The Lost Treasure of Dutch Schultz

The tale of Dutch Schultz’s lost treasure takes one into the heart of the Catskills and into the small community of Phoenicia.  The mountainous region, only a couple hours from New York City, is now a popular place for tourists to enjoy lots of outdoor activities.  Camping, hiking, tubing, and fishing are common attractions during the summer months.  And probably more than known, treasure hunting.

Arthur Flegenheimer (1901-1935), nicknamed Dutch Schultz, was once one of the top New York City gangsters.  It is well known he made a fortune during the 1920’s and into the 1930’s; up until the time of his death on October 24, 1935.  Gunned down at the Palace Chop House on the night of the 23rd, Schultz was quickly taken to the hospital where a police stenographer recorded his dying words.  Delirious with a high fever, Schultz’s last moments possibly contained veiled references to a buried stash of millions.

Although there are different versions of these last words, Phoenicia, either by directly being mentioned (“Lulu, drive me back to Phoenicia”) or hinting towards a geographical feature, like the Devil’s Tombstone in the area (“Don’t let Satan draw you too fast”), is a prime location to start one’s search.

It is believed, and likely, Dutch Schultz had buried large amounts of cash, bonds, jewels, and diamonds in the year 1933, before he went to trial for tax evasion.  Concerned he may be heading to jail and wanting to protect some of his fortune for when he was later released, Schultz and his bodyguard, Lulu Rosenkranz, are thought to have driven ‘somewhere’ to bury a valuable stash. It is believed he died before he was able to return to this secreted spot and retrieve it.

Phoenicia is a place rumored to have seen Schultz and Lulu during the time he would have hid the infamous treasure.  Based on various accounts about the buried riches, beliefs it was hidden along Esopus creek a few miles out from Phoenicia, near the railroad, or within a grove of pines are popular places to look.

The Devil’s Tombstone refers to a large boulder in the vicinity and gave name to a campground of the area.  Stories that the nearby mountains were a favorite romping ground for the devil gave rise to the title.  Deeper into the mountains is another rock feature named the Devil’s Face.  Both of these places are thought to be the meaning behind some of Schultz’s last words and are other places to be in investigated if in the area.

It may be true ‘you can’t take it with you’, but Dutch Schultz might have done the next best thing.  He took the legendary secret of where he hid his millions with him to the grave.  The possibility it remains to be discovered has captured the interests of many who seek to find lost treasure.  Whether it is ever found or not, does not determine the value of the hunt, though.  What you gain by pursuing such a quest is what matters just as much.

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15 Responses

  1. Nate Beck says:

    One of the most interesting treasure stories of American history! I love it.

    I find it interesting that the last name of Schultz’s bodygaurd was Rosenkrantz, considering the name Christian Rosencrantz of the Rosicrucians and their connection with buried treasure and a famous tomb.

    It seems that sometimes tombs and places named after the devil are the funnest and most exciting places to be lol.

    R.I.P. Dutch, and thanks for the jolly good treasure hunt!

    Thanks Jenny for bringing attention to this story.

  2. Iam says:

    What I find interesting/confusing is: why didn’t/hasn’t Lulu, the bodyguard, gone back for the loot? Or, did she?

    • sixer/jenny says:

      Bernard ‘Lulu’ Rosenkranz (Rosencrantz) was shot the same night as Dutch Schultz and died soon after. He never had a chance to go back for the treasure either…..and was quite loyal to Dutch when he was alive. As the story goes……anyway.

  3. Iam says:

    My error in assumption that Lily was a she. Lol. Thanks for the info sixer/jenny. Guess I’ll do some research.

  4. Brian Massey says:

    Knowing the fact that Dutch Schultz was such a big time con-artist who stoled and killed more people than the worst serial killer to ever walk on the United States soil I would say that the facts are here giving you the point that he was sooo deceiving and manipulative that he made the story up to make everyone believe that he buried it but instead he placed it somewhere near Phoenicia so nobody could find it. Think about it? It’s the 1930’s,people are small minded not knowing the greater emphasis of power and authority like there is today. If you want my opinion I think the Dutchman is telling his story so everyone thinks it’s in the ground but its not it’s hidden somewhere where noone can find it. If I was living in the 1930’s my train of thought where he would think about hideing it where it’s convient to get into and not just for someone to go dig up in the ground. I told my wife today that he either put it under someone’s house or in a well that could of easily been accessed for his own purposes. Thats more realistic than just going somewhere and digging a hole to put the trunk in. The Dutchman would of wanted to throw people off so they couldn’t find his loot but I truely believe he hid it and didn’t bury it in the ground.

  5. Hi my name is mark john smith troy NY .I am the grandson of Dutch Schultz.treasure if belong to DOB is 11/10/ it and weep.the Adams in the family always never tell us noting.they take and take never leaving nothing for the sibling.

  6. hi mark have you ever looked for your grand daddy,s lost loot?

  7. I find it highly dubious that this Mark fellow is a descendant of Dutch Schultz. If he were, he might be inclined to identify him by his actual name. He might also be inclined to give a pedigree of some sort. One cannot simply be taken at their word on such a matter, especially when such a rich prize is at stake.

    Tread lightly with your interaction with this Mark fellow.

  8. Hello Jenny,

    Last fall I went to Devil’s tombstone campground looking for Dutch Schultz”s buried treasure with my long range treasure locator. I got a signal for gold, diamonds and paper currency and followed it to right between two large trees directly behind the large boulder. Upon digging a hole about 2 feet deep the signal disappeared. From my past experience in prior searches I take this to mean that the treasure was once buried there but has been subsequently been removed. When the signal burns off in this fashion, it means I was following a “remnance signal” from the past, and not a direct hit in the present. Incidentally this campsite was one of the fist campsites opened up to the public by New York state back in the 1920’s. It is very beautiful countryside! It is exciting to make a connection with the past in the present…no treasure but a lot of suspense.

  9. Sam Peppiatt says:

    To find the big iron box; check, (with a metal detector), on the back side of the grave, at the very rear of Hudler Cemetery, (the one closest to the creek) on the North side of the driveway. The CROSS, on the map, (not an X), was used to denote both the grave, and the cemetery. If anyone want’s to find it that is.
    Note: During the depression diamond prices were depressed by nearly 50%. So, at today’s prices the diamonds alone are worth well over $700,000,000! Sam Peppiatt

  10. david says:

    no one has found it,someone would have turned up something from that box,first your not looking in the right places for it,this will take leg work and time,thats what I’m doing an im close,yes it is in his words as he dies,I’ve found a possible 3 locations that i will look in to sometime when i take a long vacation,oh its fun to.

  11. mark j smith says:

    i have not been to this sit.for a long time.i am the real grandson .of Dutch Schultz as Arthur s flegenheimer. its true ask my famous uncle Neal Adams.

  12. mark j smith says:

    I”M more Mysterious then you think.I’m working on a book.that would make your head spine and fall off the chair.look me up on face book.if you dare.if i was you i would be very nice.and give me the info.and inform the dutch.mark smith troy ny

  1. December 8, 2015

    […] The treasure of Dutch Schultz remains a mystery.  Many questions on its outcome are still asked, and because answers to these are not decisive enough, the possibility that this is an actual lost treasure, still to be found, exists. […]

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