KANSAS CITY, Mo., May 27, 1931 (UP) - Federal authorities announced tonight that they had smashed a $1,000,000 bootleg ring, whose activities reached from the Atlantic seaboard to political leaders here, with a series of raids culminating in 18 months' investigation.
Miss Rosemary Lyons, for many years delinquent tax collector at the city hall, and John Lazia, democratic political leader, were among the more than 20 prisoners taken. All were charged with violation of the prohibition laws.
Authorities claimed the drive was a big blow at the business of the syndicate headed by "Scarface Al" Capone, Chicago gangster, who they said, has been supplying Kansas City and the Southwest with carloads of alcohol.
Arrests will follow in New York, Chicago, Wichita, Kan., and other southwestern cities, said Chet A. Keyes, assistant United States district attorney handling the cases, and H.L. Duncan, in charge of the prohibition bureau here.
Miss Lyons was an employe at the city hall for 14 years. Her knowledge of bookkeeping and accounting, agents said, made her ability to keep straight their accounts. She was released on $5,000 bond.
Lazia, when arraigned denied any connection with the "alcohol racket." Lazia, Kayes said, is the personal representative of Capone here.
More than 100 persons, wanted by the government, remain unarrested. The raids will continue, Duncan said.
The gang has been shipping raw alcohol into Kansas City by the freight carload.
A corps of special investigators tonight labored over records and papers seized in the raids. The probe will disclose the inner workings of the gang, officials promised -- a payroll of machine gunners, transfers of large sums of money from one bank to another to keep the ring's finances fluid, payments for shipments of alcohol - a picture of organized crime that has become a major "industry" in the United States.
The first raid was made Tuesday night in a downtown hotel. Nine men were found working over a set of records. They were Robert Carnahan, Joe Pete, allas JoeCarolia; Gully Brock, Frank Mulloy, Ralph Rosenberg, Leopoid Schwarz, Lawrence Cipolla, William A. Cacy and William Michael.
Another raid caught James B. Franklin at his south side home. Flavorings, labels, fancy-shaped bottles were found there for the manufacture of cognac, Scotch whiskies, rum, Benedictine and cr