The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-06-25
SCARFACE AL NOW FLAT BROKE
Gang King at Last Facing Pen Heavily in Debt

power that the public thinks he is"
says Trey.
''He might have had an income Of
$4,000 a week for short periods
but that was squandered, often in
advance, by overdrawir1g his per-
centage in enterprises in which he
is reported to be interested.
There is no. foundation In fact
for some of the widely circulated
stories that his income ran into
millions and neither Capone nor any
one Of his representatives has Of
fered the government $4,000, 900 in
settlement Of the tax or criminal
cases against him."
A MONG other facts turned up
L n by the governments investiga-
tors during their long inquiry into
his affairs were:
Capone, hard-preSsed for cash,
pawned some OF his wife's jewels to
meet payments on his home in
Florida.
He borrowed $4,000 from a
money lender on Chicago's west
size.
He has not kept up his payments
on two 16-cylinder Cadillac auto
mobiles that he bought early this
year.
He is heavily In debt to certain
friends who have extended him huge
personal loans.
OF course, this does not mean
that Capone is in want--or anything
like that. Temporarily, at least,
he still can command and demand.
And demand for a loan, backed
by the general knowledge that it
might not be wise to refuse, can
be expected to get results. Prob
ably it already has
The reasons for Capone's financial
downfall are not hard to under
stand.
Much of the credit is due to the
efficient work of the internal reve-
ME bureaus agents who wrecked
his vast financial organization with
series of relentless income tax
prosecution against his chief lieu
tenants.
Two Of these-Frank Nitti, the
Capone gang treasurer, and Sam
Guzik, who directed the big gam
bling enthusiastically are in the
penitentiary.
Several -others-including AIS
brother. Ralph Capone, who direct
ed the beer activities-have been
convicted and sentenced, but now
are at liberty ON appeal.
THE business factors entering
into the collapse are clear, too
The market for beer and liquor in
Chicago is of, as 1t is in other cities
depression is the answer. At the
night clubs and other gay places
the crowds are thinner and ever
among those that remain there
aren't so many guests who now are
willing Cor able) to pay $12 or sic
a quart for Capone's best liquor.
At the other end Of the line, the
cheap corner Speakeasies Operating
as legitimate soft drink parlors) anc
the beer fats where one can buy q
glass Of Capone's beer for 25 cents
also have felt the slump caused By
jobless men.
His gangs dog track, where feet
| greyhounds once raced amid heavy
wagers land which actually paid {
300 per cent profit in one year, a:
shown in the prosecution Of one Of
the Guzik cases. has been closed.
His gangs gambling houses are
having a hard time trying to fine
sufficient patrons who are willing
Cor financially able) to spend any.
thing like the money they once
spent, and the same applies to hi;
brothels.
A business executive Of another
Kind might have seen all this ap.
preaching and applied the brakes
but Capone either was too dumb Of
unable TO-
10 Be Continued.)
Next. How Al Capone Squan
dered His Fortune