The coastland times. [volume] (Mnateo [i.e. Manteo], N.C.) 1947-1959, 1951-12-14
Louisiunu: Funtosiu
In Low Enforcement

I0uISI0nQ:: f0nt0SI0
In Low Enforcement
In Louisiana. the Senate Crime
Committee wrapped up a complete
history Of local. infiltration by the
national crime syndicate. Through
alliances with homegrown racket
GERS, these big-town mobsters put
gambling and other profitable rack
cts on q big-tirne basis.
New Orleans, though it has been
cleaned up steadily since Mayor De-
Lesseps S. Morrison took office in
1916. became an important PROVING
ial capital Of the East coast Costello
Lansky-Adonis mob. As his procon-
sui, Frank Costello installed a
trusted lieutenant, Philip Dandy
PhiD Kastel, convicted swindler.
Then through Kastel, he controlled
an important segment of the areas
slot machine and gambling casino
rackets and effected a working part
nership with a local criminal.
Carlos little Big NAM Marcello.
Marcello, reputed Malta leader of
Louisiana, is building a. criminal
dynasty that one day may rival Al
Capone's.
In every line Of inquiry we pur-
sued we found Narcotics trail. The
Little Big Man with some Of his
brothers and aides owned all or part
of more than 40 enterprises-an but
few Of them Illegal These in
cluded gambling casinos, an interest
in the local wire service, horse
parlors and slot machine COM
panies.
Our report stated: ''The commit
tee had information that Carlos
Marcello and his brother, Anthony,
owned a boat used in running mar
cotics into the port Of New Or
leans" Carlos had been convicted
in 1888 Of narcotics peddling and
had served time for it.
We also established beyond doubt
that the out-of-State gangsters who
came to Louisiana depended on the
negligence, the active support, or
the participation Of some local law
enforcement officials.
On the day in 1916 that John ].
Grosch took office as sheriff Of Or
leans parish New Orleans), local
newspapers ran a picture captioned
"Just a Gift for Johnnie" It showed
the new sheriff standing alongside a
brand new Cadillac limousine pres
ented him by unnamed friends"
We heard from the sheriffs d.
vorced wife, Mrs. Viola Grosch, a
woman who holds a responsible
position at the Tulane University
hospital, that in the last six years
of their married life together, end
ing in 1910 when he was chief of
New Orleans detectives, Grosch
had accumulated $150.00O which he
kept at home in a steel box. She
said she had seen him receive
money weekly from a local slot ma
chine dealer, and another character,
who reputedly ran house Of prosti-
tuition, bought all the food for the
week.
Frank Costello, later in New York
city, claimed that it was the late
Huey Long who paved the way for
Costello slot machines. He testified
that Long sought his advice on how
much revenue the state could raise
if it 'legalized'' slot machines.
Costello sent Dandy Phil KasteI to
make survey. Long was assas-
sinated shortly after. and the state
never got into the slot machine
business. but Costello and Kastel
did.
They created a virtual slot ma
chine monopoly in New Orleans,
with profits that ran into the mil
lions.
Such organizations always need
characters to help them. We
questioned one such character. 2l2-
pound James Brocato. who calls
himself Diamond Jim Moran. Broc-
alto likes to bedeck himself with
diamonds. He confided to a commit
tee investigator that he even had a
diamond pendant attached to the
Upper Of his trousers.
Next week: The Cleveland Area:
'1IiddIetOwn' Of Crime.
Condensed from the book. ''Crime In
| America" by Estes Kefauver. Cpr. 1881.
Pub. by Doubleday. Inc. Dist. General
Features Corp.