Bugsy Siegel and the Re-birth of Las Vegas
Benjamin "Bugsy" Siegel, a name synonymous with audacity, violence, and a surprising vision, is widely regarded as the driving force behind the transformation of Las Vegas, Nevada, into the glittering gambling mecca it is today. His story is a compelling blend of ruthless ambition, Hollywood glamour, and a pivotal role in shaping the landscape of organized crime.
Born Benjamin Siegelbaum on February 28, 1906, in the bustling Williamsburg neighborhood of Brooklyn, New York, his early life offered little indication of the empire he would attempt to build. As a teenager, Siegel, already displaying an entrepreneurial spirit, ventured across the East River into Manhattan. There, he partnered with Moe Sedway to form a gang operating on Lafayette Street, a gritty area bordering Little Italy. Their initial racket was brutally simple: extorting protection money from pushcart vendors. Those who refused to pay were met with swift and destructive consequences – their livelihoods reduced to ashes by the young thugs.
This early foray into crime was just the beginning. The trajectory of Bugsy Siegel‘s life took a significant turn when he forged an alliance with Meyer Lansky, a brilliant financial mind who would become his lifelong confidante and, ultimately, a key player in his downfall. Together, they established the "Bugs and Meyer Gang," initially focusing on auto theft but quickly expanding into the more lucrative and dangerous world of contract killings. This criminal enterprise served as a precursor to the infamous Murder Incorporated, a highly organized network responsible for hundreds of contract murders during the turbulent 1930s.
As the 1920s drew to a close, Bugsy Siegel and Lansky aligned themselves with a new generation of ambitious Italian mobsters, including the likes of Lucky Luciano, Frank Costello, Joe Adonis, Vito Genovese, Albert Anastasia, and Tommy Lucchese. This powerful coalition formed the National Crime Commission, a governing body that effectively controlled organized crime across America for decades. Within this structure, Siegel distinguished himself as a ruthless and efficient enforcer. He served as the primary hitman for the group, leading the team responsible for the assassination of Joe "The Boss" Masseria in a hail of bullets at a Coney Island restaurant. Bugsy Siegel earned a chilling reputation as a man who not only killed frequently but seemed to relish the act, displaying a disturbing enthusiasm that unnerved even his hardened associates.
The late 1930s marked a westward shift in Siegel’s operations. The Commission dispatched him to California to oversee their West Coast rackets. Among these was the highly profitable racing wire service, which disseminated horse race results to bookmaking operations throughout the country. Bugsy Siegel moved swiftly to assert his dominance, sidelining the existing West Coast mob boss, Jack Dragna. With the backing of Lansky and Luciano, Dragna was given a clear and unambiguous choice: step aside and relinquish control to Siegel, or face dire consequences. Dragna, understanding the gravity of the threat, complied.
In Hollywood, Siegel, with his undeniable charisma and matinee idol looks, quickly embraced the lifestyle of a celebrity gangster. He became a fixture in the city’s vibrant social scene, associating with prominent movie stars like Clark Gable, Gary Cooper, George Raft, and Cary Grant. His relationships with women were legendary, with tales of him simultaneously romancing multiple starlets circulating throughout the industry. Among his conquests were Jean Harlow, Wendy Barry, Marie McDonald, Virginia Hill, and the Italian Countess Dorothy DiFrasso. Despite his busy social life, Bugsy Siegel never neglected his criminal activities. In 1939, acting on orders from New York City Jewish mob boss Louis "Lepke" Buchalter, he murdered Harry "Big Greenie" Greenberg, who was cooperating with federal authorities. Although Siegel was arrested for the murder, he was ultimately acquitted after a key witness mysteriously disappeared.
The negative publicity generated by the Greenberg trial damaged Siegel’s reputation in Hollywood, prompting the Commission to send him to Las Vegas. His mission: to scout locations for a hotel and casino they intended to build. Siegel recognized the potential of the desolate desert town, envisioning it as a glamorous oasis for gambling and entertainment. He successfully convinced his New York City associates, including Lansky, to invest millions in an opulent nightclub he named The Flamingo. However, the construction of The Flamingo was plagued by problems from the outset. Siegel’s insistence on using only the finest materials and employing the most skilled craftsmen drove costs to an astronomical $6 million, a figure that deeply angered his partners in New York City. Furthermore, suspicions arose that Siegel was skimming money from the construction budget to fund his lavish lifestyle and romantic pursuits.
The Flamingo’s opening night in December 1946 was a resounding failure. Siegel, against the advice of his advisors, moved the opening date forward from March 1947, even though the hotel was still unfinished. The incomplete state of The Flamingo, with its lobby draped in unsightly drop cloths, deterred the Hollywood elite from attending. Within months, The Flamingo was hemorrhaging money, losing over a quarter of a million dollars. For the mob, losing money on gambling was an unacceptable outcome. The Commission concluded that Siegel’s continued existence was detrimental to their interests. Lansky, despite his lifelong friendship with Siegel, reluctantly approved his death warrant. Business, as they say, is business, and Siegel was deemed bad for business.
On June 20, 1947, Bugsy Siegel was at Virginia Hill’s Beverly Hills home, relaxing on the living room couch and reading the Los Angeles Times. Suddenly, two rifle bullets fired from an open window shattered the tranquility. The bullets struck Siegel directly in the face. One bullet entered his right cheek and lodged in his brain. The second struck his nose and pierced his right eye. The impact was so forceful that his eye was found on the floor, fifteen feet from his lifeless body. His violent end marked the conclusion of a flamboyant and controversial life. Despite his flaws, Bugsy Siegel‘s vision for Las Vegas laid the foundation for the city’s transformation into the global entertainment destination it is today. His legacy, though stained with blood, remains inextricably linked to the rise of Las Vegas.