Evening star., 1950-12-19
Crime Probe Reveals
Gambling Partnership
OF Two Capone Men
BY the Associated Press

crime investigators moved into
the second day of public hearings
today after disclosing two former
Capone gangsters as partners il
a gambling enterprise took ir
$278.667 in 1949.
They were identified at yester-
days opening hearing as Tony Ac-
cardo and Jack Guzik, both fugi-
tives from committee subpoenas
Their 1949 Federal income tax re-
turn showed, Investigators said, 6
net profit of $278,667 from the
policy wheel or numbers racket.
Committee investigators sale
the figure represented only a small
fraction Of their income as they
also reap profits out of handbooks
slot machines, race swire services
and other sources.
Wouldn't Explain Source.
The Accardo's tax return, dis
closed by the committee. included
such items as miscellaneous in
come, 100000" Investigators said
he did not wish to explain the
source of the income
Accardo and Guik were in part
nership in the Erie and Buffalo
company, it was brought out in
questioning by Chairman Kefau-
yer of the Senate Crime Investi-
eating Committee. Rudolph Hal
ley, chief counsel, and George Rob-
lnSon, associate counsel.
Information about the Accardo-
Guzik partnership came out dur
ing questioning of Eugene Bern
stein, an attorney who handled
their income tax matters. Sum-
moned to testify before the COM
mittee are several Chicago gam
blers, including some of the top
operators of the numbers" racket
Kefauver Sees Tie-up.
In other testimony yesterday
the committee sought to bring out
that a loose confederation of
gangsters-from Chicago, Kansas
City, Miami and other cities-con-
troll the Nations. handbook wire
services.
Senator Kefauver told reporters
yesterdays testimony brought out
there was a tie-up between the
Accardo-Guzik partnership anc
the Florida gambling syndicate
Committee information. the com
mittee chairman said, "ties" mob
sters "up all over the country
That's what we've been trying tt
do"
One of the witnesses at yester
days hearing, Ralph O'Hara, O.
Chicago, a former secretary of tn,
now defunct Trans-American New
Service, was threatened with posi-
BILE contempt action. He refused t,
answer any pertinent questions OF
grounds his answers might tend t,
incriminate him.
The committee has been trying tt
find the books and records O
TranS-American, which went out O.
business IN 1947.
Wig Wager Describes Work.
Earlier, Robert Egner, 26, for.
mer Chicagoan now employed by tn.
Howard Sports Daily, Inc, of Balti.
more, described his duties as a ract
track "wig-wag" man.
He told the committee that racins
results are transmitted from race
track to a racing news service two
ways. A spotter might find van.
tage point near the track where h,
can see the race results on the tract
board by spy glass. Another methoc
Is for the outside spotter to trair
his telescope on a wig -wag" mar
inside the grounds. The wig-wagge,
transmits the winners and tn,
prices they pay by a set of pre-
arranged hand signals.
Egner said he has served botl
as wig-Wagger and spy-glas
man at tracks in Florida, New Or
leans, Baltimore, New Jersey ant
Delaware.
He testified he went to work TO
the Continental News Service ant
was sent where his services wer
needed by a Walter Lloyd. HI
said his checks first came from
Continental, then from Illinoi
Sporting News and now from
Howard Sports.
Gets Less Than Employees.
Bilson Ing, vice president and /;
stock holdholder of Howart
Sports, told the committee h
owns 20 per cent of the Howart
stock and is paid $50 a week
less thar some of the employees.
He gave this picture of thu
operations: Howard both fur
nishes and receives race new
from Continental News Service
However, under the setup, any
thing left over after salaries ant
expenses are paid goes to Cont
mental. He said he had no ex
pectations of a profit or dividend
;. He said he was given the stoEl
but doesn't know who put up th'