Prohibition and Murder, Inc.
During the
Prohibition days of the 1920s, while still teenagers, Reles and Goldstein went to work for the
Shapiro brothers, who ran the
Brooklyn rackets. Soon Reles and Goldstein were committing petty crimes for the brothers. On one such occasion, Reles was caught and sentenced to two years in an
upstate New York juvenile institution. The Shapiro brothers failed to help Reles, prompting Reles to plan revenge. After his release, Reles, Goldstein, and George Defeo entered the
slot machine business, the province of the Shapiro brothers. Through Defeo's connections, Reles and Goldstein were able to make a deal with the influential crime lord
Meyer Lansky, who wanted access to the poorer neighborhoods of Brooklyn and thus agreed. Both parties prospered: Lansky was able to get sizable footholds in
Brownsville,
East New York, and
Ocean Hill, while Reles gained the backing he needed to keep both his business and himself alive. Reles, Goldstein, and Strauss were partners in all of their criminal activities, which had primarily been the slot machine business and quickly expanded to include
loan sharking,
crap games, and
labor slugging in connection with union activities, especially the restaurant union. In 1934, Reles and Harry Strauss were charged with first degree murder and second degree assault for attacking two black garage men. After one man, Charles Battles, berated Reles for causing a disturbance, he and Strauss had attacked him. Later that morning, the two allegedly returned and stabbed another man, Alvin Snyder, to death. The police said that Snyder was mistaken for Battles. The murder charge against Strauss was dropped due to insufficient evidence, albeit Reles was convicted of a lesser charge of second degree murder for stabbing Battles. The judge criticized the jury for the verdict, describing Reles as an extremely dangerous man who was "more vicious than Dillinger, but lacks the courage." Reles was sentenced to three years in prison for assault, but acquitted of the murder. The slot machine business thrived and soon Reles and Goldstein were on the Shapiros'
hit list. One night, the two men received a phone call from a "friend" saying that the Shapiros had left their East New York headquarters. Hopping into a car with Defeo, they headed to East New York. However, when they reached the Shapiros' building, the three men were ambushed. Reles and Goldstein were wounded, but all three managed to escape. In the meantime,
Meyer Shapiro abducted Reles' girlfriend and dragged her to an open field, where he beat and raped her. ==Revenge against Shapiro Brothers==