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From the pages of The Dispatch/Argus |
July 11, 2002 1:03 AM
Part 6: Looney's empire, troubles grow Part 6 of 8 -- By Roger Ruthhart, Dispatch/Argus writer When John Looney returned to Rock Island in March 1921, the criminal landscape had changed dramatically. Former partners in crime now were leaders of rival gangs, and former opponents in politics and law enforcement were to become his allies. Mr. Looney was able to re-establish control over local vice, revive the Rock Island News, and restore the flow of payoffs to his organization. His timing couldn't have been better. Wages were high, money plentiful and prohibition was law. Rock Island vice exploded in 1920 when prohibition took effect. This time around, he would have allies in Mayor Harry Schriver and Police Chief Thomas Cox. Mr. Looney's criminal operation would include bootlegging as far north as Wisconsin and south into Missouri. He operated brothels and gambling parlors throughout the region, and an auto-theft ring that stretched across the United States. His madam, Helen Van Dale, controlled more than 300 girls who were distributed throughout the Midwest, even supplying girls to Chicago gangster Johnny Torrio. This time, Mr. Looney engaged his son Connor, then 18, in his illegal activities. ``The movie has Connor as an insane killer, but he wasn't,'' Looney historian Richard Hamer said. ``Looney protected him so he wouldn't get in trouble, but he got into it anyway. Connor Looney is the key reason the empire fell.'' Mr. Looney soon controlled almost all the gambling and prostitution houses which one count put at 150. He collected payoffs for protection from local businesses. But in the most ironic twist of all, the payoffs paid for protection from the police -- many of whom Mr. Looney also controlled, along with the mayor and police chief. The first blow to the Looney empire would come over a girl. Connor Looney discovered his girlfriend, Hazel Schadel, on a date with Cy Hazlett in the bar at the Sherman Hotel. The year was 1921 or '22, according to Mr. Hamer. ``Connor dragged her out of the hotel by her hair and Cy ran after him and they got into a ruckus,'' said Mr. Hamer. ``Connor gave her an ultimatum -- `him or me' -- and she went with Connor. Mr. Hazlett had wooden legs and walked with canes as the result of a railroad accident. He worked for John Looney and did a lot of his dirty work. He was well dressed but considered a dangerous man. He was fired after the incident,'' Mr. Hamer explained. Ms. Schadel, who worked for John Looney by helping dig up dirt on people and ``posing'' with her arms around unsuspecting politicians who had their photos snapped by Looney's photographers, according to Mr. Hamer, ended up moving to Chicago as a result of the Sherman Hotel incident. ``As a result, Cy went to the G-men and gave them information and helped set Looney up,'' said Mr. Hamer. The second blow to his empire came when Mr. Looney reportedly raised the protection fee to Bill Gabel, a former police officer who owned one of the city's largest bootleg saloons. Mr. Gabel refused to pay and instead turned over 12 canceled checks made out to John Looney to federal agents investigating Rock Island's underworld. Word got back to Mr. Looney, probably through the crooked police department. When Mr. Gabel got out of his car, he was shot and killed just after midnight on July 31, 1922, in front of his saloon. ``As he was stepping onto the curb a volley of pistol shots rang out from the west end of the saloon building. Gabel fell dead, with four bullet wounds in his body. He lay sprawled in the gutter, his feet in the roadway and his head and shoulders on the curb. The gunmen fled in a big powerful automobile,'' The Argus reported Aug. 1. There were six men in the car and a half-dozen shots were fired, according to the news report. The shots hit him in the right side, hip and calf. Mr. Gabel reportedly was preparing to quit the saloon business after being implicated in a ring of bootleggers. He also had just taken out a $25,000 life insurance policy the day before, indicating he was concerned of an attack. Police Chief Cox said the attack was by ``out of town gunmen'' who apparently left no clues behind, and he gave no indication he intended to investigate the crime. The Rock Island Argus refused to let the incident die. Daily headlines asked questions like: Who Killed Bill Gabel? Tomorrow: Historic gun battle in Market Square
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