The Kefauver Committee Hearings (1950–1951) were a watershed moment for Las Vegas, exposing the deep integration of national organized crime within the casino industry to a televised audience of 30 million Americans.
The Investigation
Senator Estes Kefauver's Special Committee to Investigate Organized Crime in Interstate Commerce brought the full glare of television cameras to the Las Vegas gaming industry. For the first time, Americans saw the connections between their friendly neighborhood casinos and the national crime syndicate.
The Exposures
The investigation revealed the "front man" system, where public operators like Wilbur Clark masked the ownership of syndicates such as the Cleveland Four. Hidden ownership, skimming operations, and mob control were all documented for the record.
The Response
While the hearings aimed to dismantle the Mob—successfully destroying the Continental Press wire service and imposing a crippling 10% wagering tax—they inadvertently forced Nevada to professionalize its regulatory framework. The state chose self-reform over federal intervention.
The Gaming Control Board
To avoid a federal ban on gambling, Nevada created the Gaming Control Board (1955), shifting from passive tax collection to active policing. The Kefauver hearings didn't destroy Las Vegas gambling—they forced it to become legitimate.
