03271992 - News Article - 3 crime syndicate members receive hefty sentences - A former Valpo resident who cooperated with the government and was sentenced to probation is called "a snake" by one of the convicted

3 crime syndicate members receive hefty sentences
A former Valpo resident who cooperated with the government and was sentenced to probation is called "a snake" by one of the convicted
Post-Tribune (IN)
March 27, 1992
infoweb.newsbank.com.proxy.portagelibrary.info/resources/doc/nb/news/1084EE567024CDB9?p=AWNB
After an eight-year investigation and four-week trial, it took U.S. District Judge James T. Moody less than two hours Thursday to sentence three members of the crime syndicate to hefty prison terms.

For Dominick "Tootsie" Palermo, 74, of Orland Park, Ill., it likely will be a life sentence. The head of the crime syndicate's operations in Northwest Indiana and Chicago's south suburbs is in poor health and likely will die in prison, said his attorney, Kevin Milner.

Also headed for long periods of incarceration are Nicholas "Jumbo" Guzzino, 50, of Chicago Heights, Ill., and Bernard "Snooky" Morgano, 54, of Valparaiso. Guzzino was Palermo's top lieutenant and Morgano answered to Guzzino.

The sentences, under both the new and old federal guidelines, will mean mandatory minimum sentences of at least 14 years for Palermo, 16 1/2 years for Guzzino and 16 years for Morgano, the government said.

Moody also fined Palermo $250,000, Guzzino $185,000 and Morgano $177,000. The defense attorneys said the convictions and sentences will be appealed.

Morgano was the only defendant to speak before sentencing. He directed his comments to Anthony Leone, the co-defendant who pleaded guilty, cooperated with the government and was sentenced to probation.

"The man is a snake," said Morgano, the former owner of Pete and Snook's bar and restaurant in Glen Park. "I have known him for 35 years and I've done nothing but help him. This man is lying. I don't ask for mercy your honor, I ask for justice."

Assistant U.S. Attorneys Michael A. Thill and Philip Simon prosecuted the case. FBI agents James Cziperle and J.J. Klaver were the case agents.

Thill, in asking for substantial sentences, said, "This case was but another example of how organized crime - through its control and payoffs of policemen and through its use of fear and threats - controls illegal activity; how they, the mob, the outfit, creates an enduring stream of illegality in the community."

Besides Leone, a former Valparaiso resident, several Northwest Indiana gamblers testified last August about how they were required to pay a street tax of up to 25 percent of their gambling profits.

Leone entered the federal witness protection program after agreeing to cooperate. He dropped out upon sentencing.

Defense attorneys hammered at the possibility of their clients receiving stiff sentences and Leone going virtually free.

"There is another message going out of this courtroom," said Dyer attorney Richard F. James, representing Morgano. "If you go to the government and tell the government what they believe to be true, you purchase a certain amount of consideration."

Attorney Ronald Menaker, representing Guzzino, sought leniency, saying, ''If there is a message to be sent, it's that people who come before the bar of justice in this district will be treated fairly."

Milner said government accusations the defendants are members of the crime syndicate are "ridiculous."

"It may sell newspapers and it may play well on TV, but it's not true," Milner said.

U.S. Attorney John F. Hoehner disagreed, saying after sentencing, ''Organized crime, in all its insidious forms, is not welcome in the Northern District of Indiana. In handing down enormous penalties to Mr. Palermo, Mr. Guzzino and Mr. Morgano, Judge Moody underscored this message."

Three other defendants - Sam Nuzzo Jr. of Merrillville, Sam "Frog" Glorioso of Gary and Peter "Cadillac Pete" Petros, formerly of Gary, will be sentenced next month on the same charges.