Machine Gun Kelly Buried Ransom Money

After kidnapping Charles Urschel on July 22, 1933, Machine Gun Kelly buried $73,250 of the $200,000 ransom in two thermos jugs on a Texas cotton ranch near Coleman, owned by his wife’s uncle, Cassey Earl Coleman. You’ll find FBI records confirm agents recovered this cache on September 27, 1933, by matching serial numbers from distributed lists that tracked the ransom bills nationwide. Kelly’s Memphis arrest came just one day before this recovery, sealing the case that exposed his entire criminal network and revealed how methodical documentation brought down one of America’s most notorious gangsters.

Table of Contents hide

1 Key Takeaways

2 The Urschel Kidnapping and $200,000 Ransom Demand

3 Coleman Ranch: Where Kelly Stashed $73,250 in a Cotton Patch

4 How FBI Agents Traced Serial Numbers to Recover the Buried Cash

5 The Memphis Raid That Ended Kelly’s Run

6 Harvey Bailey, Albert Bates, and the Network Behind the Crime

7 Frequently Asked Questions

7.1 What Happened to the Remaining $126,750 of Ransom Money Never Recovered?

7.2 How Long Were George and Kathryn Kelly Sentenced to Prison?

7.3 Did Charles Urschel Suffer Any Physical Harm During His Captivity?

7.4 What Security Measures Did Wealthy Families Adopt After This Kidnapping?

7.5 Why Did Kelly Choose Coleman’s Ranch Specifically to Bury the Money?

8 References

Key Takeaways

Kelly buried $73,250 in ransom money in two thermos jugs hidden in a cotton patch on Coleman Ranch in Texas.
The ranch was located near Coleman, Texas, approximately 135 miles southwest of Paradise, owned by Kathryn Kelly’s uncle.

Federal agents recovered the buried money on September 27, 1933, using serial number verification to confirm its origin.
The burial site was at Cassey Earl Coleman’s ranch, which provided sanctuary for Kelly and his associates after the kidnapping.
FBI tracked ransom bills nationwide through serial numbers, creating an evidence trail that led to the buried cache’s discovery.

The Urschel Kidnapping and $200,000 Ransom Demand

On July 22, 1933, George “Machine Gun” Kelly and Albert L. Bates disrupted public safety by invading Charles F. Urschel’s Oklahoma City home during a bridge game.

You’ll find the criminal motives were purely financial—they demanded $200,000 in ransom. The criminals didn’t even know their victim’s identity initially, forcing both Urschel and guest Walter R. Jarrett into their vehicle at gunpoint while their wives watched.

Documentation confirms they drove twelve miles before checking wallets to identify the wealthier target. Urschel’s friend E. E. Kirkpatrick delivered the ransom payment on July 30, 1933, on a Kansas City street.

The documented serial numbers on those bills would prove essential—investigators tracked approximately $6,000 by trial time, linking multiple conspirators to the crime. Federal agents later seized $73,250 on a Texas farm, money directly connected to the Urschel kidnapping case. After receiving the ransom, Kelly released Urschel, allowing the victim to return home safely.

Coleman Ranch: Where Kelly Stashed $73,250 in a Cotton Patch

Following the ransom payment, Bureau agents tracked Kelly’s movements to the Coleman Ranch near Coleman, Texas, where his wife Kathryn’s uncle, Cassey Earl Coleman, provided refuge for the fugitives.

Bureau agents tracked Kelly’s movements to the Coleman Ranch, where Kathryn’s uncle Cassey Earl Coleman sheltered the fugitives from federal authorities.

You’ll find this 135-mile location southwest of Paradise concealed $73,250 in ransom bills—stored in two thermos jugs buried within a cotton patch.

Ranch security appeared tight, with both Coleman and Will Casey protecting the Kellys post-kidnapping. However, federal investigators penetrated this network on September 27, 1933, recovering the money through serial number verification.

The documented evidence proved conclusive: these were Urschel’s $20 bills.

Coleman’s guilty plea earned him one year and one day, while Casey received two years at Leavenworth.

Both faced conspiracy and harboring charges, demonstrating that protecting criminals carries consequences. The Urschel kidnapping trial became historically significant as the first kidnapping case prosecuted following the Lindbergh Law. Kelly’s arrest occurred one day earlier on September 26, 1933, in Memphis.

How FBI Agents Traced Serial Numbers to Recover the Buried Cash

Before Kelly could spend the full ransom, FBI agents employed a methodical serial number tracking system that transformed $200,000 in recorded bills into a nationwide dragnet.

You’ll find bank security protocols proved essential—agents distributed complete serial lists to financial institutions across America, focusing surveillance on Minneapolis where bills first surfaced in July 1933.

Serial number analysis linked Harvey Bailey’s $700 and Albert Bates’s $660 directly to Urschel’s ransom. Each match expanded the investigation’s scope, connecting money-changers, luxury purchases, and eventually the Kelly gang’s associates.

Agents traced spending patterns relentlessly, documenting every bill’s movement through the banking system. Investigators also tracked Kathryn Kelly’s machine gun purchase in Fort Worth, where bank circulation records helped trace the ransom funds.

This forensic approach led investigators to Coleman Ranch on September 27, 1933, where they recovered $73,250 buried in a cotton patch—concrete evidence tying Kelly to the kidnapping through irrefutable documentary proof. Kelly and his associates faced conspiracy charges when prosecutors connected the recovered ransom money to their harboring activities.

The Memphis Raid That Ended Kelly’s Run

When dawn broke over Memphis on Tuesday, September 26, 1933, FBI special agents from Birmingham and local police officers converged on a modest bungalow at 1408 Rayner Street—a property owned by Kelly’s longtime friend John Tichenor.

The police tactics employed were straightforward: surround the location and execute a violent forced entry.

Inside the front bedroom, you’d find George Kelly cornered with his hands raised, covered by Sergeant William Raney’s weapon. Kelly was discovered hungover, in pajamas during the early morning raid. Despite popular mythology, the earliest FBI account documents no dramatic surrender speech—no “Don’t shoot, G-Men!” occurred.

These investigative methods relied on document analysis rather than sensationalism. FBI SACs William Rorer, John Keith, and D.M. “Mickey” Ladd coordinated the operation that ended Kelly’s weeks-long evasion.

Both George and Kathryn were captured without resistance. The ransom money was recovered from Coleman’s ranch in Texas, where Kelly had distributed portions of the Urschel payment.

Harvey Bailey, Albert Bates, and the Network Behind the Crime

Kelly’s capture in Memphis revealed only part of the criminal enterprise that had executed the Urschel kidnapping.

You’ll find Albert Bates served as Kelly’s primary accomplice, participating directly in collecting the $200,000 ransom from Kirk Patrick and returning Urschel near Norman, Oklahoma.

Harvey Bailey’s connection surfaced when authorities arrested him at the Shannon farm holding several hundred dollars in ransom money—serial numbers matched FBI records precisely.

These criminal alliances extended beyond the immediate perpetrators. Katherine Kelly orchestrated the entire operation, directing both Kelly and Bates while her family provided the Texas hideout.

Document analysis proved essential: recorded serial numbers on ransom banknotes created an evidence trail that exposed illicit communications throughout the network.

FBI investigators traced over half the ransom through these documented connections.

After collecting the ransom, Kelly and Catherine fled with $73,700, traveling through multiple states before visiting Coleman County relatives and burying portions of the money. Despite convictions and lengthy sentences, Bates maintained his stubborn refusal to reveal where he had buried the remaining loot.

Frequently Asked Questions

What Happened to the Remaining $126,750 of Ransom Money Never Recovered?

You’ll find no verified records showing the $126,750’s fate. Bank security traced serial numbers, but Kelly’s burial instructions and maritime theft rumors lack documentary proof. Freedom-seeking researchers can’t confirm if anyone recovered those Depression-era bills from Coleman’s Texas cotton patch.

How Long Were George and Kathryn Kelly Sentenced to Prison?

Both George and Kathryn Kelly received life imprisonment sentences in October 1933. George served 21 years until his 1954 death, while Kathryn served 25 years before her 1958 release. You’ll find no blood feuds or undercover agents altered these verified sentences.

Did Charles Urschel Suffer Any Physical Harm During His Captivity?

No, Charles Urschel wasn’t physically harmed. Remarkably, his captors’ kidnap tactics avoided violence—he remained blindfolded nine days while ransom negotiation proceeded. You’ll find documented evidence confirms he returned unharmed, providing vital testimony that secured justice.

What Security Measures Did Wealthy Families Adopt After This Kidnapping?

You’ll find wealthy families adopted security enhancements like armed guards, fortified homes, and travel precautions after Urschel’s 1933 kidnapping. Wealth protection became paramount, though specific documented measures from that era require careful source verification beyond popular accounts.

Why Did Kelly Choose Coleman’s Ranch Specifically to Bury the Money?

Kelly chose Coleman’s ranch because you’re looking at verified family loyalty—his wife’s uncle provided trusted concealment after ransom negotiations concluded. Documents confirm the 135-mile distance from Paradise hideout minimized kidnapping motives exposure while maintaining criminal network access.