Death of Jake Lingle

During the 1920s, a series of increasingly spectacular acts of violence enraged the public and each led to at least a short-term increase in police enforcement against criminals. But none was so prominent and far-reaching as that which followed the murder of Jake Lingle, Chicago Tribune reporter, close to here in the tunnel under Michigan Ave. at Randolph St., on June 9, 1930.

By raising the price of alcohol, while doing little to reduce the public’s demand for it, Prohibition had served to enrich those who were still willing to produce and sell. It also put the industry in the shadow of the law, and so created the incentives and opportunities for violence. Thus, the 1920s were the era of big-spending, flashy gangsters and headline-splashing murders, epitomized by the St. Valentine’s Day Massacre in 1929. By 1930, that epoch was coming to a close. The stock market crash of the previous October and the rapidly worsening economy dampened the demand for booze, and the shrinking government revenues from income and sales taxes produced a political demand for new sources of tax revenue – and liquor was high on the list of potentially lucrative targets, if only it was legalized. Within three years, Prohibition was repealed, and its personification, Al Capone, was rotting away in prison. The .38 caliber revolver shot that killed Lingle symbolized the end of the golden age of the Chicago gangster.

Alfred J. Lingle was born of modest means on Chicago’s west side in July, 1891, the son of a small business owner. Lingle’s great talent lay in his personality: he was a “character” not easily forgotten, a warm, self-possessed fellow, and an easy confidant. Born a Jew, his family converted to Roman Catholicism when he was eight years old, meaning he could easily fit in with a variety of ethnic groups. Lingle was also fascinated with police work from a young age, and he would frequently haunt police stations and crime scenes, peppering detectives with questions.

After attending the John Calhoun North school at Adams and California streets (the school still operates today), Lingle first took a job as a stocker at the Schoelling Company, a surgical supply house. He also played semi-pro baseball for a short time. But it was not long before his talents and interests found him in a job as a crime beat reporter at the Chicago Tribune, where he first started work in 1912.

In those days, men like Lingle, who had progressed no farther than 8th grade in school, were paid to gather news on the street and feed it back to specialist writers who organized the facts and wrote the purple prose. Hence, Lingle typically had no byline, but his reporting laid the foundation for most of the big crime stories at the paper during the 1910s and 1920s (except during WWI, during which Lingle served as a Navy intelligence officer). One of his first assignments was to cover the closure of the south side “Levee” (open vice) district during 1912-13.

Lingle was successful in his work because of his ability to mix with the criminal element, and he was on familiar terms with all of the top racketeers of his period. Mossy Enright, Tommy Maloy, James Colosimo, Johnny Torrio, and Al Capone all counted Lingle as a friend. After his death, Lingle’s relationship with Capone would come under particular scrutiny. Lingle had, on several occasions, procured exclusive interviews with Capone, and “Big Al” had even gifted him with a $300 diamond-encrusted belt buckle, which he wore proudly.

(Pictured: Jake Lingle)

Lingle was also close to many political figures and top police brass in the city. A childhood friend was William F. Russell, who became police commissioner in 1928 after scandals erupted surrounding the previous office-holder, Michael Hughes (described in this post). Some say that Lingle, through his various power connections, actually had a hand in lobbying for, and promoting Russell to the position. Lingle even had a joint stock investment fund he ran with Russell. Lingle’s close relationship with Russell (and his propensity for braggadocio) caused others to only half-jokingly refer to him as the “unofficial chief of police.” Many other key city officials, bureaucrats, and patrolmen were also among his friends.

But it’s possible to have too many friends. Lingle’s social network made him an ideal “fixer,” someone who could make deals between the underworld and those who were tasked with eliminating it. In time, the opportunities to put in a good word in City Hall for this or that gambling joint, to pass along a tip about an upcoming raid to some brothel proprietor, and to broker deals between speakeasies and the patrolmen on their beat, became too great for the $65-per-week newspaper stringer.

Like a great many others in the 1920s, Lingle also participated in the bull stock market of that decade. His bank records indicate he amassed over $85,000 in capital gains at the height of the frenzy. But, also like many others, he took a bath on Black Tuesday in October, 1929, losing most of his fortune and diving deeply into debt. But is was hard for Lingle to relinquish the lifestyle his underworld earnings and investment riches had brought him. It wasn’t easy to give up the vacations in Cuba, the high-rolling afternoons at the race track, and his luxurious suite at the city’s top hotel, the Stevens on Michigan Ave. (now the Chicago Hilton). Then there was his wife, Helen Sullivan, and their two young children, Alfred Jr. (born 1924) and Dolores (born 1925), who Lingle worshipped. He had recently put down $18,000 on a family vacation home in Indiana.

Thus it was that Jake Lingle increased his involvement with the criminal element. Where there was money to be made, he made it. To supplement that income, he even began double- and triple-crossing his acquaintances, working simultaneously as an agent for the police, politicians, and rival gang syndicates. Friends became enemies and enemies friends.

On the morning of June 9, 1930, Lingle left his in-town suite at the Stevens Hotel and, after stopping in at Tribune Tower to chat with his editor, he set out for the nexus of politics and crime in Chicago at Clark and Randolph streets, to see what choice tidbits he could pick up from the gamblers and sharpies who made that corner their headquarters. Next, it was a round of gladhanding and small talk with other power brokers in the lobby of the Sherman House hotel. Satisfied that he’d completed his work there, he walked east to Michigan Ave. At the corner of Randolph St., he purchased a newspaper and a horseracing publication and entered the underground tunnel leading to the train station on the other side of Michigan Ave.

The 1:30 train to Homewood was leaving in a few minutes and Lingle expected to spend the afternoon at the Washington Park Race Track. He was a big-spending gambler on the ponies, sometimes placing up to $1,000 on a single sprint. He was close with many horse owners and jockeys, and sometimes had inside information he used to turn the odds in his favor. The turf was also a great place to chat up those in the know in gangland, picking up tips he could pass on at the Tribune. So the afternoon gambling junket wasn’t purely a matter of pleasure.

As he walked through the tunnel, he lit a cigar, unaware of two men who trailed him in from the street. As he approached the far east end of the tunnel, one of them, a thin man with dark eyes and blond, wavy hair, pulled up behind Lingle and fired a single bullet into the back of his head. Lingle’s jaw clamped shut on the cigar and he fell face-forward to the ground, instantly dead.

His shooter and accomplice took off back through the tunnel, then suddenly, the man with blond hair who had fired the gun turned back and ran past Lingle’s body, leapt a railing at the train station entrance, and climbed up to the east side of Michigan Ave. Hot on his tail at this point were several by-standers who had watched in terror as the scene unfolded. Reaching the surface, they called out to a police patrolman, Anthony L. Ruthy, “Stop that man!” Officer Ruthy chased the killer across Randolph, then westward on the north side of the street across Michigan and into an alley which made a left turn and emptied onto Wabash St. At the corner of Wabash and Randolph, the shooter disappeared into the crowd and made a getaway from his pursuers. Later it was learned he entered the Taylor Trunk Company at 23 E. Randolph, nervously purchased a $5 hat, asked to use the restroom, and then left the store without his hat.

The gangland-style shooting of a humble and presumably honest news reporter with a wife and two children shocked the city. Here was a man who, to the public, appeared to have no gang affiliations, and killed in cold blood. If it could happen to him, it could happen to anyone. Public pressure to find Lingle’s killer and to rid the city of criminal gangs once and for all was intense.

Within 24 hours, the police rounded up 664 “wise guys” into the city bridewell, and an unsurpassed manhunt blanketed the Chicago area. One enterprising judge, John Lyle, used the opportunity of public outrage to issue largely unconstitutional, but ingenious, arrest warrants for “vagrancy” to top gang leaders, including Al Capone, on the theory that if they paid their bail, then they could be questioned on the source of their income and either imprisoned or investigated for tax evasion. Almost all of these efforts ended in little more than a waste of police and court resources, though a few notable criminals did fall into the dragnet, including labor racketeer George “Red” Barker, and Joseph Traum, an Indiana desperado. Another fallout from the killing was the resignation, under intense political pressure, of Lingle’s friend in the police force, Commissioner Russell, as well as several other top police brass.

Immediately after the killing, partially out of sympathy and partially for headline-grabbing purposes, Lingle’s employer, the Tribune, posted a $25,000 reward for information leading to the capture of his shooter, and other city papers added an additional $30,000 on top of it. When, a few days, later, however, competing papers began learning – and printing – the details of Lingle’s close associations with mobsters, his political “fixing” activities, and his lavish lifestyle and gambling habit, the Tribune maintained that no one at the company was aware of any of Jake Lingle’s darker side. In fact, Lingle had frequently bragged about his friendships with gangsters, although he also told friends that he had inherited hundreds of thousands of dollars from wealthy relatives.

Frank Wilson, an IRS agent investigating the Capone case, claimed in his autobiography that Col. Robert McCormick, proprietor of the Tribune, had personally arranged a meeting between Lingle and Wilson, scheduled for the day after the murder. If true, this implies that McCormick was well aware of Lingle’s underworld connections; however, McCormick always denied the accusation, and other sources claim that Wilson only contacted McCormick after the murder.

In any case, Lingle’s death created a scandal for the paper. Mayor William Hale Thompson, a long-time target of the paper’s editorials, took the opportunity for a pot shot at the Tribune, referring to it jokingly as the “Lingle Evangelistic Institute.” The Tribune tried to quash the furor by separating themselves from Lingle; they even published Lingle’s entire checking account register in a full two-page spread in an attempt at openness – while at the same time covering up what anyone at the paper might have known about the large and frequent sums entering and exiting the account. In an exculpatory editorial, the paper wrote,

Alfred Lingle now takes a different character, one in which he was unknown to the management of the Tribune when he was alive. He is dead and cannot defend himself, but many facts now revealed must be accepted as eloquent against him.

He was not, and he could not have been, a great reporter. His ability did not contain these possibilities. He did not write stories, but he could get information in police circles. He was not and he could not be influential in the acts of his newspaper, but he could be useful and honest, and that is what the Tribune management took him to be. His salary was commensurate with his work.

The reasonable appearance against Lingle now is that he was accepted in the world of politics and crime for something undreamed of in his office and that he used this in undertakings which made him money and brought him to his death. He has paid the penalty of it if he was enticed into this pool and the Tribune regrets it for the boy’s sake and for the sake of the profession.

The occurrence, although not unusual, is always tragic.

The Tribune also helped fund the investigation into the killing by the State’s Attorney’s office, contributing office space and the services of their corporate counsel, Charles F. Rathbun. Rathbun’s presence on the investigative team also helped insure that evidence unfavorable to the paper never saw the light of day. Pat Roche, lead detective in the State’s Attorney’s office, and Rathbun, lead a year-long focused manhunt for Lingle’s killer, which took them on investigative journeys as far as Havana and Los Angeles.

So who killed Jake Lingle, and why? The answer remains shrouded in mystery after 70 years, but here are the known facts. Lingle’s killer dropped his revolver at the scene of the crime. The serial number on the weapon had been filed down, but careful forensics were able to recover it, and the gun was traced to a sale at the sporting goods dealership of Peter Von Frantzius at 608 W. Diversey Pkwy. Frantzius was a popular arms dealer to the underworld, and his shop had also supplied the weapons used in the St. Valentine’s Day Massacre.

Von Frantzius’s records showed the firearm had been sold to Frank Foster (born Frank Citro), known to police as a member of the Northside Gang, although there were indications Foster had recently switched sides, becoming a gunner for the rival south side Capone syndicate. Foster was arrested in Los Angeles on July 1, and extradited to Illinois.

Upon seeing Foster, several witnesses, including Officer Ruthy, who chased the shooter through the Loop, declared he was the killer. However, other witnesses disagreed, and Foster had a reasonably plausible alibi. The State’s Attorney’s office suspected he was not their man, but kept him in legal limbo while they continued their frantic search.

Finally, based on underworld gossip and a close resemblance to the witness descriptions, police arrested one Leo V. Brothers, a member of the St. Louis-based Egan’s Rats gang, which was a Capone affiliate in that city. Brothers was a labor union slugger, and was wanted in connection with a murder that took place during struggles between rival factions of a taxi drivers’ union. He had escaped to Chicago with a recommendation to one of this city’s top labor racketeers, Thomas Maloy, and had found work as a bouncer at the mob-controlled Green Mill saloon on Broadway and Lawrence Aves. (the bar still exists today). At his arraignment, Brothers curiously refused to plead either guilty or innocent, instead only saying “On the advice of my attorneys, I stand mute”. Many found it suspicious that Brothers, who was ostensibly destitute, was supported by a “dream team” of five top defense attorneys, led by the inveterately corrupt Louis Piquett, who would go on to greater fame as John Dillinger’s attorney and sometimes partner-in-crime.

(Pictured: Leo V. Brothers)

Brothers went on trial in the spring of 1931. The prosecution produced seven eye witnesses who fingered Brothers as the shooter. The defense pointed out that a number of these witnesses were on the payroll of the State’s Attorney, and that their descriptions to police at the time of the murder differed in several important details. The defense also produced eight witnesses of their own, including Officer Ruthy, who had chased Lingle’s killer through the Loop, who claimed Brothers was not the man they saw.

In the end, however, the prosecution’s witnesses were more believable to most jurors, and Brothers’ checkered past in St. Louis made him a plausible assassin. One lone juror held out from the other eleven in returning a life sentence in the trial, however. Other jurors later claimed his man stubbornly refused to even discuss the matter, and so ultimately, the jury found Brothers guilty and sentenced him to only 14 years. At sentencing, Brothers proudly told reporters, “I can do that standing on my head!” Some intimated that Piquett or some wealthy supporters of Brothers behind the scenes had paid off the dissenting juror.

Regardless of whether Lingle was shot by Foster, Brothers, or someone else, it does little to answer the more important question of why Lingle was killed. One prominent theory, promoted by Roche and Rathbun, and supported by a former Northside Gang associate, Julian “Potatoes” Kaufman, is that Lingle was killed in a dispute over a ritzy gambling resort, the Sheridan Wave Club, located at Sheridan Rd. and Waveland Ave. According to Kaufman, he managed the Sheridan Wave for four years in the late 1920s. During that time, the club catered to an exclusive clientele, high-rollers whose large bets brought in boffo profits for the gang. So lavish was the Club, it is said that all drinks and other amenities were provided to customers gratis and at will while they placed bets.

In June, 1929, under public pressure to fight organized crime after the St. Valentine’s Day Massacre, police Commissioner Russell ordered the Sheridan Wave’s closure. Jack Zuta and other higher-ups in the Northside Gang itched to reopen it, and pressured Kaufman to get Lingle to talk with Russell about the possibility. Some sources claim that Lingle demanded a cut of the Club’s revenue. According to Kaufman, during one meeting with Lingle, Zuta showed up, and Lingle turned to him and said “Don’t speak to me, you lousy pimp.” Zuta was, in fact, a slimy pander, the Northsiders’ equivalent to the Capone syndicate’s Jake “Greasy Thumb” Guzik. In any case, Zuta began to see Lingle as uncooperative.

One ambitious gang underling, Grover Dullard, had run the craps table at the Sheridan Wave, and he had heard Lingle was the sticking point in keeping the Club closed. In Kaufman’s account, Dullard was looking to prove his worth to the gang, and saw Lingle’s murder as a way to impress Zuta. He told everyone he would “take care of” Jake Lingle.

Did Grover Dullard – either on his own, or at the request of Jack Zuta – hire someone to kill Lingle (or do the job himself)? It was well-known and substantiated that a deep mutual dislike existed between Lingle and Zuta, as well as Zuta’s partners, the Aiello brothers. In fact, within a half hour of Lingle’s death, police raided the Aiello bake shop and headquarters on Division street, arresting Carl and Dominick Aiello for questioning (the most prominent Aiello, Joe, was nowhere to be found). Zuta himself was brought in a few weeks later.

Since police headquarters were on the south side at Michigan and 11th St., in the middle of Capone syndicate territory, when Zuta’s questioning was completed, he pleaded for a police escort to the north side. The officers obliged, but during the drive through the Loop, the car was attacked by gunmen, who after firing indiscriminately into a crowd and killing a street car driver, sped away Hollywood-style, blowing a smoke screen behind them along State street.

Jack Zuta survived the hit, but met his end only a month later while on vacation at a resort near Delafield, Wisconsin. He was plopping nickels into a jukebox on the dance floor when he turned around and was met by a barrage of bullets from five men who had infiltrated the hall. Some theorize the killers were Capone’s men, and their purpose was to avenge Lingle’s death. Others believe Zuta was killed by his fellow gang members, who believed he was talking to police.

An alternative theory of Lingle’s death claims he was offed at the order of a relatively minor, but interesting, hoodlum, John J. “Boss” McLaughlin. A former state legislator, McLaughlin had moved easily across the blurry line between politics and crime, and was at the time building a series of gambling enterprises. Supposedly, he had threatened Lingle just days before his death after a police raid at his headquarters at 606 W. Madison, “I’ll catch up with you, and it won’t be long either”. McLaughlin believed Lingle was going to keep police Commissioner Russell off his gaming centers.

A third theory is that Lingle was actually a victim of Capone. Though Lingle and Capone were known to be friends, some sources claim Lingle had been paid a large sum of money to help Capone win political support and police protection for a number of dog tracks the syndicate planned to open in Illinois. Lingle had failed, the theory goes, and had lost the money gambling or in stocks. Then there is IRS agent Frank Wilson’s statement, alluded to earlier, that he was planning to meet with Lingle to discuss Capone’s tax issues. In addition, a number of witnesses at the scene of the crime identified Sam “Golf Bag” Hunt, a noted Capone gunman, as being present.

Alternatively, some claim Foster, who had recently begun working with Capone, was the killer, and that Capone’s gang arranged for Brothers to take the fall in order to help him escape his murder charge in St. Louis (which he eventually did). Hence Brother’s odd non-plea at his arraignment, and irrational exuberance at having been sentenced to 14 years after his conviction. However, the truth is that Jake Lingle’s tracks in the underworld were simply too complex to trace precisely, and the reason for his death is likely lost completely to history.

Leo Brothers served eight years and three months of his 14 year sentence at Joliet penitentiary, after being released early for good behavior. He was immediately re-arrested for the taxi murder in St. Louis, but the evidence had grown cold and he couldn’t be convicted. He went back to work in the tax racket in St. Louis, working his way up to a position of authority in the industry, until he was shot at his home in a gang hit in September, 1950. He died shortly after.

Frank Citro (Foster) also continued working in organized crime, returning to Los Angeles, where he died of a heart attack in April, 1967. A few months after Brothers was sentenced in 1931, Officer Anthony Ruthy was shot and killed in the line of duty by a fleeing bank robber. Coincidentally, Ruthy was killed less than 100 ft from where Lingle met his end, near the corner of Michigan and Randolph. Grover Dullard was a prominent Chicagoland bookie, and ran with a violent gang of gamblers into the 1940s. Julius “Potatoes” Kaufman moved to New York City, and then to Miami, where he continued running casinos. Peter Von Frantzius was charged with accessory to murder before the fact in the Lingle killing, but the charges were eventually dropped. He continued operating his sporting goods business until his death in 1968.

Lingle was shot at the east side of the tunnel under Michigan Ave., where it rose out of the ground and fed into the old Illinois Central railway tracks. That spot no longer exists today, since the train station has been moved underground. The tunnel under Michigan Ave. has long since been renovated and rerouted slightly, although it still passes close to where it lay in 1930 (see photo at the top of this post). Where the IC station once stood, today is the beautiful Millenium Park, built largely at taxpayer expense and only $130 million over budget and four years late for the millenium (it opened in 2004). Nevertheless, the park boasts a Frank Gehry-designed band shell, a fountain with a constantly-changing electronic image of a man or woman spitting, and "the bean". The spot pictured below at the southeast corner of Michigan and Randolph is Wrigley Square, featuring the "Millenium Monument", a set of greek columns that is a replica of a similar monument that stood on the spot in 1930.

Dillinger’s Plastic Surgery on Pulaski Rd. (or Crawford Ave.?)

By the end of May, 1934, John Dillinger was hiding out in Chicago. Having robbed innumerable banks and broken out of jails twice during the last 12 months, he had become an internationally-known superstar criminal. Besides local and state authorities, almost the entirety of the newly-formed Division of Investigation (later, the FBI) was involved in efforts to hunt him down, dead or alive (but better dead). As “Public Enemy #1”, it was increasingly difficult to find friendly (or unsuspecting) help in evading the law. Dillinger knew he couldn’t continue dodging J. Edgar Hoover’s agents forever; drastic measures were necessary. The great bank robber’s most desperate attempt to evade capture took place here, at 2509 N. Crawford Ave. (now Pulaski Rd.), where he went under the knife to permanently change the face everyone in America now recognized.

January of 1934 saw most of the Dillinger gang wintering in Tuscon, Arizona, on the lam from a serious bank job in East Chicago, Indiana, where Dillinger himself is believed to have killed a police officer. Caught by local police, the famous criminal was extradited to Indiana and placed in jail at Crown Point, Indiana. It was there that he first hired Louis P. Piquett, a Chicago attorney known for close ties to the Chicago mob organization known as the “Outfit,” the remainder of Al Capone’s organization. Probably Piquett’s name was familiar among the crowd Dillinger ran with, or it may be that Piquett offered his services at a cut rate for this high-profile defense. Other have suggested that Dillinger was in some loose way connected with the Outfit, and may have met Piquett previously.

In any case, Piquett, who had no formal legal training but had passed the Illinois bar, became Dillinger’s counsel and best source of assistance after he broke out of Crown Point in March, 1934. Piquett’s presence may have been what drew Dillinger back to Chicago, instead of hiding out in his native Indiana or escaping into the Far West. Piquett’s law office on Wacker Drive was a common meeting place for the Dillinger Gang, although Piquett always denied that Dillinger hid out there while a fugitive.

It was Piquett and his co-counsel, Arthur O’Leary, who connected Dillinger with the makeshift operating room on Crawford Ave. In April, Piquett approached a low-level crook and bar owner, James “Cabaret” Probasco, about finding trained surgeons willing to perform the operation. Probasco, then in his 60s, had been a boxer and a liveryman in his youth and was trained in veterinary science. He had also been a major part of a serious diamond theft ring in the 1920s, serving as the main “fence” for stolen jewels. In 1924, his own wife, Clara, had testified against him to police, probably because her husband’s partner-in-crime was also his mistress, Florence. Despite Clara’s testimony, the case against Probasco fizzled thanks to the work of his attorney Louis Piquett, and he walked on charges of possession and sale of stolen property. Divorcing Clara, he remarried Florence, and went into the tavern business, opening up shop in Rogers’ Park, on Howard St. near Rogers Ave.

(Pictured: James Probasco)

When Piquett approached Probasco about helping his new client, John Dillinger, dollar signs flashed in Probasco’s eyes. He told Piquett he could find the surgical talent and the location, but for a high price, $5,000 (over $80,000 in today’s dollars). It took some convincing by O’Leary, but Dillinger finally agreed to the proposal, and went to work in early May, robbing banks to “earn” the fee.

To perform the surgery, Probasco looked for men with medical training, but who were also acquainted with the underworld. In Dr. William Loeser, he found his man. Loeser, a German immigrant, had trained at Northwestern University and ran a successful surgical practice until his arrest for violation of the Harrison Anti-Narcotic Act of 1914, the first federal law restricting the manufacture and sale of cocaine and heroin in the U.S. Dr. Loeser was paroled in 1932, at which point he fled to Mexico, where he developed a technique to remove fingerprints, becoming his own first patient for the procedure, which involved acid treatment.

(Pictured: Dr. William Loeser)

To assist Dr. Loeser, Probasco found another surgeon, Dr. Harold Cassidy, who had a less shady past, but who was unable to pass up the opportunity to make a quick buck. Probasco promised $1,700 to Dr. Loeser and $1,200 to Dr. Cassidy. All that was left was to find an operating room. Legitimate hospitals were obviously out of the question, and neither of the two doctors was willing to use his own offices. Instead, Probasco opted for the least expensive option – his own apartment at 2509 N. Crawford Ave. Probasco’s wife and former jewel thief, Florence, had died young the year before, and he was currently living with a girlfriend, Margaret Doyle, but he felt she could be misled about the operation. So, on the evening of May 27, John Dillinger arrived at Probasco’s home and prepared for surgery the next day. Dillinger handed Probasco $3,000 in cash up front, with the remaining $2,000 to be paid after the operation.

The following evening, Piquett’s assistant Arthur O’Leary picked up the two doctors, and drove them to Probasco’s home, where they instructed Dillinger to remove his shirt and lie down in the bedroom. Dr. Loeser offered Dillinger the option of a local or a general anesthetic, and Dillinger chose the latter. While Loeser washed his hands in an adjoining bathroom, Dr. Cassidy administered the ether. Suddenly, Dr. Cassidy began yelling for help. Returning to the bedroom, Loeser saw that Dillinger had received too much anesthetic too quickly, and was choking on his own tongue. Quickly, Loeser located his forecepts and freed the blocked airways, saving Dillinger’s life.

But after that experience, Dillinger decided on the local anesthetic, which meant he was largely awake and in excruciating pain, for most of the procedure. For several hours, the two doctors removed a mole from his forehead, a dimple from his cheek, and changed shape of face, smoothing out the famous cleft in his chin, and erasing the seams in his cheeks using implanted kangaroo tendons. They also employed Loeser’s acid method to burn out his fingerprints.

(Pictured: Probasco's home at 2509 N. Crawford Ave. (now Pulaski Rd.) with a crowd of curiosity-seekers outside after Dillinger's death).

With the surgery a success, Dillinger returned to Probasco’s home on June 3, this time bringing with him a fellow gang member, Homer Van Meter, who also went under Drs. Loeser and Cassidy’s knives. Over time, however, Dillinger became unsatisfied with the operation. The science of plastic surgery was still in its infancy, the two doctors were not leading experts, and the circumstances under which they operated were primitive. Thus, Dillinger was still completely recognizable. After his death at the hands of Division of Investigation and East Chicago police officers (see this post for further details), an autopsy found identifying traces of his fingerprints remained, despite Dr. Loeser’s best efforts.

Anna Sage, the famed “woman in red” (she actually wore orange and white, but appeared to be in red under the glare of the Biograph Theater marquee) who turned in Dillinger to the feds, was most likely also the source of their information about James Probasco. A few days after Dillinger’s death on July 22, 1934, J. Edgar Hoover’s men picked up Probasco and took him for questioning to their offices on the 19th floor of the Banker’s Building at Clark and Adams streets. In a search of his apartment, agents found the evidence of the surgery: sleeping potions, acids, gauze, surgical scissors, and cotton were still in the medicine cabinet (likely, Probasco expected more work from other members of the Dillinger Gang).

Agents no doubt questioned Probasco intensely for hours, seeking information on Dillinger companions such as Van Meter and Baby Face Nelson, who were still at large. On July 24, lead investigator Melvin Purvis left Chicago for Washington to brief J. Edgar Hoover about Dillinger’s death and the continued investigations, leaving agent Samuel Crowley in charge of the work in Chicago. Crowley was known as a tougher interrogator than Purvis, and was willing to bend the rules (or worse) to get information out of suspects. In a case a year earlier, agents in the very same room where Probasco was being held, had dangled a mob suspect out the window by his ankles, 19 floors off the ground, in an attempt to make him talk.

In any case, July 26, 1934 saw James Probasco under questioning at the Bankers’ Building, and mysteriously, just a few minutes after agents left him alone in the interrogation room, Probasco stepped up from a chair to the window sill in the room, three feet off the ground, and leapt out the window, falling to his death on the pavement below. Because of the reputation of his interrogators, there has always been a strong suspicion that Probasco did not defenestrate willingly – at worst, Probasco would have faced no more than 30 months in jail for harboring Dillinger, hardly a sentence worth dying over – but the coroner’s jury ultimately ruled the death a suicide. At the time of his death, Probasco held over $72,000 in life insurance policies, with his sister the chief beneficiary, but almost all of the payout was void in the case of suicide.

Nevertheless, the feds apparently got enough information to locate Dr. Loeser, who turned state’s witness against Dr. Cassidy and attorney Louis Piquette. Piquett went on trial in a widely covered case for harboring a fugitive – Dillinger – but was ultimately found not guilty. Unfazed, prosecutors immediately put Piquett on trial for harboring Homer van Meter, using Piquett’s testimony at the Dillinger trial to trap him into contradictions on the stand. In 1936, Piquett was found guilty and sentenced to two years in federal prison. He was also fined $10,000 and disbarred in Illinois. In 1950, President Harry S Truman pardoned Piquett, and he applied for reinstatement to the bar, but died before a decision was made in 1951.

As a reward for his part in the prosecution of Piquett, Dr. Loeser was sentenced to only one day in prison for his crime. However, he also had to serve 18 additional months for leaving the country after his parole in the narcotics case. Dr. Cassidy received only probation, and served honorably in the army medical corps during World War II; however, after the war, however, he had a nervous breakdown and committed suicide in 1946.

Probasco’s apartment building at 2509 N. Crawford was demolished, and an extension was built from the building next door into the lot, numbered 2511 N. Pulaski. Even the name of the street has changed; within Chicago city limits, Crawford is now known as Pulaski Rd. The story of the name change is an interesting one.

On October 1, 1933, while Dillinger was languishing in jail in Lima, Ohio (from which he would soon be freed at the hands of his gang), Cook County civil service commissioner and former president of the Polish Women’s Alliance of America, Miss A. Emily Napieralski, appeared before Mayor Edward J. Kelly, petitioning him to support a change in name for Crawford Ave. to recognize the bravery of Polish general and American Revolutionary War hero Casimir Pulaski. Poles have a long history in Chicago -- Napieralski’s family had arrived as pioneers in the 1830s – and the 1930s saw their political influence growing. Miss Napieralski told the Tribune,

My purpose is to bring about a closer brotherhood of man. Count Pulaski came to America and offered his services to George Washington. In giving distinguished service in the revolutionary war he lifted himself above any particular nationality, and his name should be remembered by all.

Neither Mayor Kelly nor the city aldermen wanted to be seen as anti-Polish, so there was strong support on the city council for the proposal. Understandably and unsurprisingly, however, businesses along Crawford Ave. were nearly uniformly opposed. They had spent heavily advertising their addresses, investments which would be lost if the name change was granted. Some businesses, such as Crawford Laundry and Crawford Grill, would clearly face serious problems.

Also opposed were grandchildren of Peter Crawford, the pioneer Chicago farmer for whom the street was named. Crawford had arrived in Chicago in 1844, and, for $15/acre, purchased the plot of land now bounded by Pulaski Rd., Kostner Rd., Cermak Rd., and 26th Street; his farmhouse home was at what is now 2230 S. Pulaski Rd. Crawford was one of the founders of the township of Cicero in 1857, and as early as 1863, the dirt path abutting the east side of his property, connecting Ogden and Archer Aves., was known as Crawford Ave. Chicago city street signs indicating the name of the street were posted in 1913. At the 1933 meeting of the city council where the name change was under consideration, Crawford’s grandchildren, John H. Crawford and Nettie Ferenson appeared, along with Chicago Historical Society leader Edward P. Brennan, who argued

“We have no Bowling Green, as has New York, no Commons, as has Boston; no Independence Hall, as has Philadelphia. All of our landmarks were wiped out by the fire. All we have left of historical significance is names, and the Historical Society is opposing the wiping out of the names of the families which helped build Chicago.”

Nevertheless, in December, 1933, the city council approved the name change to Pulaski Rd. by a vote of 34-12, rejecting compromises offered by the Crawford business group, such as renaming Augusta Blvd. in honor of Pulaski. You might expect that the business group would be bitter over the loss, but you probably wouldn’t expect them to wage an intense fight over the street’s name for the next 18 years, which in fact they did.

The Crawford business owners first took the city to court, arguing that over 75% of the owners of property along the street opposed the name change, and that the council’s actions flew in the face of Illinois’ home-rule precedent, by which decisions were localized to the greatest degree possible. The group won a temporary injunction in January, 1934, but an appeals court eventually sided with the city, and “Pulaski Rd.” street signs began to be erected in the summer of 1934. Most of these were immediately stolen by upset property owners.

The Crawford business group did not give up so easily, however. For three years, they continuously lobbied state lawmakers in Springfield, and in 1937, they got their wish: a state law was passed indicating that if the deed-holders of 60% of the frontage on any street petitioned city government to change the name of that street, their petition would be granted.

Polish groups that supported Pulaski Road immediately saw the implications and devised an ingenious solution. They found a tiny one-block street, Haussen Court, on the north side, where the majority of the property owners were of Polish descent, and petitioned the city to change the name of that street to Crawford. In doing so, they would effectively block any attempt to revert Pulaski Rd. to the name Crawford, since that would cause duplication in street names.

Mrs. Eda Haussen Bartels, an elderly lady who lived on one corner of Haussen Ct., and after whose father, pioneer farmer Fred Haussen, the street was named, was blindsided by the new plan and vigorously opposed it. The following year, in 1938, she passed away, and her physician loudly told the newspapers that her death “probably” resulted from worry about the name of her street.

The city corporation counsel took both petitions – for changing Pulaski back to Crawford, and for changing Haussen to Crawford – under advisement, and undertook a painstaking and lengthy survey of property on both streets to learn the precise boundaries of each owner’s lot. In 1939, the city announced the failure of both petitions. Pulaski Rd. had 147,207 feet of frontage within Chicago city limits, and the Crawford business group’s petition was short by 9,727 feet. Similarly, the Haussen Ct. petition would require 1,264 feet of frontage to pass, but was short by 90 feet.

The Crawford business group immediately went back to work, and managed to find additional Pulaski Rd. frontage property owners, more than enough to push them over the 60% mark, but the city refused to accept the supplementary petition, causing a return to court for all parties.

During this time, most Chicagoans continued to refer to Pulaski Rd. as Crawford Ave., despite the change. In 1944, a streetcar conductor who called out “Crawford” was attacked by a Polish rider, Michael Orzschkwsk, who grabbed him by the collar and threw him to the ground, yelling invective in Polish (a sympathetic court fined Orzschkwsk $1 and ordered him to pay the conductor’s tailoring bill).

The advent of World War II put the Crawford-Pulaski debate on hold for a few years. Nevertheless, the animosity between the groups was never far below the surface. A rather nasty 1945 letter to the editor in the Tribune, signed “Old Timer,” was symptomatic:

The wailing that is going on among the Polish groups of Chicago with regard to the establishment of the Curzon line as the eastern boundary of Poland arouses little sympathy among thousands of Chicago people who recall that these same Poles have made no move to restore Crawford avenue to the American public since they unlawfully annexed it in 1933 and changed its name to Pulaski road.

In 1950, the Crawford business group again sued the city, indicating they had a petition signed by owners of 60.4% of all the owners of Pulaski Rd. frontage supporting a return to the Crawford name. They asked the court to force the city to follow the 1937 state law. In 1951, Superior Court judge John Sbarbaro did just that, and so, after 18 years, Pulaski Rd. became once again Crawford Ave.

An intense battle between the two sides then took place, with Polish groups who supported the Pulaski name attempting to lure or threaten Crawford Ave. business owners to withdraw their names from the petition. The petitioners responded by pressuring these property owners to remain on the petition. Several petition signers filed withdrawals, and then withdrawals-of-withdrawals over the next year.

However, the return to Crawford Ave. was short-lived. On appeal in November, 1952, the Illinois Supreme Court ruled that the 1937 state law creating the 60% margin for a street name change was unconstitutional, reversing Sbarbaro’s ruling, and handing the property right to street names back to the city council, which swiftly ordered Crawford Ave. to once again become Pulaski Rd., the name it holds to this day. Outside of the city limits, however, such as in Lincolnwood and Skokie, the continuation of Pulaski Rd. is still marked as Crawford Ave.

138 Years of Murder in Chicago

Unlike other posts on this site, this one focuses not on a single crime scene or an historical account of one or two individuals, but instead summarizes the facts on over a century of murder in Chicago. One of the main purposes of this blog is to understand Chicago's historic and modern reputation for crime, and comparisons over time can be illuminating.

The figure above shows the city's murder rate, expressed as murders per 100,000 residents, between 1870 and 2008. This gives a long-run summary view of homicide in Chicago over the last 138 years. I focus here on murder because, unlike rape, larceny, and other crimes, the likelihood of unreported victims is less severe with murder. The cops will eventually notice every corpse lying in the street, although it is true that some "accidental" deaths may actually have been murders, and some bodies are never found.

Data from 1931 to the present is drawn from the FBI's annual Crime in the United States, and is based on reports from local police agencies. Figures from 1870 - 1930 are based on Chicago police department data processed by Homicide in Chicago, a project hosted at Northwestern University School of Law. All figures include both murders and non-negligent manslaughter.

Between 1870 and 1920, Chicago's crime rate grew at an essentially steady pace, reaching a peak of 10 per 100,000 in 1919. During this period, Chicago was growing in population and density. High population density is typically associated with greater crime rates for several reasons. First, in small towns, every face is familiar, but in large cities, criminals are less likely to be recognized by witnesses. Realizing a lower likelihood of being caught, criminals commit more crimes. Second, crime pays better in cities, because there are more people to rob -- there's no point in becoming a robber in the first place if you can't hit lots of targets. Finally, and especially relevant to Chicago during this period, big cities attract large communities of poor immigrants with few prospects for legal employment. Criminal, on the other hand, is a profession open to all.

With the onset of national Prohibition in 1919, many of these immigrants gained lucrative employment in the bootlegging field, and for the first few years of the 1920s, at least, murder rates fell by nearly 50%. But as the various parts of Johnny Torrio's syndicate began falling apart in 1924, culminating in the murder of Torrio's north side associate Dion O'Banion, likely at the hand of his south side associates, the Genna brothers, Chicago's "Beer Wars" began, and the murder rate skyrocketed by 250% between 1923 and 1928. Also around the same time, the notoriously-violent Al Capone took over full control of Torrio's organization in 1925.

Even as Prohibition ended in 1931, murder rates remained high throughout the early 1930s, the worst years of the Great Depression, before falling below 5 per 100,000 in 1943. No doubt the massive mobilization of American men out of Chicago and into military companies in army barracks and overseas locations played no small role in the low murder rates of the early 1940s -- men have traditionally constituted the vast majority of both murderers and murder victims.

After WWII, Chicago's murder rate again began to climb as the city continued growing in size until around 1950. The city's demographics also changed during this period, as increasing automobile ownership and better highways allowed families seeking larger homes to commute from the suburbs, while younger cohorts without children remained in the city (most murderers are drawn from the ranks of 17-24 year olds).

Between 1943 and 1965, Chicago's murder rate rose at a roughly constant rate, increasing by 1 per 100,000 about every three years. However, between 1965 and 1970, the murder rate rose much more dramatically, increasing from 11 per 100,000 in 1965 to 24 per 100,000 in 1970.

Why did the murder rate rise so quickly in the late 1960s? Some point to stricter standards for policing and stronger rights for accused criminals during this period, symbolized by the Miranda case in 1966, in which the Supreme Court ruled that the police must inform arrested persons of their rights before interrogating them. Criminals facing a lower probability of punishment rationally commit more crimes.

There is also some evidence that the generation born after World War II had substantially poorer family formation rates, with an increasing share of children growing up in single-parent households. As I've written elsewhere, as these children reached their late teens and early adulthood -- when offense rates are highest -- in the late 1960s, the quantity of violent crime rose proportionately.

Another potential factor in the growth of crime during this era was the changing consumption patterns and legal status of drugs. The use of heroin and psychodelic drugs increased during the 1960s as production and transportation costs fell, and these drugs also become especially popular among enlisted men and counterculture communities. The pharmacological effects of increased drug consumption -- at least among the class of drugs popular during this period -- on violence are debatable. However, increased usage also led to substantially greater levels of enforcement. Federal prohibition on heroin stretches back to the 1910s, but LSD only became illegal in 1966. Arrests for drug crimes, which were exceptionally rare before 1965, skyrocketed afterwards. With prohibition comes incentives for violence between customers, dealers, and suppliers, who can no longer depend on the courts and police to enforce contracts and mitigate violence.

The war on drugs continued through the 1970s and 1980s. Especially prominent as a source of crime is the arrival of crack cocaine in the mid-1980s. Crack was an immediately and immensely popular drug, and its arrival in Chicago kicked off massive and bloody turf wars among rival drug-selling organizations (primarily street gangs) for control of retailing markets in the city.

While crack consumption has not waned much since the 1980s, boundaries between rival sellers have largely been settled. Thus, the end of the "crack epidemic" coincided with big declines in Chicago's murder rate. In the mid-1990s, the murder rate in Chicago (and nationwide) fell dramatically, declining below 50% of its 1992 peak by 2004. Besides the end of the crack epidemic, there are potentially several causes for this remarkable turnaround.

In other cities, such as New York, declines in crime have been attributed to substantial increases in the number of police on the street and to creative policing strategies. Chicago, however, saw little change in the size of its police force, and "broken windows" and other techniques were slow in gaining acceptance at the CPD, although greater efforts towards community engagement, such as the CAPS program, did begin in the early 1990s.

Imprisonment rates also increased during this period, with Illinois holding 27,516 prisoners in 1990 and 45,281 in 2000. With more criminals behind bars, there are fewer on the street committing crime. In addition, an increased likelihood of a lengthy prison sentence likely deters some would-be criminals.

Finally, and most controversially, some researchers have recently pointed to the role of legalized abortion in the evident decline in crime during the 1990s. While some states legalized abortion procedures before 1973, Illinois and most other states saw legalization after the Supreme Court's famous Roe v. Wade decision that year. A large share of women seeking abortions do so because they feel unprepared to raise a child -- and no doubt many of them in fact are poorly prepared for motherhood. After the legalization of abortion, this theory argues, many children, who would have been raised in high-risk environments, were never born. This "missing cohort" would have reached their late teens and early 20s during the early 1990s; thus, the decline in murder rates in the 1990s may be partially due to the fact that many would-be murderers were never born.

The statistical evidence regarding this theory is controversial and, in many places, contradictory. Nevertheless, it is difficult to doubt that at least some of the decline in Chicago's murder rate during the 1990s is due to legalized abortion.

By 2008, Chicago's murder rate was 18.03 per 100,000, roughly the same as it was in 1967. Nevertheless, the city's rate is substantially higher than some other large cities, including New York City (6.3 per 100,000) and Los Angeles (10.0 per 100,000). On the other hand, Chicago is relatively safe compared with Philadelphia (23.0 per 100,000), Detroit (33.8 per 100,000), and Gary, Indiana (73.2 per 100,000).

The Saga of Jesse Binga

The cinematic arc of Jesse Binga’s life story – his humble arrival in Chicago with $10 in his pocket, the genius and hard work that took him to the pinnacle of business and social success, and his courage in challenging and overcoming racially-motivated attacks, followed by a stunning bankruptcy, imprisonment, and a pitiful, penniless death – mirror in exaggerated terms the failed hopes of black Chicagoans in the first half of the 20th century. Most of the events in Binga’s life took place here at his home, 5922 South Parkway Blvd. (now 5922 S. Dr. Martin Luther King Dr.)

Jesse Binga was born at Detroit in 1865, one of ten children. His father was a barber, but his mother, Adelphia Powers Binga, was a serial entrepreneur, and became her son’s inspiration throughout his life. As a housing developer, she built “Binga row” houses in the city’s slums. She also operated a food shipment business – the first Great Lakes-caught whitefish ever tasted south of the Mason-Dixon line were transported there by the Bingas.

With ten children in the home, the family was never wealthy. Jesse Binga dropped out of high school and apprenticed to his father as a barber and also worked briefly for a Detroit attorney before setting out to seek his fortune. He worked off and on in barbershops throughout the Midwest, then headed to California, where he found employment as a Pullman porter. In 1893, Binga came to Chicago to attend the World’s Fair that took place that year, arriving with no more than $10 to his name. Remaining in the city after the Fair, Binga spent a few years working at odd jobs before starting a real estate business on south State St., near 33rd street in about 1896.

With his mother’s experience in real estate as an inspiration, Binga threw himself into the business, saying:

Well, I'm going to give it a fair test, and if integrity counts for anything, I'll win. I felt that only prejudice could beat me and I determined that if it did beat me I would go to South America and start life in one of those republics where a man's color is not his crime.

Jesse Binga’s audacious success and rapid climb into the highest echelons of Chicago society meant that he never saw the Andes mountains.

(Pictured: Jesse Binga)

At the turn of the century, only around 20,000 African-Americans called Chicago home, less than 2% of the city’s population. Most of these were concentrated in the so-called “Black Belt” district, which stretched a few blocks on either side of State street south from 22nd street down to 35th street. Chicago was not unusual in its racial homogeneity at the time; most African-Americans in the U.S. lived in southern states, several of which in fact had majority or near-majority black populations. Starting in the 1880s, and especially in the first decades of the 20th century, Jim Crow segregation in much of the South, plus racial persecution by the Ku Klux Klan and other white groups and poor agricultural employment opportunities sent millions of southern Blacks into northern cities, including Chicago. The widespread circulation of the Chicago Defender, the city’s chief African-American newspaper, made Chicago a particular magnet for those seeking jobs and inexpensive housing.

It was these new migrants who made up the core of Jesse Binga’s clientele. When he opened his real estate business in 1896, he paid $10 per month in office rent and bought a battered old desk for $1.50. He ordered 1,000 cards from a printer, but finding himself unable to pay the bill, convinced the printer to let him have 25 proofs as “samples,” which he used until he was able to pay in full. His first profitable project was renting an apartment in the same building where he had his office, then fixing it up and subletting it at a premium.

As black migrants flooded into Chicago, the borders of the Black Belt expanded into historically-white neighborhoods. White residents in these districts were eager to leave as blacks moved in, and Jesse Binga was the city’s major broker between white sellers and black buyers. Binga would buy or rent property from departing white residents, then fix up or subdivide these buildings into smaller apartments demanded by poor southern blacks arriving in the city. In this way, he was able to demand upwards of 50% premia over the purchase price of many properties. Binga placed the advertisement below in the Tribune in 1905:

By the middle of the 1900s decade, Binga was the city’s top black real estate broker, a position he continued to hold for the next twenty years. Explaining his rapid success to a reporter in later years, he emphasized his expertise in construction, and underestimation of his intelligence by business partners, as the twin bases for his success in real estate:

I could do the repair work myself. I could do everything from digging a posthole to topping a chimney. I knew. Many a night I've worked all night on boilers and plumbing, and wiping joints, and mending stairs, and hanging paper. I knew materials and I knew when work was right…

My greatest asset in business -- I won't say that it was altogether my integrity. It was partly the disposition of the average white man to underestimate my knowledge of real estate values. They wouldn't believe that a colored man could take almost any old building and whip it into shape.

Due to discrimination, as well as other factors, many blacks in Chicago faced difficulties in gaining access to adequate credit to finance houses and other large purchases. As with real estate, Jesse Binga realized he could turn racism into profit. Opening his own bank, he would serve customers other banks would not – and this lack of competition meant big revenues. When the white-owned McCarthy Bank at 35th and State failed in 1907, Binga purchased the building and chartered his Binga Bank, a private credit institution.

The bank was an immediate success, and such was Binga’s growing stature in the community that he decided to dabble in politics, running for County Commissioner in 1910. That run failed, and Binga largely turned away from politics for the rest of his life, finding business a much more profitable pursuit. Later, he would explain his disdain for political life: "the double crossing, the knife in the back one day and the handshake the next -- I never took to that. I vote but I don't know today what ward I live in."

(Pictured: political advertisement which appeared in the Chicago Defender in 1910)

In 1911, the Defender, referring to Binga as “Our Only Banker,” sang his encomium:

He was the pioneer in securing good houses and flats for the race and the beginning of his remarkable business along that line has been one of the main factors in the wonderful growth of the citizens of color in Chicago.

The next year, Binga married into the city’s wealthiest and most prominent African-American family, the Johnsons. His bride, Eudora Johnson, was a daughter of famed gambling king John “Mushmouth” Johnson, owner of the massive Emporium Saloon on "Satan’s Mile" (S. State St.) and the upscale Frontenac Club on W. 22nd (some sources claim Eudora was a sister, not a daughter of Mushmouth; as I’ve noted before, the relationships between various Johnson family members were complicated). Supposedly, Eudora inherited over $200,000 from her father, which added to the Binga Bank’s capitalization, making it not only the biggest bank in the Black Belt, but a serious competitor for the business of white depositors as well.

Some have even suggested that Binga married Eudora Johnson exclusively for her money (she was apparently not exactly the picture of pulchritude); more than likely, though, such rumors originated out of jealousy from rival businessmen and renters who resented their landlord. In any case, the Binga-Johnson wedding was the city’s most lavish that year, and, befitting Binga’s growing national stature, even Booker T. Washington sent a letter of congratulations to the newlyweds.

During the next fifteen years, Chicago’s black population, which had already been growing by leaps and bounds, quadrupled in size. Jesse Binga was one of the chief beneficiaries; both his real estate and banking businesses prospered tremendously. Between 1921 and 1924 alone, the bank’s deposits grew from $300,000 to over $1,100,000, and then to nearly $1,500,000 by 1929, a period when real estate values were stagnant and bank failures were not uncommon (through suspensions and closures, the number of banks in Illinois fell from 1,969 in 1920 to 1,806 in 1929).

Binga was Chicago’s leading black citizen, and among its leading citizens of any color. During this period, he opened a “business school” of sorts, the Associated Business Club, wherein black entrepreneurs heard lectures from the city’s top business owners, black and white. He also purchased the home pictured above, at 5922 South Parkway Blvd., in 1917, for the sum of $30,000 (the equivalent of around $500,000 today). The home, located in what was a strictly white neighborhood, overlooks Washington Park, a beautiful and grand park covering more than 70 city blocks.

Jesse Binga’s prominence as a black Chicagoan of means, his activities in “block-busting” – drawing black residents into previously white neighborhoods, and his own purchase of a large home in a white district, made him a target for animosity among whites. Starting during the Chicago Race Riots of 1919, his home on South Park Blvd. was bombed seven times over the next two years. His businesses also suffered repeated bombings. Each time dynamite exploded on his front porch, there would be offers to buy his home, but Binga refused, rebuilt, and remained on South Park Blvd. He placed a private security officer on 24-hour guard for months at a time, and even publicly offered a $1,000 reward for the conviction of the bombers, but none were ever caught. He told the Defender (partially in response to criticism from blacks that he had moved out of the Black Belt),

I am an American citizen, a Christian and a property owner. No man can make of me a traitor or a coward. No power on earth can change my faith in God. I will defend my home and personal liberty to the extent of my life….I have just as much right to enjoy my home at Washington Park as any one else to go there and play tennis or baseball or enjoy other advantages of the district. It is a personal privilege. I went there to live because I liked the house and I had a chance to buy it....I do not want to get away from anybody, but absolutely refuse to live in a neighborhood inhabited by the lower class of white trash.

Despite his dislike of politics, Binga consistently went on the record in favor of greater state regulation of private, unincorporated banks like his own. At first blush, it may seem unusual for a businessman to favor greater regulation of his own industry, since the costs of complying with regulations can be high. However, regulatory costs are largely fixed costs – that is, independent of the size of the business – which means only the largest and best-capitalized firms will be able to remain in business. In banking, for instance, most regulations require higher levels of capitalization and more layers of accounting. By 1920, the chief threat to the Binga Bank’s profitability wasn’t greater regulation; it was competing black bankers. State regulation was a way to cripple the competition, and in that year, Binga, along with other major Chicago bankers, succeeded in eliminating private banks. After 1920, all banks had to have state or federal charters, and no less than $100,000 in capital. The Binga Bank – renamed Binga State Bank – was the only Black Belt bank able to meet such requirements.

Binga also associated his bank with the Chicago Clearing House, an association of local banks that could – but were not obligated to – supply cash on demand to a member bank if that bank suffered a run on its deposits. In those days before federal deposit insurance (FDIC), although banks were generally more conservative as investors, they were at greater risk of devastating bank runs (see the more extensive discussion of banking before FDIC in this post), so Clearing House membership added a degree of assurance to depositors. And because a potential run could become quite expensive, only the city’s top banks were allowed to become Clearing House members.

In 1926, Binga purchased property at the center of the Black Belt, on the northwest corner of 35th and State, on which he built a new $120,000 structure to house the Binga State Bank. It was the most expensive single building in the district. Constructed of marble and bronze, the exterior reflected a rich Ionic architecture, and the interior featured walnut paneling and a massive steel vault. 50 bank employees, all African Americans, were skimmed from the top of the community’s talent pool, and featured college degrees from the University of Chicago, the University of Michigan, and Oberlin College, among other institutions. Behind a massive glass and marble desk overlooking them all was Jesse Binga, the high-school drop-out and former barber and Pullman porter.

(Pictured: The Binga State Bank building at 35th and State streets)

In 1927, Binga purchased more property at 35th and State, and built an even grander structure, the Binga Arcade, a $500,000 5-story modern office building, which would house all of the Binga empire, as well as offices for other black-owned businesses. There was no building anything like it south of Van Buren St. in the Loop.

During this period, income among African Americans in Chicago was growing substantially, and Jesse Binga was a leading symbol of the community’s hopes. His success made him a celebrity. He wrote weekly columns on business and real estate for the Defender, and published a book entitled “Certain Saying of Jesse Binga,” which included such pearls of wisdom as

Nothing is so easy or so wasteful as the work of hating -- except hating work.

You can be a menial or a man of business. But to get out of the menial place requires the thrift that produces property. And property enlarges life. Work, then, not for gain alone but for the enlarged life that honest gains create.

Life is pretty much what you make it -- and making it big means using every day of it.

In 1929, at the height of his success, 64-year old Jesse Binga began soliciting funds for a second bank, this one with a federal, instead of a state, charter. It was to be his crowning achievement, his lasting legacy to Chicago before retirement. Binga purchased property on South Parkway Blvd., near 46th Pl., for the new bank building, and sold shares in the business to investors. He had little trouble finding eager subscribers to the new bank. What could go wrong, after all? There was no better bet in Chicago than Jesse Binga.

Unfortunately, no one, least of all Binga himself, foresaw the end of the prosperity of the 1920s. In late October, 1929, the great stock market crash eliminated millions of dollars of industrial value. At around the same time, Congress passed the Smoot-Hawley tariff act, which limited imports and exports, destroying well-established businesses and isolating the U.S. from the world economy. Failing businesses had difficulty servicing their loans, and so undercapitalized banks began to fail throughout the country. At the same time, many depositors, fearing the insolvency of banks and needing additional cash to cover income lost in the broadening downturn, removed money from banks. Banks were caught in a vice.

In 1928, 18 Illinois banks had their operations suspended by the state; 1929 saw that number rise to 30, but these were not especially high numbers relative to the previous years of the 1920s. The middle of 1930, however, saw Chicago’s banking industry begin to crater, and the Binga State Bank was the “canary in the coal mine.” By July, the bank was facing serious shortages of capital and had suspended lending. Binga lent much of his own personal fortune in an attempt to keep the bank afloat, but to no avail. On July 31, 1930, Illinois bank auditors closed the Binga State Bank, alleging insolvency and accounting improprieties. As the shock of the event rippled through the city, thousands of worried depositors congregated at 35th and State, and two policemen had to maintain 24-hour watch to protect the building. A pall hung over the crowd, many of whose members had entrusted their life’s savings in the bank. Worse still was the crushed pride of seeing the African-American community’s leading citizen forced out of his commanding business position.

(Pictured: depositors milling around outside Binga State Bank on July 31, 1930)

Behind the scenes, auditors were also preparing a criminal case against Jesse Binga. In their audit of Binga State Bank, the funds that had been subscribed for the new national bank, announced in 1929, were found missing. Authorities gave the bank’s board of directors a few days to raise $400,000 needed to make the bank solvent, and the directors were amenable to the request – but only if the tarnished president, Jesse Binga, stepped down. Binga refused to do so, clinging to the bank he had built up from a single $10 bill, the bank he had poured his entire life savings into in an attempt to forestall its failure.

Next, the Chicago Clearing House, of which Binga State Bank was a member, met to decide whether to supply it with sufficient funds to re-open. Likely other banks in the association were suffering under similar distress, and so the Clearing House members were not keen on taking the risk to prop up Binga State Bank, especially if the rumors of embezzlement by Binga were true. Perhaps, too, racism played a role. Later, one member would describe a conclave of Clearing House members in which the meeting chairman said that Binga State Bank was “a little n----- bank that does not mean anything.” It was the first closure of a Clearing House member bank in twenty years.

In any case, by October, 1930, Binga State Bank had failed, and thousands of depositors’ savings were completely gone. December saw Binga forced into personal bankruptcy and hounded by creditors. Even his wife, Eudora, turned against him, filing suit in court, charging him with incompetency in managing the family’s financial affairs and asking that the court appoint a conservator to handle what little money was left.

The failure of the Binga Bank kicked off a massive string of bank failures in Chicago. From 30 Illinois bank suspensions in 1929, 1930 saw an uptick to 125. Another 238 banks suspended operations in 1931, then 209 more in 1932 and an additional 245 in 1933. The number of banks in the state fell by more than half in four years. If the state regulations of 1920 that shut down the private banking business were intended to protect depositors, they failed miserably. If Chicago Clearing House members thought allowing Binga State Bank to fail would not lead to further runs on banks in the city, they were completely wrong.

In April, 1931, a court handed down an indictment against Jesse Binga for embezzling $39,000 in pledges for the proposed national bank on South Park and 46th, which had never opened. Over 80 witnesses testified at trial against Binga, but Binga’s attorneys argued that a state law precluded capital funds for a national bank from being held in a state bank – thus explaining why Binga had held these funds in his own personal account, but not explaining where the funds had gone. The jury was hung, and the judge decreed a mistrial.

The state’s attorney immediately began preparing a second trial, which, after a long series of continuances, began in May, 1933. Two months before, in March, Eudora Binga died, likely from stress due to the stress of financial dissolution and personal antagonism with her husband.

At the second trial, the state added to its list of witness the #2 officer at the Binga State Bank, Mrs. Inez Cantey. When asked about the events precipitating the closure of the bank and the misappropriation of funds, she repeatedly admitted wrongdoing – “with the permission of Mr. Binga”.

With his chief lieutenant turned against him, Jesse Binga likely knew he was headed for a conviction. He took the stand in his defense, breaking down in tears as he exclaimed,

They're persecuting me. They have killed my wife and now they're trying to kill me. I've lost all I owned; now they're persecuting me. Stop this thing or I'll go mad!"

A few days later, the jury returned a verdict of guilty on all counts. In November, 1933, Binga was sentenced to serve 1 – 10 years in state prison. He managed to remain free while awaiting an appeal to the Illinois Supreme Court, but when that court denied the appeal, a 70-year old Jesse Binga entered Joliet prison in April, 1935. He was immediately transferred to the hospital ward for treatment of a heart condition, and most observers fully expected him to die in prison.

11 months later, at his first parole hearing, Chicago’s – and the nation’s – most famous attorney, Clarence Darrow, appeared on behalf of Jesse Binga. "I have known Binga for thirty years and he is a man of fine character. He lost a fortune trying to keep his bank open."

The appeal was denied, but his next parole hearing in February, 1938 was a success. At that hearing, prison officers were presented with a list of 10,000 signatures from Chicago residents, requesting the release of Binga. Many of the signatories were among those who lost money in the failed Binga State Bank.

After being released from prison, Binga moved back into his home on South Parkway Blvd. Completely broke and in poor health, he nevertheless managed to keep creditors from taking his home by working as a janitor at his church, St. Anselm’s on S. Michigan Ave., near 60th St.

In April, 1941, Jesse Binga received some belated relief in the form of a pardon from Illinois Governor Dwight Green. But it was too little to salvage much of his tarnished reputation. Soon after, Binga finally sold his home and moved in with a nephew, Albert Roberts (the Bingas had no children). Jesse Binga died in 1950.

The Binga State Bank, formerly the emerald of the Black Belt, remained closed until 1943, when it was reopened as the Phoenix National Bank under new ownership. Together with the Binga Arcade, the bank building was demolished in the 1970s, replaced by an Illinois Institute of Technology building.

Binga’s home on South Parkway Blvd., however, still stands (though apparently renovated extensively), though the street was renamed Martin Luther King Dr. in the late 1960s. In fact, it is even for sale. The formerly all-white neighborhood where Jesse Binga courageously stood against dynamite attacks in 1919-1921 is now almost entirely populated by black residents.

[Update: See the interesting additional information below in the comments from a Binga nephew]

Kill Dillinger Here

It’s the ultimate Chicago crime scene: The Biograph Theater at 2433 N. Lincoln Ave., where John Dillinger’s fifteen-month crime spree across the Midwest, which turned him into one of the 20th century’s most famous criminals, ended in a nearby alley with two shots to the chest and one in the back of the neck.

Dillinger, an Indiana native of rural extract, had a hard-knock childhood after his mother died when he was only 3. As a teenager in the 1910s, he was a school-boy terror, and by 1924, he landed in jail under lengthy sentence for his part in a mugging. His partner in the crime, Ed Singleton, sold the 21 year-old Dillinger down the river, bargaining for a light sentence while Dillinger, who was not well represented at trial, got a stiff 10 to 20 years. For the next nine years, most of which was spent at the notoriously vile prison in Michigan City, Dillinger stewed in resentment over what he saw as an unfairly harsh punishment. At the same time, he studied hard at “crime school,” building knowledge and contacts among the hardened crooks surrounding him, including future partners in crime “Handsome” Harry Pierpont, Homer VanMeter, and John “Three Fingered Jack” Hamilton. Finally paroled in May, 1933, Dillinger’s next fifteen months would take him from Indiana farm boy to international celebrity.

Four months after winning his freedom, Dillinger helped smuggle a cache of weapons back to his colleagues in the Michigan City prison, who then used them to break out of the hated facility, where new, untrained guards had been recently installed as a part of a change in gubernatorial administration in Indiana. Just days before the breakout, Dillinger, who had spent the summer using his new-found criminal expertise to lead a bank robbing gang on expeditions in Indiana, Illinois, and Ohio, was captured and sent to jail in Lima, Ohio. His friends Pierpont and Hamilton, newly on the lam from Michigan City, returned the favor by leading a brigade to break Dillinger out, in the process killing the county sheriff, Jess Sarber, who lived in the prison complex (Pierpont would later meet his fate on the electric chair for the murder).

Dillinger and his gang, which included at various times not only the aforementioned Pierpont, VanMeter, and Hamilton, but also other criminal luminaries such as Harry Copeland and Lester “Baby Face Nelson” Gillis, would take a dollar where they could find it, but their primary targets in 1933-34 were banks. Their basic modus operandi was to leave a getaway driver on the street in a fast car, then enter the bank and calmly order everyone to the ground while they loaded up bags with cash. Surrounding themselves with human shields, they would then exit the bank, enter the car, and position their hostages on the sideboards as they drove off, making it extremely difficult for sharpshooting police to take a clear shot. In most of the rural and suburban locales they targeted, the police were armed with pistols, which were no match for the WWI-surplus Thompson submachine guns the Dillinger gang preferred. In addition, the police in these sleepy towns generally drove older model cars that were left in a cloud of dust by Dillinger’s 1933 and 1934 Ford Terraplanes, which could easily hit 80 mph. In those days before in-car radios, the police had little chance to catch up, and could not easily call a roadblock ahead (purportedly, Dillinger avoided banks in Michigan because police there were equipped with radios).

(Pictured: Three poses of John Dillinger. The description accompanying this series in the newspaper read: "The center picture, particularly, is characteristic of the killer's disdain of the law, his sneering, unchanging hate of the public and its institutions.)

Dillinger’s criminal career coincided with the nadir of the Great Depression. During 1933 and 1934, the national unemployment rate soared to over 25%. Real gross domestic product, a measure of the nation’s annual economic output, had fallen for four consecutive years, there of which were by double-digit percentages (by contrast, as of 2008, GDP has only declined in four years out of the last 34). Then, as now, the public recognized the downturn as a monetary phenomenon, and much blame and ire landed at the feet of bankers. Many Americans had suffered the humiliation of losing their homes and businesses to bank repossession, or had been turned down for additional credit, so Dillinger’s focus on banks gave him the aura of a robin hood figure, despite the fact that he spent most of his ill-gotten gains on himself and his girlfriends, not the downtrodden masses queued up at soup kitchens.

But despite his hardscrabble upbringing, his ability to make bankers tremble, and his almost supernatural ability to avoid police capture, it is doubtful Dillinger would have achieved much public acclaim without a particular legislative accomplishment of the New Deal – federal deposit insurance.

The Federal Deposit Insurance Corporation, or FDIC, was created as a part of the Glass-Steagall Act, passed by congress in June, 1933, and implemented as of January 1, 1934. Before FDIC, “runs” were a common feature of the banking system in the United States. When a rumor started that the local bank might be in financial trouble, some depositors would exercise caution by withdrawing cash. The sight of people withdrawing their deposits would further fuel the rumors of financial problems at the bank, leading others to take their money out of the bank. This process could quickly create a vicious circle, by which rumors of distress, which might not even be true initially, created a self-fulfilling prophesy as panic spread among depositors racing to the bank to get their deposits out before the bank’s reserves ran out.

By insuring deposits, FDIC broke the circle. Even if a bank truly was in distress, those withdrawing their deposits late would lose nothing; hence, there was no reason for a rush to withdraw first, no panic, and no bank run. For this reason, bank runs have been exceedingly scarce since 1934. But at the same time FDIC solved the problem of runs, it also created a set of perverse incentives for bankers, who no longer faced the disciplining force of possible financial ruin in making risky loans and other investments. Before FDIC, banks typically kept relatively high levels of reserves – currency on hand – and competed with each other for customers by advertising their high reserves and other conservative practices. After FDIC, there was no reason to hold more reserves than required by law, and most banks today hold less then 5% of depositors’ money in cash. The consequently high level of leverage in the banking system creates instability, and many commentators blame the S&L crisis of the 1980s, as well as the panic of 2008, on excessive risk-taking by bankers.

An additional unintended consequence of federally-mandated deposit insurance was to make depositors essentially indifferent towards robbery. Before FDIC, the robbery of a small town bank could create serious losses for depositors and a major contraction in local credit, but with a federal assurance that depositors could lose nothing, the incentive to protect banks waned and the desire to glorify robbers like Dillinger grew. Some historians believe that many Dillinger gang bank hits were, in fact, inside jobs, with bankers using the famous criminal as a cover-up for their own malfeasance.

While Dillinger’s gang was never afraid to use violence to avoid capture, Dillinger himself was a relative pacifist. The only known case in which he killed anyone was during a January, 1934 robbery at the First National Bank in East Chicago, Indiana, where he machine-gunned a police officer who had shot him during his escape. It was this killing, however, that would eventually come to be closely linked with Dillinger’s own death at the hands of the East Chicago police force.

After the First National Bank job, Dillinger and his crew decamped for Tucson, Arizona, where they tried to lay low until the nationwide manhunt that was following them passed. But it was difficult to disguise these high-rolling gangsters and their big-spending girlfriends in dusty Tucson, and eventually the local police rounded up Dillinger, Pierpont, and several other gang members. Pierpont was shipped back to Ohio to stand trial for the murder of Sheriff Surber during the Lima breakout, while Dillinger ended up in jail at Crown Point, Indiana.

It was at Crown Point where Dillinger made his most famous prison escape, one that would rocket him from a prolific, but regional, bank robber, to international superstardom. On March 3, 1934, prison handyman Sam Cahoon accidentally opened the main cell block door before the prisoners were safely locked back in their cells. Within seconds, Dillinger perceived the opportunity and jumped into action. Out of nowhere, he brandished a pistol, which he shoved into Cahoon’s side, forcing the handyman to assist him as he slowly made his way out of the facility, using the gun to take additional hostages as he went. Highlighting the audacious escape was the fact that, as later revealed, Dillinger’s “pistol” was really a wooden washboard slat, painted black and carved into the shape of a gun barrel.

Overnight, Dillinger became “the man no prison could hold.” But was Dillinger’s escape really so miraculous? Conspiracy theorists have always pointed to the utter unlikelihood of so many stars lining up at once, especially for such a high-profile inmate who should have been under especially high scrutiny. Moreover, Cahoon and other hostages at Crown Point that day swore to their graves that Dillinger’s gun was no fake. In these highly speculative, but fascinating, conspiracy tales, Dillinger was slipped a real pistol (and, possibly, the decoy as well) by corrupt members of the East Chicago police force, who may have visited Dillinger during his initial days at Crown Point, since his most recent robbery had been the First National job in East Chicago.

Lending some mild credence to these theories is the fact that the East Chicago police department in those days was notoriously corrupt. Situated just across the state line from the south side of Chicago, the town of East Chicago was an ideal spot for vice operations, and had for years been home to a myriad of gambling, prostitution, and (during Prohibition) booze operations. These resorts operated under protection from the East Chicago city government and police, who received a cut of the profits. In 1929, indictments were handed down against the mayor, police chief, and many other city officials for participation in this graft, and the top figures in the pay-for-play scheme served two years in prison, after a circus-like trial in which one of the prosecution’s chief witnesses, an East Chicago police officer turned state’s witness, was murdered. Among those who served time was East Chicago chief of detectives Martin Zarkovich, who would later play a critical role in the death of John Dillinger.

Another curious fact is that, just a month before Dillinger’s death on May 24, 1934, two other East Chicago police officers, Martin O’Brien and Lloyd Mulvihill, were found dead in their service vehicle. Most historians blame members of the Dillinger gang, and while some members of the gang were certainly capable of such violence, there was never evidence tying any of them to O’Brien and Mulvihill; conspiracists insist that the two policemen knew too much about the relationship between Dillinger and the East Chicago force, and met their fate at the hands of their fellow officers.

While these facts add up to make the theory that East Chicago officers helped Dillinger break out of Crown Point (perhaps in return for some of his loot) at least plausible, the case must be considered suggestive and circumstantial at best.

In any case, after the breakout, Dillinger rejoined VanMeter, Baby Face Nelson, and John Hamilton in St. Paul, Minnesota, where they continued their reign of terror. Later the gang spent time in upper Wisconsin, narrowly avoiding capture at the hands of the newly-formed Division of Investigation (forerunner of the FBI) in a botched police raid. By June, 1934, Dillinger was back in Chicago. His face was as recognizable as any movie star’s, and five states plus the federal government had put a total $15,000 bounty on his head. Even Dillinger realized his crime spree couldn’t go on much longer. Biding his time, he disguised himself by dying his hair black, wearing a moustache, and sporting gold-rimmed glasses, and began slowly, tentatively, venturing out onto the streets of Chicago. He also underwent primitive plastic surgery to change his facial features, and took acid treatments on his fingertips to make his prints unidentifiable.

The disguise seemed to work well, but Dillinger nevertheless made plans to escape to Mexico. Here and there, he and his gang would reunite to hit a bank, but generally Dillinger kept a low profile during the summer of 1934, building his cash holdings and preparing for a trip south of the border, which was to depart on July 23. During the meantime, though, he began enjoying the Chicago nightlife, posing as “Jim Lawrence,” a fun-loving Chicago Board of Trade employee.

One night, he found himself at the Barrel of Fun nightclub on Wilson Ave., between Elston and Cicero Aves. Introducing himself as Jim Lawrence, he asked for and received the telephone number of a dark-eyed brunette named Polly Rita Keele (nee Hamilton). At the time, Polly was living with a friend and former employer, Anna Sage, in an apartment building on Halsted, just north of Fullerton.

(Pictured: Polly Keele)

Keele and Sage had become acquainted while both lived in Northwest Indiana, and Sage was operating a brothel where Keele sometimes worked. Polly, who had run away from home in Fargo, North Dakota, at age 13, wound up at Anna Sage’s “People’s Hotel”, a house of ill-repute in Gary. There, she met her husband, Roy Keele, a Gary police officer, and they married in 1929. By the spring of 1933, however, the couple was divorced and Polly sought out her old employer, who had by that time moved into Chicago. It’s possible that Anna Sage knew Dillinger from her Lake County days, and set up the meeting with Polly at the Barrel of Fun, or it may be that the encounter between Polly and Dillinger was by chance, and Polly introduced her new beau to her landlady at some point later. In any case, Dillinger and Polly Keele became lovers and were frequently at Anna Sage’s house, with some reports indicating that Dillinger even lived there himself during some parts of the summer of 1934.

With Sage, however, Dillinger’s luck had finally run out. He did not know that the reason Anna Sage was in Chicago was that, as a convicted proprietor of a house of prostitution and a foreign national, she was facing the threat of deportation back to her native Romania. Thus, she was looking for opportunities to redeem herself in front of immigration authorities at the very moment that Uncle Sam’s most wanted man walked into her life. Dillinger also did not know that one of Anna Sage’s boyfriends during her time in Northwest Indiana was East Chicago chief of detectives, Martin Zarkovich.

Arriving in the U.S. in 1909, Anna Sage and her husband, Mike Chiolak separated in the late 1910s, and by the early 1920s, Anna Sage was one of Northwest Indiana’s top madams. A patrol officer at the time, Zarkovich, who was married with children at the time, became a frequent visitor, and the affair with Sage was cited by his wife in divorce proceedings shortly after. A flashy dresser, fellow officers referred to Zarkovich as the "police sheik", and after his divorce, he was able to quickly advance in the East Chicago police hierarchy. During the 1920s, Zarkovich's power kept the police heat off of Sage’s properties, but after he went to jail in the graft case mentioned earlier, Anna Sage was convicted four times for running disorderly houses. When he was released from prison, Zarkovich managed to get his old job back, and did his best to erase the damage, helping Sage to receive two pardons from Indiana governor Harry Leslie, but immigration authorities pressed their case against her due to the other two convictions, causing her to flee into Chicago.

(Pictured: Anna Sage with her son, Steve Chiolak)

During June and July, John Dillinger and Polly Keele frequently double-dated with Anna Sage’s adult son, Steve Chiolak, and his girlfriend. Chiolak later described the fun times with “Jim Lawrence”, which included many summer evenings at the movies: “If he was the man they said he was, he was an all around fellow. He didn’t act tough and he didn’t talk tough. He didn’t drink hard liquor either; just mild gin fizzes.”

Chiolak did notice scars on his new friend’s face, ones that seemed out of place for a sober securities trader, but felt it wasn’t his place to ask. “I don’t like to ask a guy about his face. I’d get mad if some one asked me about mine,” he told reporters later.

While it’s unclear whether Chiolak was truly unaware that Jim Lawrence was really Public Enemy #1, Anna Sage either was already aware of it, or quickly figured it out after he started hanging around her house. She contacted her old friend from East Chicago, Det. Zarkovich, and the two arranged a meeting with the Division of Investigation’s top G-man in Chicago, Melvin Purvis. Later, when Sage continued to face deportation proceedings after the death of Dillinger, she told reporters:

I was told that I could stay. The men who wanted Dillinger so bad told me it would be a small thing to stop my going away. When it was first suggested that I help in getting Dillinger, I said I was not interested in rewards – all I wanted was permission to stay in this country. Shouldn’t the government keep its promises, when I believed them?

Purvis, Zarkovich, and Sage arranged for a take-down a few days later, on the evening of July 22, 1934, when Dillinger, girlfriend Polly Keele, and Sage were all planning to attend a movie. It hadn’t yet been determined precisely which movie or which theater, but a signal was agreed upon: if the destination was to be the Biograph Theater, just behind Sage’s home, she would wear no hat; if Dillinger decided to take the women to the Marboro Theater on the Westside, Sage’s head would be covered.

(Pictured: Martin Zarkovich of the East Chicago police force)

Just after 8:00 p.m. on the evening of the July 22, John Dillinger and the two women left the house. Dillinger sported a white silk shirt, gray linen trousers, and a straw hat, but as it had been a hot day, he decided against wearing a coat, which would have helped conceal the pistol he always carried with him. Instead, he tucked the gun into his belt, where it was slightly more difficult to retrieve. As they left the house, Anna Sage, who wore a white blouse and an orange skirt, stopped the trio and asked Dillinger if they were going to be traveling far for the movie that night. If so, she needed to take her hat.

No, Dillinger said, we won’t be going far. Sage left her hat at home, and the team of police officers staking out the Sage home on Halsted signaled Purvis with the news: Dillinger’s last stand would be at the Biograph.

The group assembled to take down Public Enemy #1 included ten federal agents, plus four East Chicago officers, including Martin Zarkovich, who had gotten the tip from Sage. The deal worked out was that, after Dillinger was killed or in custody, the East Chicago team would receive the $15,000 reward money, while the feds, who were ineligible for the monetary prizes, would get all of the glory and publicity. They truly needed it, as the fledgling Division of Investigation, headed by J. Edgar Hoover, had gained a reputation for bumbling during their long and fruitless quest to end Dillinger’s crime spree.

Walking arm-in-arm, Dillinger, Keele, and Sage walked down the alley between Halsted and Lincoln Ave., and headed up the block and into the Biograph Theater, where they sat down to enjoy “Manhattan Melodrama,” a gangster film starring Clark Gable.

The Biograph, which was built in 1914, advertised itself as the “best ventilated theater in Chicago,” a feature the value of which would not have been lost on Chicago audiences, who couldn't forget the Iroquois Theater disaster a decade before, in which poor ventilation led to the deaths of hundreds. When it opened, the Biograph was one of the city’s first film venues, offering an augmented orchestra and large pipe organ to accompany silent pictures. By 1934, of course, “talkies” had arrived, as had air conditioning, and the Biograph’s cool environs were perfect for a hot summer evening. Even before Dillinger’s famous date with death there, the Biograph had been subject to various crooks, including a bookie running a handbook there, which was raided in February, 1933, and a smash-and-grab robber named George Genovese, who specialized in ripping off theater ticket counters; Genovese was finally caught after robbing the Biograph in March, 1933.

While Dillinger enjoyed the movie, Purvis wandered up and down the aisles of the theater, looking for the man whose name would forever after be linked with his. Unable to locate Dillinger in the dark, he waited impatiently in the theater lobby for the two hours duration of the film. The theater’s management, unaware that a major police operation was underway, became suspicious of the plain-clothes officers lingering in and around the building, and telephoned the Sheffield Ave. police station. When Chicago police arrived on the scene, the federal agents and East Chicago officers had to inform them of the plan to avoid being hauled back to the stationhouse.

Finally, at 10:40 p.m., John Dillinger walked out of the Biograph, with Polly and Anna on either side, and turned south on Lincoln, likely heading back to Sage’s apartment. The next building to the south of the theater was a tavern called the Goetz Country Club, and Melvin Purvis stood directly in front of it. Dillinger and Purvis’s eyes met, but Dillinger’s showed no sense of recognition that a setup was underway. As Purvis later described it, “It was a good job the surgeon did, but I knew him the minute I saw him. You couldn’t miss if you had studied that face as much as I have.”

Dillinger continued walking passing the Goetz until he was in front of the next building to the south, a National Tea Company retail store. At that moment, Purvis lit his cigarette, a signal to his team of officers that now was the time to strike. Again, Purvis describes the action:

“He saw me give a signal to my men to close in. He became alarmed, reached into a belt and was drawing the .38 caliber pistol he carried concealed when two of the agents let him have it. Dillinger was lying prone before he was able to get the gun out and I took it from him.”

In the mouth of the alley south of the National Tea Store, Dillinger fell to the ground, hit twice in the chest and once in the back of the neck. Of the three bullets, two ricocheted and hit bystanders: Etta Natalsky, mother-in-law of the owner of the Goetz tavern, and Theresa Paulus, a theater-goer. Neither was seriously injured, but Dillinger was fatally shot. Crowds turned and gasped, and word spread quickly that the man lying in the pool of blood on Lincoln Ave. was the world’s most famous criminal.

In statements to reporters, Purvis claimed Dillinger had attended the movie alone, per his agreement with the East Chicago police that all credit for the take-down would go to the feds, but witnesses consistently mentioned two women, including one whose bright orange skirt, under the harsh lights from the theater marquis, appeared red. Hence, the newspapers began searching for the famous “Lady in Red,” Anna Sage.

Returning to the conspiracy theories mentioned earlier, some speculate that if caught alive, Dillinger might have revealed the corruption within the East Chicago department, and hence, Zarkovich and his fellow officers always intended to kill, not capture, him. Confirming this aspect of the theory, a Chicago police officer who was near the scene at the time of the shooting told a reporter:

…[O]ne of the [federal] agents told him after it was over that he was among the luckiest of men. “When we got the signal, you were close to Dillinger,” said the agent. “You looked like Dillinger and I was about to shoot you when the other fellows let loose and killed the right man.”

The crumpled form of John Dillinger was rushed to Alexian Brothers Hospital, but he died on the way. When the ambulance arrived at the hospital, it was refused admittance on the grounds that the body was already dead. Four officers accompanying the medics stood on the grass in front of the hospital, surrounding Dillinger’s body, until the deputy coroner arrived and approved its removal to the county morgue. While Dillinger had taken in over $300,000 in cash from his bank robberies during the previous 15 months, at his decease, only $7.70 was found on his person – either because he had spent the rest on the trip to Mexico he was planning to begin the following day, or, as some suspect, because the officers who accompanied Dillinger to the hospital helped themselves to his loot. Dillinger also wore a ruby ring, given to him by Polly Keele, and a pocket watch with an inset photo of her.

(Pictured: Headline and story in the July 23, 1934 Chicago Tribune)

Dillinger’s death led above the fold in newspapers around the globe, and when the coroner’s inquest ended, his body was put on public display at the morgue, where thousands of curiosity-seekers filed past to get a look at the man no prison could hold. As Dillinger biographer Dary Matera put it:

To get an indication of Dillinger’s comparative fame today, imagine Charles Manson – after committing his mass murder, Helter Skelter atrocity in California – getting arrested, escaping prison, killing a second batch of Hollywood celebrities, getting arrested again, escaping again, killing a third and fourth gaggle of celebrities, then being gunned down on the streets of Los Angeles by the FBI. And after all that, having Manson’s bullet-riddled body put on public display for tens of thousands of people to parade by.

Dillinger’s life and death meant changes in the way many police departments operated, with upgrades to faster cars and better equipment, including in-car radios, following his crime spree. It also meant a much stronger role for the federal government in policing – Congress approved the right of federal officers to make arrests during the time Dillinger was on the loose. It is not a stretch to say that the modern FBI owes much of its power to John Dillinger.

After Dillinger’s death, Polly Keele left the city and hid out at her family home in Fargo, later returning to Chicago and working in hotel hospitality until her death in 1969. Dillinger’s fellow gang members John Hamilton, Homer VanMeter, and Baby Face Nelson were soon gunned down in separate incidents by federal agents (Hamilton, in fact, was already dead). Melvin Purvis faced intense jealousy from J. Edgar Hoover for taking so much of the credit for Dillinger’s end, and he quit the Division of Investigation in 1935, intending to write his memoirs. He lived until 1960, when he committed suicide, apparently over poor health.

After the shooting, Anna Sage ran back to her apartment, changed clothes, and returned to the scene of the crime, blending in with the growing crowd. She was able to avoid deportation for two years, and during that time ran a beauty parlor at Fullerton and Orchard. However, when Purvis left his position in 1935, there was no one left to fulfill the promise he had made to Sage, and in 1936, she was deported back to Romania, where she remained until her death in 1947. Her only consolation was $5,000 she received from the reward money, though she would much rather have had a U.S. visa.

Martin Zarkovich, who also received a sizable portion of the reward money, was promoted in the East Chicago police department, eventually making chief in 1947. Just three years later, however, he was again indicted for graft associated with casinos operating openly in Northwest Indiana under his protection. Demoted from the chief position, he retired in the late 1950s and died in 1969.

The Biograph Theater continued operation as a movie theater until 2004, frequently showing “Manhattan Melodrama”, the film Dillinger saw the night of his death, particularly on the anniversary of the incident. For the last five years, the Biograph has offered live theater instead of movies.

The spot in the alley where Dillinger was shot is pictured below. The building that housed the Goetz Country Club still stands (it appears to be abandonded); the National Tea Company building is gone, replaced by a Qdoba restaurant.