Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-06-06
CAPONE MAY GET /
TERM OF 9 YEARS.
Posts $4,000 Bond After
Indictment on Charge
of Tax Evasion.
Continued From First Page.)

Of q Cicero bank. There they ran
across a strange circumstance, q series
Of accounts in which the FIRST name
was always James-James Carter,
James Costello and SO on.
An account in the James series
would run q month or two, then would
be closed out, and strange circum-
stance, new James account would
open with the balance Of the old James
account.
The bank oficials were asked about
these accounts. They pfofessed igno-
rance, although District Attorney
johnson dryly observed they honored
overdrafts Of $4,000 to $4,000 Q month.
The records Ct the James accounts
had been done away, so Federal men
were forced to weary hours of examina-
ton Of clearing house records. Into
the James accounts they found the
deposit of check after check made out
by Cicero saloon keepers.
They went to the saloon keepers.
What were the checks for?
"Chicker-we bought chickens to
serve our customers" gravely replied
the saloon keepers.
"One saloon keeper" observed District
Attorney johnson, had given checks
for enough chickens to feed all Chi
cago."
Little Man" Identified.
The hunt continued. A description Of
a little man who took the checks for
the chicken" was obtained. Through
Police Bureau of Identification records
they found q photograph OF the little
man." 1t was identified by bank en-
ployes and saloon keepers. Through
- ~. r. tNk - ~
Ralph Capone. and the first step Of
the investigation was over.
A number Of clews developed, for
checks had cleared through the account
that gave the Federal men q number
of other leads.
Jake Guzik'S operations appeared in
the account and Sam Guziks and Louie
Lipschultzs and, most important, Scar
face" AL Capone's.
These incomes were investigated and
further trails to the Al Capone income
were indicated.
The agents learned that Capone had
shared in the income Of Cicero and
Chicago gambling houses, Of dog tracks
at Cicero and elsewhere. They learned
that when Capone was out Of the city,
Jake, or his bus boy, Bobby Barton,
was accustomed to telegraph the gang
chief large sums Of money. They ran
across a brokerage account
The investigation of this brokerage
account shows how painstakingly the
agents operated. AS collateral IN the
margin account, some Liberty bonds
had been put up. Only the serial num-
bers of the bonds were shown.
Liberty Bonds Traced.
Internal revenue agents went to
Washington to start the trail Of the
Liberty bonds. The trail led to the
Federal Reserve Bank of Chicago,
thence through a half dozen more Chi
cago banks and through other hands
and were finally linked to the Govern
ment investigation.
Agents were sent into the Michigan
oil field about Muskegon on a tip that
Capone had interests there. They went
to California on the report that he
owned ranch property in that State.
They went to Pennsylvania, to Phila-
delphia, where Capone had spent some
thing less than year in Jail for gun
toting; to Villa Nova, where Capone's
younger brother, Mathew, had gone to
school, fe
The Federal men went to Florida,
where Capone maintained Winter
home and where many Of the telegraph
remittances from GuZik and other Eeu-
tenants had reached him.
They learned that Capone was accus-
toned to paying for everything in CUT
rency-using currency for even a trans
action such IS the purchase OF O $l75,-
900 estate or q $4,000 yacht. They
learned he loved to gamble-that he
could toss away thousands Of dollars at
a gambling table or a race track. and
finally they learned enough about Ca
PONIES income to ask and obtain an in
dictment.
The agents talked to moro than q
thousand persons" Chief Agent Mad
den said today, "in prosecuting the
inquiry"
Copyright, 1881. by North American News
paper Alliance, Inc.)