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1974–197610 min readhistory

The Stardust Skimming Scandal

The Crime That Ended Mob Rule

The Stardust Skimming Scandal
1974–1976

The Stardust Skimming Scandal (1974–1976) was a complex financial crime orchestrated by the Argent Corporation, a front for the Chicago, Kansas City, Milwaukee, and Cleveland Mafia families. This scandal marked the beginning of the end for organized crime in Las Vegas.

The Players

Funded by a $62.75 million loan from the Teamsters Central States Pension Fund, the operation utilized Allen Glick as a strawman owner and Frank "Lefty" Rosenthal as the unlicensed de facto manager. Anthony "The Ant" Spilotro provided enforcement on the street.

The Skim

The "skim" involved the theft of millions in unrecorded gaming revenue via scale tampering and falsified fill slips in the count room. Cash was literally stolen before it could be counted for tax purposes, then shipped in suitcases to mob bosses across the country.

Operation Strawman

The scheme was dismantled by the FBI's Operation Strawman, which utilized extensive wiretaps to secure convictions against top mob bosses. The resulting trials sent dozens of mobsters to prison and effectively ended organized crime's control of the Las Vegas Strip.

The Aftermath

The scandal resulted in the revocation of Argent's license and the Stardust's eventual sale to Boyd Gaming, signaling the end of organized crime's dominance in Las Vegas and the rise of corporate gaming governance. The story was later dramatized in the film Casino.