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Los Angeles, California August 21, 1946 ALL MEMO, SAC: Re: BENJAMIN "BUGS" STEGEL MISCELLANEOUS; INFORMATION C CRIME SURVEY At 8:45 a.m. on August 16, 1946 I spoke with Assistant Director ROSEN at the Bureau. I told him that we planned on Monday to begin our open investigation of the Flamingo Hotel pursuant to the authority given by the Bureau about ten days ago. I told him that I would go to San Francisco and examine the records of the C.P.A. there; that one of our agents assigned to the special would examine the C.P.A. recorda at Reno and that we would also examine available C.P.A, records in Los Angeles. Mr. ROSEN said that he knew of no reason why we should not proceed with thia open investigation. I advised him that I anticipated that the C.P.A. may be reluctant to turn over their records and, therefore, the Bureau should get in touch with C.P.A. Officials in Washington in order that we might have no difficulty in securing the records in the regional offices. I pointed out that wa have a possible perjury case now in view of the fact that San Francisco obtained its evidence of conversations between SIEGEL and the other individuals involved by means of a sontact microphone. I pointed out that while primarily we are investigating thie matter as a Fraud against the Government, still it is in the nature of an administra- pre tive investigation and that if we secure dDefore September 5th suf en: evidence to justify re=-presenting this matter before Commissioner at San Francisco, we should probably make the results of ow investiga available to the C,P.A. Mr. ROSEN said that this would be done through the Bureau in Washington. I also advised Mr. ROSEN that we interviewed C.P.A. Inveatigator at Los Angeles, and he advised us in strictes confidence that Senator PAT MC CARRAN of Nevada was in San Francisco on the day of the hearing in case he were needed by the individuals building the Flamingo Hotel. Ore A. B. OSTHOIT HOFF pre