Herman Levine – “The Rag Trade Racketeer”

Having reputedly started out as a strong-arm enforcer, by the 1950s, Herman Levine was reported by informants to have gained control over many of the various Jewish “contractors” in the district and would allocate which dress manufacturing houses dealt with which sub-contractors.

Herman (Benny) Levine - aka "Benjamin Levine" and "Ben Levin" - was born in 1895 in Lumza, Russia. He had a derivative citizenship since 1906. Although very low-key and conservative, he was widely known as one of the wealthiest Jewish racketeers to ever operate in New York City.

Herman Levine

A multi-millionaire many times over, he was equally adept at operating at the top levels of the underworld and business world alike!

He resided for years at 1136 Fifth Avenue in Manhattan. He owned the entire building (a multi-million dollar value). He also had a second beautiful, waterfront home on exclusive Atlantic Beach Estates at 1496 Bay Blvd. In 1955, this home was valued at $100,000 which is equivalent to $3,000,000 in 2019 money!

During the winter, he resided in Miami, Florida. He and other Jewish racketeers were known to congregate at “Jimmy Mann’s Auction Rooms” in Hollywood. They had a bookie den operating in the back.

FBI # 1460799, NYCPD # B-36750

By the late 1930s to early 1940s, Levine was identified as a close associate and direct subordinate of Meyer Lansky, who was considered the head of the Jewish Mob.

He was also, by extension, a top “associate” of the Luciano/Genovese Family.

Benny Levine was a major garment center manufacturer and racketeer. He was reportedly one of the most powerful garment district rackets figures. Law enforcement had described Levine as a “Mr. Big” in relation to garment operations.

Many argued that Benny Levine was the single most important man in the garment industry!

His criminal activities included garment racketeering, extortion and shakedowns, shylocking, and strong-arm tactics.

His criminal record included:

>> 1914 - assault

>> 1941 - extortion and conspiracy

>> 1951? - tax evasion

Having reputedly started out as a strong-arm enforcer, by the 1950s, Levine was reported by informants to have gained control over many of the various Jewish “contractors” in the district and would allocate which dress manufacturing houses dealt with which sub-contractors.

Thereby, he virtually controlled the flow of work given out. Through coercion and extortionate tactics, he dictated affairs on behalf of the underworld.

Additionally, besides having close hooks with David Dubinsky, president of the ILGWU (AFL-CIO), which provided ease of operation through “sweetheart contracts” for favored shops, he also ran many “non-union” shops, allowing some “key” firms of his to operate head and shoulders above the competition.

These “non-union shops” included coat and dress factories in Farmingdale, Long Island; Baltimore, Maryland; and Elizabeth, New Jersey.

He was considered an overseer and coordinator for the “garment unions”, working through several union “business agents” to facilitate the mob’s objectives.

He also owned or held a partnership interest in many sub-contracting shops, including:

>> Olive Coat Co.

>> Royal Mist Coat Co.

>> Kolmar-Freeman Mfg. Co.

>> Sunray Coat Co.

>> Schneider, Inc. (ladies coats and suits)

>> The Fabric Mill at 500 7th Ave., in NYC

>> He and Joe Miller also had a “piece” of Lou Schneider Co. (ladies coats and skirts)

Benny was also active in the garment-trucking racket, holding an ownership interest in City Carriers Corp., (CCC), a major apparel trucker based in the very heart of the district at 222 W. 37th Street, NYC. It dominated certain truck routes and garment houses in agreement with the Italian mob.

This trucking firm was known to do business with non-union garment shops.

Yonkers Raceway

It was common knowledge that he was one of several top Jewish hoodlums, who by 1953, held significant stock shares in Algam Corp., which owned Yonkers Raceway.

Levine was alleged to have provided over $300,000 to his wife and sons to buy the stock shares, giving him a 25% controlling interest.

Irving Sherman, Abe Chait, Joe Henschel, and Levine were alleged to be the true owners of the racetrack!

He also had major investment in other industries and businesses, including:

>> Beula Corp.

>> Kolmer and Company

>> Royal Equities Corp.

>> 27 Harrison Street Corp.

>> Levinston Corp.

....... among others!

Among his criminal associates:

Francesco (Frank Costello) Castiglia - the one and only! He was alleged to have been close to Costello. Meyer Lansky - needs no introduction. He was the overall boss of Jewish racket contingent. Levine is alleged to have been his number two in the garment district and could be considered an “underboss” to Lansky. Benjamin (Benny) Kutlow - a notorious garment extortionist and strong-arm, He was Levine’s longtime partner and muscleman. They ran the “Levine-Kutlow combine”. Giuseppe (Joe Adonis) Doto - another friend and associate of Levine. Joseph (Joe Stretch) Stracci - a major Genovese soldier and garment industry power. He was a close personal friend of Levine and his main contact with the Italians. Salvatore (Sally Stretch) Stracci - brother of Joe, policy racketeer, and active in garment rackets with him. Abner (Longy) Zwillman - a NJ top rackets boss and garment power. Abraham (Abe) Chait - a top Jewish hoodlum who was feared and respected. He ran several garment trucking firms.

It was reported by informant “victims” that they were forced to pay the Levine-Kutlow combine 15 cents for each garment they manufactured regardless of type or the lack of services provided,

This “shakedown” was mandatory and pervasive throughout the district. Their many competitors paid the same.

The following Jewish “musclemen” were used for collections, including:

>> Joseph “Keifie” Miller

>> Harry Strasser

>> Willy Milena

>> Jack Strum

>> Morris “Sheppy” Shapiro

>> Samuel “Fat Sidney” Brown

>> “Dutch” Goldberg

...... several of the above were known killers and had previously been affiliated with Lepke Buchalter.

In April of 1956, the U.S. Attorney for the Southern District of New York got a forensic subpoena to examine the books and records of the Overland Garment Co., located at 265 W. 37th Street in NYC, after receiving information that the firm was forced to pay “per garment” payoff fees to the Benny Levine and Benny Kutlow mob.

Before long, the authorities expanded the investigation into possible additional extortion payoffs by Ken Coats Co., and J.I. Kipness, Inc., both of 500 Seventh Avenue.

By the month of September of that year, the probe had expanded once again after information was found that other firms had also been forced to make similar “per-garment” payoffs.

These firms included Lady Lynn Fashions, Inc., of 254 East 35th St, and Hampshire Fashions, Inc., of 500 Seventh Avenue, both in NYC.

By early 1957, this shakedown racket probe seemed neverending in its breadth and scope! Each time the investigators looked, in every direction they looked, they uncovered another victim company!

Other companies listed under the dominion of Levine and his associates included Ascot Casuals Limited at 498 Seventh Avenue, NYC. (600 hundred shares of this firm’s stock had been issued to Levine).

Toni-Lynn Maternities, Inc., of 66 W. 38th Street, NYC was probed for hidden ownership by Levine and Kutlow.

Many more were listed as well, as under Levine's dominion.

I don’t have any solid information about when he retired or died. But while he was active, he certainly was a force to be reckoned with!

Until next time..."The Other Guy!"

Herman Levine – “The Rag Trade Racketeer”

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Herman Levine – “The Rag Trade Racketeer”

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You May Also Enjoy

The Eugene Catena Regime Leadership Chart

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