Cuba thereupon deported him back to Sicily, where at this writing he is dispensing charity and undoubtedly buying and scheming great influence in public affairs.
During his incarceration, his dividends as well as his crooked profits were meticulously deposited to his credit. There was some difficulty transferring money to him in Italy during the last year of the war, and in that period some $2,000,000 accrued to him; that sum was brought to him in cash on a Pan-American clipper from Miami to Havana and carried in the hand of a well-known crooner of Italian extraction, with underworld connections past and present, guarded by two of the Fischettis, cousins of Al Capone.
The New York manipulator for Lucky, who visited him while he was held at Ellis Island for deportation, is Frank Costello. He is now the mightiest of the syndicate personnel, with an uncanny genius for mixing into highly important affairs with bigwigs in various spheres.
Costello also was born in Sicily, came to New York in his youth, had some juvenile delinquency troubles and did a stretch before he was out of his teens. He was part and parcel of gangster developments in a small way until his talents brought him to the top.
He was engaged in the slot-machine business in New York until the late Fiorello LaGuardia had his one-armed bandits smashed by police axes. Costello, teaming with "Dandy Phil" Kastel, who also had counted the bars on a cell, took a trial trip to Louisiana, then the one-man dominion of Huey Long.
They say a million dollars passed into the hands of the Huey Long inner group—and not a bad investment, for the first year's profits, reported for Federal taxes, exceeded $1,200,000. Anyway, the Louisiana legislature voted a bill legalizing slot machines, and Costello and Kastel organized several inter-involved corporations with innocent names to run them. There was practically no competition—and very little shooting; Long simply passed the word around that the concession belonged to these two gentlemen from New York.
As a concrete example of how the tax situation is manipulated by intricate items of overlaying accounts, it was shown when Costello was hauled up for taxes apparently due, that the slot machines belonged to one corporation, that they were operated by a second, which rented the locations from a third.
Costello eventually settled for $600,000 cash. Among other little entries about which the government inquired were payments of $200,000 a year to each of his wife's two brothers, as salaries in different slot-machine corporations. This transparent cover-up was laughable—but it was judged not criminal. Costello pleaded that he had been misadvised—excuse it, please—and he wrote a check.
This is only a ripple on the ocean of hundreds, probably thousands, of holding companies organized in various states and under various directorships and local laws, through which flow the vast garnerings of the syndicate from coast to coast, with an accounting system which in any emergency can explain and make good any entry, and thus avoid the peril of the penitentiary.