Valley Gang
Encyclopedia
The Valley Gang was an Irish street gang in Chicago, Illinois during the early twentieth century and was later allies of the Chicago Outfit
Chicago Outfit
The Chicago Outfit, also known as the Chicago Syndicate or Chicago Mob and sometimes shortened to simply the Outfit, is a crime syndicate based in Chicago, Illinois, USA...

 under Al Capone
Al Capone
Alphonse Gabriel "Al" Capone was an American gangster who led a Prohibition-era crime syndicate. The Chicago Outfit, which subsequently became known as the "Capones", was dedicated to smuggling and bootlegging liquor, and other illegal activities such as prostitution, in Chicago from the early...

.

Formed in the 1890s, the Valley Gang was based in Chicago's Bloody Maxwell section on 15th Street specializing in pickpocketing and armed robbery. By 1900 the gang had become a leading force in the Chicago underworld, later rivaling Ragen's Colts
Ragen's Colts
Ragen's Colts was a chiefly Irish street gang which dominated the Chicago underworld during the early twentieth century. By the late 1920s and early '30s, the gang became part of the Chicago Outfit under Al Capone....

, hired out for illegal activities ranging from labor slugging to murder for hire. During the mid-1910s the gang was led by Paddy "The Bear" Ryan who, operating from his South Halstead Street saloon, would control most of Bloody Maxwell by Prohibition
Prohibition
Prohibition of alcohol, often referred to simply as prohibition, is the practice of prohibiting the manufacture, transportation, import, export, sale, and consumption of alcohol and alcoholic beverages. The term can also apply to the periods in the histories of the countries during which the...

 until his murder by rival Walter "Runt" Quinlan in 1920.

After Walter Quinlan's death by Ryan's son Paddy "The Fox" Ryan Jr., the gang was led by Frankie Lake and Terry Druggan
Terry Druggan
Terry "Machine Gun" Druggan was an Irish-American mobster and leader of the Chicago based mob - the Valley Gang during prohibition. Druggan was well-known throughout the Chicago area as a tough street fighter. In 1919, Terry Druggan took over the Valley Gang. Druggan was a dwarf-like little man...

 who soon began bootlegging operations as the "Druggan-Lake Gang". Soon becoming successful distributors the gang, with partner Joseph Stenson, owned several breweries by the early 1920s using its wealth to gain political influence and police protection. In 1924 Lake and Druggan were sentenced to one year in Cook County Jail
Cook County Jail
The Cook County Jail, located on in Cook County, Illinois, is the largest jail in the United States of America housing approximately 9,800 men and women. The facility is located at 3015 S California Ave in the city of Chicago...

 however, while serving their sentence, they were allowed to leave the prison regularly due to support from politicians such as 20th Ward alderman Morris Eller and bribes of $20,000 to Sheriff Peter Hoffman and Prison Warden Wesley Westbrook. After a report by the Chicago American, Hoffman was fined $2,500 and sentenced to one month imprisonment and Westbrook was sentenced to four months imprisonment.

The gang was soon noticed by Al Capone
Al Capone
Alphonse Gabriel "Al" Capone was an American gangster who led a Prohibition-era crime syndicate. The Chicago Outfit, which subsequently became known as the "Capones", was dedicated to smuggling and bootlegging liquor, and other illegal activities such as prostitution, in Chicago from the early...

, due in part to the scandal, and upon their release in 1925 following the bootleg wars an alliance was formed between the gang and the Chicago Outfit, agreeing to give Capone 40% of their income in exchange for protection with Ragen's Colts gunmen under Danny Stanton
Danny Stanton
Danny Stanton was a Chicago mobster and labor union racketeer for the Chicago Outfit during Prohibition. An early leader of the Sheldon Gang, he later headed members of the Ragen's Colts on behalf of Al Capone in support the Druggan-Lake Gang during the bootleg wars of the mid-1920s.Daniel Stanton...

 who included William "Gunner" McPadden, Hughey "Stubby" McGovern, Raymond Cassidy, and Frank "Dutch" Carpenter (although many of these men would be killed during the bootleg wars). With the conviction of Druggan and Lake for tax evasion
Tax evasion
Tax evasion is the general term for efforts by individuals, corporations, trusts and other entities to evade taxes by illegal means. Tax evasion usually entails taxpayers deliberately misrepresenting or concealing the true state of their affairs to the tax authorities to reduce their tax liability,...

in 1932 the gang would eventually become absorbed into the organization by the end of Prohibition. Serving as the Chicago crime syndicate's leading enforcers many of the gang members, including Terry Druggan, retired extremely wealthy.
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