Dutch Schultz allegedly buried $7-9 million in cash, bonds, and diamonds near Esopus Creek in New York’s Catskill Mountains in 1933, loading the fortune into a custom steel strongbox measuring approximately 3’x2’x1.5′. His trusted bodyguard Bernard “Lulu” Rosenkrantz drove the treasure to a remote hideaway and marked the burial site with an “X” on a tree near Stony Clove Creek. After Schultz’s murder in 1935, Rosenkrantz died before revealing the location, sparking decades of unsuccessful expeditions that continue exploring the mystery’s depths.
Key Takeaways
- Dutch Schultz buried an estimated $7-9 million in cash, bonds, and diamonds in a custom steel strongbox in 1933.
- His bodyguard Bernard “Lulu” Rosenkrantz buried the treasure near Esopus Creek in New York’s Catskills region and marked it.
- Schultz was assassinated in 1935 before revealing the location; Rosenkrantz also died without disclosing the burial site.
- The treasure’s modern value is estimated at $50-150 million, sparking decades of searches using advanced technology.
- Despite 70+ years of expeditions near Phoenicia and Esopus Creek areas, no verified recovery has been made.
The Bronx Bootlegger’s Criminal Empire
After the Volstead Act took effect in 1919, Dutch Schultz recognized bootlegging as a lucrative criminal opportunity and swiftly entered the illegal alcohol trade.
Dutch Schultz seized Prohibition as his pathway to criminal empire, diving headfirst into bootlegging’s dangerous but profitable underworld.
You’ll find he worked as a bouncer at the Hub Social Club speakeasy before partnering with Joey Noe to establish multiple illegal drinking establishments. They operated their own delivery trucks, with Schultz riding shotgun to protect shipments from hijackers.
By the mid-1920s, they’d become the Bronx’s dominant beer suppliers, intimidating rival saloon owners into exclusive contracts. When Joe Rock refused cooperation, Schultz kidnapped and tortured him.
Following Prohibition‘s end, he diversified into illegal gambling, numbers rackets, union influence, and extortion. Through gangster Jules Modgilewsky, he extorted restaurant owners by creating the Metropolitan Restaurant & Cafeteria Owners Association, forcing them to make regular payments or face strikes and stink bomb attacks. His organization, dubbed the “Big Six,” rivaled the Mafia’s Five Families in power. By 1931, Schultz owned multiple illegal breweries and speakeasies throughout the region.
A Fortune Hidden in a Steel-Plated Strongbox
As Dutch Schultz’s legal troubles intensified in 1933, he commissioned a custom steel strongbox from Bronx craftsman Timothy Keeley—or possibly iron worker Tommy Kiehle, according to conflicting accounts.
The container measured 3 feet by 2 feet by 1.5 feet, featuring six 3/8-inch rod handles, three hinges, and a brass padlock.
You’ll find this wasn’t another treasure myths fabrication—eyewitnesses documented the packing process at Schultz’s Connecticut hideaway, where Lulu Rosenkrantz and Marty Krompier helped load $2 million in currency and bonds, plus $4.5 million in flawless diamonds packed in Bull Durham tobacco sacks.
Unlike mythical legends of pirate gold, this fortune totaled $7-9 million (worth $50-150 million today).
The steel-plated box was specifically designed to fit in Schultz’s bulletproof Cadillac’s trunk.
Schultz had initially considered gold bars but switched to the more portable combination of diamonds, gold coins, bonds, and cash for easier concealment and transport.
The loaded strongbox likely weighed around 75 lbs, making it manageable for two men to carry but heavy enough to require careful handling during burial.
The Final Drive to the Catskills
You’ll find Bernard “Lulu” Rosenkrantz served as the trusted bodyguard who drove Schultz through the Catskills during this critical journey to hide his fortune.
The vehicle rattled with its valuable cargo as Rosenkrantz navigated toward the remote Phoenicia area, approximately 50 miles west of Pine Plains.
He’d later mark a tree with an “X” after selecting an isolated burial site along Stony Clove Creek’s banks, swearing himself to secrecy about the exact location.
The treasure itself consisted of cash, bonds, diamonds, jewels, and gold coins sealed within a waterproof iron chest.
Rosenkrantz potentially drew a map for Schultz’s associate Martin Krompier, providing hints about the route or hiding spot before the secret was lost forever.
Rosenkrantz’s Role as Driver
Bernard “Lulu” Rosenkrantz took the wheel for what would become one of history’s most enigmatic road trips when Dutch Schultz needed someone he trusted absolutely to transport his fortune to the Catskills.
As Schultz’s loyal bodyguard, you’d understand why Rosenkrantz earned this critical assignment—driving a steel strongbox packed with cash, bonds, diamonds, and gold coins worth $5-9 million toward Phoenicia, New York.
The route traced familiar territory from Schultz’s bootlegging days, winding through upstate roads to an undisclosed spot near Esopus Creek. Schultz held the only key to the strongbox during their journey.
Upon arrival, both men buried the treasure together, with Schultz swearing Rosenkrantz to absolute secrecy regarding the burial secrets.
They marked the location by carving an “X” into a nearby tree trunk before departing.
Schultz had avoided banks entirely, keeping his wealth in a safe during the Great Depression.
Rosenkrantz would later be shot at the Palace Chop House on October 23, 1935, dying from his wounds before he could reveal any details about the treasure’s location.
Remote Burial Site Selection
The strongbox’s destination wasn’t chosen at random—Schultz selected Phoenicia in Ulster County for its strategic advantages honed during his bootlegging years.
You’ll find Esopus Creek area offered criminal secrecy through remote Catskill Mountains geography, naturally concealing operations from law enforcement surveillance.
The terrain featured multiple landmarks referencing the devil—Devil’s Face and Devil’s Tombstone—potentially connecting to Schultz’s cryptic dying words: “Don’t let Satan draw you too fast.”
This wilderness provided square miles of undisclosed burial options, making recovery nearly impossible without precise coordinates. Schultz had run the largest bootlegging operation in Dutchess County from Harvest Homestead Farm in Pine Plains, giving him extensive knowledge of Upstate New York’s remote territories.
The larceny legends surrounding this site persist because Schultz’s familiarity with the region, developed through running bootlegging operations, gave him intimate knowledge of concealment locations that died with him in October 1935. Schultz and Rosenkrantz drove the airtight, waterproof safe to its final resting place, ensuring the treasure would remain protected from the elements for decades to come.
Murder at the Palace Chop House
On October 23, 1935, at approximately 10:15 p.m., Murder, Inc. hitmen Charles “The Bug” Workman and Emanuel “Mendy” Weiss entered the Palace Chop House at 12 East Park Street in Newark, New Jersey, and opened fire on Dutch Schultz and his associates.
Workman fired a single .45-caliber shot at Schultz in the men’s room, striking him in the side and tearing through his spleen, stomach, colon, and liver, while both assassins killed Otto Berman instantly.
They also fatally wounded Abraham Landau and Bernard Rosenkrantz in the dining room.
You’ll find that Schultz survived for 22 hours before succumbing to peritonitis, during which a police stenographer recorded his delirious, rambling statements that never identified his killers.
The Fatal Shooting Night
After relocating his operation to Newark’s Robert Treat Hotel around 6:00 p.m. on October 23, 1935, Dutch Schultz and three associates walked approximately half a block to the Palace Chop House at 12 East Park Street for dinner and to count money.
Around 10:15 p.m., two hitmen entered the dimly lit establishment where approximately a dozen patrons occupied the bar area.
At 10:30 p.m., the assassins struck. Schultz was shot in the men’s room, the bullet tearing through his spleen, stomach, colon, and liver.
Otto Berman died instantly.
Abraham Landau’s carotid artery was severed.
Bernard Rosencrantz sustained multiple close-range wounds.
Crime scene forensic analysis later compared the attack’s brutality to Chicago’s St. Valentine’s Day Massacre.
Despite severe injuries, Landau and Rosencrantz returned fire, forcing the killers to flee.
Murder Inc. Hitmen Strike
When Dutch Schultz refused to back down from his plan to assassinate U.S. Prosecutor Thomas Dewey, the Mafia Commission ordered his immediate elimination.
Historical espionage within organized crime networks confirmed Schultz’s location at Newark’s Palace Chophouse on October 23, 1935.
Criminal collaborations between Murder, Inc. operatives Charles “The Bug” Workman and Emanuel “Mendy” Weiss executed the hit with calculated precision.
The assassination unfolded with brutal efficiency:
- Workman shot Schultz in the men’s room with rust-coated .45-caliber bullets designed to cause lethal infection
- Weiss executed Schultz’s associates Otto Berman, Abe Landau, and Bernard Rosencrantz in the dining room
- The rust coating guaranteed fatal peritonitis if immediate trauma didn’t kill
- Schultz suffered twenty-two agonizing hours before succumbing to infected abdominal wounds
Schultz’s Rambling Deathbed Words
At 10:15 p.m. on October 23, 1935, gunmen burst into the Palace Chop House at 12 East Park Street in Newark, New Jersey, armed with a sawed-off 12-gauge shotgun and a .38 pistol.
You’ll find Schultz walked from the men’s room after taking a bullet through his stomach, large intestine, gall bladder, and liver. Police stenographer F.J. Long recorded his final words between 4-6 p.m. on October 24 as his fever spiked to 106 degrees.
Sergeant Luke Conlon’s bedside interrogation captured surreal statements like “Don’t let Satan draw you too fast” alongside references to “blood on the tiles.” These rambling utterances provide psychological insights into morphine-induced delirium while establishing historical context for subsequent treasure-hunting expeditions throughout New York’s Catskills.
Deathbed Ramblings and Cryptic Clues
On October 23, 1935, a single bullet from Murder Inc. gunman Charles Workman tore through Dutch Schultz’s abdomen in the restroom of Newark’s Palace Chop House, penetrating his stomach, large intestine, gall bladder, and liver.
A single bullet from Charles Workman’s gun devastated Dutch Schultz’s vital organs in Newark’s Palace Chop House restroom.
You’ll find police stenographer F.J. Long captured roughly 2,000 words between 4-6 p.m. on October 24 as Schultz slipped between consciousness and delirium with a 106-degree fever.
His cryptic statements provide historical context for treasure hunters and artistic expression for writers like William S. Burroughs:
- “Over a million, 5 million dollars” when asked why he was shot
- “Don’t let Satan draw you too fast” suggesting hidden Catskills locations
- References to millions protected from government seizure
- Final words: “French-Canadian bean soup. I want to pay”
Decades of Treasure Hunters in the Mountains
Schultz’s dying words ignited a treasure hunt that’s spanned nearly 90 years across the Catskill Mountains. Police initially swarmed Phoenicia “elbow-to-elbow,” discovering a 1926 truck door and moonshine still parts but no fortune.
The estimated $5-9 million cache (worth $50-150 million today) transformed into urban legends fueling persistent searches near Esopus Creek, where Schultz maintained bootlegging operations.
PBS’s “Secrets of the Dead: Gangster’s Gold” documented modern teams employing ground-penetrating radar and satellite mapping. They located an abandoned still matching historical maps and interviewed 104-year-old Stanley Grauso, Schultz’s last surviving associate.
Despite folklore tales describing an 1,800-pound iron box and a tree marked with an “X,” no verified recovery’s occurred. Four decades of professional hunts have yielded nothing concrete, leaving Schultz’s treasure firmly in legend territory.
Leading Theories on the Burial Site
While treasure hunters agree Schultz buried his fortune somewhere in upstate New York, they’ve debated the exact location for decades.
The Phoenicia area remains the primary target, where Schultz and bodyguard Lulu Rosenkranz allegedly stopped in 1933.
Before his death, Rosenkranz reportedly drew a hidden map with cryptic symbols for friend Marty Krompier, though both men were killed before anyone recovered it.
Competing theories about the burial site include:
- Devil’s Face rock formation – linked to Schultz’s dying words about Satan
- Phoenicia buildings – treasure hidden in wells or under structures instead of buried
- Bridgeport-Syracuse route – Phoenicia serving as misdirection for actual location
- Closer to New York City – organized crime historians question the 100-mile journey
Despite seven decades of searching with backhoes and psychics, no definitive proof confirms any location.
The Legend That Refuses to Die
Since Schultz’s death in 1935, the legend of his buried treasure has captivated fortune seekers across generations, transforming the Catskills into America’s most persistently searched landscape.
Financial speculation continues as experts estimate the strongbox’s current value between $50-150 million, factoring inflation and uncashed Liberty Bonds appreciation.
The historical impact extends beyond mere treasure hunting—PBS documentaries, numerous books, and organized expeditions have immortalized Schultz’s final act.
You’ll find no verified recovery despite nearly a century of searches along Esopus Creek. The legend persists because authorities never traced or taxed Schultz’s $7 million fortune post-mortem.
Lulu Rosenkrantz’s stolen map and Schultz’s morphine-induced deathbed ramblings guarantee the mystery endures, drawing modern adventurers to those same Phoenicia woodlands where a waterproof strongbox allegedly remains undiscovered.
Frequently Asked Questions
Has Modern Technology Like Metal Detectors Been Used to Search for the Treasure?
Yes, you’ll find that metal detectors and radar have been systematically deployed by PBS documentary teams and treasure hunters in the Catskills, though metal detector controversies and treasure hunting debates continue regarding search methodologies and location accuracy.
Are There Legal Restrictions on Treasure Hunting in the Catskills Region?
Yes, you’ll face significant restrictions. State-owned lands prohibit removing artifacts without permits, while local laws like Germantown’s ban metal detecting entirely. Historical context and treasure lore don’t exempt you from these regulations requiring landowner permission on private property.
Who Would Legally Own the Treasure if It Were Discovered Today?
Legal ownership would trigger treasure disputes between you as finder, New York State via escheat laws, and potential Schultz heirs. The state holds strongest claim under Estates, Powers and Trusts Law §22-1.1 governing abandoned property.
What Happened to Dutch Schultz’s Family After His Death?
You’ll find that after Dutch’s 1935 death, his family legacy vanished into obscurity—his mother mourned privately, his common-law wife disappeared from records, and his children’s identities remained mysterious, effectively severing all criminal connections permanently.
Did Any of Schultz’s Associates Ever Confess Knowledge of the Location?
No associates ever confessed the treasure’s location. You’ll find only deathbed ramblings from Schultz himself, not verified admissions. Confession theories and conspiracy rumors persist around Krompier’s lost map, but documented evidence remains absent despite extensive searches.
References
- https://www.untappedcities.com/gangster-dutch-schultz-treasure-hidden-upstate-new-york/
- https://en.wikipedia.org/wiki/Dutch_Schultz
- https://www.kpbs.org/news/arts-culture/2020/11/12/secrets-dead-gangsters-gold
- https://unsolvedmysteries.fandom.com/wiki/Dutch_Schultz_Treasure
- https://www.youtube.com/watch?v=52gCwGOYTkQ
- https://unsolved.com/gallery/dutch-schultz-treasure/
- https://spartacus-educational.com/USACschultz.htm
- https://www.biography.com/crime/dutch-schultz
- https://www.youtube.com/watch?v=PzWD7ILKcEQ
- https://themobmuseum.org/blog/beer-baron-dutch-schultz-gunned-down-90-years-ago/
