When the Playboy Club came to Wisconsin, rumors swirled of Mafia involvement. Though they turned out to be untrue, the FBI investigated…
November 15, 1965: An informant told LeGrand that Frank Balistrieri was looking into the possibility of opening a Playboy Club in Wisconsin.
March 25, 1966: The Walworth County sheriff told the FBI he knew the men responsible for bringing the Playboy Club to Lake Geneva, and feels they are fine gentlemen who have no hoodlum connections. The FBI was concerned about hoodlum infiltration, specifically because the Chicago club had its “hat check girls” provided by Ross Prio.
July 12, 1966: An article in the Chicago Sun-Times announced the groundbreaking for the Lake Geneva Playboy Club would be in August.
July 26, 1966: The FBI spoke to Lake Geneva Chief of Police Syd Grahler about the Playboy Club. Grahler said groundbreaking was to be August 26, and the property amounted to 400 acres. Grahler referred the FBI to (redacted) at Lake Geneva Regional News. The FBI spoke to him the same day, and he said he had been following the story and while people were suspicious of the character of the Playboy organization, nothing wrong had come to light and he believed it would ultimately benefit the city. He had doubts they could build everything on schedule, but the plan included a manmade lake, ski hill, 18-hole gold course, and various lodges. This was to be more of a recreation club that a “Bunny club.”
August 26, 1966: The Lake Geneva Playboy Club had its groundbreaking. The Walworth County sheriff was there, along with a number of prominent county men. Food and drink was provided free by Playboy. Representing Playboy there was (redacted) who the sheriff described as a “sissy” along with several bunnies.
September 14, 1966: An informant in Kenosha told the FBI that the Playboy Club coming to Lake Geneva was a $5 or $6 million investment. This was a lot for an area like Lake Geneva, but the growing trend opf the city as a summer resort location would justify it. Harry Paraglis (sp?) was supposed to manage the club, as he had managed other clubs in the past, but had passed away before he had the chance.
December 22, 1966: Walworth Sheriff Alex Johnson provided the Milwaukee FBI with a map of the area where the Playboy Club was being constructed.
FBI agents contacted the attorney for the Playboy Club on January 26, 1968 after concerns that the Mafia had some sort of financial interest in Playboy’s newest club in Lake Geneva. The attorney said they had been operating clubs for eight years and were very aware of the potential for criminal activity in their business, which is why they worked closely with law enforcement and actually had their own investigators who looked into the background of members, employees and Bunnies. The attorney said Hugh Hefner was a recluse and eccentric, but had a keen business sense. Despite his strange behavior, he was actually quite conservative and was raised by two conservative, deeply
devout parents. The attorney said there was no real trouble financially because the clubs were independently financed. The only trouble he could recall was with an arsonist in Chicago, but that involved surrounding buildings as well, and was not targeted at the club. Despite the club’s sex appeal, there was no actual sexual activity and only one club had gambling, and that was in London. The attorney said he was aware that Chicago hoodlums visited the Chicago club, and it was certainly possible that they were tempting Bunnies with money. Skimming was almost
impossible, because the club operated primarily through credit card transactions and almost no currency. He conceded they used Attendant Service Corporation for parking, and knew the business to be linked to mobster Ross Prio. However, he said the company came highly recommended and so long as they do a good job, it is not his concern about its connections.
February 13, 1968: FBI agents spoke with the Walworth County Sheriff. He said the head of security for the Lake Geneva Playboy Club was Maurice J. McCarthy, Jr of Fontana, a former police officer in Chicago. McCarthy was born 3/18/1911 and was occasionally seen with two friends of his from Chicago. The sheriff said he found the friends to be of “questionable character” but had nothing specifically derogatory to point to.
A background check on McCarthy had only positive things to say. He had been a police officer assigned to the Cook County State’s Attorney’s investigative staff, and had a strong dislike for “the hoodlum element.” People described him as honest, someone who did an “excellent job,” and was outgoing. He briefly worked for the First National Bank of Chicago as an investigator before taking the Playboy job. His primary motivation was that he lived in Fontana, Wisconsin and did not want to commute. McCarthy had specifically told the Playboy company he was not interested in the job if “the hoodlum element” had an interest, based on his knowledge of their part in Chicago. McCarthy was good friends with Captain Frank Pape who had a reputation as a “killer cop” and worked the Arlington Race Track. Pape no doubt had plenty of mob stories to share. (Pape was widely celebrated and his obituary would refer to hi mas Chicago’s toughest cop.)
May 4, 1968: The Lake Geneva Playboy Club officially opened. The profits from the opening weekend ($200 per couple) were donated to charity – the Americna Cancer Society. The property took up 1,000 acres and had a resort with 300 rooms. The grounds had two golf courses, one designed by Robert Bruce Harris and the other designed by Jack Nicklaus and Peter Dye. The grounds had fishing, skiing, horseback riding, tennis and much more. The 12,000-square foot ski lodge included a 150-seat restaurant. The ski runs were designed by Alexander McIlvaine and Art Furrer ran the on-site ski school. The hotel buildings were designed by architect Paul Magierek of Barrington, Illinois and one restaurant on site offered a seven-course meal supervised by chef Michel Cipolla. Playboy had 19 key clubs, but this was only their second hotel, after Jamaica. Although Hugh Hefner was the face of the organization, vice president Arnold Morton was said to be the “mastermind” behind the hotel business – Morton, his children and grandchildren would go on to create many notable hotels and restaurants, such as the Hard Rock Cafe.
July 4, 1968ish: Over the holiday weekend, Ross Prio and Joseph DiVarco visited the Lake Geneva Playboy Club. It seemed to be merely a social visit and not for any criminal reason.
A party was held at Sally’s Steakhouse on September 1, 1970 in honor of singer Vic Damone who was appearing at the Lake Geneva Playboy Club. He was escorted by Frank Buccieri, shown around by Joseph Balistrieri, and made a personal effort to meet Frank Balistrieri. Several Milwaukee hoodlums attended the party: Peter Balistrieri, Frank Daddabbo, Steve DiSalvo, Sam Dentice, Angelo DiGiorgio, Joseph Alioto, and Peter Dentice. (Forty years later, Damone recalled his time at the Playboy Club. As he waited to go onstage, a Playboy Bunny asked for his autograph. “I was feeling cocky and Italian and everything,” Damone said. “I asked her name and she smiled and said, ‘Oh, it’s not for me. It’s for my mom.’ I thought, ‘Uh-oh. The beginning of the end.’”)
The Playboy Club was the focus of an FBI investigation, revealing nothing. It only comes up in passing after this, with one occasion where Frank Balistrieri goes to see Al Martino perform in 1978 and another time where Frank Buccieri and Sally Papia allegedly had a physical altercation there.