Making History Come Alive Newsletter offers the story of Meyer Lansky and Las Vegas
Meyer Lansky, born Meier Suchowlański on July 4, 1902, in Grodno (then part of the Russian Empire, now in Belarus), was a significant figure in American organized crime. Known for his financial acumen and strategic mind, Lansky played a crucial role in the development and operation of the National Crime Syndicate, a confederation of various organized crime groups in the United States.
Early Life
- Immigration to the U.S.: Lansky emigrated to the United States with his family in 1911, settling in the Lower East Side of New York City. Growing up in a rough neighborhood, he quickly became involved in street gangs and petty crimes.
- Meeting Bugsy Siegel: Lansky met Benjamin "Bugsy" Siegel during his youth, forming a lifelong partnership. Their early criminal endeavors included car theft and bootlegging during Prohibition.
Rise to Power
- Bootlegging: During Prohibition (1920-1933), Lansky and Siegel expanded their operations, becoming significant players in the illegal liquor trade. Their success in bootlegging provided the financial foundation for their future ventures.
- Formation of the National Crime Syndicate: Lansky was instrumental in organizing the National Crime Syndicate in the early 1930s. This organization unified various Italian, Jewish, and Irish-American crime families, promoting cooperation and reducing conflicts. The Syndicate's creation marked a turning point in organized crime, establishing a more structured and cooperative criminal enterprise.
- The Commission: Lansky was also involved in establishing The Commission, a governing body for the American Mafia, alongside Charles "Lucky" Luciano. This body was designed to arbitrate disputes and oversee organized crime activities across the country.
Gambling Empire
- Expansion into Gambling: Lansky's most notable achievement was his expansion into the gambling industry. He helped develop legal and illegal gambling operations in various locations, including Las Vegas, Cuba, and the Bahamas.
- Cuba: Before the Cuban Revolution in 1959, Lansky was heavily involved in the Cuban casino industry. He had close ties with the Cuban government under Fulgencio Batista, which allowed him to operate casinos with little interference. The revolution led to the nationalization of casinos, ending Lansky's operations in Cuba.
- Las Vegas: Lansky played a crucial role in the development of Las Vegas as a gambling hub, although he preferred to remain in the background.
Lansky's Involvement in Las Vegas
- Early Investments: In the 1940s and 1950s, Las Vegas was still a relatively small and undeveloped town in the Nevada desert. Lansky recognized the potential of the region as a gambling mecca and began investing in casinos and resorts.
- Financial Backing: Lansky provided financial support and expertise to various casino owners and developers in Las Vegas. His connections to organized crime and access to illicit funds made him a valuable partner for those looking to establish or expand their gambling operations.
- Hidden Influence: While Lansky maintained a low profile and avoided direct involvement in day-to-day operations, his influence was felt behind the scenes. He often had a stake in the profits of casinos and exerted control through his financial backing.
The Flamingo Hotel
- Bugsy Siegel: Lansky's longtime associate, Benjamin "Bugsy" Siegel, was tasked with overseeing the construction and operation of the Flamingo Hotel and Casino in Las Vegas. Siegel was known for his flamboyant style and ambitious vision for the resort.
- Financial Troubles: The Flamingo faced numerous challenges during its construction, including cost overruns and delays. Siegel's aggressive management style and the project's mounting debts put pressure on Lansky and other investors.
- Siegel's Murder: In June 1947, Bugsy Siegel was assassinated in Beverly Hills, California, reportedly due to his mismanagement of the Flamingo project and concerns about his financial dealings. Lansky distanced himself from the controversy surrounding Siegel's death.
Legacy
- Continued Influence: Despite Siegel's death and the challenges faced by the Flamingo, Lansky's involvement in Las Vegas continued. He maintained ties to other casino owners and developers, ensuring his influence in the growing gambling industry.
- Regulatory Scrutiny: Lansky's connections to organized crime eventually caught the attention of law enforcement and regulatory authorities. He faced multiple investigations and legal challenges related to his activities in Las Vegas and elsewhere.
- End of an Era: Lansky's era of influence in Las Vegas began to wane in the 1960s