4# Les Wexner assorted documents - 1991 06 06 - 00# Les Wexner Mob Ties Shapiro Murder File_text.pdf

MEMO TO: Curtis K. Marcum #2029, Commander, Organized Crime Bu: FROM: Elizabeth A. Leupp, Analyst, Organized Crime Bureau DATE: June 6, 1991 SUBJECT: SHAPIRO HOMICIDE INVESTIGATION Sir: An analytical project was opened in 1985 as a result of the mob-style murder of Arthur Shapiro, a local attorney in the law firm (then) of Schwartz, Shapiro, Kelm and Warren. | Because of the strong similarities between this homicide and a Mafia (L.C.N.) "hit", the analysis included an in-depth study of major L.C.N. groups having contact in/near the central Ohio area. These groups seem to include crime "families" in Chicago, Detroit, Cleveland, Pittsburg, and to some degree, the Genovese family in New York City. There seems to be very little reliable investigative literature concerning the Chicago and Detroit groups. However, we do have access to reports from MAGLOCLEN, the Pennsylvania Crime Commission and the New Jersey Commission of Investigation with reference to groups in Ohio and areas to the east of us. The attached L.C.N. information was lifted (and in many cases, blatantly plagiarized) from those sources. os Over time, the analysis of the Shapiro homicide became greatly expanded and more complex with the development of unusual interactive relationships between the following business organizations: (a) The Major Chord Jazz Club and its parent/investment groups (now defunct), (b) The Limited and its investment interests, (c) The Walsh Trucking Company and the alleged relationship’ between owner Frank Walsh and the Genovese crime family, (d) The law firm now known as Schwartz, Kelm, Warren and Rubenstein (homicide detectives report that the name was changed within hours of Shapiro's homicide), (e) Omni Oil Company (dba Omni Petroleum, Omni Exploration), (f) The Edward DeBartolo Corporation, of Youngstown, Ohio, and the alleged relationship between owner DeBartolo and the Genovese crime Sr eOPY (g) John W. Kessler, local developer. The attached link diagram illustrates these apparer relationships. The primary source(s) of our information are intelligence summaries from investigators in our bureau, intelligence from MAGLOCLEN, the Pennsylvania Crime Commission, and the New Jersey Commission of Investigation, and published reports from major media (newspapers, periodicals). Copies of relevant reports are available for reference. I. Historical Data (does not necessarily reflect current conditions): A. The Major Chord Jazz Club and Jesry [II Limited Partnership (now defunct). Lu Jesry II Limited Partnership was formed to own and manage the jazz club. This partnership is operated by Jesry II Corporation, of which Jerry Hammond was president. Mr. Hammond was also president of Columbus City Council at the time. 2. °SNIJC Holding, Inc. is named as an investor in the jazz club. It was incorporated August 6, 1987 by James H. Balthaser, attorney with Schwartz, Keln, Warren and Rubenstein. This law firm is/was legal counsel for The Limited. The address for SNIC Holding is Suite 3710, Huntington Center, the same address as Wexner Investment Company. st 3. W_& K Partnership was not registered and its owners could not be positively identified, but it is listed as an investor in the jazz club. It is noted, however, that Wexner and Kessler are co-developers of "Wexley", and there was an annextion dispute involving the city of Columbus and "Wexley" land. It is possible that W_& K Partnership was the forerunner of the New Albany. Company through which Wexner and Kessler developed "Wexley". 4. The Smith-Hale Partnership was the investment of Ben W. Hale, Jr., and Constance Smith in the jazz club. Mr. Hale and Mrs. Smith's husband, Harrison W. Smith, are partners in the law firm of Smith and Hale, who represented "Wexley" developers Wexner and Kessler in the land annexation dispute. 4. CoPY ee Other Related Entities: l. 3. The law firm now known as Schwartz, Kelm, Warren & Rubenstein represented The Limited. Prior to his death, Arthur Shapiro managed this account for the law firm; Stanley Schwartz, senior partner, took over the account when Shapiro died. Wexner Investment Company was incorporated December 31, 1987 by Stanley Schwartz as agent. Samax Trading Corporation, a company Wexner controls, was incorporated in July 1985 by Stanley Schwartz who described the purpose: "the privately held company is engaged in business liquidation." Through Samax, Wexner acquired 70 percent of Omni Exploration (dba Omni Oil) in August 1985. Stanley Schwartz was elected to the board of directors with - Wexner. Walsh Trucking Company is/was the major trucking company for The Limited. Francis "Frank" Walsh, owner and president, allegedly has strong ties to the Genovese crime family. In July 1984, National Westminister Bank of New York notified Frank Walsh Financial Resources (Company) that the New York Department of Law Organized Crime Task Force had issued a subpoena for Walsh's bank records. The notice was addressed to Frzenk Walsh Financial Resources at One Limited Parkway--the address of The Limited. Leslie Wexner and the Youngstown, Ohio developer, Edward J. DeBartolo, have a long history of partnership in business dealings. Mr. DeBartolo allegedly has strong ties to the Genovese/LaRocca. crime family. Other Data Supporting Linkage: i. Harold L. Levin, president of Wexner Investment Company, is also vice-president of P.F.I. Leasing Company. The two companies share a common telephone number on the 37th floor of the Huntington Center office building. The 37th floor of the Huntington Center is also the address for the John W. Kessler Company and the New Albany Company. 3 4 3. The Wexner Investment Company also has an office in Suite 1675 of the Huntington Center, as does First Intercontinental Realty and Omni Exploration. The 16th floor is also one of two offices for the law firm of Schwartz, Kelm, Warren & Rubenstein. 4. In April 1986, Richard W. Rubenstein (Schwartz, Kelm, Warren & Rubenstein) was cited for speed ina vehicle registered to P.F.I. Leasing Company. 5. In Bexley, Leslie Wexner and Stanley Schwartz are/were next door neighbors. Harold Levin lives across the street from then. D. Robert Morosky 1. Arthur Shapiro was reportedly in direct contact with Vice-Chairman Robert Morosky ("Number Two") at The Limited. 2. It has been noted that Les Wexner and Edward DeBartolo have a long history of business partnerships. 3% In June 1987, Robert Morosky abruptly = and inexplicably left his employment with The Limited «. amid rumors of friction with Les Wexner. s 4. Morosky then appeared in the hierarchy of Campeau's Allied Stores amid rumors that Wexner had planned to acquire the stores. Ds DeBartolo had loaned financial backing to Campeau's investment in Allied and Federated. LL BASES FOR CONCLUSION A. Arthur Shapiro, a local attorney in the firm (then) Schwartz, Shapiro, Kelm & Warren, was murdered March