favorite rendezvous of the rum-running ships was a point opposite Atlantic City, New Jersey, just outside the three-mile limit beyond which the U.S. government lacked jurisdiction. The bootleggers anchored in that area and discharged their loads into high-powered craft that were built to outrace U.S. Coast Guard cutters. This type of smuggling became more risky and expensive when the U.S. Coast Guard began halting and searching ships at greater distances from the coast and using fast motor launches of its own. Prohibition helped lead to the establishment of American organized crime.
The Eighteenth Amendment had been in operation for an hour when the police recorded the first attempt to break it, with six armed men stealing some $100,000-worth of "medicinal" whisky from a train in Chicago. From the very beginning, criminals had recognized that Prohibition represented a marvelous business opportunity; in major cities, indeed, gangs had quietly been stockpiling booze supplies for weeks. The most notorious American organized crime that many people know today was the American
Mafia. In the early 1920s, fascist Benito Mussolini took control of Italy and waves of Italian immigrants fled to the United States. Sicilian Mafia members also fled to the United States, as Mussolini cracked down on Mafia activities in Italy. Most Italian immigrants resided in tenement buildings. As a way to escape the poor lifestyle, some Italian immigrants chose to join the American Mafia. The Mafia took advantage of prohibition and began selling illegal alcohol. Prohibition allowed Mafia families to make fortunes. Gangs hijacked each other's alcohol shipments, forcing rivals to pay them for "protection" to leave their operations alone, and armed guards almost invariably accompanied the caravans that delivered the liquor. In the 1920s, Italian Mafia families began waging wars for absolute control over lucrative bootlegging rackets. As the violence erupted, Italians fought Irish and Jewish ethnic gangs for control of bootlegging in their respective territories. Gang warfare ruled the streets of Chicago during the late 1920s, as chief gangster Al Capone sought to consolidate control by eliminating his rivals in the illegal trades of bootlegging, gambling and prostitution. This rash of gang violence reached its bloody climax in a garage on the city’s North Side on February 14, 1929, when seven men associated with the Irish gangster George “Bugs” Moran, one of Capone’s longtime enemies, were shot to death by several men dressed as policemen. The St. Valentine’s Day Massacre, as it is commonly called, was never officially linked to Capone, but he was generally considered to have been responsible for the murders.
Prohibition turned petty thugs into millionaires. If Prohibition did not occur then gangsters such as Al “Scarface” Capone and George “Bugs” Moran would remain small time players, running local neighborhood scams. Instead, bootlegging made minor gangsters rich beyond their believe. Speakeasies were hidden buildings that were used to illegally sell alcoholic beverages during Prohibition. Many speakeasies had some form of entertainment singing, jazz and flapper performances. In order to enter a speakeasy, one needed to provide a password to the doorperson so that the doorperson would know whether or not they were really secret agents. For every legal saloon before Prohibition, at least half a dozen speakeasies were established after the Prohibition. The word “speakeasy” came from a bartender’s term: people were supposed to “speak easy” when at a bar, meaning not to draw any suspicion towards buying alcoholic beverages by looking nervous or talking quickly. The people involved with speakeasies mainly revolved around gangs, who supplied the liquor, in particular Al Capone and his gang. People went to these speakeasies, as a means to get alcohol after Prohibition came into effect. The bartenders were often in business with gangs, as well as the owners of the establishment, in concealing these hidden saloons. Speakeasies were established everywhere, whether they were underground, or hidden within stores and other businesses. These “secret gin joints” were most common in New York, especially in between 45th and 52nd street on 5th and 6th avenues, where almost every single building contained illegal liquor. Speakeasies were established because of the Volstead Act. The Volstead Act was the act in which the prohibition of alcohol was enforced. Not long after the Act was put in place, people started hustling alcohol into illegal and concealed saloons. Police and agents of the Bureau of Prohibition would often raid speakeasies and arrest their owners and patrons; but they were so profitable that they continued to flourish. The speakeasy soon became one of the biggest parts of American culture during this time. Several changes happened as speakeasies formed; one was with integration. With "black and tans", people of all races, black or white, would gather together and even mingle. People would mix together and have little to no problems. The quality of the alcohol sold in the speakeasy could range from very poor to very good; this all depended on the way the owner got the product. Cheap liquor was generally used because it would help with profits. But in other cases, brand names were used to specify the type of alcohol people wanted. However, sometimes when brand names were used, some speakeasies cheated; they lied to their customers by giving them poor quality liquor instead of the higher-quality liquor the customer ordered. Prices were four to five dollars a bottle.