FOX Undercover investigates: Where's Whitey's money? - Boston News, Weather, Sports | FOX 25 | MyFoxBoston

Victims want their share of Bulger's cash

Posted: Updated:

James "Whitey" Bulger's dramatic capture last year in his Santa Monica apartment full of guns and cash brought an end to 15 years on the run.

But it was also the beginning of a new fight for some of his victims who now want a piece of the $800,000 seized inside the crime boss's walls.
    
"I got a federal judge to give me a judgment. Now you receive funds, so service the judgment," said Steve Rakes, who along with his ex-wife won a 2003 default judgment from a federal judge for $28.5 million.
    
"Do you believe you're entitled to that money?" FOX Undercover reporter Mike Beaudet asked him.
    
"Most definitely," replied Rakes. "Because he destroyed my life back in 1983."
    
Rakes's story is now legendary Whitey lore. He and his wife had opened up a liquor store in South Boston. Bulger, Stephen "The Rifleman" Flemmi and Kevin Weeks paid him a visit in 1983, demanding to take over the business.
    
"Flemmi, Bulger and Weeks sat at my kitchen table and said we're buying the liquor store. We'll just take it. We'll kill you. We'll take it and kill you. I'm like, 'Oh my God,'" Rakes recalled.
    
They gave Rakes a bag of cash with $67,000  and promised more to come.
    
Fearing for his life. Rakes says he had no choice but to let them take over.
    
"They scared me to death. They were going to kill me or kill my children. Kill us all. Blow the place up," he said.
    
Rakes says he continued living in fear until Bulger was captured last year.
    
"I figured he was around. Until they actually caught him, I was uneasy all the time," he said.
    
Rakes isn't the only one who hopes to collect some of Whitey's money.
    
"I feel we're still being cheated," said Steven Davis.
    
Bulger is accused of killing his sister, Debra, one of 19 murders he's charged with committing.
    
The Davis family also won a $15 million state court judgment against Bulger in 2009.
    
"Do you think you'll see any of that money?" Beaudet asked him.
    
"No, but we're fighting for it. We got all the time in the world. We've been waiting 32 years to get where we are today. It's going to be a fight," Davis said.
    
Rakes believes Whitey's money totals up to much more than the
$800,000 found in his California apartment.
    
"If they say that Bulger over the years has made $500 million, where is it? It just doesn't disappear. It has to be somewhere," Rakes said. "The government can do anything they want. Well why can't they surface this information. It has to be out there somewhere."
    
The US Attorney's office would not comment for this story, citing the ongoing criminal case against Bulger.
    
But FOX Undercover has learned it's unlikely any money will be distributed to victims before Bulger's trial is over.
        
If Bulger is convicted, the government could choose to work out a settlement with anyone who's considered a victim in the criminal case against Bulger, which includes both Davis and Rakes.
    
"It's about time the government does the right thing because they haven't been doing the right thing for so many years. Forty years they've been protecting this man. Okay, now it's over," Rakes said.
    
Investigators continue to search for any other  money Whitey Bulger may have stashed away, but it's unlikely victims will see a dime before Bulger's trial is over. If the feds released any money now, Bulger could try to get it back for himself.
    
A federal court judge did agree to place a lien on behalf of Rakes and his ex-wife on the $800,000 confiscated from Bulger's apartment. That doesn't mean they'll get any of that money, but a judge would have to listen to their lawyers, before the government can distribute the money to anyone else.

Powered by WorldNow

25 FOX Drive
Dedham, MA 02026

Phone (781) 467-2525

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices