Indianapolis Times, Indianapolis, Marion County, 28 December 1951 — Page 1

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62d YEAR—NUMBER 301

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FORECAST: Cloudy and warmer tonight and tomorrow. Low tonight, 30. High tomorrow, 42.

FRIDAY, DECEMBER 28, 1951

i Entered as Second-Class Matter at Postoffice

Indianapolis, Indians. Issued Daily.

PRICE. FIVE CENTS

Apartment

Six persons, two of them barefoot, escaped this morning as fire destroyed an eight-apartment

Six Persons Flee

Fire Here

| 18-year-old wife were forced to | flee barefoot. The GI, who was | recuperating from traffic injuries,

would order the State Alcoholic {Beverage Commission to investigate the reported link between

the Canadian Ace Brewing Co. and the old Capone gang. The Chicago brewery, which is registered to sell beer in Indiana, {is owned by Alexander Louis

sters in Chicago. The Kefauver listed Canadian Ace as “a Capone brewery.” If the State Liquor Control Commission finds evidence that the brewery is in any- way connected with Chicago underworld

{knowledge that the Canadian Ace| | brewery was operating .in Indiana. He said he doubted also whether {the State Liquor Control Com{mission was aware of the brew|ery’s connections with underworld figures.

With the State's Blestings- pia Eo Ex-Capone Associate Sells Beer In Indiana

‘Governor Will Order

| |ABC to Investigate Canadian Ace Firm

Gov. Schricker said today he| Gov. Schricker said He had no |

Gangsters Muscle in On Liquor

By VIRGIL W, PETERSON

(Mr. Peterson is operating director of the Chicago Crime Commission. He wrote this article for. The Indianapolis Times.) Following the repeal of national prohibition, the gangster and criminal element continued

business of manufacturing, distributing and retailing of liquor and beer.

Will Check Connections | “We will try to find out if the!

|Greenberg, who was a friend and brewery is in any way connected | Brewing Co.. is Alexander Louis |financial adviser to many mob-| With those notorious Chicago peo-| Greenberg, who was a friend of Beverage Commission, confirmed “I am| A] Capone, the financial adviser crime investigating committee 80ing to ask the Alcoholic Bev-| tp Frank Nitti, known as “The Co. called a “Capone brewery” by i erage Commission to investigate.” |

{ple,” the Governor said.

| Bermard Doyle, Democratic chairman of the Alcoholic Beverage - Commission, said he had not yet heard from the Governor this morning, but indicated he would carry out “to the best of

One of the gwners of a Chicago brewery, Canadian Ace

Brewery’s Owner Was Financial Adviser of

Mobster Frank Nitti

By IRVING LEIBOWITZ A Chicago beer baron, linked publicly with the old Capone gang and a part-owner of the oft-criticized Empire to be well represented in the Ordnance Co. in which Democratic National Committeeman

with the official approval of the] state,

Bernard Doyle,

‘Frank McHale was a director, is selling beer in Indiana

{has an interest in a soda water Democratic company which sells Canadian {chairman of the Indiana Alcoholic |Ace, a Capone brewery."

figures, the Governor is expected

to ask the Commission to revoke’ my .3oHity any instructions

today that Canadian Ace Brewing

Enforcer,” and associate of the Kefauver crime investigating other members of the Chicago committee, has a certificate of underworld. | registration to do business in (At, present this brewery Indiana. Canadian Ace—is registered by The Chicago beer baron, Alexthe State of Indiana to sell beer | ander Louis Greenberg, is the {owner of Canadian Ace. Chicago

in Hoosier cities adi towns.) | newspapers frequently have re-

Sometimes Under Cover

the brewery’s certificate of registration to sell beer in Indiana. A state law requires that all liquor and beer dealers, both retail and wholesale, have a “high and fine reputation.” In sworn testimony before the Senate crime investigation committee, headed by Estes Kefauver (D. Tenn.), Mr. Greenberg admitted that he was holding $100,000 in trust for Frank Nitti, when the notorious “Enforcer” of the underworld committed suicide.

Times Photo. by Dean Timmerman,

SMOKE POURS OUT, WATER POURS IN—As firemen struggle to save eight-apartment building.

450 POWs Now Dead,

UN Charges

By United Press

Nitti took his life after he was arrested for extorting $2.5 million from the motion picture in-

building at 418 E. 19th St. | was visiting his in-laws, Mr. and Clarence Powell, the janitor, Mrs. Merle McPike. was taken to General Hospital| Edgar R. Gatto, 64, said he with a lég injured while he helped smelled smoke, spied fire licking

. ..” the other five escape.

"Most of the occupants of the d were either at work or cut of town for the holidays when the fire broke out. Pvt, 8. L. Jeffries, 22, of Camp Breckinridge Hospital, and his

Site Selected For Hospital

Drawing of Site, Page 13

Selection of a site for a new, 800-bed hospital on the East Side, was announced today by the Indianapolis Hospital Development Association. The $4.8 million institution, to

around the baseboard of his room ‘and - immediately sounded the alarm,

others escape. Mrs. Mary Noojin, 28, told how ithe janitor helped her out of her | first-floor apartment. She was trapped when the door jammed. The windows, facing the alley, are barred. She said Mr. Powell smashed open the apartment door. and then helped her down the flaming hallway to safety. " The janitor's daughter-in-law, Mrs. Freda Powell, 20, also escaped.

He and Mrs. Powell helped the|20DOUNCed they held as war pris-

~ PANMUNJOM, Korea, Dec.|dustry. {28—The United Nations command asserted officially to‘night that 450 of the Allied

soldiers whom the Communists

oners are now dead. | Allied Supreme Headquarters in [Tokyo said in an official-release

By NOBLE REED [that of a total of 585 men “known| The long-predicted change in

[to have reached the rear” of the the jeadership of the Marion Communist lines, 450 have dled? County Democratic Party fis 77 Per Cent Dead |scheduled tentatively for next | “Seventy-seven per cent of the week, The Times learned today. | United Nations soldiers who were| In spite of recent statements captured, taken to the rear area| by Chairman {prison camps and later announced Paul MeDuff {by the Communists as prisoners| of war have-since died, an analysis of data received on Dec. =5| discloses,” the release said. " “Of the 585 men known to have

not resign, his

ciates said preliminary a r rangements

for his resigna-

from the Statehouse. In Chicago, Virgil W. Peterson, {operating director of the Chicago

{Crime Commission, offered to as-|

In some instances, members of notorious criminal gangs became,

a part of the industry in an open

sist the Governor with the in. Manner. In other instances their

vestigation. {| “If the Governor calls en our organization, we will certainly give him our complete co|operation,” Mr. Peterson said. The Chicago Crime Commis{sion assisted the New York State {Liquor Authority when it con{ducted an exhaustive investiga{tion of Canadian Ace in 1949. |New York revoked the brewery's {permit because of Mr. Greenberg’s “notorious connections |with the old Capone gang.”

interest was an undisclosed one. Under the laws of many states, individuals of this character are properly barred from engaging in the lfjuor or beer business. ( Indi-| ana has such a law, which re-| quires that liquor and beer re-|

have a “high and fine reputation.” To permit the gangster or crim-

tailers, wholesalers or distributors Pers.

ferred to him as the “financial genius” of the old Capone mob. Mr. Greenberg was the financial adviser to Frank Nitti, known as “The Enforcer,” who succeeded Al Capone as kingpin of the Chicago underworld,

Involved In Enterprises

The president of Canadian Ace, John A. Roberts, and Mr, Greenthe brewery’s principal stockholder, were involved in many enterprises promoted by

In sworn testimony before Senate probers, Mr. Greenberg admitted having known such well publicized Chicago gangsters as Al Capone and Frank Nitti. He said he purchased the brewery from Dion O’Bannion and r Weiss, two of the early day cago mobsters.

Recalls Meeting McHale

In an interview with The Times, Mr. Roberts recalled that he first met Mr. McHale when he and Mr. Greenberg bought stock in one of Mr. Cohen's Indiana ventures, the Reserve Loan Lifs Insurance Co. of Indianapolis, in whieh Mr. McHale's law firm served as legal adviser. This insurance firm was in Indiana state an Slut) aD before it was moved out of the state. One of the directors quit in protest at the practices loyed by Mr, Cohen and his associates.

inal -elemient to become affiliated Frank Cohen, New York man of in any capacity, openly or covert: many deals with the govérniment.

Now, the Greenberg-Roberts in-

ly, with the liquor or beer indus- They were also stockholders

try, is to court disaster for any liquor control program. This ele-

the industry those evils

and

Hint County Democrats Ready to Change Chiefs

‘that he would §

closest asso-§ today

reached the rear, through later|j&d UN dr [ees | broadcasts by them and letters to their families, 450 (that is, 77 per Sg

tion “within the

the past. Old Mistakes Repeated

|basis for an intelligent approach {to this preplexing problem. Unfortunately, in too many areas the mistakes of the past are being repeated. In some areas liquor control is under the domination of powerful political figures who have intimate connections with the criminal and gangster element. - Perfection is never attainable in the administration of any program involving difficult social problems. However, public interest demands the combined sincere efforts of members of the liquor) and brewing industry, state liquor administrators, local law enforce-

Me. Gasper are being made teeman Frank McHale and Mr.

Mr. Lewis

McKinney.

be known as Community Hos- | pital, will be built on a 29-acre|

7 . wooded area between E. 16th and! E. 13th Sts., with Ritter Ave. as 5 n

its eastern boundary.

Bought from Mrs. Wayne Harryman, 5173 Pleasant Run Pkwy., South Drive, the three-block site measures: 1340 feet, north and south by 1000 feet east and west. --It was selected by a committee of 26 East Side residents, reprefenting organizations in the area. - Chairman John R. Dunigan, of the Public Service Company of Indiana, described the location as “Ideally situated for hospital use.” ~“Ample provision has been made for adequate parking,” Mr, Dunigan announced. “The new hospital will take into consideration the need ‘of any future additions without overcrowding of any kind.” ~Announcement was expected shortly on financing of construction and the date for breaking

ground. ; Total cost of the new facility has been estimated at $4.8 million. Work has started in setting ip a non-profit association to build and operate the institution, “Indianapolis Hospital Development Association, also a nonfit corporation, was organized several months ago to build and maintain adequate hospital beds for this area, after a survey realed ® serious shortage of faities. + Further plans call for additions to Methodist and St. Francis Hospitals, and enlargement of rways Sanitorium. The entire ject, which includes another new hospital on the Northeast e in the future, will require at

BULLETIN VIENNA, Dec. 28 (UP)—The four Americans freed by the Hungarian Reds reached the American sector of Vienna tonight,

Other Stories, Pages 3, 13

By United Press VIENNA, Dec. 28—Four Ameri-

ican airmen held by the Hun\garian Communists for $120,000

|“ransom” were Austro-Hungarian frontier today. The = airmen had been held prisoner since Soviet Russian {fighter planes forced their C-47 |transport down over Red Hungary from Erding air base, Germany, to Belgrade, Yugoslavia. A Hungarian Communist military court fined them $30,000 apiece Sunday for border violatipn, with the alternative of three months imprisonment. The United States agreed to pay the “ransom.” The four fliers are Capt. David H. Henderson, Shawnee, Okla., pilot; Capt. John J. Swift, Glens Falls, N, Y.; T/8gt. Jess A. Duff, Spokane, Wash., and Sgt. James LA. Elam, Kingsland, Ark. It was not immediately established whether the $120,000 “ransom” which the United States agreed to pay for the fliers had been handed over or would be paid later. :

HOURLY TEMPERATURE 6a m.,.26 10am... 32

t. $20 million from private] 7 a. m....26 11a. m... 35 atid commercial contributions, and|, 8 a, m....27 12 (noon) 37 government funds. 9a.m... 30 1p m..37 Inside The Time 2 . Page

Two new county attorneys have been appointed here .......... 16

"We cannot get tough with Sta tough with"'—Ludwell Denn 's Notre Dame against Indiana i military budget conference is. 2 um, Other Features:

Amusements ....oveee00e 12 : Comics shes snsansistnten oT - "Harold Hartley nesssenass2l * Ruth Millett .

sessncnnnniin

9 rr Movies Srttesssensnsennnn 12 Radio and

Television «ve 14

lin until we have more to get

n Butler Fieldhouse .......... 19 next on the schedule for Pres-

ident Truman AINE RIPE ANI IAIN NAGEL NIIBIBN IRS 21

Robert Ruark sessesssses 17 Ed Sovola SABRE PRIIIRNN ES 17 Sports ....cecene0004:19,20 Earl Wilson «:veesssesees 17 Women's, .....cevesu0000.8,9 Wit on Herdeseses 7

cent) are now dead.” United Nations truce delegates) here accused the Communists at! : the same time of negotiating In| health, bad faith and planning to take, Mr. Kibler The chairadvantage of an armistice to man’s health has become worse {build up their air power in Korea. recently. He was too ill to disMake No Progress cuss party affairs this week. Neither of the two alt Three possible candidates have tees working first on terms for Peen mentioned for the chairmanenforcing an armistice and sec- S0IPondly oe the prisoners of war is- Kibler Mentioned sue made any progress at Fri-| The latest in the lineup of sucday’s session, This session was cessors is W. Daniel Kibler Jr., the first since the end of a futile|official of the Kibler Trucking 30-day drive to complete a cease-|Co., who was a member of for(fire based on an agreed battle|mer Mayor Phil Bayt’s City Trafline. |fic Advisory Committee which | Negotiations will be resumed at planned the one-way streets. He

next few days” because of

freed at the 11 a.m. Saturday.(8 p. m. Friday, also has been active in party af- that he will not recommend a|

| Indianapolis Time). : (fairs for many years, | The Communists themselves) Others mentioned include David |suggested in Friday's tatks that/M. Lewis, former prosecutor who thundreds. of missing American has headed a campaign for a

{prisoners may have died in Red shakeup in party leadership, and

Nov. 19 while they were flying captivity of extreme cold and dis- Harry Gasper, top lieutenant of

lease, |Chairman McDuff for the Reds Cite ‘Climate’ {four years, “We must remember that Amer-| According to reports icans are not accustomed to this hag heen OE as a ipler

climate and are susceptible to 10-| mise” candidate for the chair-

last

cal diseases, so it wouldn't be sur-|

One prominent party leader

ll|remarked this week that the Standing public toward the end

ment officials and an under-

| { {Democratic organization can vat Soclal wontrol of lHeuor may

[never make a comeback here so!

| - ra = long as it is dominated by Electrical Equipment

| , |“McHaleism.” : * Democratic candidates were so. Blamed mn Mine Blast fated bv I : WASHINGTON, Dec. 28 (UP) y heavy majorities if|— The government said today both 1950 and “1951 balloting. that electrical equipment operatChairman McDuff has told as-|IP8 In air containing explosive [sociates he will not resign “under [828 “most likely” caused the \pressure” but will step out vol- West Frankfort, Ill, coal mine juntarily because of ill health. disaster which killed 119 miners

last week, Won't Recommend | He has passed out the word|4 Airmen Die, 26 Hurt

leaving the selection As Craft Hits Hangar TOKYO, Dec. 28 (UP) — Four! Amgrican airmen died and 26) others were injured when a C-47 crashed into a maintenance hangar ‘and burned while taking off from an air base in southern Japan, the Air Force announced today.

|successor, up to precinct committeemen, . |

| Normally, Mr. Gasper would {inherit support from a majority {of committeemen, But Mr. Gasper {has said he would not become (a candidate for the chairmanship |“If there is any fight.” :

{along with Frank McHale in Mr.

{Cohen's Empire Ordnance Co. ment will inevitably bring into|one of the most criticized and|Wilkes-Barre, Pa, which Mr. most investigated munitions com- {Cohen promoted. abuses which led to prohibition in|bines of World War II.

The Chicago brewery has

Over 300 years’ experience with/in the principal Northern cities various methods of liquor controll and towns. ; in this country should form the

When asked for reférences concerning the financial position lof Canadian Ace, the brewery's !sales representative in Indiana, |Ralph Bentlage, referred The Times to Democratic National |{Committeeman McHale,

Denies Knowing Bentlage

Mr, ‘McHale, contacted by telehone, denied that he knew Mr. entlage, although Mr. Bentlage lives in Mr, McHale's hometown, gansport. he Democratic National Coms= mitteeman recalled, however, that he did know Mr. Roberts, president of Canadian Ace. He added that he did not know Mr. Greenberg. In Chicago, Mr. Roberts sald he considered Mr. McHale “a good! friend” and volunteered that he, had known him “a long, long, time.” He hastened to add, however, that Mr. McHale had never represented Canadian Ace and never Had any connection with the brewery. oi

License Revoked

The Chicago brewery, which has done business in Indiana since 1947 under the name Canadian Ace, had its license revoked in New York by the state liquor

18 ! outlets in Indiana and is handled | Empire Ordnance’s now bank.

terests control one of Empire Ordnance’s chief affiliates, the prospering Vulcan Iron Works of

Make Neat Profit

rupt successor, the Ei Tractor Con afc headed by Br 3 r is the company in which Mr, {Hale and his politcal pi h | Democratic National Chairman {Frank McKinney, each made a [fast $68,000 profit after putting {up only $1000 apiece for common stock. Both Mr. McHale and Mr. McKinney described this as. a “simple stock investment.” = The financial interests of th Greenberg - Roberts combine - Empire Ordnance were first uncovered by investigators for the Securities and Exchange sion and were recorded in th long-suppressed SEC report on Empire Ordnance, F The Kefauver committee also investigated the Greenberg-Rob-erts control of Vulcan Iron Works, according to Rudolph Halley, chief counsel of the commit« tee. However, this was not disclosed at public hearings. In New York, Mr. Halley recalled that the committee had decided not to hold public hearings on the Vulcan case because it seemed “somewhat far afield” from the crime inquiry. He added, however, that the Kefauver committee found that gangsters with close ties to the old Capone gang had distributed or “pushed” Canadian Ace beer in several cities in which the come

authority there in 1949 after an| exhaustive investigation in which | the authority traced Mr. Green-! berg’'s long and intimate associations with leaders of the Chicago underworld. At the time, the Chicago brewery was attempting to set up a beer distributorship in New York called World Champions, Inc,

| The consensus among party {leaders now is that a candidate will be

The plane carried 23 crewmen 0 cai and passengers. The casualty list! agreed upon™*by alllincluded seven other airmen and!

prising if a large number died,” North Korean Maj. Gen. Lee Sang Cho told an armistice subcommittee, Gen. Lee was replying to Al-

planation of the fate of 1058 American soldiers known to have

lied demands for a detailed ex-|

{manship by associates of National [Chairman Frank McKinney. It is known that he is “satis{factory” to former Mayor Bayt, |

committeemen is called. i

|scenes for several weeks to oust {Chairman McDuff. The former Mayor has been

'who has been working behind the On @ Journey for Cold Beer—

were injured on the ground. |

Best Friends and Wives

headed by Joe Louis and Sugar

mittee held hearings.

75 Per Cent Insured

WASHINGTON, Dec. 28 (UP) -—Three of every four American mothers and children are covered by federal old age and survivors insurance, Federal Security Administrator Oscar R, Ew. ing reported today.

Ray Robinson, the fighters. The New York state liquor au-

factions before a convention of one Japanese base worker who thority stated when it revoked

the Canadian Ace license that one of the reasons for its actions was that Mr. Greenberg has been “notoriously connected with the old Capone gang.”

wih Cite State Records In an interview with The Times,

| Double-Take

1 By BOB BARNES

been in Communist hands put Critical of the party organization missing from the latest enemy Since his defeat in the November list of 11,559 Allied war prisoners,|Mayoraity election. Criticism of the leadership has EIGHTH ARMY HEADQUAR- included opposition to the domi‘TERS, Korea, Dec. 28 (UP) -- nation of the local organization United . Nations forces, fighting|by National Democratic Commit“for keeps” in below-zero weather,

today recaptured an advance hill : position following a three-day Want Ad Savings battle in which the Allied outpost Your Advantage

was cut off temporarily, Times Want Ads bring you GOOD RESULTS for a very LOW COST. Use Times Waht Ads and save? as much as 50%! Take advantage of these BIG SAVINGS when you want to secure dependable help, sell what you no longer need, find lost articles, or fill a rental vacancy. Your 2-line Want Ad in THE INDIANAPOLIS TIMES ONLY 32¢ per day on .our special weekly rate. Phone your ad in by noon Saturday and it will appear in ALL EDITIONS of The Sunday

Saved by His Own Blood

. SAN FRANCISCO, Dec, 28 (UP)—Pvt, Richard A. Norman, 23, of Wapato, Wash., saved his own life by giving a blood donation recently, the army disclosed today. On Oct. 14, Pvt. Norman gave blood at Camp Roberts, Cal. Two weeks later, he was injured when a sttve exploded. He was rushed .to the hospital for a

———

quick transfusion. Times, . As the blood flowed into his Do as thousands of others veins, Pvt. Norman looked at | are doing—place YOUR Want

Ads in The Times. PHONE PLaza. 5551 7:30 AM. to 6 P.M. x

his own, I =

the name on the bajtle. It was

By United Press LOS ANGELES, Dec. 28—Marvin Sasselli and the wife of his best friend went looking: for a cold bottle of beer. They left their respective spouses at home. What happened on that little journey today formed the basis for two damage suits’ and one smashed friendship. “What Sasselll did to my wife shocked me,” declared insuranceman. John L. Riley, 48, in Superior Court yesterday as a jury was chosen to hear his 31-year-old wife's $25570 assault suit against Mr. Sasselli, “But what Riley did to me while his wife was gone with my husband was just as bad” charged Mrs. Carmen Sasselli in a counter suit for $20,023.19. Both wives charged that they were subjected to ‘forced embraces” and “indignities” Jy thet nearly identical situation Ch It seems that on the night of Sept. 24, 1949, the Rileys crossed the alley behind their North Hollywood home to visit the Sas-

Mix It Up a Little

What happened after that Involved a series of alleged “em-

braces” and across-the-alley footraces.

During the course of a pleasant evening, Mr. Sasselli, a 44-year-old film projectionist, went with Mr. Riley's wife, Alice, to get a cold bottle of beer from her icebox, leaving the insurance man with Mrs, Sasselli.

That's when the alleged “indignities” occurred, breaking up a beautiful friendship. Each couple denied the other's charges.

Mrs. Riley said Mr, Sasselli “grabbed her.”

Mrs. Sasselli accused Mr. Riley | of atfempting to embrace her and then running home.

- When Mr. Riley reached his house, he said, he found his wife struggling in the arms of Mr: Sassélli, who “ran back to his home ‘when Mr, Riley found them. Mr, Riley said he then returned to the Sasselli home and

seilis,

broke down a locked dopr to “talk

the Indiana liquor and beer control chairman, Mr. Doyle, said the firm had been doing business in Indiana ever since he had been chairman. Official state records indicate the firm, Canadian Ace, was first rgistered in Indiana Jan. 20, 1947, during the administra-

tion of Gov. Gates.

Previously, the firm had done business under the name Manhattan Brewery, The name was changed, according to Mr. Roberts, because Mr. Greenberg objected to all the “free publicity” produced by its alleged “syndicate” connections. ; Asked whether he was aware

of the brewery’s connections with |} Mr. I Doyle said: |i “Oh, I had heard something or |i

the Chicago underworld,

other about it (the brewery) being involved with some racketeers.” Both “Mr. Roberts and Mr. Greenberg were cited in the recent crime investigation by the Benate committee headed by Sen. Estes Kefauver (D. Tenn.). One. Kefauver report noted: i

“The vast profits from nize crime are being used to buy legiti-

mate businesses , oe

a member of the Binnagio mob,

~ a iw

ARN

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