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Louis Lepke Buchalter — Part 3
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Dressers Corporation was called and Attorney J. Arthur Adler appeared on
behalf of Buchalter, advising he had gone to Lurope for his wife's health.
Shapiro appeared. On September 3, 1935, Buchalter returned to’ New York
City, along with "Celia", who had accompanied them. It is also knovin
that Mooney Levy, Joseph Stacher alias "Doc" Rosen and his parancur,
Gloria Reynolds, accompanied Buchalter on his trip to Europe in 1935.
later Betty Buchalter stated her husband went to Carlsbad to take the
necessary baths in connection with a course of treatments for stomach
ailments, although as already indicated, his attorney had stated that
Buchalter went to Eurove for his wife's health,
From October 26, 1936 until November 12, 1936, Puchalter and
Shapiro were on trial, which resulted in their conviction. Or. Novenber
12th, Buchalter was incarcerated in the Federal House of Detention at
New York City, along with Shapiro. Both were released on Decenber 3,
1936, on 10,000 bail. which was put up by Nathan Borish, by Federal
Judge Martin T. Yanton, who has since been convicted. It has been
Strongly rumored in this connection that Judge ifanton had been approached,
although these rumers have not been definitely established,
From the time that Buchalter beoame a fugitive, along vith
Shapiro, extensive investigation was conducted. It was believed after
a lapse of a few months, that Buchalter was definitely in hiding and was
not in open cortact with his old associates. This opinion was later borne
out following Buchalter's apprehension, when it was determined that he
had maintained his fugitive status in Yanhattar. Following the accidertal
killing of Isadore Penn, who resided in the same tilding with Philip
Orslovsky, considerable pressure was brought to bear in New York City
and inrumerable statements appeared in the press to the effect that
Buchalter was gradually seeking to exterminate all witnesses who could
appear against him. It can now be revealed that the Federal Rureau of
Investigation, fearing this, had affidavits taken from some of the wit—
nesses, in the presence of a Federal District Judge,, and their statements
recorded by sound movies. The New York authorities, issued a $25,000
reward for Buchalter "dead or alive". Tre extensive investigation vhich
had been launched by Special Agents of the FBI throughout the Nation began
to bear fruit. As the old contacts of Buchalter and Shapiro vere established
and the details of their relationships ascertained, the timé had arrived
‘to take some action.. A Federal Grand Jury in New York City was summoned.
Subpoenas were served by FBI Agents er. the big shot racketeers in various
sections of the U. S., summonirg them to appear before the Grand Jury. All
of these individuals were definitely knovm to have been associated with
Buchalter ard Shapiro or to have been well acquainted with them. In the
parlance of the underworld, "The heat was on," They faced the Grand Jury
with the realization that the FBI Agents knew in detail their activities
and were confronted with one of two Possibilities, aither telling the
truth or refusing to answer questions. One of the individuals lamented
his plight to a Special Agent, Stating "If you fellows keep this up you
are going to ruin the entire United States," meaning that once the operations
’
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