-Caveat Lector-

excerpts from:
On The Take - From Petty Crooks to Presidents
William J. Chambliss©1978
Indiana University Press
ISBN 0-253-34244-9
-----
An amazing book. Quite interesting. Documents a national system of pay-off and
corruption.
Om
K
--[3]--
CHAPTER SEVEN

The Higher Circles

DURING ONE OF Seattle's seemingly endless winters, I began to feel permanently
enveloped in the greyness of sunshineless days. Basking in the gloom cast by
the drizzle, I sat with a prominent local attorney in one of the better
restaurants in the city. The attorney had on occasion invested in illegal
ventures. We had become friends during the course of my research, and he had
helped me penetrate the upper echelons of the criminal network that managed
Seattle's illegal businesses. On this occasion he had called and asked me to
lunch. After an appropriately unfocused conversation of fifteen minutes he
paused and said, "Did you know that Meyer Lansky was in town the other day?
You know his son lives in Olympia?" This attorney and I had talked about Meyer
Lansky before. We both knew him to be one of the major financiers of illegal
businesses in the United States. He continued, "Meyer contacted ___ [a lawyer
known to be a principal go-between for network members]. He told him to pass
the word to Rosellini that Meyer would pay everything necessary for Rosellini
to run for governor."

That was as gloomy as the weather. It nonetheless brightened the conversation.
We talked at length about why Lansky would be willing to invest such a large
sum of money in the state's governorship. We did not unravel the mystery that
afternoon, but this information started me in the direction I needed to
understand not only Lansky's unusual offer but the connection between what was
happening in Seattle and what was happening elsewhere in the United States at
that time.

Outside Connections

When the crime network was in full swing, on the fifteenth of every month a
member of the state House of Representatives flew from Seattle to a city a
thousand miles away carrying a satchel full of one-hundred-dollar bills. This
was "washed money," which had been filtered from gambling profits through a
bank. The amount in the satchel varied depending on how much of the bookmaking
profits had to be "laid off' during the preceding month, how much the
investors from other cities had coming as their share of profits from various
illegal transactions in the city, and how much (if any) local profiteers
wished to invest in businesses run by network operators in other cities.

Despite the mythical character of the idea of a Mafia, there is nonetheless a
national crime network, the structure and organization of which parallels
rather closely the structure and organization of the network in Seattle. That
is to say, it is a loose affiliation of businessmen, politicians, union
leaders, and law-enforcement officials who cooperate to coordinate the
production and distribution of illegal goods and services, for which there is
a substantial consumer demand.

The satchel the state congressman carried out of Seattle every month flew with
him to an expensive bar, to a lawyer who represented illegal interests in that
city. The lawyer took the satchel with him to his office, where he added its
contents to an even larger amount gathered from his own city's illegal
businesses. The entire amount was then flown to Las Vegas, where a
representative took the money. A few days later the currency was converted to
larger bills, added to the "skim" from Las Vegas casinos, and flown to
Florida. Meyer Lansky took his share of the profits and sent the remainder off
to investors and associates in other citiesNew Orleans, Cleveland, Detroit,
and New York-whose investments entitled them to a certain share of the profits
from Seattle, San Francisco, Las Vegas, and Miami.

Crime networks flourished in the cities of America during prohibition. Many of
the leading personalities in these associations had begun their upwardly
mobile ascent out of poverty earlier, when they were employed by businesses as
strikebreakers. Some were later employed by or actively engaged as members of
labor unions to combat the violence of businesses that tried to break union
inroads.

But prohibition was the impetus for the emergence of organized efforts to
provide the illegal commodities that people wanted, namely alcoholic
beverages, and the services they were willing to pay for: gambling,
prostitution, high-interest loans, and so forth.

Following World War II the growth in wealth and power of crime networks was
unmatched by the growth rate of any other industry. The nation's economy,
which was thriving on the discovery of credit buying, on the wealth to be had
from the expropriation of resources of less-developed nations, and on the
markets won by dividing the world up with the Soviet Union, created an
affluence that seemed boundless. Commodities and services that were illegal
were in heavy demand. Profits were incredible. Restrictions were minimal..

The associations shared similar problems of existence. They had incredibly
high profits from gambling, drugs, and usury which they wanted to invest. But
where? How? The economy and criminal operations were expanding everywhere, and
the investment of excess capital was critical. Furthermore, with their
expanded operations, they were also in need of federal influence. The growth
of the bureaucracy in Washington posed an ever-increasing threat to criminal
operations. Payoffs and cooperation of local and state governments were
sufficient to ensure relatively trouble-free operations locally, but federal
agencies, controlling drugs and federal crimes as well as federal legislation
that could either facilitate or impede operations, became increasingly
important. Crime networks benefited from the same economic and political
climate that benefited other businesses from 1945 on.

The situation was replete with opportunities for someone who could provide
investment opportunities and federal political clout. As is always the case in
situations such as this, someone came along for the job. That person was a man
long associated with criminal operations in New York and a close associate of
most of the leading crime figures of the thirties, Meyer Lansky.

Meyer Lansky had a shrewd businessman's eye for discovering new territories
and creating impressively high profits for his associates, namely people who
ran or profited from network operations in cities like Cleveland, New York,
Cincinnati, and Kansas City.

Lansky's empire began with a fairly modest investment in Broward County,
Florida. The Colonial Inn was south Florida's first major gambling and
entertainment establishment outside of Miami Beach. Investors in the club
included the major figure in Detroit's crime network, Mert Wertheimer, who
owned one-third of the Colonial Inn, and Joe Adonis, leading racketeer in one
of New York's networks, who owned 15 percent. Lansky kept 16 percent for
himself and distributed the remainder among his close friends and relatives.
The profits were staggering, even by syndicate standards where profits less
than 20 percent are considered losses. From Florida, Lansky moved into Cuba,
where profits were even more impressive and where he also purchased the
goodwill, friendship, and protection of Fulgencio Batista, the Cuban president
before the socialist revolution. To top off these investments, Lansky invested
heavily in the heroin traffic from Turkey and France and opened a hotel
gambling casino in Las Vegas. By so doing, Lansky assured himself of the
undying loyalty and admiration of even the most anti,-Semitic members of crime
networks across the nation. Mark it, however, that he was no 1, godfather." He
was simply a well-respected, trustworthy investor with excellent political
connections-connections which were able to get even Lucky Luciano out of
prison on a pardon.

Lansky also had an almost unerring eye for the political payoff system. He
chose his candidates well, but he also covered himself (and those who depended
on him for help) by financing candidates who competed with each other. Thus,
he paid handsomely into the campaigns of both Thomas E. Dewey and Franklin
Roosevelt. He contributed to the political campaigns of Lyndon Johnson, as
well as Hubert Humphrey, George Smathers, Russell Long (and Huey Long before
him), John Connolly, Richard Daley' Albert Rosellini, and Edmund Brown, to
mention only a few.[10] But he paid more here than there, a fact that was
ultimately to be his undoing. Those who play the political payoff game take
the chance of financing the loser. When that happens, their fortunes fall as
surely as they rose when they financed the winner.

Like his brothers and sisters in private industry, a syndicate leader is
measured by the profits he produces. The stockholders are the profiteers from
crime operations in New York, Trenton, New Orleans, Las Vegas, Seattle,
Portland, and cities across the country. Also, like his brothers and sisters
in private industry, a successful syndicate operator must manage political
payoffs to ensure the protection of crime network interests. Meyer Lansky
probably has done both jobs better than anyone in the history of organized
crime.

The years from 1932 until 1964 were Democratic years almost everywhere.
Naturally Lansky placed his money, at least a disproportionate amount of it,
in the hands of Democrats. In Seattle as elsewhere he worked diligently for
Democrats. It paid off. judges were appointed, legislation passed, and
protection provided. Lansky's investments in the Democratic Party were often
coordinated with, or given through, trade unions, especially the
Teamsters.[11] Whether given directly or indirectly, the money funneled to
politicians in the form of "campaign contributions" or bribes was designed to
purchase influence. As newscaster David Brinkley observed:

George Meany of the AFL-CIO is fawned over in Washington but not entirely for
his intellectual brilliance. And not because he can deliver labor's votes. He
can't. What he can deliver and does deliver is political money.

The present U.S. Ambassador to Great Britain was not appointed for his
contributions to creative foreign policy and diplomacy but for his
contribution of political money. This is not new. Back in the fifties, the
President appointed one of his big contributors ambassador to a country, then
it was found he didn't even know where the country was.

So, jobs like that, and Washington influence, are in effect for sale. All it
takes is money, political contributions in election years. If you give enough,
Washington's favors can be yours—influence, flattery, social success,
invitations to swell affairs, and even ambassadorships to countries with nice
climates and cheap servants. Perhaps more important, influence on domestic
policy, such as taxes, affecting your own business and income.

Running for office has become incredibly expensive, and candidates have to get
money somewhere. The Democrats get a lot of it from the unions, and the
Republicans get a lot of it from rich individuals and corporations.

No doubt, there are some rich unions and people charitable soul, who will give
money expecting nothing return, but they are scarce. A big political
contribution usually is seen as an investment. It's a scandal everyone admits.
But it's worse now, because running for office costs more. Public cynicism
about politics and politicians already runs high. If this is not cleaned up,
the political system will come apart-with influence, dominance, and even
control put up for sale to the highest bidder.[12]


It has been commonly accepted by those who play the political game seriously
that a major source of Democratic Party revenue for the past fifty years has
been a laborunion-crime network coalition.

The most important source of political money for the Democrats and Republicans
alike is, of course, the contributions that flow from "legitimate" business,
that is, from those businesses whose principal product is a legal one,
although the means by which the business is conducted may be highly illegal.
The means of conducting the business and the business itself may, in fact, be
far more harmful to more people than the business of organized crime.
Nonetheless, it makes sense to differentiate businesess  whose main product or
service is illegal, since this difference in legality does create important
differences in the way the businesses are managed and how they function.

Despite the fact that both Democratic and Republican parties receive their
major share of financing from legal businesses, the sad fact (from the
Democratic Party's point of view) is that the Republicans receive the greater
share of that political money. However, the labor-union-crime network funds
that oil the Democratic Party's machinery help to equalize the
disproportionate share of political money that legitimate business and
industry give to the Republican Party.

>From the 1930s and into the 1960s, there emerged an unspoken detente between
Republican and Democratic leaders with respect to some of the major sources of
campaign contributions. The Democratic and Republican parties came to control
different sources of the available political money. Obviously, if either party
could undermine a major source of the other party's political money, the
balance of power so crucial to any workable detente would be severely
threatened as the money shifted into the coffers of one party.

Shortly after his election to the Presidency in 1968, Richard Nixon began a
campaign which, had it been successful, would have shifted much of the labor-
union-crime-network political money from the Democratic to the Republican
Party. Whether this was a knowledgeable plan on the part of Nixon and his
political advisers is something we do not know. judging from the now available
insights into how this group of men planned numerous political forays to
increase their position of power, one suspects that the attempt to corner
funds for their political interests may have been quite rationally made. In
any case, whether by design or simply as a by-product of other decisions, the
consequence for the balance of power between the Republican and Democratic
parties would have been the same.

Nixon had long-standing and very close ties to a number of people whose
business profits derived at least in part from illegal businesses. Regardless
of how heavily involved in crime enterprises these associates and partners of
Nixon were, it is tempting to speculate that they were involved enough in such
places as Dade County, Florida; the Bahamas; Costa Rica; and Las Vegas, and in
such enterprises as drug trafficking, stock frauds, bank swindles, and
gambling casinos to have the wherewithal to run illegal businesses profitably.

The Nixon administration's campaign against "organized crime" was in fact a
campaign against those crime networks that were most closely connected with
Nixon's political foes, Republicans and Democrats. This campaign had the
effect of eliminating the entrenched owners and managers of crime cartels,
thus affording Nixon's associates and partners an opportunity to increase
their share of criminal enterprises. To bring this about, the Nixon
administration systematically exposed networks in Democratic Party
strongholds, while ignoring networks who supported Nixon's wing of the
Republican Party.[13] At the same time, the campaign against organized crime
attempted to purge Meyer Lansky from his position as a major link between
different organized crime interests and the Democratic Party.

Lansky's empire was vast. The Republicans' first attack was on his Las Vegas
holdings. For this attack Howard Hughes was available to invest in the casinos
and hotels, which Lansky was being forced to sell by state political pressure
that threatened to end the skimming of profits which made the casinos so
profitable, by subpoenas and indictments brought by Republican-appointed U.S.
attorneys where Democrats had reigned heretofore, by Internal Revenue agents
under Republican control, and by FBI agents under Republican control. So he
sold out of Las Vegas, and Howard Hughes came in. Immediately the profits that
were for political payoffs began moving into the Nixon campaign fund and out
of the Democrats'.

In south Florida Lansky was indicted by a Republicancontrolled grand jury for
perjury. In Las Vegas he was indicted for tax evasion.

Control of a Miami-based bank shifted from Lansky to Nixon associate Bebe
Rebozo. Union funds that had gone to Lansky for investment and into Lansky's
banks were transferred. Law firms that had had lucrative union contracts lost
them to Republican firms; the Teamsters hired Nixon's own law firm. For all of
this, the Republicans paid off. Nixon granted Jimmy Hoffa executive clemency,
and Hoffa was released from prison. Frank Fitzsimmons, who was the replacement
for Hoffa as head of the Teamsters, was publicly acknowledged by Nixon as
being "welcome in my office any time; the door is always open to Frank
Fitzsimmons."

It was not only the door to his office that was open; so too was the door to
his airplane. In January 1973 the Los Angeles office of the Federal Bureau of
Investigation learned that a syndicate leader from the Midwest was coming to
Los Angeles to work with Teamsters officials to arrange a billion-dollar
health insurance contract for Teamsters' members. Frank Fitzsimmons came to
attend the final meeting. The FBI bugged the offices for seventytwo hours
preceding the major meeting, but when they requested permission to continue
the bug (which by federal law they had to do), the attorney general's office
turned down the request. The meeting between Fitzsimmons, a Midwest associate,
and insurance company officials took place, and the contract was signed.
Fitzsimmons left immediately to meet Richard Nixon in Palm Springs, and they
flew back to Washington, D.C., together. The International Herald-Tribune
reported these events in the April 30, 1973, edition as follows:

Two ranking officials to the Department of justice eight weeks ago turned down
a request by the Federal Bureau of Investigation to continue electronic
surveillance that had begun to penetrate Teamsters's union connections with
the Mafia, according to reliable governmental sources. Attorney General
Richard G. Kleindienst and Assistant Attorney General Henry E. Petersen were
said to have made the decision after 40 days of FBI wiretapping had begun to
help strip the cover from the Mafia plan to reap millions of dollars in
payoffs from the welfare funds of the International Brotherhood of Teamsters.
The officials acted on the grounds that investigation had failed to show
"probable cause" to continue eavesdropping, the sources said.

They reportedly acted after having received a memorandum, prepared at the
direction of L. Patrick Gray III, who was then the bureau's acting director.
The memorandum, which made no recommendations, indicated the sensitivity of
the investigation, which was reportedly producing disclosures potentially
damaging and certainly embarrassing to the Teamsters' president, Frank E.
Fitzsimmons, the Nixon administration's staunchest ally within the labor
movement.

Endorsement

The administration's cultivation of the two-million-member union culminated
last year in a Teamster endorsement of the President's reelection, and Mr.
Nixon has made it clear that the door to his office is always open to Mr.
Fitzsimmons.

The Kleindienst- Petersen decision came less than a month before Charles W.
Colson, special counsel to the President, left the White House to join a
Washington law firm to which Mr. Fitzsimmons had transferred the union's legal
business.

Before leaving the White House, Mr. Colson had been instrumental in
formulating administration political strategy regarding organized labor.

The electronic surveillance began on January 26, under an order of the Federal
District Court in Los Angeles authorizing the FBI to tap 11 telephone numbers
in the offices of People's Industrial Consultant, 9777 Wilshire Blvd., Los
Angeles, justice Department sources said.

The consulting firm is a Mafia front set up to channel Teamster welfare money
to underworld figures, the sources said.

On February 14, the court authorized an extension of the tap until March 6.
The taps were requested and installed under the omnibus Crime Control and Safe
Streets Act of 1968.

FBI Affidavit

What was learned from the taps was described in an FBI affidavit submitted to
justice Department lawyers. The affidavit asked for continuance of the
existing surveillance for 20 days and installation of new taps on a public
telephone and the office telephone of an alleged mobster implicated in the
plot to siphon money from the Teamsters.

The affidavit said that investigation up to then, including the use of
electronic listening devices, had indicated "a pattern of racketeering
activity-that is, a series of payments of commissions or kickbacks" flowing
from corporations controlled by a doctor in league with the mob through
People's Industrial Consultants "to the officers and agents of the employee-
welfare benefit plan," in violation of federal statutes.

Mr. Petersen and Mr. Kleindienst, however, would not allow an application for
renewal of the court order.

A request Friday to the justice Department for comment from the two government
officials went unanswered.

The FBI affidavit cited information reportedly given to the bureau by an
informant in contact with an associate of Allen Dorfman, consultant to the
Teamsters' billion-dollar Central States, Southeast and Southwest Areas
Pension Fund, who began a federal prison term a month ago for conspiring to
receive a kickback in connection with a loan application made to the pension
fund.

"Source No. 3"

The informant, identified in the affidavit as "source No. 3," said that on
February 8, at the Mission Hills Country Club in Palm Springs, California,
Dorfman's associate introduced Mr. Fitzsimmons to Peter Milano, Sam Sciortino
and Joe Lamandri, identified, by the FBI as southern California members of the
Mafia. The Teamster leader was in Palm Springs participating in the Bob Hope
Desert Classic golf tournament.

justice Department sources reported that, according to the informant, the
three men presented to Mr. Fitzsimmons a proposal for a prepaid health plan,
under which members of the union covered by its welfare program would be
provided with medical care by Dr. Bruce Frome, a Los Angeles physician.
Monthly medical fees for each union member would be paid by the central states
fund from the millions of dollars contributed to it by employers under
Teamster contracts.

In a 15-minute conference with the three, the informant added, Mr. Fitzsimmons
gave his tentative approval and sent the group to a Palm Springs residence for
definitive discussions with Dorfman.

The FBI were said to have learned that the next day Mr. Fitzsimmons met with
Lou Rosanova, identified by justice Department sources as an envoy for a
Chicago crime syndicate, which sought a percentage of the Los Angeles mob's
take on the health plan.

Justice Department investigators say that they have evidence that the Chicago
branch of the Mafia is determined to retain the access it had to the pension
fund through Dorfman during James R. Hoffa's Teamster presidency. Hoffa was
imprisoned after being convicted of tampering with a federal jury and pension
fund fraud.

As a result, according to the federal agents, the Chicago Mafia members have
kept a sharp eye on Dorfman and Mr. Fitzsimmons since Mr. Fitzsimmons gained
clear control of the union.

In 1971, President Nixon commuted Hoffa's eight-year prison sentence, with a
provision that precludes his holding union office until 1980.

Nixon's Plane

Rosanova and Mr. Fitzsimmons had talks again on February 12 at La Costa, a
plush resort and health spa in San Diego County, according to the Orange
County and San Diego County authorities. The same authorities reported that a
few hours after that meeting Mr. Fitzsimmons boarded President Nixon's plane
and flew to Washington with the President. Both Rosanova-Fitzsimmons meetings
were reportedly observed by informants of the Orange County District
Attorney's Office. On February 27, at La Costa, the same informants say that
they heard Rosanova boast of a future payoff split between him and Mr.
Fitzsimmons.

In its affidavit seeking an extension and a broadening of electronic
surveillance, the FBI cited as a basis for its request Title 18, Section 1954,
of the U.S. code, which prohibits commissions and kickbacks to union and
welfare plan officials in return for the placement of union business.

Corroboration

During the 40 days the devices were in operation, the sources said, recorded
conversations greatly supplemented and tended to corroborate information
gathered in other phases of the investigation being carried on by the bureau
and authorities in Los Angeles, Riverside, San Diego, and Orange Counties.

On February 9, the day after Milano, Sciortino and Lamandri allegedly met with
Mr. Fitzsimmons and Dorfman in Palm Springs, the taps at People's Industrial
Consultants were said to have picked up a conversation between Dr. Frome and
Raymond de Derosa, identified by the California authorities as a muscle man
for Milano, who operates out of the consulting company's offices.

The FBI affidavit said that de Derosa had told the doctor that "the deal with
the Teamsters is all set." De Derosa indicated to Dr. Frome, according to the
affidavit, that People's Industrial was in the line for a 7 percent
commission, and they talked about a possible $1 billion-a-year business.

In other tapped conversations, de Derosa reportedly said the PIC would get a
10 percent cut of the medical payments. He reportedly complained that the
concern had to "give away three points (3 percent) to get the deal."

This is apparently a reference to that part of the deal surrendered by the Los
Angeles Mafia figures to pacify the Chicago representatives.

Meyer Lansky was left out of the Teamsters-Republican Party coalition. Several
years later it was reported that Nixon could get $1 million from the Teamsters
Union. He told John Dean that this fund could be used for hush money. The
Washington Star reported on Sept. 29, 1977:

. . . the $1 million may have been what Nixon referred to in the March 21,
1973, White House meeting with Dean concerning the Watergate burglars, demands
for huge sums [of] money in return for keeping quiet.

According to a transcript of a tape of that conversation, Nixon said to Dean:
"What I mean is you could get a million dollars ... And you could get it in
cash. I know where it could be gotten.... We could get the money. There is no
problem in that."

But Lansky's empire was much more than a link with the Teamsters. His
investments in Las Vegas were supplemented by major holdings of casinos and
hotels in the Bahamas, which he helped open up after Cuba was brutally thrust
outside the gambling circuit for American tourists. Businessmen who supported
the Republican Party attempted to wrest control from Lansky in the Bahamas by
manipulating political leadership. Bebe Rebozo made extensive investments in
hotels and casinos and tried to buy up and compete with Lansky's enterprises.
Someone attempted to murder a leading politician who was favoring Rebozo in
the struggle.

The final attack on Lansky was probably the most successful and the most
serious. The Republicans attempted to close off his sources of heroin. They
did this by pressuring the Turkish government to enforce the law prohibiting
the growing of opium, the plant from which all heroin is refined. At that time
(late 1960s) Turkey accounted for probably go percent of the opium processed
into heroin and shipped to the United States. By 1972 Turkey was accounting
for less than 40 percent, and Lansky had lost control over a major source of
his financial empire.[14] The Republican administration also pressured the
Latin American governments whose countries were layover points in the heroin
route to America, and Lansky's principal Latin American coordinator of heroin
traffic, Auguste Ricord, was forced out of Argentina, where he had been
managing the traffic for years. He was eventually arrested in Paraguay.[15]

Meanwhile, the heroin traffic from southeast Asia, especially from the Golden
Triangle of northern Thailand, Burma, and Laos, expanded production and a new
source of heroin for the incredibly lucrative American market opened up. It is
unknown whether this new heroin source was linked to Republican politicians,
but the fact that the CIA and the South Vietnamese governments under generals
Ky and Thieu actively aided the development of this heroin source suggests
that such a link is not beyond the realm of possibility.[16]

Lansky must have known he was fighting for his life. Always a heavy
contributor to the Presidential election, in 1968 he outdid himself by a good
margin. Through his agent, Sam Levinson, Lansky contributed at least $240,000
to Hubert Humphrey's campaign against Nixon. Lansky also contributed heavily
in support of the Democratic governor of Washington. In fact, so heavily did
he contribute that according to political observers there the Democratic
candidate was able to ignore altogether the usually timeconsuming task of
raising campaign contributions.

The format of the attack against Democrat-controlled crime networks was much
the same everywhere. Newly appointed Republican U.S. attorneys called grand
juries to investigate corruption and racketeering. In Chicago one of
Illinois's leading Democratic politicians, Otto Kerner, who had formerly been
the governor of Illinois and was at the time of his exposure a U.S. judge, was
indicted, tried, found guilty, and sentenced to prison for accepting a payoff
while he was governor. As we have seen, in Seattle the bulk of the political,
law-enforcement network members and even a few of the racketeers were
indicted.

In the state the Democrats lost the governorship despite Lansky's heavy
financing. Moreover, the state attorney general's office was also won by a
Republican, and to make matters totally unliveable for the existing network, a
Nixon-affiliated Republican won the county prosecutor's office. These shifts
in state and local political fortunes would mean considerably less money for
Democrats in the state, because the new network would be formed around a
moderate Republican-oriented group. It would thus mean considerably more money
for the Republicans.

Thus it was that the network in Seattle came to its demise. Newspaper
reporters who reported the comings and goings of the network, and law-
enforcement officers who exposed the guilty culprits took well-deserved pride
in their role. The county prosecutor and the U.S. attorney, who worked long
hours to build cases against network members, were pleased with their role. It
was a marvelous experience in which the righteous thought they were
spearheading a campaign against evil. What they did not realize was that they,
in fact, were only pawns in a much larger game that was going on at the
highest levels of government.

This began to dawn on some when, after the indictments were brought and some
key players in the network had been removed from their positions of power and
sufficiently compromised so that new appointments could be made, the word came
from Washington, D.C., to stop further investigations. The governor suddenly
cooled on the idea of seeing the indictments through to prison sentences. The
FBI and other investigative units denied the rumor that gambling, drug
trafficking, and prostitution were coming in again under new management. The
Republican judge, whom the defendants had all agreed on as presiding judge,
dismissed the indictments on all but three of the key defendants.

Or maybe those most involved in the network's demise simply turned their heads
and began looking to their careers and their political futures. Maybe the
reaction of a reporter who early on tried to expose the network was typical:
"It's all over. There is no more gambling." This same reporter, six years
before, had gone to see whether or not there was gambling. Now he was willing
to accept the myth that prevailed that the network had been broken, that
Seattle was "clean."

The network's demise did not usher in a new era of freedom from the rackets or
from the influence of crime. The evidence at hand suggests that the whole
process of exposing the crime network resulted from political and economic
struggles taking place outside of Seattle, King County, and the state.

CHAPTER EIGHT

The Enemy Is Us


IN THE MIDDLE AGES, when Anglo-American criminal law was being formed, there
was no pretense of applying the law uniformly across class lines. When
prostitution, gambling, public intoxication, drug use, and the like were made
criminal, it was not intended nor was it the practice to apply these laws
indiscriminately to all social classes. The upper classes were free to gamble,
engage prostitutes, or take drugs without fear of interference from the state.

In time the emerging commercial, mercantile, and industry-owning classes
sought to use the state as a means of equalizing their position vis a vis the
heretofore dominant landed aristocracy. The law was one of the means through
which this struggle was resolved. By insisting on the right to a trial by
jury, by establishing an adversary system of justice, by creating a set of
social relations built around contractual obligations, the emerging class of
businessmen and manufacturers was able to bring the landed aristocracy to
heel; at least the two ruling classes were made more or less equal in the law.
The lower classes were of course excluded from this equality.  . . .

pps. 150-169

--[cont]--
Aloha, He'Ping,
Om, Shalom, Salaam.
Em Hotep, Peace Be,
Omnia Bona Bonis,
All My Relations.
Adieu, Adios, Aloha.
Amen.
Roads End
Kris

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