Alleged mob figures must stay in jail until trial
NWI Times
Apr 12, 1991
http://www.nwitimes.com/uncategorized/alleged-mob-figures-must-stay-in-jail-until-trial/article_88fd293c-09d0-5e17-860f-c90c528b88cf.html
HAMMOND - An alleged Chicago South Side mob boss and his aide will remain in prison until their trial July 22, a federal appeals court has ruled.
The request for the release of Dominick "Tootsie" Palermo and Nicholas "Nicky" Guzzino pending their trial was been denied by 7th Circuit Court of Appeals.
The court agreed with a U.S. District Court decision that the two posed a risk to the community and should not be released on bond.
The two are among the 15 named in a 30-count indictment that followed an eight-year federal probe into sports betting and high-stakes gambling operations in Lake County. The indictment , released in December, was hailed as the largest organized crime case ever handled by the Northern District of Indiana.
The men are accused of running for the Chicago "Outfit," a sports betting and high-stakes gambling network in Lake County, and extorting a so-called street tax from area gambling operations.
Palermo, 72, of Orland Park and Guzzino, 49, of Chicago Heights were ordered Dec. 21 held at the Metropolitan Correction Center in Chicago without bail, along with Peter "Cadillac Pete" Petros, 49, of Chicago Heights.
The district court has not ruled yet on another pending motion that would allow Palermo and Guzzino to be released to the custody of their lawyers, Kevin Milner and Patrick Tuite, while they prepare for their defense.
Their lawyers argue that because of the noisy and restrictive conditions of the correctional center, Palermo and Guzzino cannot adequately go through the numerous documents and prepare for the trial.
U.S. Attorney Michael Thill is continuing to object to Palermo's and Guzzino's release to visit their lawyers' law office in Chicago, arguing that they are a risk to the community.
Milner said Thursday he doesn't think his motion for a temporary release will be affected either way by the 7th Circuit Court decision. He said he felt they had presented sufficient conditions under which Palermo and Guzzino could be released on bond.
Palermo, a field representative for the Laborers International Union Local 5 in Chicago Heights, is allegedly the South Side boss of the "Outfit." His position in the organization reportedly was elevated with the arrest and conviction last year of the Chicago Heights mob boss Albert "Caesar" Tocco, who is serving a 200-year prison term.
Palermo was mentioned in a court memo during Tocco's trial as one of three men who met Tocco the night of the murders in 1986 of the mob's alleged Las Vegas overseer, Anthony Spilotro, 48, and his brother, Michael, 41, who were buried in a cornfield in Newton County. Guzzino was one of the men identified in the memo who dug the grave for the brothers.
All of the other defendants in the case have been released on bond.
They are Bernard "Snooky" Morgano, 54, of Valparaiso; Anthony Leone, 51, of Valparaiso; Sam M. Glorioso, 48, of Gary; Sam Nuzzo Sr., 69, and his four children, Sam Nuzzo Jr., 45, Arthur A. Nuzzo, 33, Sandra T. Mynes, 43, and Jennifer Kaufman, 37, all of Merrillville; Anthony J. Ottomanelli, 60, of Portage; and husband and wife, Ned M. Pujo, 51, and Yolande Martha Pujo, 55, both of Portage.
Steve Sfouris, 55, formerly of Munster, is still a fugitive and believed to have escaped to his native Greece.
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