DE 29-1432 VGW:MOS = 1 On September 16, 1963, DAVID GREENSPAN, Supervisor, Michigan Corporation and Securities Commission (MCSC), Cadillac Square Building, Detroit, Michigan, made available a file con- cerning JOSEPH F, VERHELLE, 873 Berkshire, Grosse Pointe Park 30, Michiga, which contained the following information: An Application for License for Individual Real Estate Broker was signed by VERHELLE February 19, 1963, and Real Estate Broker License Number A 36083 was issued to him by MCSC March 29, 1963, VERHELLE was described on the application as age 65; born January 1, 1898, at Aalter, Belgium; United States citizen; 5'10"; 220 pounds; brown eyes. The application further indicated that VERHELLE had resided at 873 Berkshire for-more than 20 years, his occupation was "banking," he was self employed in 1963 and he was employed for the preceding four years as President of Public Bank, in connection with which CLAUDE CRUSOE, Chairman of the Board of Directors, was listed as a reference, Other references listed were JOHN L. BROWN, 19235 Strathcona, Detroit 3, and O; E, WOLFORD, JR., 17200 Freeland, Detroit 35, The application stated that VERHELLE had never engaged in the busmess of selling real estate, oil leases or royalties, or securities; that he expected to engage in "casuai real estate sales and business opportunities' and did not expect to engage in the sale of property located outside of Michigan. WILLIAM HENRY GALLAGHER, 19471 Shrewsbury, Detroit 21, and LAWRENCE I, LEVI, 19425 Argyle, Detroit 5, both of whom are attorneys, signed a "Recommendation" on the application, certifying that they had known VERHELLE for at least a year and that he "bears a good reputation for honesty and fair dealiiig"; they recommended that a real estate broker's license be granted to... VERHELLE. An Affidavit in Support of Application for Real Estate Broker's License, signed by VERHELLE, February 14, 1963, indicated he had resided in Wayne County, Michigan, for more than 30 years and had been in the bankng business for more than 40 years, in connection with which he had participated in closmg hundreds of real estate transactions and had reviewed and passed upon appraisals. The affidavit further stated that during. the past. six months VERHELLE had acted as financial consultant to various individuals and concerns and intended to continue to do so;inthat capacity he had negotiated for substantial -2- | AW 56792 DoclId: 327306480 Page 5
| HW 456792 DE 29-1432 VGW:MOS - 2 loans, on behalf of his clients, with banking interests within and without the State of Michigan; in some instances there was likelihood of his being called upon to participate in negotiating mortgages on real estate property securing such loans, and he had been advised that in such case it might be necessary for him to have a broker's license in the State of Michigan, : A letter dated March 28, 1963, to MCSC from BERNARD J. YOUNGBLOOD, Wayne County Register of Deeds, stated that he had been personally acquainted with VERHELLE for more than 25 years and was directly associated with him while VERHELLE was President Of Public Bank for five years and YOUNGBLOOD was Chairman of the Board of Directors, The letter further stated. that VERHELLE "alwas conducted himself in an honest and forth- right manner and he is certainly a man of high moral character and integrity. I belxve he is well qualified and deserving of the consideration he is seeking in applying for a broker's license in Michigan." A letter dated March 27, 1963, to MCSC from JOHN B. SWAINSON, attorney, 2905 Cadillac Tower, Detroit, indicated that he had known VERHELLE for a number of years and had occasion to employ his services from time to time. The letter further stated that VERHELLE "is a gentleman of the highest charader, competence and integrity and is well respected in the community." The MCSC file indicated that VERHELLE's application had been transmitted to the MCSC Commissioner by personal letter from SWAINSON, who specified the date on which he would like for VERHELLE to be given an examination. GREENSPAN advised that VERHELLE apparently maintains contact with SWAINSON, former Governor of Michigan. VERHELLE failed the first examination given him by MCSC and GREENSPAN was instructed to go over the examination with VERHELLE, VERHELLE subsequently passed the examination and the license was transmitted to him through SWAINSON's office, In the mean- time, a waiver, or temporary permit, had been issued to VERHELLE , who apparently needed it in connection with some pending deal. The business address shown for VERHELLE on his. examination paper, March 13, 363, was 4461 West Jefferson, Detroit 9. GREENSPAN made available a copy of a photograph submitted with _VERHELLE' s application, DoclId: 327306480 Page 6
) HW 456792 DE 29-1432 VGW:MOS - 3 The MCSC file contained a Credit Data Corporation report showing that VERHELLE has been married to FRANCES VERHELLE, age 63, for 45 years; has no other dependents; has resided since 1932 at 873 Berkshire, a brick home with eight bedrooms, valued at $55,000.00, and owned free and clear; has worked part time as a financial consultant since his retirement from Public Bank and earns $30,000.00 a year; his assets include various insurance policies totaling $250,000.00; furniture valued a more than $20,000.00; a 1961 Cadillac and a 1960 Oldsmobile, both owned free and clear; checking and savings accounts with Public Bank; a checking account with Southgate Bank, opened May 11, 1962, with a medium four figure balance, Records of the Michigan Secretary of State's Office show that a 1959 Oldsmobile Sport Sedan, Michigan license DJ 1768, is registered in the name of FRANCES M,’ VERHELLE, 873 Berkshire, Grosse Pointe 30, Records of the Michigan Secretary of State's Office also indicate that a Cadillac Sedan, Michigan license EJ 3633, is registered in the name of JOSEPH F, VERHELLE, 873 Berkshire Road, Grosse Pointe Park 30. DoclId: 327306480 Page 7
fSEK Law 10(a)2 DE 29-1432 a VGW:MOS - 1 On September 24, 1963, Department Attorney WILLIAM P, FRENCH advised. that after several unsuccessful -; attempts, a Deputy United State Detroit, had lo(a(9) , one : Detroit attorney, ‘ FREN CH 963 advised that he was representing peat oi not arrive at the Federal Kima fe and one-half hours the ederal Grand Jury. See engaged in a etroit. Mr. FRENCH advised that information had been received by the Department of Justice to the effect that LOUIS LINTEAU, former Teamsters official at Pontiac, Michigan, may have-gone to Cleveland in about 1960 to obtain WILLIAM PRESSER's signature on a document relating to a loan or renewal of a loan from Public Bank. It was alleged that LINTEAU ‘performed this mission as an accgammdation for JOSEPH VERHELLE in anticipation of getting VERHELLE's approval for a loan to LINTEAU from Public Bank, VERHELLE allegedly implied the loan would be made to LINTEAU, upon receipt of a deposit from the Teamsters Welfare Fund in Chicago, but LLINTEAU did not reaive the loan from Public Bank. No record of a loan by Public Bank ‘to. WILLIAM PRESSER was located during the FDIC examination of Public Bank. which began December 26, 1961. Mr. FRENCH requested that LINTEAU be interviewed and that it be determined whether the above- mentioned transaction allegedly involving WILLIAM PRESSER was related to the Public Bank loan to Vendorama of Ohio, Inc., concerning which previous investigation has been conducted in this case. ‘In the course of another investigttion, the following information was received concerning LOUIS C, LINTEAU, aka. Louis Raymond Linteau, Raymond L. Linteau, Louis Clark Linteau, FBI Number 367 052 B, a former Business Agent and ~ Secretary-Treasurer, of Teamsters Local 614, Pontiac, Michigan: -5- ) AW 56792 DocId: 32306480 Page &
os DE 29-1432 VGW:MOS - 2 LINTEAU was arrested by the Macomb County Sheriff's Office, Mt. Clemens, Michigan, on May 14, 1953, on a charge of aggravated assault. LINTEAU was indicted at Detroit on September 29, 1953, on a charge of extortion and conspiracy to extort. He pleaded guilty to conspiracy to accept bribes on September 14, 1954, and on October 12, 1954, he was fined $500.00 and sentenced to five months in the Detroit House of Correction, Other defendants in the above=mentiaed indict- ment included SAMUEL JOHN MARROSO and FRANK: E, FITZSIMMONS. MARROSO served time with LINTEAU, but FITZSIMMONS did not, and it was alleged that LINTEAU had gone to prison "to save FITZSIMMONS' skin." On February 13, 1958, LINTEAU pleaded guilty in United States District Court, Detroit, to a charge of violating Section 715, Title 38, United States Code, and was sentenced to serve six months in prison, which sentence was suspended, and he was placed on probation for one year, This case involved the submission of false statements to the Veterans Administration in regard to Government insured mortgage loans. LINTEAU also was the subject of various complaints and investigations concerning possible violations of the Federal Anti-Racketeering Statute and the Labor Management Relations Act of 1947, in which prosecution was declined by the United States Attorney, Detroit. ; | HW 56792 DoclId: 327306480 Page 9
FD-302 (Rev. 1-25-60) -/ FEDERAL BUREAU OF INVESTIGAT’ ‘I fo - - x . : \. Y sy . _ Gctober 14, 1968 Date : \ s,s «LQUES CUARINEEAG = CLS Bast Tennycon. Pontiac, WMichican., was #Htérviewed at his place of business, o6 East Pike (Waldron Hotel}. Pontiac, where he operates Chief Cab Company and Airport Service Lines. He voluntarily furnished ? q “ . . 2 ot \ a ae ke “ A ee / the féllowing information on October 3, 2963, after being , _ .... advised that he didnot have to make a statement, that any statement he did make could be used against him in court wi that he was entitled to consult an attorney. _ About 21959,, LENTEAU began operating Auto hurepe; Tac. (AE), a deskrship for foreign automobiles in Pontiac. fo assist in financing AEI, in the latter part of 1959 or the early part of 1960, LINTEAU obtained a $10,000.00 ican from Public Bank, Detroit, Michigan. The note was in the name of LINTEAU and his wife, MARCELINE, and the collateral was their interest in the Commerce Drive-In Theater. . &n the latter part of 1960 or the early mrt of . 1961, LINTEAU attempted to obtain a $25,000.00 loan from \ Public Bank, also for use in connecticn with the cperation \ of ABI. The collateral which he offered included commercial \: Property, in which his mother had/an interest, as woll as | -\. . . other property, which he considered more than adequate to secure \oe the loan. Various documents concerning the proposed - collateral were turned over to Public Bank, and LINTEAU was ie told the final decision regarding the loan would have to be . made. by JOSEPH F, VERHELLE, President of Public Bank. On one Occasion, LINTEAU: waited in Public Bank for several -. hours in an attempt to talk to JOSEPH VERHELLE, but although /" WERHELLE was in the bank at the time, he did not. talk to ' LINTEAU until after LINTZAU had called FRANK BE. FITZSIMIONS, -: a Detroit Teamsters official. VERHELLE implied that the loan would be made to LINTEAU, but VERHELLE claimed that he first had to give attention to two "big loans,” one of which involved WILLIAM PRESSER, LINTEAU did not recall the names of any other individuals or companies being mentioned by VERHELLE in connection with the two “big loans" mentioned above.’ VERHELLE said something about PRESSER not renewing a uote, but did not | suggest. .or,.request that LINTEAU contact PRESSER or do anything else in-regard to the PRESSER matter. : > Although VERHELLE indicated he would take care of LINTEAU after the two alve-mentioned loans were handled, 10/3 and oo On 20/63 iat _Pontiac, Michigan File # Detroit 29-1432 SA NORMAN F, SIMON and by SA VEBNON G. WALTERS / MOS Date dictated 10/11/63 This document contains neither recommendations nor conclusions of the FBI. It is the property of the FBI -and ts loaned to your agency; tt and its contents are not to be distributed outside your agency. | HW 56792 Doclda:32306460 Page 10
- unsuccessfully, to get Public Bank to return to him the papers ..,he had submitted regarding collateral for the loan, but he. ., aid nottreceive the papers until almost two years later, Due to the lack of these papers and the unexpated delay by HW 56792 Teamsters organiation. LINTEAU stated that when he ws an ... FITZSIMMONS and "BERT" BRENNAN, Detroit Teamsters officials, and he met various officials of the Teamsters at meetings of DE 29-1432 2 LINTEAU never received the requested loan and never was given a specific reason for the ext nded delay. He tried, Public Bank concerning the requested loan, LINTEAU was handicapped in getting other financing. There also was disagreement between LINTEAU and Public Bank as to the amount remaining due on the $10,000.00 note of LINTEAU and his wife. This matter was not resolved to LINTEAU's satisfaction and he indicated he intends to sue Public Bank, He stated there also was an indebtedness to Public Bank allegedly arising from a deficiency judgment after Public Bank repossessed two station wagons which had been financed by LINTEAU and his partner when they began operating Airport Service Lines, . LINTEAU stated he never. applied for a loan of more” than $25,060.00 from Public Bank. He advised that when. he was attempting to borrow from Public Bank, nothing was said to him to the effect that the loan would be made because of a deposit which had been made or was expected to be made. at Public Bank by the Teamsters Pension Fund or by any other official of Teamsters Local 614 in Pontiac, he was a "small cog" in the Teamsters organization and his activity and influence were primarily limited to the Pontiac area, He was fairly well acquainted with JAMES R.' HOFFA, FRANK E, the Central States Teamsters Conference in Chicago, Illinois, but he did not recall meeting WILLIAM PRESSER or any other member of the Presser family. LINTEAU stated he never made a trip to Cleveland or elsewhere in Ohio, in regard to PRESSER or any transactions with Public Bank. LINTEAU said that he | “wouldait go across the street" as a favor to JOSEPH VERHELLE. LINTEAU examined photographs of WILLIAM PRESSER, LOUIS BABE TRISCARO and DOMINICK EDWARD BARTONE, but stated he did not recognize them and did not recail their names, except that he believed PRESSER was a Teamsters official in Ohio; LINTEAU did not recognize the names of Niagara Crushed Stone, Alvin Naiman Corporation, Bantam Industries, Vendorama of Ohio, ELIOT JANEWAY or ALVIN A, NAIMAN, LINTEAU thought: the name NATE DOLIN sounded somewhat familiar, but he recalled no specific connection, DoclId: 327306480 Page il
| HW 56792 DE 29-1432 3 In the latter part of 1961 or the early part of 1962, LINTEAU applied for a $125,000.00 loan from the Teamsters ' Gentral States Pensiom Fund in Chicago. He had not previously applied for a loan from this source. He had mentioned his need for such a loan to JAMES R. HOFFA, who told LINTEAU to ..  gend the application for the -loan to AL MATHESON. This loan :~ was intended for the purpose of paying off LINTEAU's indebted- ness to the férmer owner of AEI, financing cars sold through _< ABI, and building a "Burger Chef!" drive-in restaurant in the. . “ Pontiac, area. The collateral offered by LINTEAU for this loan included real estate and commercial interests, which _ LINTEAU estimated were worth three or four times the amount “of the requested loan. This estimate was confirmed by a representative of the Reai Estate Research Corporation of Chicago, who came to Pontiac to appraise the property for the Teamsters Pension Fund. LINTEAU later went to Chicago and appeared before an eighteen man committee of trustees of -‘the Pension Fund and this committee acted favorably upon LINTEAU's loan application, A Mr. MURTHA, Secretary of the Pension Fund, told LINTEAU "you ought to get it any day" and indicated that a letter of commitment would be prepared immediately. Approximately ten days later, however, LINTEAU received a.letter from STANFORD CLINTON, an attorney for the ., Pension Fund, who stated the loan had been rejected as "not. . suitable." LINTEAU could not uderstand the reason for rejecting ‘the loan after the eighteen man committee had approved it and he expressed the opinion that FRANK E, FITZSIMMONS "killed" the loan, LINTEAU did not know why or how FITZSIMMONS could ‘have done so. Referring to an extortion case in which LINTEAU and FITZSINMONS were indicted in 1953 at Detroit and in which _LINTEAU subsequently served a prison sentence, LINTEAU stated that he had “gone away for FITZ" and, therefore, cannot undérstand why FITZSIMMONS would later have prevented LINTEAU from getting a loan, LINTEAU declined to claborate on the basis for his statement that he had gone away for “FITZ," - but stated he had furnished full information concerning that matter te ROBERT F, KENNEDY several years ago. LINTEAU stated he had not been in clese contact with SAMUEL J, MARROSO since they both served prison terms in connection with the above- mentioned case, and LINTEAU did not know of any connection between MARROSO and any transactions involving Public Bank. LINTEAU further stated he did not know the basis for any . influence which FITZSIMMONS my have éxerted with JOSEPH VERHELLE, but recalled that VERHELLE had indicated FITZSIMMON was indebted to Public Bank. , DoclId: 327306480 Page 12
DE 29-1432 4 LINTEAU advised that he would review his personal - records and would reflect on the foregoing matters in an attempt to recall any other names, dates, or other specific information concerning his contacts with VERHELLE and his dealings with Public Bank. LINTEAU was recontacted at his office on October 10, 1963. He advised that he had been unable to locate or recall any additional pertinent information but would continue to attempt to do so and that he would advise the interviewing Agents if anything of interest came to his attention. - 10 - | WW 36792 Docld:32306460 Page 13
|| HW 56792 DE 29-1432 ¢ 7 As previously reported, a $50,000.00 loan was made to Vendorama of Ohio, Inc., on October 3, 1960, and was renewed on November 4, 1960, and March 10, 1961. The notes reportedly ; were executed by HERMAN A, PRESSER and JACKIE PRESSER. No record was located at Public Bank of a loan in the name of WILLIAM PRESSER. JOSEPH F. VERHELLE, when interviewed on Febru- ary 13, 1963, stated hedid not know of any loans to WILLIAM PRESSER from Public Bank. VERHELLE said he had had some contact with WILLIAM PRESSER on other matters, involving the Central States Pension Fund, but none in connection with the “"Niagara- Naiman" matter. : During the FDIC examination which began December 26, 1961, a listing was made of deposits in Public Bank for the accounts of various Teamsters organizations. -The only deposit of more than $20,000.00 for the account of the Central States Pension Fund was a time certificate of deposit in.the amount of $500,000.00 on February 23, 1961. The only other deposits over $20,000.00 in accounts of Teamsters organizations in . Public Bank during 1960 and 1961 were as follows: Date Account ° Amount 6/22/60 Teamsters Local 299 - Savings _ $400,000.00 5/12/61 Teamsters Local 337 - Savings .— 50,000.00 6/20/61 _ Teamsters Local 247 - Savings 65,814.92 6/21/61 Teamsters Local 247 ~ Commercial © 65,000.00 7/23/61 Mihigan Conference of Teamsters, De ; Welfare - Savings 100,000.00 Also during the above-mentioned FDIC examination it was reported that there was a balance due Public Bank of : $8,684.15 on a demand note of $10,000.00 dated October 19, | 1959, executed by LOUIS and MARCELINE LINTEAU, with the proceeds having been cimlited to the checking account of Auto Europe, Inc., at Public Bank. Collateral for this note was a chattel mortgage . covering a one-fourth interest in a drive-in theater; this security © was assigned by LINTEAU to KENNETH FRENCH and to the bank as collateral. Payments on the drive-in theater contract were expected to reduce the above-mentioned principal balance to $2,220.81 during the examination. The remaining balance due Public Bank from Auto Europe, Inc., was shown as $1,552.18, which the examiners recommended be charged off as a loss. - ue: “AK AQAL DoclId: 327306480 Page 14