Everything Everywhere Daily: "The Five Families and How Organized Crime Became Organized"

Release Date: January 31, 2025

Host Gary Arndt delves deep into the evolution of organized crime in New York City, tracing its transformation from chaotic, fragmented gangs to the highly structured Mafia system dominated by the infamous Five Families. This episode offers a comprehensive exploration of the key events, figures, and organizational changes that shaped the American Mafia.

1. Introduction to Organized Crime in Early 20th Century

Gary Arndt sets the stage by highlighting the unorganized nature of early 20th-century Mafia activities in New York City. He states, “Organized crime wasn't always so organized. In the early 20th century in New York City, what we would call the Mafia was rather unorganized” [00:00]. During this period, multiple competing groups operated with relative anarchy, leading to violent conflicts and power struggles.

2. Origins of the New York Mafia

The roots of New York’s Mafia are traced back to Italian immigrants from regions like Sicily, Calabria, and Naples in the late 19th century. These immigrants brought with them their own criminal traditions:

• Sicilian Mafia (Cosa Nostra): A secretive and hierarchical network.
• Camorra and Nagrangida: Lesser-known but equally influential criminal groups.

These organizations engaged in activities such as extortion, protection rackets, gambling, and loan sharking, primarily targeting fellow Italian immigrants. By the early 1900s, neighborhoods like Little Italy, East Harlem, and Brooklyn became hotbeds for these small Mafia gangs.

3. The Black Hand Era: Chaos Before Order

Before the Mafia established a structured hierarchy, Italian gangs frequently resorted to the Black Hand—a crude method of extortion characterized by anonymous letters threatening violence unless money was paid. Gary explains, “Unlike the Mafia, which operated as a hierarchical structured criminal organization with defined leadership… the Black Hand was more chaotic and opportunistic” [01:50]. This period was marked by opportunistic crimes with little long-term planning or organization.

4. The Impact of Prohibition: A Catalyst for Organization

Prohibition (1920-1933) served as a turning point, providing organized crime groups with the perfect opportunity to expand through bootlegging. The illegal alcohol market allowed these groups to:

• Accumulate significant wealth and power.
• Establish extensive supply chains and distribution networks.

Gary notes, “Prohibition created a massive underground market for alcohol, allowing organized crime groups to accumulate wealth and power at an unprecedented rate” [01:50].

5. Key Figures: Masseria and Maranzano

Two dominant figures emerged during this era:

• Giuseppe "Joe the Boss" Masseria: Controlled much of New York’s underworld through bootlegging, extortion, and gambling. He upheld traditional Mafia customs and demanded absolute loyalty.
• Salvatore Maranzano: A Sicilian boss from Castellammare del Golfo, mentored by Don Vito Ferro. Maranzano sought to modernize the Mafia by introducing a structured hierarchy inspired by Roman military ranks.

6. The Castellammare War: A Battle for Supremacy

The conflict between Masseria and Maranzano escalated into the Castellammare War (1929-1931), driven by:

• Ethnic and Regional Divisions: Masseria’s faction was a mix of Sicilians and Neapolitans, while Maranzano’s was predominantly Sicilian from Castellammare del Golfo.
• Economic Rivalry: Both sought control over the lucrative bootlegging trade.

Gary describes the war as an "all out war between the two factions" with both sides engaging in ruthless assassinations, including the killings of key allies like Joseph Perino and Vito Bonventre [01:50].

7. Lucky Luciano: The Architect of Modern Mafia

Salvador "Lucky" Luciano emerges as a pivotal character in this narrative:

• Early Life: Born in Sicily, immigrated to the U.S. at nine, and grew up in the crime-ridden Lower East Side of New York.
• Criminal Rise: Formed his own street gang, forged alliances with Jewish and Irish gangsters like Meyer Lansky and Bugsy Siegel, and became a key player in bootlegging, prostitution, and narcotics trafficking.

A significant turning point for Luciano was his kidnapping and brutal assault in 1929, which he survived, earning the nickname "Lucky" [01:50].

8. The Downfall of Masseria and Rise of Maranzano

Initially aligned with Masseria, Luciano became disillusioned with the old-school mentality that resisted cooperation with non-Italians and limited opportunities for younger gangsters. Seizing the opportunity to modernize, Luciano secretly sided with Maranzano. On April 15, 1931, Luciano orchestrated Masseria’s assassination at a Coney Island restaurant, effectively ending the war [01:50].

With Masseria’s demise, Maranzano assumed control but soon became paranoid and threatened Luciano. Foreseeing the danger, Luciano preemptively had Maranzano killed on September 10, 1931, using Jewish gunmen—a significant departure from Mafia tradition [01:50].

9. Establishment of the Commission: A New Order

Refusing to take the title of "boss of all bosses," Luciano introduced the Commission, a board-like structure designed to:

• Prevent Internal Conflicts: Resolve disputes peacefully to avoid destructive wars.
• Regulate Criminal Activities: Set rules and guidelines to ensure cooperation among families.
• Approve High-Profile Murders: Require Commission approval for significant assassinations.
• Manage Territories and Profits: Allocate control over cities and industries to specific families.
• Facilitate National Coordination: Expand organized crime's influence across the United States.

Gary summarizes, “The Commission acted as a board of Directors, allowing Mafia families to resolve disputes, regulate criminal activities and maintain order within the underworld” [01:50].

10. The Five Families: Foundations of the Mafia

Under Maranzano’s new organizational system, the Five Families were established, each led by a boss:

1. Luciano Family (Genovese)
2. Mangano Family (Gambino)
3. Gagliano Family (Lucchese)
4. Bonanno Family
5. Profaci Family (Colombo)

These families formed the backbone of organized crime in New York, with structures consisting of underbosses, consiglieres, capos, and soldiers [01:50].

11. The Commission's Successes and Vulnerabilities

The Commission effectively reduced violence and increased profits by maintaining order and cooperation among families. However, it also introduced a central point that could become a liability. Gary explains, “The Commission became the weak point in the entire system” [01:50]. This vulnerability was exposed in 1957 when a major Commission meeting was raided by police, leading to numerous arrests and heightened government scrutiny.

12. Decline and Legacy of the Commission

Despite governmental pressures, the Five Families persisted, albeit in a more subdued and decentralized manner. The families became better known by the names of their subsequent bosses:

• Genovese Family
• Gambino Family
• Lucchese Family
• Bonanno Family
• Colombo Family

Luciano's legacy as the father of the American Mafia is cemented by his role in ending the Castellammare War and instituting the Commission [01:50]. However, his eventual arrest, cooperation with authorities during World War II, and deportation marked the beginning of the decline of Mafia influence in mainstream American industries.

13. Conclusion: The Enduring Yet Waning Mafia

While the Mafia remains operational, its influence has significantly waned due to increased law enforcement efforts and internal strife. The Commission is no longer as potent, and the Five Families maintain a lower profile in today’s organized crime landscape. Gary underscores Luciano’s pivotal role in shaping organized crime, leaving a lasting imprint on its structure and operations [01:50].

This episode offers a nuanced understanding of how organized crime in New York evolved into the sophisticated Mafia system known today. Through detailed accounts of key events and influential figures, Gary Arndt provides listeners with a vivid portrayal of the strategies and power dynamics that underpinned one of the most notorious criminal organizations in history.