Agency: FBI
Originator: FBI
From: SAC, MM
To: DIRECTOR, FBI
Document date: 12/24/1959
Document type: PAPER-TEXTUAL DOCUMENT

## Page 1

JFK Assassination System

Identification Form

Agency Information

Date:

5/28/201

AGENCY:

RECORD NUMBER :

RECORD SERIES:

FBI

124-10213-10447

HQ

AGENCY FILE NUMBER: CR 62-22592-459

Document Information

ORIGINATOR:

FROM:

TO :

TITLE:

FBI

SAC, MM

DIRECTOR, FBI

DATE: 12/24/1959

PAGES:

8

SUBJECTS :

SMO, ASSOC, NRO, ARREST

DOCUMENT TYPE :

PAPER, TEXTUAL DOCUMENT

CLASSIFICATION: Unclassified

RESTRICTIONS:

CURRENT STATUS :

DATE OF LAST REVIEW:

Redact

05/19/1998

OPENING CRITERIA: INDEFINITE

COMMENTS :

v9.1

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OPTIONAL FORM NO. 10

UNITED STATES GC

ENT

Memorandum

- •=

- То

DIRECTOR, FBI

DATE: December 24, 1959

ATTENTION: LIAISON SECTION

FROM

I SAC, MIAMI (137-1594 Sub Section)

SUBJECT:

ALL INFORMATION CONTAINED

U.S.

• CUSTOMS SERVICE

ALLEGED IRREGULARITY

HEREIN IS GNCLASSIFIED 724,306

MIAMI, FLORIDA

DATE 4/9/35

_BY SPUBJALGEL

On the evening of December 22, 1959, MM 660-C

telephonically contacted Special Agent C. GRAHAM HURST

and stated he had some information that he had failed to

furnish in the past because he feared for his life as a

result of passing it on.

1 this"

He said he still feared for his

life, but he realized this was something big and wanted to

call it to the attention of the FBI in order that the proper

agency, United States Customs, could be advised of what is

happening to the extent that information is leaking from

the files of Miami U..S. Customs Office.

Confidential

Informant (CI) said there is no question in his mind that

he will be killed if the information is disseminated exactly

as he relates, inasmuch as he can only determine that three

persons other

than himself have the information available,

which persons will be identified in the following narrative

•CI said sometime between noon and 3:00 p.m. on December

came-up to their table ono CI described as a white male, age

61"', black hair, 160 pounds, nice looking, slender

build.

CI said no names were mentioned, but he feels he

has seen this unknown individual before, and believes-he

can identlly a phatograph of hilt lie sect fe

3959145

This individual turned overtto

ROTHMAN carbonweoples

of what ROTHMAN told the CI were U. Se

Cous toms reports.-CIN

said apparently ROTHMAN was

sorry that CI was

there when this

man came up and displayed the alleged copies of the reports

- Bureau (1 - 137-43142 SAMSDIS

2 - Miami

20

& JAN 7

1960

CGH/ neb (250 breTre kes ITasao)

19667 ОнОм

3-1P

03 м00t

IN

COrY FIED

2 1959 р

DEC

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MM 137-1594 Sub Section

and ROTHMAN swore CI to secrecy that he would not reveal to

anyone under any circumstances that these reports had been

in ROTHMAN's possession. CI stated he knows this is hard

to believe; however, as proof he saw something, he said the

communication was dated December 7, 1959, and had what

appeared to be File Number 23-801.

CI said as best hefl

CHARLES HORMEL, much publicized Miami adventurer and pilat

that HORMEL was working with U. S. Customs on this matter,

as was a man named HOGAN, who is with Liberty Aviation at

Miami International Airport. Also set forth was that the

airplane in question somehow was thought to contain jewelry

from a $35,000.00 jewel theft on 163rd Street, Miami, and

an FBI Agent named STADTMILLER was mentioned.

It then related how the plane was stopped and

Cubans were found aboard with dynamite bombs. CI was

exhaustively questioned about any further specific details,

but said this is all he can recall. CI said he cannot

specifically say what happened to the above-referred-to papers,

exceptthat apparently the man who brought them to the Biltmore

Terrace Hotel had to return them to some place or person.

CI said on a later date, he had an opportunity to say some-

thing to ROTHMAN about the man who CI saw bring the papers

to ROTHMAN, and ROTHMAN indicated the man who brought the

papers was

a waiter who is an undercover man for Customs

and who gets the papers from someone else. CI said he had

hopes he would hear from several sources about ROTHMAN's

having access to U. S. Customs reports, and then he would

not have been so apprehensive about passing on this informa-

tion, but it has not been a subject of conversation anywhere

and CI feels he has been close enough to the situation and

has enough sources of his own that if it were known, even

among a close circle of people, he would have heard

CI said the only inference that has been made

by anyone is that MaX cURlE, who is attorney for ROTHMAN,

and also represents SAMMY MANNARINO, well-known Pittsburgh

moon, and several of Miami Top Jewel Thieves, made a

2.

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MM 137-1594 Sub Section

casual remark to CI about CHARLES HORMEL being a stool pigeon

for Customs and it was no wonder HORMEL recently received only

a 30-day sentence in connection with a federal case against

him in Miami. CI pointed out that the information given him

connectio chat

by ROTHMAN about the man who brought the papers being a waiter

and an undercover agent for Customs could be a lie, as there

is no question in his mind that in the past on occasion ROTHMAN

has lied to him.

Special Agent HURST pointed out to CI that it would

be necessary to pass on the above information to U. S. Customs.

CI said when he called to furnish this information, he knew

that it would have to be furnished to U. S. Customs, and he

desired that this be done, as he felt that more and more

people's lives would be endangered if and when more reports

are obtained by ROTHMAN from Customs if he can obtain them

as he claims he can. CI said that anyone, such as HORMEL,

from the underworld, who furnishes information, will more than

likely be killed, and ROTHMAN, in his position with KELLY and

SAMMY MANNARINO, members of "The Outfit" in Pittsburgh, is

in a position to furnish information to the "right people"

who could cause people to be "rubbed out."

CI further stated that he would never furnish informa-

tion to Customs, as Customs Agents are too indiscreet. CI said

he has been interviewed by Customs Agents in Miami and there

was little doubt in CI's mind when the interview was terminated

as to where Customs obtained their information. CI said that

if he obtains any further information regarding the identity

of the person furnishing the information, he will advise.

CI stated he has the reputation of being a "blabber mouth"

and talking too much, which he said he probably does, and at

present, he feels he is in a precarious position, and for this

reason, hopes that every effort will be made to protect him

as the source of this information.

As a matter of information, Miami Office is not aware

of what appears in Customs File 23-801, but the following did

occur, of which Miami has knowledge, which appears to verify

the information furnished by MM 660-C. On November 28, 1959,

3.

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REVIEWED BY FOOURA

MM 137-1594 Sub

• Section

WALLACE D. SHANLEY, U. S. Customs, Miami, contacted the

Miami Office and advised he had received information from

a Confidential Source that MARTIN KATZ, son of Miami Top

Jewel Thief, ABE KATZ, was attempting to rent a plane for

a short, quick flight out of Miami that afternoon.

The

purpose of the trip was not explained to the informant

of Customs.

SHANLEY furnished the information for whatever

value it might have and said he was going to follow the

matter to see if any Customs violation

resulted.

Since MARTIN KATZ is the son of Miami Top Jewel

Thief ABE KATZ, and since a $35,000.00 jewel theft had

recently occurred of Center Jewelry Store, Miami, in view

of possibility the plane was going to be used to transport

this jewelry, Special Agents JAMES E. HASTINGS and GEORGE

STADIMILLER interviewed Miami PCI CHARLES HORMEL for any

information he might have regarding instant flight referred

to above, as HORMEL has in past been involved in flying.

matters in the Miami area of questionable nature.

HORMEL

then

advised he had been approached by MARTIN KATZ on the

morning of November 28, 1959, and been requested to get a

plane for a three-hour

trip.

HORMEL was to select a landing

place near Miami, and he was to land there and pick up

several suitcases. PCI had selected a landing strip near

Homestead, Florida, and the trip was being postponed to

11:00 p.m., November 29, 1959. HORMEL was under impression

flight entailed a smuggling operation into Cuba, and, there-

fore, this information was furnished to SHANLEY of Customs

on November 28, 1959, for whatever action deemed necessary.

On November 29, 1959, SHANLEY advised the Miami

Office he had determined above-mentioned flight had as its

purpose shipping arms and ammunition to Cuba and, therefore,

no further action was taken by the Miami Office in connec-

tion with this proposed flight.

On November 30, 1959, SHANLEY advised the Miami

Office five Cubans had been arrested by U. S. Customs at a

1/37

RELEASE IN FULL

RELEASE I PARRI

TOTA DERAL

4.

ON

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MM 137-1594 Sub Section

small airport near Florida City

while in the process of loading three packages as dynamite

on November 29, 1959,

aboard a Cessna twin aircraft belonging to Liberty Aircraft.

SEN ARES ME AND GEORGE ON, who had flown the

who had flown the

airplane to that site. SHANLEY confidentially advised that

the information leading to the arrest had been confidentially

furnished by HORMEL and, therefore, HORMEL and HOGAN were not

arrested. SHANLEY did not say on what charges the above men

were arrested®

It is noted that on December 3, 1959, HORMEL was

interviewed by Special Agent JAMES E. HASTINGS concerning

HORMEL's furnishing information to U. S. Customs.

HORMEL®

said he is presently under sentence in a Customs case and

they have two more cases pending against him.

HORMEL said

as a result of this, he had been furnishing Customs with

information in hopes it would do him some good in future

trials involving his past activities. At this time, HORMEL

was

advised that since he was furnishing information to

organizations other than the FBI, that the FBI was not going

to contact him in the future. As a

result of this, the 137-

case on HORMEL was closed in the Miami Office.

It does not appear to the Miami Office that with

the above facts this constitutes a violation over which the

Bureau has jurisdiction. In order to further protect the

informant, and since the alleged "leak" apparently is in

the Miami Office of U.S. Customs, it is recommended that

the above information be furnished by the Bureau in Washington

to the Headquarters of U. S. Customs through established

liaison channels. It is recognized that information might

be received from time to time by any organization that

informa

there is a "leak" which information might be treated lightly,

as it might be attributed to the bragging of a hoodlum. It

is felt that in order to convince U. S. Customs that there

is a leak, it will be necessary to relate to them the entire

facts set forth above, including their file number, name of

5.

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MM 137-1594 Sub Section

persons who have information in their file, but it should

be pointed out to Customs that it is felt if all of the

Information is set down in anything other than a confidential

file maintained on a national level, then the life of the

informant is in great danger. It is noted that this informant

was formerly carried as a Top Jewel Thief of the Miami Office

and in connection with investigation of Jewel Theft Matters,

was developed by Special Agent HURST, to whom this informa-

tion was furnished, as a result of almost daily contact by

Special Agent HURST.

During this investigative period,

the identity of Special Agent HURST became known to many

of CI's criminal associates, who know there has been a

close association between the CI and Special Agent HURST.

It is felt that CI can be developed to furnish information

of great significance and for this reason, it would be better

if no one at U. S. Customs, except on a national level, know

that this information came

from the FBI, as that factor alone

could jeopardize informant.

As a matter of background information, the

verrace Hotel, although to all outward appearances la first-

class hotel, is frequented by a number of Cubans who are

anti-FIDEL CASTRO and the hotel has the reputation of being

a "hot bed" for Cuban revolutionary activities.

The hotel

is allegedly owned by ex-associates of BATISTA and NORMAN

according to informants, runs the hotel, but does

not pabidely admit this ROThMAN was areated by Bureau Agents

'in Miami, Florida, on July 2, 1959, and is presently out on

bond.

This arrest was in case entitled, "BERNARD J. EZHAYA;

ET AL, IITSP - MT," Office of Origin, New York, Miami File

87-8756, Bureau File 87-41245. In this case, WILLIAM W. RABIN

was indicted in Chicago on four counts of pledging stolen

Canadian Government bonds in the amount of $138,000.00.

These bonds were part of loot from burglary committed on

May 3-4, 1958, of Brockville Trust and Savings Company of

Brockville, Ontario, Canada, which has been described as the

world's largest theft, involving a loss of approximately twelve

6.

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MM 137-1594 Sul Section

million dollars worth of bonds, jewelry, and cash.

ROTHMAN was

indicted for aiding and abetting RABIN.

Also arrestedjand out on bond on same charge of aiding

and abetting RABIN was aforementioned SAMMY MANNARINO

of Pittsbargh.

"SAMMY is brother of GABRIEL "KELLY"

MANNARINO.

GABRIEL was allegedly present at Apalachin

meeting in November, 1957. Both MANNARINO brothers

were called before Senate Rackets Conmittee and invoked

Fifth Amendment. A trial has not yet been had in the

above estest of ROTHMAN. ROTHMAN was also arrested

on March 27, 1959, and is awaiting trial as a conspirator

in a Pittsburgh seven-count Grand Jury indictment growing

out of ke interstate transportation of guns from a

Ohio Nacional Guard Armory, which the indictment charged

were implements of war being exported to Cuba. The

latter-mentioned arrest of ROTHMAN OCCurIed in case

enticled, "STUART SUTOR; ET AL, TGP,

; ITSP; FFA;

NM," Office of Origin, Cleveland, Miami File 52-3290,

Bureau File 52-72398.

It is recognized this Bureau is not in a

position to tell U. S. Customs how to conduct their

Investigation, but it is telt above intormation should

be'furnished orally to U. S. Customs in order that it

can be emphatically pointed out to Customs it is felt

it any specific details of the above information are

known on other than a national level in U. S. Customs,

this CI will be compromised, and will be killed. More

specifically, if known on other than national level that:

n kme trom

(1) information came from FBI; (2) ROTHMAN or LURIE had

access to information; (3) Biltmore Terrace Hotel is

involved; (4) the specific file number and date alleged

file was

seen at Biltmore Terrace Hotel.

UACB, Miami is conducting no investigation in

this matter; however, MM 660-C has been requested to be

alert for any further information;if obtained, the Buxeau

will be promptly advised in order

that the information

may be similarly disseminated to U. S. Customs.

7.

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