16. Skagway was an ideal location for heading to and from the gold fields
People on their way to seek their fortune in the gold fields, or returning from them with gold, found Skagway an excellent stopping point. Those heading to the fields had cash with them, to equip themselves for their prospecting. Those returning often had riches with them, and Skagway was where they could catch a steamer to return to civilization. For Soapy, the idea of that much money passing through without him getting his hands on some of it was unbearable. One of his earliest scams in the new territory was to free a prisoner who was in danger of being lynched. Smith and his men held the prisoner until legally constituted authority arrived.
When it did the prisoner was turned over, legally tried, and subjected to a small fine, rather than losing his life to a bunch of vigilantes. Soapy’s actions put him in a position to assume the role of enforcing the law in the camp, and he took advantage of it. Soapy then established a telegraph office in Skagway. The telegraph had not actually reached the area at the time (and wouldn’t until 1901) but Soapy banked on the people passing through not being aware of that detail. The inside of the office looked like most small telegraph offices, with a sender taking messages and fees from the customers.
17. Soapy’s telegraph office gave him working capital in Skagway
There were telegraph wires strung inside the telegraph office, though there was no power to them, and in any case they weren’t connected to a telegraph system. Soapy’s scam was to take an outgoing message from a transient prospector and explain the distance involved would make a wait for a reply a lengthy one. The message would be dutifully taken, along with the customers money. When they returned for a reply, the message would invariably be from a loved one or business associate asking for money. Soapy would offer to wire the money, and being the only telegraph in town, he usually got an affirmative reply.
Into his pockets it went, and the prospector went on to the fields. Though there was a newspaper in town, and other papers arrived in Skagway via the steamers, Soapy simply paid them off to keep his telegraph operation secret. When some people protested, Soapy insisted that he was doing his victims a favor. Others noted that Skagway’s reputation as a den of thieves would deter legitimate businessmen from setting up shop in the town. Soapy and his henchmen decided that they would set up a legitimate business, in the form of a bar and gambling house, which he named Jeff Smith’s Parlor.
18. Jeff Smith’s Parlor was soon relieving prospectors of their funds
Jeff Smith’s Parlor, supplied with liquor and beer via the steamers, was soon in full operation, though it lacked the glamor of Smith’s earlier gambling houses. But it had tables, alcohol, and rigged games of chance, which were all Soapy needed to revive his formerly dwindling fortunes. Smith’s men assumed the guise of legitimate citizens of Skagway, such as a minister or mining engineer. Newly arrived prospectors were welcomed, befriended, and invited for a drink at Jeff Smith’s Parlor. When they arrived, they found more friendly people to welcome them, and games of chance for amusement. There were thimble games, three card monte, and others which led them to lose their money.
Many, having lost their grub stake, were forced to return to the United States without ever reaching the gold fields. Soapy didn’t care, and again claimed that he was actually helping his victims. In his view, if someone was so stupid as to lose all of their money in Skagway they would certainly not have survived very long on in the gold fields. Then in 1898 news arrived of the United States going to war with Spain and Soapy revived his military aspirations which had been crushed by the President of Mexico. Soapy raised a company of militia, installed himself as Captain, and obtained the recognition of President McKinley.
19. The Skagway Militia Company of 1898 was sanctioned by the federal government
By early summer of 1898 the military organization created by Soapy was duly recognized as a component of the US Military, then at war with Spain. As its commander, Soapy could declare martial law in Skagway should be have deemed it necessary. Spanish forces never threatened the Alaska Territory, and Smith’s contribution to the war effort consisted of his leading his troops on horseback during the Fourth of July Parade in Skagway in 1898. He then sat with the territorial governor and other dignitaries as the rest of the celebration unfolded. Historians later called the Spanish-American War a “splendid little war”. For Soapy Smith it certainly was.
Soapy took McGinty – the petrified man – with him to Alaska, to help lure customers into his newest venture. His control of the town was fairly tight, though there were murmurings against his activities. His cronies and militia force gave him the upper hand. But as it had in Denver and Creede, as well as other stops along the way in his colorful career, his own taste for alcohol led him into black moods and gambling binges of his own. The citizens of Skagway formed a group which they called the Committee of 101 to confront Smith and his henchmen. He refused to be cowed into submission.
20. Smith formed his own group to oppose vigilante law
Soapy Smith responded to the formation of the Committee of 101 by announcing his own group, and letting the citizens of Skagway know that he had over three hundred men at his disposal. It was evident to all of both factions that Smith had no intention of traveling to the gold fields himself. He was content to remain in town, waiting for the miners and prospectors to bring the gold to him, and devising new means of helping them to do so. He even brought out the old soap bar scheme for a brief appearance. By then Skagway had grown in size several times over and the town included among its populace assayers, mining engineers, city engineers, doctors, lawyers, and other professionals.
Its economy though was irretrievably linked to the metal coming from the gold fields, and the emerging town leadership continued to protest over Smith’s activities. Sometime in early July, a miner arrived in Skagway from the fields, flush with gold. His name was John Douglas Stewart, and the amount of gold he was carrying varies with the source, with most agreeing it was $2,600. Some claim a bit more. He was quickly befriended by men working for Soapy Smith, and welcomed at Jeff Smith’s Parlor. There he was liberally plied with drink and companionship, and entertained with games of chance.
21. A day at Jeff Smith’s Parlor was an expensive undertaking
The newest friend delivered to Jeff Smith’s Parlor brought with him from the gold fields $2,600 in gold, (about $80,000 today). It took Smith’s henchmen most of the rest of the day and evening to extract it from him. But they were persistent, as their boss would have wanted, and they managed to get it all. Stewart first lost only the cash he had on him, about $90. When he was offered a loan to continue the game, he went with the hustlers to the safe, in a nearby store, where he had secured his gold. The hustlers then stole the sack, according to Stewart’s version of the story. He reported the theft to a deputy marshal, unfortunately for him one on Smith’s payroll.
The merchants and businessmen of Skagway had no problem with miners spending all of their hard-earned money in the town. In fact, they welcomed it. It was the idea of his spending – or rather losing – all of it in one establishment to which they objected. Leading members of the committee met, and sent a message demanding that Soapy return the money. He refused. They then demanded that he return most of the money. He refused again. When the demand for repayment became more strident, Soapy replied that the miner had lost the money in “sporting games”, and that he had not been forced to play, but did so of this own free will. By then Skagway’s leading citizens had had enough of Jefferson Randolph Smith.
22. The city declared the game which had been played was illegal
When the fleeced miner made it known that he had lost his fortune in a game of three-card monte, the opponents to Smith were outraged. Three-card monte was a game in which playing cards are used in place of the pea in a shell or thimble game. The gambler must pick where the target card lies after several manipulations by the dealer. It was fixed with both palmed cards masking the target card and by getting the gambler intoxicated as the game went on. Reflexes slowed by the effects of alcohol made it more difficult to follow the flying hands of the dealer. As in many hustles, a little bit of winning led to much more losing.
The vigilantes were called to a meeting to be held the following day at which the manner of dealing with Soapy was to be discussed. It wasn’t long before one of Soapy’s minions heard of the meeting and informed his boss. At first Soapy shrugged it off. Then he reconsidered. Always enamored of his own skills at persuading others to do his bidding (which were obviously considerable) he decided to attend the event. Whether he believed he could win over his opponents to his way of thinking is doubtful, since he opted to take a rifle with him.
Smith arrived at the meeting on Juneau Wharf early on the evening of July 8, carrying a rifle across his shoulder, but not threatening anyone with the weapon. When he announced his intention to attend the meeting to four men guarding the wharf, they refused to let him pass. Earlier in the day Smith had announced to several people around town that he intended to repay a portion of the gold, and that he wanted to discuss the matter at the meeting. The four men were not persuaded by Smith’s usual verbal gymnastics, and refused to allow him to enter the wharf. The impasse seemed to be unsolvable. The four men blocking Smith had orders not to allow any of Smith’s cohorts – they were called Soap Men – to enter and disrupt the meeting.
One of the men guarding the wharf, whose name was Frank Reid, a city engineer, accosted Smith and the two engaged in a verbal altercation for a few moments. An account from an eyewitness, one of the vigilantes, claimed that Smith struck Reid once or twice with his rifle, cutting Reid’s arm. Reid responded by drawing his pistol, at which Smith shouted, “My God, don’t shoot”. Reid shot Soapy Smith at least four times (the gun misfired at the first shot), and Smith fired back almost simultaneously. As Smith lay on his back, disarmed and wounded, another of the vigilantes, Jesse Murphy, shot him in the heart, killing him. Reid died of the wounds inflicted by Smith about 12 days later.
24. The aftermath of Smith’s killing was a confused affair
Immediately after Smith was killed, all credit, if that is the word, went to Reid, who later died of his wounds. Although Murphy told several of the authorities that he had fired the fatal shot, his report was filed by the police and no further action taken. Reid was given a hero’s funeral. Murphy was forgotten. The vigilantes were kept in check by federal troops and the rest of Smith’s gang was quickly rounded up. Most of them were simply run out of town. All but six hundred dollars of Stewart’s gold was discovered among Soapy Smith’s belongings, and returned to the miner. The rest of the gold likely was used in a payoff.
Smith’s body was finally taken from where it lay near the wharf and was buried outside the city cemetery. His final criminal empire, like its predecessors, was relatively short-lived. How much money he actually made and subsequently squandered in three cities of the American west is anybody’s guess. He died just before the dawn of the 20th century and except for western history buffs his name is generally unknown. That he was a true character of American history is undeniable. He was a liar, thief, confidence man, hustler, pimp, and graft artist. He not only didn’t deny it, he was proud of it, considering himself for all of his faults, as better than a politician.
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