
Frasso, a New York leather goods heiress married to an Italian count. Unfortunately, Siegel then ran into a problem—an embarrassing one. He got taken—for a million dollars.
At the end of Prohibition, Siegel had about $2 million in cash. Unfortunately, he then invested much of it in the stock market. In short order, Siegel had cut his fortune in half.
“If I had kept that million,” Siegel later mused to a friend, “I’d have been out of the rackets right then. But I took a big licking, and I couldn’t go legitimate.” Instead, he went back to what he knew best: organized crime. Los Angeles, which Siegel had once viewed as a playground, was now an opportunity.
BUGSY’S PALS back East were delighted by his decision to organize the West Coast. From Lansky and Luciano’s perspective, California was a backwater—an embarrassment, really. The Combination’s power had dwindled. McAfee and Gans controlled little more than prostitution and slots in the downtown core. Yet L.A.’s top Italian crime boss, Jack Dragna, had failed to step up, particularly when it came to asserting authority over fast-growing areas like the Sunset Strip. Located in unincorporated territory outside of the city of Los Angeles (and the reach of the LAPD), the Strip was the perfect vice center. But Dragna hadn’t established even a proper casino. “Jack wasn’t pulling the counties or the political picture together,” Cohen would say later. “There was no combination; everyone was acting independently.” Siegel would change that. Top New York mob boss “Lucky” Luciano contacted Dragna personally with the news that Siegel was taking change “for the good of us all.”
Dragna took the news poorly. It hardly mattered. Dragna had important connections back East himself (according to Cohen, he was related to Tommy “Three-Finger Brown” Lucchese), but Siegel was a peer of the realm, an equal to anyone in the Syndicate. Mickey Cohen would later describe him as “one of the six tops … right up with Capone.” Dragna stepped aside. Others were not so deferential.
One who declined to defer to an interloper from back East was Eddy Neales, the thirty-three-year-old owner of the Clover Club, a high-rolling Hollywood nightclub and casino just west of the Chateau Marmont above the Sunset Strip. The handsome half-Mexican, half-Caucasian Neales cut a dashing figure; the Clover Club was
the
gambling spot in a city that loved to test fortune at the tables. Neales also had a booming bookmaking business, thanks to California’s decision to legalize pari-mutuel betting at
racetracks in 1933.
*
By 1937, Neales was reputedly handling about $10 million a year in bets.
Neales didn’t rely on his personal popularity to protect his operations. Milton “Farmer” Page, a major figure in the Combination, was a silent partner. Neales and partner Curly Robinson were also paying a small fortune in protection money to the Los Angeles sheriff’s department, which had jurisdiction over the Sunset Strip. So it was perhaps understandable that when Siegel approached Neales and Robinson and informed them that he was looking to make a major investment in their club, they demurred. A confrontation appeared to be inevitable. Siegel recognized that he needed more muscle. So Siegel put out a call for talent. Cleveland and Chicago had just the person for the job, Mickey Cohen.
COHEN had outstayed his welcome in Chicago. At one point, he and his associates got permission from the Capone gang to open a blackjack game in the Loop. When that wasn’t lucrative enough, he decided to open a craps game, despite the fact that dice games were strictly off limits in downtown Chicago. Capone accountant Jake “Greasy Thumb” Guzik personally flew in from Miami to tell Cohen to wind up his craps game. Mickey declined. Several nights later, as Mickey was standing in front of his favorite haberdashery shop, a large black car turned the corner … and opened fire. Mickey hesitated. He was wearing a beautiful new camelhair coat, and he hated the thought of ruining it by “flattening out” in the gutter. If the Capone gang had been serious, he figured he’d probably already be dead. Still, he didn’t want to take any chances—or seem disrespectful. Into the slush he went.
Mickey was living like a man who didn’t value life. Whenever he needed a buck, he’d heist a store—sometimes two or three in a day. He developed a mania for cream-colored Stetson hats, which he’d purchase for $50, wear for a few days, and then discard. When he wanted a new hat, out came the gun. When holdups alone failed to keep Mickey in new hats and flossy suits, he reopened his craps game in the Loop. He made enemies casually. In early 1937, Mickey got into a beef with a former slugger for Chicago’s Yellow Cab company. One day Mickey ran into the man in a restaurant and pistol-whipped him. After getting drunk, the man tracked down Mickey and stuck a gun in his back. Cohen spun around, got his hand on the rod,
but wasn’t able to wrest the firearm away from his would-be assailant. So the two men decided to go to a coffee shop to talk matters over, each with a hand firmly on the gun. They sat down at the counter. An instant later, Mickey smashed a sugar dispenser over the man’s head.
“His head split open like a melon and blood flew all over the joint,” Mickey noted later, with evident satisfaction. As the coffee shop erupted in screams, Cohen dashed down to the cellar to dispose of the gun. But the cops found the weapon and arrested him for attempted murder.
There was, of course, an easy way out: Mickey could tell the police that the gun wasn’t his and that he’d acted in self-defense. Fingering someone for the cops, however, was something Mickey just wouldn’t do. He clammed up. But for the last-minute intervention of Pop Palazzi, the Capone gang’s Chicago counselor, Cohen might well have gone to prison. Instead, he was told to leave town. He went to Detroit. There he learned that Bugsy Siegel was looking for muscle in Los Angeles. Detroit wanted Mickey to go there to help out—and to keep an eye on Bugsy. So did Cleveland. And so in 1937, Mickey returned to his old hometown.
MICKEY was supposed to get in touch with Siegel as soon as he arrived in Los Angeles. Instead, he decided that he’d first make a few scores and put a little money in his pocket. If Siegel wanted to get in touch with him, well, then Siegel could come and find him. Mickey quickly hooked up with two Italian brothers, Fred and Joe Sica, who were freelance holdup men. Together, the three men went “on the heavy.” They found a city that was easy pickings. Tipsters were easy to recruit. Mickey and his crew were soon heisting two or three joints a week. Brothels, shops, drugstores—any place with cash on hand was a possible target. Soon Mickey was summoning old colleagues from Cleveland, Chicago, and New York to come join him in L.A. As their confidence increased, so did the size of their targets. Were these establishments perhaps under someone else’s protection? Mickey didn’t know, and truth be told, he “didn’t even give a shit.”
“I was out with ten different broads every night,” he later boasted, “and I was in every cabaret that they could possibly have in town.” Bugsy Siegel was forgotten—until, that is, Mickey and his crew made a spectacularly foolish heist.
Their target was a commission bookmaking office on Franklin that handled high-roller bets and was owned by Morris Orloff, one of the biggest bookmakers in town. Mickey got in using one of his favorite ruses. At nine in the morning, he started banging on the door. The peephole opened and an ex-deputy sheriff eyed Mickey suspiciously. Mickey played it cool:
I says to the doorman, “Is Morey in?”
“Don’t get here till ten o’clock or later,” he says.
“I got to give him this here,” I says, “and pick something up.”
“Put it through the peephole,” the ex-cop says.
“I can’t,” I says, “it’s a package.”
The ex-cop opened the door—and found himself staring into the barrel of Mickey’s .38. Two of Mickey’s associates forced their way in.
The baby-faced kid messenger tone was gone. “Lookit you cocksucker,” Mickey told the lookout, “you just move and you’re gone.”
The man didn’t move. Nor did the four other men in the room who were looking at Mickey. Mickey herded them into a corner and then announced that he was going to wait for Morey Orloff himself to arrive with the big money.
“Look kid, you got alla the money,” said a big Italian man in the corner. “Whatta ya wanna stay around here. A copper could come in.”
Mickey walked over to the man. He was wearing a large diamond stickpin. Mickey ripped it off.
“Listen you dago bastard,” Mickey yelled at the man, “mind your own business or I’ll put a phone through your head. I’m staying for Morey Orloff if I gotta stay till tomorrow.”
Another man spoke up. “I’m Morey Orloff.” To prove it, he showed Mickey his signet ring. That Orloff was joined at the hip with Jack Dragna, Los Angeles’s top Italian crime boss, troubled Cohen not one bit. He took the signet ring too. Then, just as Mickey had hoped, an Orloff flunky arrived—with $22,000 in cash. Mickey and his crew took the money from the messenger and left.
Now Siegel was looking for Cohen. That afternoon, Mickey got a call from Champ Segal, who ran a popular barbershop next to the Brown Derby on Vine—and managed the featherweight boxing champion of the world. Segal was one of Bugsy’s closest associates. He was also one of the few people in Los Angeles who knew Mickey well enough to have a phone number where he could be reached.
“Ben Siegel wants to see you.” (No one called Siegel “Bugsy” to his face.)
“Ben who?” Mickey responded, vainly attempting to project innocence.
“Ben Siegel, a name you got to stand attention to,” Champ replied sharply. Then, no doubt aware of how touchy Mickey was, he shifted tone. “Look, do me a favor and come on up” (to the Hollywood YMCA). Bugsy routinely spent his afternoons there, working the bag and enjoying the sauna, and he wanted to talk to Cohen. Mickey agreed.
When Mickey arrived at the Hollywood Y, he was greeted at the door by Champ and by one of Bugsy’s men.
“Mr. Siegel is expectin’ you,” the man said curtly. He led Mickey and Champ down to the sweat room. Siegel emerged, clad in a towel and with a big smile on his face.
“Take a walk, Champ,” Siegel said. Champ left. Siegel turned to Mickey.
“You were supposed to contact me when you got here,” he said.
“I didn’t get around to you yet,” Mickey responded sullenly. “I wanted to see my family. I been busy.”
“Pretty big score you got this morning,” said Siegel.
Mickey said nothing.
“I want you to kick back the money,” said Siegel.
“I don’t know what you’re talking about,” Mickey replied.
Siegel smiled. “You’re a good boy, but you’re a little crazy. I want you to kick back that money.”
“I wouldn’t kick back no money for my mother,” snarled Mickey. “I don’t give a fuck who or what it is. When I go on a score and I put up my life and my liberty on the score, I wouldn’t kick back to nobody.”
“You heard what I said,” Siegel said coldly.
“Go take a fuck for yourself,” said Mickey. And with that, he stalked out.