Boardwalk Empire: The Birth, High Times, and Corruption of Atlantic City

by Nelson Johnson

  In the gubernatorial election of 1916, Nucky supported the candidacy of Walter Edge. An Atlantic City resident and product of the Kuehnle machine, Edge had served in the state assembly and was elected senator from Atlantic County in the election of 1910: the election made infamous by the Macksey Commission. Edge was as honest as could be hoped for from the Atlantic City organization. He was a capable legislator and in 1912 was selected majority leader of the state senate, having gained the respect of the state Republican organization.

  Walter Edge was Atlantic City’s answer to Horatio Alger. Born in Philadelphia, he moved to Atlantic City as a child when his father’s position with the railroad was transferred. Like other self-made men of his day, Edge pulled himself up by the bootstraps to acquire his wealth through the ownership of a local newspaper and a public relations firm. Edge continued his business success into politics and went on to hold more influential positions than any resort politician, becoming Governor, U.S. Senator, and Ambassador to France. He was an intimate of Warren G. Harding and narrowly missed becoming his vice president. While Edge later disavowed his ties to Kuehnle and Johnson, he needed their support. Despite his personal wealth, he couldn’t have been elected from Atlantic County unless he was loyal to the Commodore and his Atlantic City machine; proof is Edge’s choice of Nucky as his campaign manager for governor. “Edge was a stuffed shirt, but he knew where to go when he needed something done in politics—Nucky Johnson.”

  Edge’s opponent in the Republican primary was the wealthy Austin Colgate, heir to the toothpaste fortune. The primary was hotly contested and, in a time when there were no campaign finance reports, Colgate spent his money freely. Nucky helped Edge by raising the funds needed to wage a statewide campaign and by using his skill as a powerbroker to gain support for Edge from an unexpected source.

  There was no contest in the Democratic primary; the candidate was Jersey City Mayor Otto Wittpenn. A reform mayor, Wittpenn was a headache for Hudson County Democratic boss Frank “I am the Law” Hague, who decided it was time for Wittpenn to move up and out—out of Hague’s way. Frank Hague was becoming a force in Democratic politics at about the same time Nucky was making his move to prominence as a Republican. Hague was the son of immigrant Irish parents, born in the “Horseshoe Section” of Jersey City in 1871. Despite having neither an education (he was expelled from school in the sixth grade) nor a family name to bolster him in local politics, Hague became a leader while still a young man. One step at a time, he amassed power as he went from constable to custodian of City Hill to the office of street and water commissioner. Like Nucky, Frank Hague branched out into state politics not because he wanted statewide power, but rather because it was useful to have the influence of state government to safeguard his city’s interests.

  When the election of 1916 rolled around, there weren’t any Democrats whom Hague trusted enough to support for governor, making him ripe for an overture by Nucky. Prior to the 1947 State Constitution, a governor couldn’t succeed himself and when Wilson left Trenton for Washington, he was succeeded by James Fiedler, a party hack from Jersey City who happened to be president of the Senate at the right time. Hague controlled Fiedler and supported him in the election of 1913; however, come 1916, Hague could find no one to support. At Nucky’s prompting and with a pledge of cooperation from Edge, Hague instructed his people to “crossover” and support Nucky’s candidate in the primary. Hague then abandoned Wittpenn in the general election. Wittpenn was a pawn in Hague’s and Nucky’s game, and Walter Edge became governor. This was the first of many occasions when Nucky and Hague put aside party differences to work for their mutual interests.

  As governor, Edge dutifully rewarded Nucky by appointing him clerk of the State Supreme Court. “Can you imagine that, a character like Nucky Johnson, the head clerk to New Jersey’s judiciary.” Johnson continued serving as Atlantic County Treasurer despite the fact that both jobs were supposed to be full-time. The position of clerk meant little to Nucky, but it gave him an excuse to be in Trenton and to begin making contacts in the state Republican organization. At the age of 33, having a close ally in the governor’s chair and the power to dispense favors beyond Atlantic City, Nucky had arrived as a force in statewide politics.

  At about the same time Atlantic City was striving to move beyond being merely Philadelphia’s Playground into a national resort, the city’s popularity and, with it, Johnson’s power, were given an enormous boost. In 1919, with Woodrow Wilson in the White House, Victorian morality won a major victory with the adoption of the 18th Amendment to the U.S. Constitution, the Volstead Act. Woodrow Wilson, the reformer, was again unwittingly advancing the career of Nucky Johnson along with hundreds of other racketeers. “Prohibition” banned the manufacture, sale, and transportation of intoxicating liquors—it was doomed to failure. For decades, the Anti-saloon League, and before it, the National Prohibition Party, had been waging a single-minded campaign to shut down the liquor industry. With Wilson as president, the Prohibitionists finally had someone who would listen to them. The 18th Amendment was adopted by the required three-fourths of the states within a single year. The Amendment had been written into the Constitution and scheduled to go into effect in a few months when Hague’s candidate, Edward I. Edwards, was elected governor. During the campaign, Edwards pledged, “I intend to interfere with the enforcement of Prohibition in this State.” Thanks to Edwards, New Jersey was the last state to ratify the Amendment, doing so after it had been in effect for two years.

  That so many people in power could take leave of their senses by supporting a law so utterly unenforceable stands as a monument to the ignorance of single-issue politics. It’s the classic example of the “law of unintended consequences.” While Prohibition reduced the general availability of alcohol, it greatly increased the money available for political corruption and organized crime. Otherwise law-abiding citizens refused to give up the pleasure of an occasional drink and got their booze from illegal suppliers. An authority on Prohibition, Al Capone once said:I make my money by supplying a public demand. If I break the law, my customers, who number hundreds of the best people in Chicago, are as guilty as I am. The only difference between us is that I sell and they buy. Everybody calls me a racketeer. I call myself a businessman. When I sell liquor, it’s bootlegging. When my patrons serve it on a silver tray on Lake Shore Drive, it’s hospitality.

  Selling liquor unlawfully was nothing new in Atlantic City. Resort tavern owners had violated the state’s Bishops’ Law for years by serving drinks on Sunday. If they could get away with it one day a week, why not seven? “Prohibition didn’t happen in Atlantic City.” As far as Atlantic City was concerned, the 18th Amendment to the U.S. Constitution never existed. While other cities had speakeasies and private clubs, the sale of alcohol in the resort continued as usual in taverns, restaurants, hotels, and nightclubs. You could buy liquor in drugstores, the corner grocery, and the local farmer’s market. The resort was more than an outlet for illegal booze, it was a major port of entry for foreign-produced liquor. Large “mother ships,” bearing thousands of cases of whiskey and rum, anchored off the coast where they were greeted by speedboats, which were little more than empty hulls with twin motors. Cases of liquor were unloaded all along the island, with speedboats pulling into the bay near a city firehouse where they were greeted by the local firemen who helped unload the booze. “Everybody helped out. If you worked for the city you could count on one time or another working a night shift and being told to go to such and such place and help unload a boat. You weren’t supposed to know what it was but everybody did.”

  It was the Coast Guard’s job to stop the flow of imported whiskey. More often than not, it was unsuccessful. In one incident, four coast guards were arrested on charges of assault with intent to kill for shooting at a rumrunner. Daniel Conover had refused to stop his boat in the Inlet at 2:00 A.M. on a May evening in 1924 when ordered to do so by Chief Petty Officer Edward Robert. Shots were fired and Conover was caught with 75 cas
es of liquor in the captured boat. Atlantic County Prosecutor Louis Repetto arrested Chief Robert and his three crewmates charging them with abuse of their authority for using firearms. “To my mind” he said, “the Federal men are as guilty as is the individual who uses a pistol without provocation. An officer may fire only in pursuit of persons guilty of felony. Rum smuggling comes under the designation of a misdemeanor.” This wasn’t an isolated incident. There were dozens of reported occurrences during the 1920s when local law enforcement authorities were used to obstruct federal officials attempting to secure compliance with Prohibition.

  The uninterrupted flow of booze enhanced the resort’s standing among vacationing businessmen. “You gotta understand, nobody did it the way we did here. Sure you could get booze in New York or Philly, but it was always in a speakeasy you know, hush, hush. Here it was right out in the open, and that made us real attractive to businessmen looking for a place to hold a convention.”

  As Nucky himself once said, “We have whiskey, wine, women, song, and slot machines. I won’t deny it and I won’t apologize for it. If the majority of the people didn’t want them, they wouldn’t be profitable and wouldn’t exist. The fact that they do exist proves to me that the people want them.”

  Because of its willingness to ignore Prohibition, conventioneers flocked to Atlantic City and the resort became the premier convention center of the nation. This enormous success in attracting conventions resulted in the decision to build the present day Boardwalk Convention Center. Architecturally, the old Convention Hall isn’t much to look at, but when it opened in May 1929, it was the largest and only building of its kind in the world. For the people of its day, it was one of the wonders of the world. It was hailed across the nation as “the” modern convention facility. The hall was constructed without roof posts and pillars; the building’s trusses had a span of 350 feet and at the time were the largest ever used anywhere. The construction materials consisted of 12 million tons of steel, 42,000 cubic yards of concrete covering more than seven acres. Its subbasement is more than 26 feet below high tide level and is anchored with 12,000 30-foot-long pilings. In its day, it was an engineering marvel.

  The construction of Convention Hall was Nucky’s commitment to a 12-month economy through conventions. Nucky didn’t need a market study to know it would be a success. Under Nucky’s direction and that of his handpicked mayor, Edward Bader, Convention Hall was constructed at a cost of $15 million. Such an expenditure in 1929, by a city of some 65,000 residents, could not have been made without the stimulation to the resort’s popularity caused by Prohibition. And as the resort grew in popularity, so, too, did Nucky’s power.

  Prohibition raised the political ante in Atlantic City. When a community is thriving, everyone wants power. This was especially true in the resort where the political spoils system was woven into the fabric of the community. With the prosperity stimulated by Prohibition, the competition for local office became intense. One such contest was the city commission election in 1924. It was a pivotal election that affected resort politics for nearly two generations.

  The 1924 campaign was a bitter one. It featured two Republican slates: one headed by former Mayor Harry Bacharach and the other by incumbent Edward Bader. Bacharach had been a popular mayor serving from 1916 to 1920. At the end of his second term, he chose not to seek re-election, and Bader became mayor. Bader made thousands of friends while in office and when Bacharach decided to make a comeback, the contest put Nucky on the spot. The hostility between Bader and Bacharach divided the community, and there was nothing Nucky could do to prevent them from clashing. Johnson withheld his support, playing cat and mouse with both candidates; he liked both men and could have worked with either of them. Finally, he struck a deal with Bader and agreed to back him.

  Nucky knew the election would be close and went looking for votes outside of the Republican Party. The local Democratic Party had its start with the election of Woodrow Wilson as governor, but it never amounted to much. In the ’24 election, the Democratic slate didn’t have a chance; their candidates could attract little more than 2,000 votes. Nucky went to the local Democratic leader, Charles Lafferty, and offered to put a Democratic candidate on Bader’s slate. At Nucky’s prompting, Lafferty chose Harry Headly and the first fusion ticket was formed. Headly was not really a Democrat; he had been a Republican ward worker prior to switching parties to become a candidate. Lafferty and the Democrats turned out for Bader amid Election Day brawling and charges of election fraud. Receiving more than 1,000 illegitimate votes, cast by floaters brought in by train from Philadelphia, the Bader slate was victorious.

  The arrangement between Johnson and Lafferty became a permanent fixture in resort politics with Nucky and his successor controlling the Democratic Party for the next 40 years. Headly was in time replaced by William Casey, who likewise was a former Republican having worked as an aide to Harry Bacharach when he was mayor. In later years a second Democrat was added to the city commission slates, but the Republican Party remained firmly in control. The deal between Nucky and Lafferty ensured there would never be a legitimate Democratic Party. As one old time pol has noted, “There never really was a second political party in Atlantic City, just different lineups of players who ran under different banners. But underneath the uniforms everyone was on the same team.”

  The “Roaring ’20s” were golden years for both Nucky and his town. It was a gay place that reveled in its ability to show its visitors a good time. The liquor flowed and the party seemed as though it would go on forever. In the days before television and widespread home radio, the Boardwalk rivaled New York City’s Great White Way as a national showcase for promoting consumer products and introducing new entertainment figures and productions. During the decade between 1920 and 1930, the Boardwalk became known as the “Second Broadway” of the nation. A production didn’t go to New York until it first showed in Atlantic City. There were hundreds of Boardwalk theatrical tryouts with famous stage names that drew wealthy playgoers from throughout the entire northeast, many of them arriving in their own private railroad cars.

  Typical of the ’20s was the year 1920, which saw a total of 168 shows open at the three main theatres: the Apollo, Globe, and Woods. Victor Herbert started off the year on New Year’s Day with his presentation of My Golden Girl, followed by Willie Collier in The Hottentot and John Drew in The Catbird. In March, there was Marie Dresler in Tillie’s Nightmare with other performances throughout the year featuring the likes of Chauncey Olcott, Helen Hayes, David Warfield, Thurston the Magician, and “Mr. Show Business,” George M. Cohan. Also, regulars during the ’20s were the prestigious University of Pennsylvania Mask and Wig Club and the Ziegfeld Follies.

  The most memorable performance staged during this era was the premier of The Student Prince at the Apollo Theatre in 1924. It was a national theatrical event and was the largest production ever staged on the Boardwalk with a cast of 150 players. The resort was more than a try-out town for theatrical productions; it was a showcase for comics, singers, musicians, and dancers. Among those who received their first big break in Atlantic City on the road to stardom were W. C. Fields, Abbott and Costello, Jimmy Durante, Red Skelton, Milton Berle, Martha Ray, Guy Lombardo, Bing Crosby, Bob Hope, Ed Sullivan, Jackie Gleason, Tommy and Jimmy Dorsey, and on and on.

  By 1925, Atlantic City had:

  More than 1,200 hotels and boardinghouses capable of accommodating nearly 400,000 visitors at a time.

  Ninety-nine trains in and out daily in the summer, and 65 daily in the winter. Of the 16 fastest trains in the world at the time, 11 were in service to Atlantic City.

  A Boardwalk lined with hundreds of businesses, extending seven miles.

  Five ocean piers with amusements.

  Twenty-one theatres.

  Four newspapers: two daily, one Sunday, and one weekly.

  Three country clubs.

  Three airports—two for seaplanes and one for land planes.

  The Easter Parade and the
Miss America Pageant.

  The Miss America Pageant got its start in 1921 as the “Intercity Beauty Contest.” Conceived as a gimmick for extending the summer season, it was scheduled for the week after Labor Day. In all, eight young girls hailing from the likes of Newark, Pittsburgh, Ocean City, and Harrisburg made up the field. Surprisingly, it was a success and the following year 58 beauties showed. The New York Times covered the second pageant during its final two days and reported: “The nation’s picked beauties swept along three miles of Boardwalk this afternoon and in the most spectacular rolling-chair parade ever staged here. Crowds packed the borders of the walk, squeezed in the windows of the flanking hotels and stores, and kept up a continuous cheering from the time that King Neptune and his flower-bedecked retinue got underway. Airplanes swooped down and showered the bowered beauties with roses and confetti. Cannons roared and even the breakers boomed forth their tribute to America’s prettiest girls.” Where else but Atlantic City?

  The first host of the City by the Sea throughout this period was Nucky. He wasn’t just Atlantic City’s boss, he was the town’s leading party person. Nucky enjoyed beautiful women and was often in the company of the starlets and showgirls who performed in the many stage productions. When a well-known entertainer was in town he usually threw a party in his or her honor at the Ritz. Throughout his career, there were few parties of any significance held in the resort where Nucky wasn’t in attendance.

  Damon Runyon would have had a hard time creating a more flamboyant character. His typical day began at 3:00 in the afternoon; awakened at the usual time by his bodyguard and valet, Louis Kessel. Resembling the trunk of a tree, Kessel stood five-foot-five, weighed 260 pounds, and sported a moustache with waxed tips. He had been a wrestler, a bartender, and a cab driver, in that order, before meeting up with Nucky. In his days as a cab driver he often waited outside nightclubs for Nucky and, when he emerged, took him home, undressed him, and put him to bed. Louie was an uncomplicated person looking for a master to serve. Nucky made him his personal servant and their relationship lasted nearly 20 years.