Help. We Lost the Thunderbird by Steve Fischer Cliff Jones was an attorney in in the early 1940’s. Most peo- ple knew him by his nickname “Big Juice,” because it was a moniker he’d earned well. Big Juice was an early deal maker in Las Vegas. He put peo- ple together, owners with bankers, bankers with mobsters. He introduced people who wanted to do business, and got a piece of every transaction he was involved in.

Marion Hicks was a real estate developer who enjoyed Las Vegas in the late 1930s. Marion was friendly with Kirk Kirkorian, who was starting a small air-charter service between Los Angeles and Las casino with 79 rooms and 8 two-bed- Cortez where it was, off the beaten Vegas, so Hicks was present on many room suites. A room at the El Cortez path. of the flights. started at $6. Sometime in 1944 or the begin- In fact, Hicks liked Las Vegas well Construction went well and came ning of 1945, Hicks was approached enough so that in 1941, he, Jones, in under budget. In the days before by Ben “Don’t Call Me Bugsy” architect John Grayson and entrepre- the war, this was fairly easy to do. Siegel who was representing his boss, neur J. K. “Kell” Houssels, pooled Boulder Dam was completed and . Siegel made Hicks a their money to build the El Cortez many construction workers who deal for the El Cortez. The agreed- Hotel in downtown Las Vegas. The worked on the dam decided to make upon price was $600,000. Siegel paid total construction cost was $245,000. Las Vegas their home, so there was a in cash. Hicks took the money and The El Cortez was a successful small good labor pool. In addition, Hicks, moved out of the El Cortez owners casino with a nice active horse book. the visible managing partner of the El suite. Since the original ownership Cortez, was an easy guy to work for. groups’ investment was about In the days before World War II, The complete construction of the $125,000, they made a tidy $475,000 most of the Las Vegas hotels and hotel took only nine months, start to profit in only four years. were owned by locals. Out- finish. of-town ownership didn’t start until Ben now owned about half of the the end of the war. The Cortez sat on Instead of building on Fremont El Cortez Hotel and completely a half-city block, one block off Street, they asked: “Why not build owned the horse book. One of his Fremont Street, two blocks from the out-of-the-way, out in the country bodyguards, “Fat Irish” Green, ran red light district, and three blocks where it’s nice and peaceful and the book for him. The El Cortez was from the Union Pacific railroad sta- quiet? The hotel can have nightly bar- showing a nice, modest profit, but tion and Greyhound depot. becue and not be bothered by the three miles south of town on Accessibility-wise, it was a fairly drunks going from one casino to the Highway 91 there was a hotel under good location. There was a two-story next.” So Marion Hicks and Kell construction, the Flamingo, with a garden terrace building behind the Houssels decided to build the El sizable stake from Ben. With Ben and

42 CASINO CHIP AND TOKEN NEWS | Spring 2005 Meyer now venturing into the resort him, Chickie had already lost over it took all the resources that Big hotel business, they let it be known to $900,000. (In late 2000, Susan. Juice, Hicks and their partners could casino owners and mobsters around Berman was found shot to death in come up with. To open the doors, the country that the El Cortez was for her New York apartment. Lots of their out-of-pocket expense was near- sale. secrets were told in her Gangster’s ly $1,500,000, but they were able to Daughters books and her TV inter- cut some corners. Since Hicks was in In , Davie and Charles views). She had a big mouth! And the construction business in Los “Chickie” Berman were experiencing she was too well connected to have Angeles, he also became licensed in a lot of local heat. As gamblers and that big of a mouth!. Nevada. They built the Thunderbird club owners, they were being leaned with Hicks as general contractor and on heavily, and they wanted to try Anyway, back to 1945 Las Vegas, with his own construction crew. There somewhere with greener pastures and and brother Chickie. Crestfallen, were several minority partners in the warmer winters. So Davie Berman Davie and Chickie returned to Thunderbird in 1948. These included flew to New York to meet with Meyer Minneapolis. Davie Berman promised Tutor Scherer, gambler, casino owner Lansky with the intent of buying the his partners that the original million and soon to be poet laureate of El Cortez. Meyer gave his permission three would be repaid, but he needed Nevada. (In the mid-to-late 1950s, for Davie to return to Las Vegas and to borrow another million to meet his Fabulous Las Vegas magazine rou- negotiate with Siegel to purchase the purchase obligation. Davie was given tinely devoted a full page to Tutor’s hotel. As part of the deal, Lansky the second million and flew back to poetry or prose.) Guy McAfee also wanted a finder’s fee of $160,000, in Las Vegas. This time Chickie stayed had a small piece of the Thunderbird cash and up front. Davie Berman had back home in Minneapolis. The $1.3 action. expected this wrinkle and brought a million purchase was completed and suitcase full of cash with him. He the ownership of the El Cortez It must be pretty exciting when paid Lansky the $160,000, thanked changed hands again. you can be in your own casino on him for allowing him to buy the El opening night after all Cortez, and headed back to For years, Guy McAfee worked as the months of plan- Minneapolis. vice squad captain at the Los Angeles ning and work, Police Department. Apparently, knowing the There he met with his partners though this was only rumored, he mortgage will and, between them, raised $1.3 mil- made so much money from his police soon be paid off. lion in cash. The Minneapolis contin- job that he was able to buy acres of You're finally going gent was comprised of Davie; his land just south of Las Vegas. McAfee to be able to stand in your brother Chickie; Davie Berman’s best owned, among other things, the prop- own craps pit, behind friend, Israel Alderman, better known erty the Last Frontier Hotel was built one of the high as “Ice Pick Willie”; and Moey on and the “91 Club” casino that tables and watch Sedway. Once they arrived in Las stood on the land. At the time, Las all the players Vegas to consummate the deal, they Vegas Boulevard was known as throwing their checked into the El Cortez and were Highway 91. The 91 Club was mak- money at you as met by Ben Siegel’s representative, ing Guy McAfee a fair amount of quickly as you can Gus Greenbaum, who had come in money, so in 1946 McAfee was take it in. This was from Phoenix for the meeting. approached by Jones and Hicks who pretty heady stuff. It didn’t quite said, “We have a proposition for you. work out that way, According to Susan Berman’s We’d like to buy the land you got however, on open- book, Memories of a Gangster’s across from the El Rancho and we ing night, Daughter, while Davie was down- want to put in a casino and hotel.” A September 2, stairs in the owner’s office negotiat- deal was struck, title to the land 1948. The new ing with Marion Hicks, his brother passed to Jones and Hicks, and con- owners were Chickie took the satchel with the struction of the Thunderbird Hotel dressed to the nines. entire $1.3 million and went looking began. Their wives were there and the place for some action. Moey Sedway and was flowing with excitement. There his men found Chickie at a high- The Thunderbird was never much was a tradition in Las Vegas, back stakes craps game at the Las Vegas of a hotel. It opened with only 46 several decades ago, that when a new Club. By the time they could stop rooms and a nice, modest casino. But hotel opened, all the other casino

CASINO CHIP AND TOKEN NEWS | Spring 2005 43 owners would show up and give the owned the El Rancho Vegas a few Thunderbird. Nothing fancy, just place lots of action on the craps tables. years later and was a pretty miserable something that would keep him out of character, said, “Sure, we’ll see you trouble, pay him a legitimate wage Two casino owners, Jake Katleman Thursday for dinner and pick up the and allow him to wear a clean shirt to of the El Rancho Vegas and Farmer money then.” After Jake and Farmer work each day. Paige, another Los Angeles gambler left, Big Juice and Marion just sat who moved to Las Vegas and opened looking at each other. They had just The deal was reached and the 160 the Pioneer Club, were present. They lost the Thunderbird. Unbelievable, Large was delivered to the were playing at the same craps table who’da thunk it? It was bad enough Thunderbird’s offices. (Does this and, between them, had two complete to lose $161,000, but worse to lose it sound a little like the first Godfather chip rails filled with purple and yel- to other casino owners. movie when Fredo Corleone went to low chips. There was a lot of back- Neither Big Juice nor Marion were Las Vegas to work for Moe Green?) slapping, free flowing drinks, noise kids, so they knew where that kind of The money was handed over to and excitement – and sweat rolling money could be found. The Mob not Katelman and Paige, and, on down the faces of Jones and Hicks. only had funds readily available, but September 3, 1948 at about noon, the Big Juice was having trouble catching thought Las Vegas was a true blue- Thunderbird Hotel and Casino was his breath as he watched Katleman chip investment. So Hicks called a Mob-owned. and Paige, two of his friends and rival friend of his, George Sadlo, from owners, make point after point on the Texas. Sadlo was very well-connected During the Kefauver Committee table. The come-out roll was the only with Meyer Lansky. Hicks explained meetings held in Las Vegas lass than time a seven showed on the dice. the problem and asked Sadlo if he’d two years after this arrangement was Hard-ways and all the sucker proposi- contact Meyer to tell him that they made, Cliff Jones was called as a wit- tion bets were coming in roll after roll needed 160 Large. Of course, they ness. By this time after roll. would be willing to talk to Meyer Big Juice had got- about a partnership. ten into politics Katleman and Paige finally left the and had risen to craps table, gave tips to the dealers Meyer was already deeply be lieutenant gov- and, with two security guards escort- involved in the Flamingo and the ernor of Nevada. ing them, brought rack after rack of hotel and casino, under the expert But because of testi- funny-colored chips to the cashiers guidance of Gus Greenburg was mak- mony at these hearings, cage. The cashier, with the ing money hand-over-fist for the both Jones and Hicks Thunderbird owners watching over Chicago Outfit, plus all the other peo- had their gambling his shoulder, counted the chips and ple who had their hands in the licenses revoked. announced the amount: one hundred Flamingo’s financial pie. George It was something and sixty-one thousand, three hundred Sadlo called Lansky that night in concerning Jake dollars! The total cash in the September 1948. Meyer was living on Katelman and Thunderbird’s cashiers cage, back the top floor of the Hotel Nacional in George Sadlo’s hid- room safe, Big Juices wallet and Havana and a deal was put together den ownership in the hotel. (Cliff some extra just-in-case money over the phone. In exchange for a Jones later admitted in amounted to a little over $41,000. still-unknown percentage in the court that his 50% Oops, they were a few bucks short. Thunderbird, Lansky would have ownership was And Katleman and Paige, both pretty $160,000 in cash delivered to Big pared down to nice guys, weren't going to say, “Hey, Juice and Marion’s offices the very 11% after the don’t worry about the hundred and next day. loan.) The license sixty thou. That was just for fun, revocation lasted right?” They wanted their money. In exchange for this favor, here’s less than a day. Friends what Meyer wanted: his percentage in of friends spoke to the Big Juice and Marion Hicks told the Thunderbird; involvement in the Nevada Tax Jake and Farmer to come to the skim that everyone was anticipating Commission office. Then Marion asked if they (remember this was essentially day guys, and Big could have two days to pay up the one and nothing had started yet); and, Juice and Marion “one sixty large.” Jake Katleman, most importantly, for his brother, got their licenses unlike his nephew, Beldon, who Jake, to have a job at the back. But the Mob

44 CASINO CHIP AND TOKEN NEWS | Spring 2005 was now in the Thunderbird to stay. International’s casino manager, Jake, made sure that customers who were Most people reading this story playing got the right drinks that they have heard of Meyer Lansky. (If ordered, that the bartenders showed you’re a fan of the Godfather movie up to work on time and that the main- trilogy, think of the Hyman Roth tenance crew got the floors vacuumed character played by Lee Strasberg.) each night. Jake carried out his casino Meyer had a brother whose nickname manager job duties very well and was Jacob. When the gang got hun- Meyer was quite happy that his broth- gry, Jake was the one they sent out er had found gainful employment. for Danish and coffee. And he nearly When Meyer built the giant Riviera, always remembered to get it and not the one in Las Vegas but the bring it back. Jake was the kind of Riviera in Havana, he made sure the man who was very lucky to have a casino was run by two professionals: good brother like Meyer. Meyer took Dino and Eddie, the Cellini brothers. care of Jake the way you're supposed Fortunately, by this time, Jake had to when you're worth a few zillion found a home in Las Vegas and was dollars and have a brother who out of the action. always means well, but somehow doesn't do everything correctly. Jake Lansky drove a new 1948 Cadillac Coupe DeVille, black in Starting back in the ‘20s, Meyer color, with Illinois license plates. let Jake help him out in a number of Guess where that car was parked his business ventures. No one laughed every single day? It was in the at Jake Lansky because he was Thunderbird’s owner’s parking place. Meyer’s brother. Ben Siegel liked It soon became obvious to the Las him, Tony Accardo liked him, Frank Vegas police and FBI, after a few Costello liked him and so did Santo months, that a car registered to Jake Trafficante. With friends like that, it Lansky was being parked right out in was understandable that everybody the open, and it wasn’t that hard to liked Jake. At one time Meyer owned trace the license registration. That’s one of the two casinos at the Hotel because Jake was living at the Nacional in Havana, the so-called Thunderbird. This started the investi- Casino International. Jake was made gation as to the hidden ownership and casino manager there. led to revocation of Big Juice and Hick’s gambling license. (If you see a He had a business card that read: postcard from the Thunderbird, look Hotel Nacional, Jacob “Jake” Lansky, at the car parked closest to the front Casino Manager.Two other men who door. That's Jake Lansky’s Cadillac.) worked for Meyer were also on the floor of the Casino International, Later, when Jake moved to the Merle Jacobs and Edward Cellini, but Sahara, he was specifically told not to neither of them had business cards park his Illinois-registered Cadillac saying they were the casino manager. out front. As a matter of fact, it was suggested that he not even bring it to Merle Jacobs was in charge of the the hotel. Jake was given minor jobs casino’s money and Eddie Cellini was around the hotel to keep him busy. in charge of everything else. That But the one he liked best was picking catch-all designation meant taking up visiting VIPs who were visiting care of the dealers, pit bosses, cus- the Sahara. He’d meet them at tomers and all other mundane things McCarren airport and make sure they Some of the names on the Thunderbird to keep a high-volume casino running got safely to the Sahara. chips well. On the other hand, the

CASINO CHIP AND TOKEN NEWS | Spring 2005 45 He was a very careful driver and seemed quite happy with his new duties at the Sahara. In his pocket he had business cards, just like the one at the Thunderbird, that read: Sahara Hotel, Jacob “Jake” Lansky, Casino Executive.

A real quick Ash Resnick story. Ash actually was President of the Thunderbird at one time and he had a bodyguard named Sonny Liston, yeah, that Sonny Liston! Anyway, word on the street has always been that Sonny took a dive in Cassius Clay vs Liston I and Cassius Clay vs Liston II. In both fights Clay was a 1 to 15 dog in fight 1 and and a 1 to 8 underdog in fight 2. Liston did dive in both fights and Ash Resnick had a Ash’s friend Joe Louis who was real- Thunderbird denomination scans smile that lasted the final twenty ly down on his luck was hired by Ash courtesy of Mike Quinlivan years of his life. He bailed out of the to be a greeter at Caesars. Thunderbird name chips courtesy Thunderbird, bought into Caesars and Pete Rizzo became an Executive Host there. Copyright© Steve Fischer 2005. All Thunderbird pictures courtesy Allan (This was after Liston was murdered). rights reserved. Anderson

46 CASINO CHIP AND TOKEN NEWS | Spring 2005