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Eugenio "Gene" Giannini, a soldier for the Lucchese crime family, is apprehended by federal agents on heroin conspiracy charges. While serving fifteen months imprisonment, Giannini agrees to become a government informant for the Bureau of Narcotics and later the FBI.
May 12 – New York mobster Charles Luciano is transferred from Clinton State Prison in Dannemora, New York, to Great Meadow State Prison in Fort Ann, New York. Luciano meets with US military intelligence in prison to negotiate his early parole. Intelligence wants him to contact Sicilian mafiosi to aid the Sicily Invasion and to prevent sabotage on the waterfronts of the East Coast of the United States by Nazi sympathizers.
August 3 - , a lieutenant of Louis "Lepke" Buchalter, is murdered. Many suspect that Wolenski (or Wolinsky) mislead Buchalter about a deal to reduce Buchalter's prison sentence during his 1939 trial.
December 5 – , former leader of the Pittsburgh, Pennsylvania crime syndicate (reportedly succeeded by John Sebastian LaRocca in 1937), is arrested by FBI agents for conspiracy to violate the National Bankruptcy Act.