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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - November 16, 1971, Lethbridge, Alberta CLEAR HIGH FORECAST WEDNESDAY 40 VOL. LXIV No. 285 'Meyer Lansky: genius oi underworld By NICHOLAS CAGE Maier Suchowjansky arrived in New York from Grodno, Russia in 1911, his mother, In all the confusion, could not remember the day or even the month in which he had been born nine years ear- lier Ko the immigration officials gave hint July 4 as a birlhdate, hoping, perhaps, to instill in the boy a sense of patriotism and high aspirations. In many ways Maicr Suchowjansky, who Ameri- canized his' lianic to "Meyer Umsky." lived up to that hope. He became so patriotic that IK moved hea- ven and earth to get his oldest son into West Point. He is as ardent a supporter of U.S. involvement m Vietnam as any man in America. As for material success, lie set'his aspirations high and lias achieved lira directorship of a network of enterprises as big as General Motors. His personal fortune is estimated to be somewhere between ?100 million and ?.300 mil- lion. The thing that sets Meyer Lansky apart from most men who have achieved the American Dream is his line of business. He chose to pursue his ambitions not in steel or oil, not in automobiles or hanking, but in crime. Lansky is the main architect of the giant con- glomerate that is organized crime in the United States. As a director ot the organized crime syndicate, n[ which the Mafia is the biggest, branch, Lansky is si) powerful that he controls logi'imato. corporations, runs a gambling network that flrclclics from Las Vegas Middle Easl. and "buys'1 whole govern- ments with bribes. Even the U.S. Navy once had to plead for his help. Drives rented cars Tie has convinced the syndicate lo enter new fields such as banking, investments, manufacturing and real estate by using thousands of fronts, some so sophisti- cated they may ncicr penetrated. In addition, he lias new ways In promote the most lucra- tive traditional sources of the Caribbean, fOngbiid, Europe and I he Middle East. Lansky man is a fascinating series of contra- dictions His personal style is radically different from that of 'the cigar smoking mobster por- trayed by Hollywood. At. fa, Lansky is gray-haired, .1 feet 4 inches tall, and thin. His suits arc conserva- tive' in cut, and his home, until 1969. was a modest three-bedroom ranch-style house in llallandale, Fla., a suburb of Miami. He drives (rental) Chevrolets, walks the family dog slid goes home every night to his wife. In the summer of 1970 Lansky moved to Israel and settled down at a suite in the Dan Hotel in Tel Aviv. It so happened that about the same time Federal agents were investigating the skimming of millions of dollars of gambling profits from the Flamingo Hotel in Las Vegas from J'JCO to In March. 1971. Lansky was indicted by a Fed- eral grand jury in "Miami for conspiracy to engage in illegal gambling activity and to conceal and distri- bute proceeds from the Flamingo Hotel. Lansky. of course, declined to return to the United States to face Uie charges. Acting like any good businessman with a social conscience, Lansky makes occasional contributions to charity, but lie is careful to make them small, in keeping with his image. They are usually between and and arc given to reputable institu- tions. Lansky has made at least two small contribu- tions to Erandeis University at the behest of his friend Joseph Lmsey, a Boston businessman with un- dcnvorld links who is a large contributor to the uni- versity. Even Lansky's tax returns, it is said, portray a re- tired investor living in moderate comfort off the re- turn of a few prudent holdings. Lansky can justify every expenditure to the iast cent, and he often doesn't take even Uie deductions to which lie is entitled. Canadian angle ploy used to justify his income came tn light in November, 1969 when the Toronto Telegram told the story of a bemused Toronto stockbroker who, not knowing who Lansky was, agreed to arrange the purchase of worth of mining claims in Canada fcr him. V'iiiir months later, Lansky had the broker handle the of the same mining claims to two New York brothers for Lansky subsequently (-'aimed the "profit'1 on the deal as a capital i-ain paid on it much to ;he oi Internal Revenue Service. The !HS lirlirvp> him.sclf had the brothers (he in buy the claims and thereby fir ''dry rlcan'1 nearly MO .coo of mob pi of i Is. Pecan.1-n Itif oVal laknn plan- in ('jriad'i, ibn n was no Ifcal action I he HiS could takr. main pleasures are simnlc He likes to Ir.'iu-l, to go for mid lo lip in th" sun. Like .my olhfT elf made imini.iiaiiv, Lansky li.-ic-. tit a brand of poiii.c.s that is distinctly right- wing. On Vietnam, for example, "He thinks we jH) in there and blow Hanoi to says an ac- qunirtar.ee. "lie's really disgusted will) all Uirsc dcim nMraiioi'.js ilii- OuMutM on fi LETHBR1DGE, ALBERTA, TUESDAY, NOVEMBER 16, 1971 PRICE NOT OVER JO CENTS TWO PAULS r Would in turn carry full program load Alberta seeks bigger slice Ottawa's tax revenues (.UESS WHO? Can you identify a well-known actress by her K'yi's alone? Try your luck. Sec Page 1, Laura belts Cuba MIAMI fAPI Hundreds oE Cubans fled their homes as Tropical Storm Laura dumped lorreniial rains on the western- most parts of the island today. Gale warnings were hoisted m the lower Florida Keys. Reports from Cuba during tlie night indicated that Laura's peak winds had dropped from 70 miles an horn to 60 m.p.h. and its forward speed had slowed. The National Hurricane Centre predicted heavy rains would pound western Cuba again today and probably fpvcad into the Florida Keys to- night or Wednesday. Havana radio reported four inches of rain foil on the Isle of Pines in six hours prior to mid- night Monday night. This morning. Laura was lo- cated near latitude 22.1 north, longitude 84.0 west. This posi- tion is over extreme western Cuba and about 200 miles south- west of Key West. South ranger stations stay open CALGARY (CPl Plans to close most southern Alberta ranger stations and operate central offices ouside forest re- serves have been changed, di- rector R. G. Steele of the Al- berta Forest Service said Mon- day. Central offices will still be opened at Turner Valley. Blair- more, and possibly Sundre but ]G ranger stations throughout the Clear Water and Bow Ri- ver forest reserves will be kept open year-round. Plans lo close the stations were announced last year and brought opposition from ranch- ers and sportsmen. Regan faces lest at N.S. polls HALIFAX iCPi Premier lie raid Regan's 33-monlh-okl Liberal government gels its first test at the polls today in provincial byelections in Kings West and Queens. OTTAWA fCP> Premier Peter Lougheed said today Al- berta's share of income lax rev- enues should be raised to about 65 per cent. The increase in the money re- turned to Ihe province by the federal 38 per be used by Al- berla in assuming full respr-nsi- btlily for all major fcdeval-pro- vinSal shared-cosl programs, Mr. Lougheed said. He was leiling the federal-pro- vincial conference about Alber- ta's long-standing proposal to eliminate all major shared cost programs and turn them over to the provinces. Under the proposal, fiscal ar- rar.gements between the two senior levels of government would have to be altered "sub- stantially." ho said in remarks prepared for the. second day of the ccnfcrcnce. AWARE OF ARGUMENT "1 am aware that it is argued thai such an action would signif- icantly weaken the strength and thrust of the federal govern- ment We dn not consider Ibis argument lo be valid. "If it has any validity, then the ai-swer surely is to reassess and realign the responsibilities to relate lo fiscal capacities. To leave tlie situation as it is now, by relying upon shared-cost pro- gram will, in our view, have adverse consequences upon gov- ernments attempting io provide services in accordance wit.h log- ical priorities and needs." The pravi'.ivs Social Credit government of Aiberta which Mr. Lougheed's Progressive Con- servatives defeated in. the Aug. 30 provincial election, hud also called, without success, for full responsibility over shared-cost programs. GET 28 PER CENT Under the present lax-sharing agreement the provinces get 2o per cent of the total income las collected by the federal govern- ment with Ottawa retaining the remainder. In addition, Alberta charges an extra five percen- tage points on income tax. Rev- enues from personal income tax: in 1970-71 amounted to million in Alberta. Mr. Lougheed also renewed his plea for the federal govern- ment to delay implementation of its new tax legislation for ono year to Jan. 1. 1973 The premier asked for (ho year's delay "to provide reason- able time to debate these issues and evaluate the impact of fed- eral tax measures." rjl lax POOR PROVINCE Premier Robert Bourassa of Ouebet (lefO didn't wear a tuxedo lo o formal dinner Monday nighl in Ottawa. He explains to Premiers Peter lougheed of Alberta (centre) and William Davis of Ontario, that ho comes from a "poor province" and "couldn't afford" a tuxedo. etale gray' taunts C7 OTTAWA (CP1 Amid taunts of "tattlelale Rev- enue Minister Herb Gray denied in the Commons Monday that an article in Canadian Forum magazine was based on the re- port on foreign investment he lias submitted lo cabinet. Mr. Gray, echoing Prime Minister Trudeau's terse state- ment Friday, said the article ''was based on only one draft" of a study prepared for official Jiscussion prior to cabinet scru- tiny. External Affairs Minister Mitchell Sharp said it was an "early draft of a study prepared for the government in connec- tion with the whole question of foreign ownership.'1 Rut he added laler that (lie published document is one of several before Uie cabinet. In a series of oblique re- sponses, neither minister would say whether the. ideas for polic- S400 throwaway automobile will be unveiled shortly LONDON CAP) European and Japanese manufacturers are designing a automo- bile that can be thrown away in a year, Europa magazine reported today. One European builder "has already subjected a prototype to extensive tests." said the magazine printed in the Neth- erlands. Another prototype is past the drawing board state" at the Volkswagen 'actory in Wolfsburg. West Germany. Volvo of Sweden and Toyota of Japan are ether manufac- turers working on the design of such a car. Tlie magazine quoted Anto- nio Gottardi of Turin. Italy, an auto executive, as saying his factory would aim at a 9.000-mile life for the revolu- tionary car. He said the cost would be about S300 with a selling price of around WOO. The throwaway car is scheduled to be introduced at the New York Automobile Show next, spring. It probably will not hil the market until 1975, Europa said. wery ing foreign investment outlined in'I he magazine .-100111110111 are the same as proposals under discussion in the cabinet. They did not say that the final draft of the. study was substantially different. Mr. Knarp at one point said tlie of a federal agency io screen Ihe activities of foreign- owned companies and to over- see investments was one of sev- eral methods proposed for con- trol He also said the published ref- erence to encourage banks to invest more in Canadian indus- try was a matter proposed to the government. In their replies. Uie ministers said a number of separate studies had been compiled along with the main Gray report and the published article was one of them. The gold pen of a U.S. diplo- matic attache flashed in the Commons gallery as Mr. Sharp fielded questions on the article, winch tlie Forum said was a summary of tlie Gray report. Conservative House Leader Gerald Baldwin led tlie assault, saying there was a fair suspi- cion that Uie government delib- erately leaked the document "for either domestic or interna- tional political reasons." "It was either a theft because of slipshod and slovenly security or tiie ta'tletale gray of a delib- erate leak." Both he and New Democrat Leader David Lewis sought, without success, to have Uie government release the Gray report, which lias been before the cabinet since last spring. 'The floor wcognizes the Chinese delegationl' U> THE CANADIAN PRESS Leiler carriers in Ontario and Nm a s'cotia launched the sec- ond day of "4-hour rotating striken against the post office to I N's new comes out swinging UNITED NATION'S (CPi The People's Republic of China became par! of Ihe t'nucd Na- tions Monday a speech full of rovolulioiviry fervor, crill- nsni of the United M.ilrs and pledges lo oppose the rrs when their interesLs conflict with those of small countries. are opposed lo the power pnlillcs and hegemony of big na- tions bullying sranil ones strong naiions bullying weak suid Deputy Foreign Minister Cliino Kuiin-lni.i, in firsl China speech in the ('ten- oral "Wo hold Ib'- "I .1 pven cvuulry must !v> hanrlM ils o w n pe-ople. 1 h :t the affairs of Ihe world mu-i be handled by th? countries oi ihe world. ;-.ml lh.it Ihe alfairs of the UN mil.-.! hr bandied jointlv by all il> member sidles, and Ihe superpowers not bo hi manipulate and mo- them." Then lie Hint Pt no lini" nil! C'hiun H'Lvrd Ur.-di .1 superpower. Chino pledged Chinese sup- port for Ihe Pales! ino Arab gliorrill.'is in [lie Middle and the nl Afl'H :l. HH collnl Urn Unite') Slate aggressor said its troops nuivt get out of Indochina. van ;iiid Korea, lie said Taiwan i-. an nf China nn'i the Clliliesr Jii-nplr will seek iii reg.iin it And iio China will take in superpouer-run arnvunen' l.i'ks, saying this is a Mihvc' fo; Cnim- Was were surprised that the Chinese would conic in with sucii a s p e e c h only Iliivr- Ml: illr I licin in In replace Ili'i Naljonilisl UIUKVC. o( Taiwan, protest hiring practices with walkouts today in Halifax, To- ronto and several other Ontario ciiie.s. Members of Uie Letter Car- riers Union of Canada shut down mail delivery from the main post office in Halifax and several substations. However, in Saint John, N.B.. hit Monday by a letter carriers' walkout, the men were back on the job today. The Idler carriers walked out of two post offices in Toronto's west end and shut down mail delivery in Weston. northwest of the city. Other walkout targets included Windsor, London. Am- herstburg, Chatham. St. Cathar- ines and Thorolfl in souther" Ontario. In Hamilton and the two nearby communities of Purlins- Ion and Slony Creek, the mail- men returned lo their jobs today after walkouts Monday. TALKS liFM Ml'. Meanwhile, talks re MI m ed today in Ottawa between Ihe union and representatives of Ihe. letter carriers' employer, the federal I r c a s u r y hoard. No progress was rrporU'd fnllnuur.; .Monday's meetings. VASTKI; SPY i iliMI Abel, (he in.'Uirr sjiv v.li'1 was i in Uie I mlcil States, is ill-ail, in- formed sources rcpnrled in Mnsniw Tuesilay. Alid was (is and li.-iil him ill fur six iiiniilliN uiili him; lam-i'i. Mir OTTAWA (CPi The federal government today reaffirmed ils intention to implement tax changes Jan. 1 as scheduled and make any necesiary corrccl'ons aficr the new system is launched. In a firmly-worded siatemcnt to provincial premiers. Finance. Minister E. J. Benson said the government's tax bill, now under Commons consideration, "will gh'e us fairer and perhaps the most modern tax system in the Western indus- trialized world.'1 One million Canadians would be removed from the lax rolls, and another 4.7 million wc'-ild have their taxes reduced, ho paid. Another reason not In post' pone lax change, as several provinces requested, was lhat "the uncertainties of the current economic situation argug against delay." "We need to establish tax re- form as a firm foundation for business planning. We would ac- complish nothing by a further unsettling period in anticipation of tax reform and I have dis- cussed with my provincial col- leagues ths impossibility of tak- ing (the tax) bill C-253 apart because of the close structural and financial inter-relationship of its key provisions." Referring to criticism by sev- eral provinces of proposed broader taxes on income earned abroad, he said those provisions will be phased in gradually ?nd "ample time remains for repre- sentations on their final form." CONTINUE COLLECTION' Mr. Benson said the nino provinces for which the federal government collects tax are prepared to continue Ihe collec- tion arrangements. Quebec, which collects its own income tax, had said it would bring its legislation "closely into line with the federal legislation." "All 10 provinces arc in broad agreement with the structure of the new tax system, even if they continue to hold reserva- tions about particular points." Mr. Benson said any short- comings in the new federal sys- tem "can best be learned and worked out in the context of our experience with it." He noted that tax collection agreements with the nine prov- inces have saved Ihe provinces S100 million annually in admin- istrative costs. The provincial and municipal share of revenues collected by governments has risen to 48 per cent in 1970 from 23 per cent in 1952. MEET OBLIGATION'S Tax-sharing arrangements and federal payments to poorer provinces "enable the provinces to meet their growing obliga- tions wnthin a federal system and with equity among citizens and governments." Premier Allan Blakoney of Saskatchewan, while saying his province wants some changes in the tax legislation, supported Mr. Benson in the aim of having it law by Jan. 1. "There lias been uncertainty for over three he said in a statement released outside the closed conference. "It is impor- tant that our citizens and Ihe business community be able lo make plans based on some cer- tainty with respect to the tax system." Seen and heard About town I ,In A n n e Summers the road 1'ark and Lotiii'iidpe is on one side tll.iii Pet owner .Jim Kevoir wondering where his dog can get singing lessors Skier Toil llausim civileinpIalillL1 a lire i-e.-jf'Mi rte-ii''i open f.'C'ii. ;