Money Crimes with Nicole Lapin - The Osage Murders Inheritance Scheme Pt. 2
Episode Date: October 2, 2025After dozens of Osage people were murdered for their headrights, one Native woman decided to take matters into her own hands. Thanks to Mollie Burkhart, the U.S. Government got involved and the killin...g spree finally came to an end in 1930. Scams, Money, & Murder is a Crime House Original Podcast, powered by PAVE Studios. Listen wherever you get your podcasts. For ad-free listening and early access to episodes, subscribe to Crime House+ on Apple Podcasts. Don’t miss out on all things Scams, Money, & Murder! Instagram: @Crimehouse TikTok: @Crimehouse Facebook: @crimehousestudios X: @crimehousemedia YouTube: @crimehousestudios To learn more about listener data and our privacy practices visit: https://www.audacyinc.com/privacy-policy Learn more about your ad choices. Visit https://podcastchoices.com/adchoices
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How far would you go to stop them? Would you gather evidence, call the authorities, and turn
them in? Or would you get as far away as possible in hopes of saving your own life? That's a question
the Osage people had to wrestle with when they discovered killers were lurking among them.
But even as the authorities turned a blind eye to what was happening, the Osage people decided to
stay and fight. Some sacrificed themselves for the greater good while others worked in the
background. And in the end, many of their killers were caught. But a century later, the question
we're still asking is, was justice truly served?
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I'm Carter Roy, and this is scams, money, and murder.
And I'm Vanessa Richardson. Every Thursday, we'll explore the story of a money-motivated crime
gone wrong, whether it's a notorious con, fraud, burglary, or even murder.
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Podcasts. Today's case is one we did on our show Murder True Crime Stories. It's the second of
two special episodes we did in honor of National Native American Heritage Month. And again,
I'm joined by Nicole Lapin to provide expert insight into this story of finance, terror, and
fraud. In the United States, indigenous people go missing and are murdered at an alarming rate.
This is especially true for indigenous women.
2016, it was reported their murder rate is 10 times higher than the national average.
At Crime House, we want to share and spread awareness about their stories because everyone deserves justice.
In these two special episodes, Nicole and I are doing a deep dive into the Osage murders,
which took place in the Osage Nation in Oklahoma from 1910 to 1930.
Last time, we explained how the Osage Nation came into incredible wealth when vast oil deposits were discovered on their land.
But this attracted a wave of criminals who were desperate to get their hands on Osage money.
Then we introduced you to Molly Burkhart, an Osage woman whose family members died under suspicious circumstances, one by one.
While we're focusing on Molly and her family in this two-parter, we want to make it clear that the reign of terror reached far beyond this one household.
It's likely that many Osage people in Oklahoma lost their lives, their land, their money, or all three at the hands of manipulative criminals.
Today, in part two, I'll share how some of those killers were finally brought to justice.
and what happened when Molly discovered who was coming after her family.
All that and more coming up.
As 1922 dawned over the Osage Nation's tribal lands in Oklahoma,
most Osage citizens agreed on one very disturbing thing.
They were being targeted and killed all.
to get access to their wealth.
There had been too many deaths and disappearances for the Osage to believe otherwise.
It seemed like every member of the tribe knew someone who'd vanished or died under suspicious
circumstances.
Molly Burckhart, now 35 years old, knew at least three.
Her sister Minnie was the first to die after a mysterious illness.
Her other sister Anna was murdered with a single gunshot.
their mother lizzie died after experiencing the same symptoms as many now molly was starting to feel sick herself as a diabetic occasional periods of poor health were normal for her but these new symptoms were different not to mention there were widespread rumors of poisonings on the reservation rumors molly must have heard herself
woman, and she knew she had something in common with the Osage people who'd gone missing or
died. They all owned head rights, shares the tribes' communally owned mineral rights. As of
2022, each head right was worth about $220,000 a year in today's money. Molly had her own
head rights, but as more members of her family passed, she inherited theirs too. By the 1920s,
Molly and her sister Rita each had three, equaling $630,000 per year in today's money.
The sisters knew their wealth made them targets, but neither Molly nor Rita went to the local authorities for protection.
That's because most Osage citizens rightfully believe the Oklahoma courts were on the killer's side.
Local judges were the ones enforcing federal law by appointing white guardians to make.
manage Osage money. That guardianship system was a major reason the Osage ended up in so much danger.
And around the turn of the 20th century, a federal law required all Osage people without white
ancestry to have a so-called guardian manage their money. These guardians frequently abuse their power
to steal their ward's assets. They could use all kinds of financial mechanisms to do this,
but the quickest option was to kill their ward and inherit their fortune,
either by marrying them or becoming their next of kin or by partnering with a corrupt lawyer.
To give you a sense of how big this business was,
there were 400 professional guardians and lawyers in the town of Pahuska,
the central Osage County town where Molly lived,
which only had a population of a few hundred people, by the way.
Now, we're mostly talking about the OSage.
Osage Nation in this episode, but guardianship affected all indigenous tribes in Oklahoma.
The guardianship system was unjust for so many reasons, but since the Osage couldn't spend a dime
without their guardian's approval, it made it a lot harder to get themselves out of the situation.
In 1922, Molly Burkhart was in this exact situation. Her husband, 30-year-old Ernest,
served as her legal guardian.
We don't know if Molly ever tried to move away from Pahawkska or Osage County,
but if she did, Ernest surely nixed the plan.
Not to mention, Molly had three children to think about.
By 1922, the couple had a newborn named after Molly's late sister, Anna,
a one-year-old son nicknamed a cowboy and a four-year-old called Elizabeth.
With most of her family now dead, Molly didn't have much of a support system outside of her sister Rita and Molly's first husband, Henry.
So Molly also leaned on the local Catholic priest.
But after her family members started dying, Ernest wouldn't let Molly go to church, which was odd, but Molly didn't question him.
For a long time, Molly believed Ernest genuinely had her best interest.
at heart. He was kind and caring, watching over her and their kids. Because of Molly's diabetes,
she was often tired and in pain. Ernest helped administer her insulin injections and watched
the children when she was too sick. He even did his best to learn Molly's indigenous language,
so she wouldn't have to speak English at home. So Molly wasn't wrong to think Ernest loved her
and wanted to protect her, but the truth was Ernest was playing the long game.
Molly knew Ernest spent a lot of time with his uncle, William King Hale.
After moving to Osage County in 1902, William had become one of the most powerful men in the region.
By this point, Molly had probably heard rumors that William was targeting Osage people for their head rights.
What Molly didn't know was that William was using Ernest as a pawn too.
He had been ever since William moved to Oklahoma.
William even chose Molly as Ernest's wife and ordered him to propose.
At first, Ernest obeyed his uncle out of respect,
but now their relationship was based mostly on fear, or so it seemed.
Ernest knew William was capable of just about anything.
And it wasn't just Ernest who was scared of William, it was everyone.
Not only was he one of the richest men in town, he was incredibly well-connected.
He counted everyone from sheriffs and politicians to mobsters and bootleggers among his closest friends.
Back in 1922, nobody would dare cross him.
That is, nobody except for Bill Smith.
Bill was married to Rita, Molly's last living sister.
He'd been part of their family for a while.
In fact, before getting together with Rita, he'd been married to Molly's other sister, Minnie.
It's hard to tell if Bill was a villain or a hero in this story.
Some people suspected him of killing Minnie largely because of how quickly he married Rita after she died.
Bill also had a business relationship with William King Hale.
and even claimed to have lent William a large sum of money,
which wasn't reflecting well on Bill either.
But on the other hand, Bill seemed truly terrified of losing Rita,
not to mention his own life.
He moved his family from the country to the biggest city in Osage County,
hoping they'd be safer with more people around.
There, Bill told anyone who would listen that his former wife, Minnie,
and his mother-in-law had been murdered.
He spoke up at public meetings demanding an investigation.
In private, he told his friends that he believed William was involved.
And this behavior put him at odds with many of his fellow white men.
Particularly those who benefited from what's become known as the reign of terror,
including the lawyers specializing in native guardianship.
Bill's message was getting so last.
people couldn't help but listen, even for the non-natives who, up until now, preferred to turn a blind eye.
But then something happened that made all of the murders way too hard to ignore.
In February 1922, a 29-year-old Osage man named William Stepson died suddenly in his bed.
As a rodeo champion, he was physically fit and in excellent health.
No one could believe he died overnight from a fatal illness.
But now, with a local celebrity gone, many were determined to get to the bottom of it,
which meant the truth was finally about to surface.
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In February 1922, 29-year-old rodeo champion,
William Stepson was added to the long list of Osage headwright holders who died under suspicious
circumstances. After his death, a white man named Kelsey Morrison promptly married William's
widow, putting himself in line to inherit the Stepson head rights. As was common with sudden unexplained
deaths of native men, the old drank himself to death stereotype was brought forth, but this time
it didn't hold up.
Everyone knew William Stepson
wasn't living with any alcohol-related
illnesses, and
because he was well-known as a rodeo
star, there was a lot of
attention around his death,
which was why demand actually
led to an investigation being
approved.
In April
1922,
Stepson's stomach was shipped to Oklahoma
City for a coroner's inquest.
His friends were certain
that he died from strychnine poisoning and no alcohol was found in stepson's stomach but the coroner didn't find poison either however steppson had been dead for two months by then any traces of strychnine would have been long gone it only takes 24 to 48 hours for the poison to disappear from the body that didn't matter to the police though they declined to open a homicide investigation
Stepson's friends were outraged, and they became even more upset when his 24-year-old widow was found dead too.
Her death wasn't investigated as a murder either, and Kelsey Morrison, the white man who'd married her, inherited both of their head rights.
It was getting harder and harder for anyone with a conscience to look away.
even some of the people who profited from the guardianship system were getting concerned but the osage were in an impossible position many of the people benefiting from the murders had close connections to law enforcement william king hale was a deputy sheriff himself and local judges had no reason to step in their biggest concern was getting re-elected which wouldn't happen without the support of the area's white settlers
During election campaigns, these judges awarded their biggest donors by naming them as guardians for the wealthiest Osage people around.
With the system rigged against them, the Osage had no idea where to turn for help.
Bill Smith did have an idea, though. Disgusted with the authorities' failure to act, he hired a private detective from Tulsa.
We don't know his name, but we can assume he did his job well,
because soon Bill stopped implying that William King Hale was involved
and started saying so explicitly.
He told people he had enough evidence to prove William had killed Bill's sister-in-law, Anna Brown.
He didn't go to the authorities with that evidence,
but he suggested he might if the murders didn't stop soon.
Molly Burkhart must have heard Bill's accusations, but she was concerned she was also being slowly poisoned.
If she made any waves, she feared her death might come much sooner.
And if that happened, she knew no one would be brave enough to investigate.
It's difficult to overstate how powerful William King Hale was in Osage County at this time.
he wasn't just a big fish in a small pond he was a shark he'd spent much of his adult life convincing
the osage he was their closest ally he made big donations to local charities and provided expensive food
for tribal events he even offered cash rewards for information on the murders including annas
which bill was now accusing him of planning after each suspicious death William made sure he was
seen publicly comforting the bereaved, and because William owned a funeral home, he made
sure all the victims were buried in top-of-the-line caskets, though it was at a substantial
markup, paid for by the victim's estates.
In between funerals, he showered his Osage friends with lavish gifts, ponies for the children,
and brand-new suits for the men. He was happy to lend money to those.
those in need, but when borrowers couldn't pay him back, they'd see a different side of William.
Because as we know, William wasn't all kind smiles and free ponies.
He frequently hired small-time crooks to do dirty work for him, including Kelsey Morrison,
the man who married William Stepson's widow.
And Kelsey was far from the only one.
There were a lot of criminals living in or passing through.
Osage County at the time. William seemed to know most of them, from notorious interstate bootleggers
to local petty thieves. Many ended up borrowing William Hale's money, then doing illegal favors
for him to pay off their debts, like killing innocent people on his behalf.
But Bill was on to him. With the help of the private detective from Tulsa, Bill figured out that
William was specifically after Molly and Rita, and it wasn't hard for him to see the blueprints of William's plan.
First, William would have Rita killed, so Molly inherited the entire family's head rights.
Then he'd have Ernest go after Molly, his own wife, so Ernest could inherit the head rights for himself,
all before turning them over to William, with a massive payday for Ernest too, no doubt.
but for all this to work
Rita had to be a widow when she died
Otherwise Bill would inherit it all
Which meant Bill would likely be
William's next victim
But Bill wasn't the only person
William was after
There were others standing in the way of his schemes
And they weren't all Osage
One of these people was a 55-year-old
Retired Oilman named
Barney McBride. The Osage liked Barney for the kindness and respect he showed the area's
indigenous people. Sometime in 1922, a group of Osage people approached him about the murders
happening all over their land. They knew their only hope for a real investigation was if a trusted
white man went to the federal government. Barney agreed to take their concerns to Washington, D.C. He arrived
on August 9th, 1922.
When he checked into his hotel, a telegram was waiting for him with two menacing words.
Be careful.
And he took that advice seriously.
When he went out that night at a place called the Elks Club, Barney took both his Bible and his gun, but neither protected him.
As he left the club, a group of men attacked him on the capitals.
dark, empty streets. They threw a bag over Barney's head and beat him viciously, crushing his
skull. His body was found the next morning. He'd been stripped naked, save for his socks and
shoes, and stabbed more than 20 times. Clearly, someone was trying to send a message.
Barney's 17-year-old stepdaughter was beside herself with grief. She hired private detectives and
offered a large reward, but Barney's murder was never officially solved.
The case drew national headlines, including one in the Washington Post that read,
Conspiracy believed to kill rich Indians. Although it cost him his life, Barney's mission was a
partial success. By becoming the most prominent white victim of the reign of terror, he drew an
unprecedented level of attention to the Osage murders.
But more lives would be claimed before federal authorities finally stepped in.
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After 55-year-old Barney McBride was killed in August 1922, his murder drew national media attention to the reign of terror in Osage County.
But the Osage people still weren't safe.
In January 1923, tribe members Joe Greyhorse and Anna Sanford joined the long list of victims of Osage people killed for their head rights.
It's not clear if William King Hale had anything to do with their deaths, but he certainly was involved with this next one.
That January, 40-year-old Henry Rohn, Molly Burkhart's first husband, wasn't doing well.
His current wife cheated on him, and after Henry learned about it, his addiction to alcohol spiraled.
William King Hale was aware of Henry's struggles, and he decided Henry would be the perfect next victim.
But before William acted, he took out a $25,000 life insurance policy on Henry.
worth almost half a million dollars today.
Here's the thing.
You can't just buy a life insurance policy on some random person,
but you can do it for someone you have a so-called insurable interest in.
In other words, someone whose death could really hurt you financially.
Someone whose end of life could mean the end of your business, for example, as well.
Usually that would be a business partner or a spouse.
In the case of Henry Rhone, William supposed it,
insurable interest was a $12,000 loan, he said he made to Henry.
Whatever the reason is, you do still have to consent to having a life insurance policy
taken out on you, or at least you're supposed to.
We don't know exactly why Henry consented to this.
Maybe he really did ask to borrow money, and William insisted on taking out a policy against
him before forking over the cash.
but it's also possible that Henry never consented at all
and William conspired with Henry's guardian to get the policy approved
whatever the case
William was positioned to benefit from Henry's death
and he made his move one night in late January 1923
when Henry didn't come home that evening
his wife assumed he was out drinking which he was
but William was banking on that part
he'd hired a bootleger named John Ramsey to take Henry out on the town and give him free whiskey.
Once Henry was good and drunk, William wanted John to shoot him and make it look like a suicide.
John was halfway successful.
On January 26, 1923, he shot and killed Henry.
But the bullet entered through the back of Henry's head, which definitely didn't look like a suicide.
suicide. John abandoned Henry's body in a car at the bottom of a stormwater channel and fled. Henry's body wasn't
discovered until February 6th when a couple of hunters stumbled across the crime scene.
William grieved publicly for his supposed friend. He even insisted on serving as a pallbearer at Henry's
funeral. Afterwards, he filed a claim under the
$25,000 life insurance policy on Henry, then just for good measure, he started a rumor that Henry
was killed by the man his wife was having an affair with. According to the bootlegger John
Ramsey's later confession, Ernest Burckhardt was in on this murder too, and his motive was an
ugly one. Apparently, Ernest thought that Henry was going to divorce his wife and try to get back
with Molly.
For the moment though, nobody knew who was responsible for killing Henry, but Bill Smith was certain
he knew the answer, and he was threatening to go to the authorities about William, and this
time it looked like he might actually do it. Bill had been holding on to his proof for months.
Maybe he didn't want William to know what he had on him, or perhaps he thought William was
wouldn't dare actually kill him after he told everyone in town,
If I die, William Hale did it.
But Bill also had a selfish motive for keeping his evidence to himself.
See, William owed Bill $6,000.
So instead of exposing the king of the Osage Hills,
Bill tried to blackmail him into paying off the debt.
That decision would end Bill's life.
and William's killing spree.
On March 9th, 1923,
36-year-old Molly brought her two-year-old son,
cowboy, to visit his Aunt Rita and Uncle Bill.
Molly had planned to stay the night,
but when they arrived,
she found Bill and Rita in a state of panic.
Dogs in their neighborhood were being poisoned.
Bill and Rita took this to mean the killer,
a.k.a. William was sending them a message. Cowboy's presence was a welcome distraction,
but he had a terrible ear infection, so Molly decided her son was too sick for a sleep over.
She made her apologies and took cowboy to the doctor before heading home.
At 3 a.m. the next morning, as Molly was asleep in her own bed, a.gallon keg of nitroglycerin
exploded under Rita and Bill's house.
The blast was so loud, it shook Molly and Ernest awake on the other side of town.
Ernest knew right away what had happened.
After all, he was in on the whole plan.
He knew William had hired another low life, someone named Asa Kirby, to plant the bomb.
And he knew Molly was supposed to be there when it went off.
Rita was killed instantly, as was her teenage house servant.
Bill survived the blast, although his injuries were so bad, he succumbed to them two days later.
But he lived long enough for the family's head rights to be out of William's reach.
Half of Rita's estate went to her half-sister, Grace Bighorn.
The rest went to Bill, and when he died from his injuries, his share of the head rights went to his daughter in Arkansas.
With his dying breath, Bill told the authorities his only enemies were William King Hale and William's nephews, Byron, and Ernest Burckhardt.
This was the last straw for Osage tribal leadership.
A few days after the bombing, they sent a full delegation to Washington, D.C.
They lobbied the Department of the Interior, which oversees U.S. relations with native tribes.
for help. The Office of Indian Affairs finally agreed to their request. They formally asked the
Bureau of Investigation, which later became the FBI, to investigate, as long as the Osage helped
finance it. The Bureau put its assistant director, J. Edgar Hoover, on the case. Hoover dispatched
an agent to Osage County on April 2, 1923, a little less than a month after the bombing.
William King Hale was the Bureau's primary suspect from the beginning
between Bill Smith's deathbed accusation
and the life insurance policy taken out just weeks before Henry Roan's murder.
It wasn't hard to make the connection.
The problem was William was so feared
nobody would say a word about him to a federal agent.
With no one willing to come forward, the investigation stalled.
But Hoover didn't drop it.
In late 1924, the FBI was created and Hoover was appointed as the Bureau's first director.
He passed the investigation on to the special agent in charge of Houston's field office, Tom White.
In the summer of 1925, Agent White sent four undercover agents to investigate the Osage murders.
each was assigned a different persona,
a doctor, a rancher, an oilman, and an insurance salesman.
The last agent was particularly clever.
Selling life insurance was a very effective way to find out who was afraid of dying.
As the undercover agent went door to door,
many of his customers said they believed William might kill them next.
This gave the agent an idea.
He decided to sell William.
him a policy. And while William didn't go for it, he quickly befriended the agent. Before long,
William was sharing a lot of personal information with him, including his plans to move to Florida
on short notice. Of course, he had no idea he was spilling his guts to the FBI.
Piece by piece, the agents built their case. They knew that if they wanted to put Will
William away, they needed an army of witnesses to testify for the prosecution.
In the fall of 1925, one critical informant came forward.
Molly Burckhart's priest, he told the Bureau that Ernest was keeping Molly from attending services,
but she'd gotten a message to him.
She said she was afraid she was being poisoned.
Thankfully, the priest's message reached the Bureau.
in time. Agents swooped in and rushed Molly to a hospital where her symptoms soon vanished.
It turned out the medicine that was supposed to help her was actually killing her. Her insulin
shots, which she got from two doctors on William's payroll, were full of poison. And it wasn't long
until the investigators had all the evidence they needed.
Just a couple of months later, in January 1926,
51-year-old William King Hale and his nephew, 33-year-old Ernest Burkhart,
were finally arrested, as were many of their accomplices.
William and the bootleger John Ramsey were convicted of murdering Henry Rohn,
both got life sentences.
Kelsey Morrison was convicted of killing Anna Brown on William's orders
and also received a life sentence.
Ernest's brother, Byron Burkhart,
who participated in Anna's murder, too,
avoided jail by testifying for the prosecution.
Ernest was also sentenced to life in prison
for his role in Bill and Rita's deaths.
Molly filed for divorce.
With Ernest and William in prison,
Molly was free to go back to church and meet new people.
She even fell in love.
love again with a man named John Cobb. The couple got married in 1928, about two years after
Ernest's trial. But this time, Molly was determined to do things differently. She sued to
terminate her guardianship. In 1931, at the age of 44, she was declared a competent adult.
For the first time in her adult life, Molly controlled her own fortune.
She got to enjoy it for a few more years until she died in 1937 at the age of 50 after a long illness.
Considering how many people had tried to kill her, living long enough to die of natural causes was its own kind of victory.
So, was justice done?
Criminally speaking?
Not really.
William, John Ramsey, and Ernest were all ultimately.
paroled after serving just part of their life sentences. Kelsey Morrison's life sentence was repealed
in 1931. Two of Williams hired guns dropped dead before they could testify against him.
Most of the Osage murders remain officially unsolved. According to the Osage's current principal chief,
Jeffrey Standing Bear, it's estimated that at least five percent of their tribe was
murdered during the reign of terror years. In all likelihood, dozens of killers and accomplices
were never charged. Well, as for the financial side of things, the news is a little better
here, although there's still work to be done. In 1925, a new law stopped non-O-Sage people
from inheriting Osage head rights. Although the Great Depression ended the oil boom in Oklahoma,
head rights continue to bring in a modest income for their owners and still do today.
Beyond that, the Osage people were able to secure some additional financial restitution.
After decades of watching the federal government mismanage their mineral rights trust,
the Osage Nation filed suit in 2000.
They claimed the government failed to collect money owed to them for oil leases
and also failed to invest that money for the benefit of headright holders.
After years of legal wrangling, the government finally agreed to pay $380 million in damages.
But that is just pennies on the dollar compared to what was stolen from the Osage people over the years.
But it did help the tribe buy back some of their former land, starting with 43,000 acres purchased from multimedia billionaire Ted Turner.
The Osage Nation officially took ownership.
of that land in 2016.
They are using it for farming and beef production
with the goal of providing food security for the entire tribe.
If they succeed, it'll be the first time in 200 years
the Osage Nation can feed their population
without relying on trade with the United States.
Proving just how resilient the Osage people are
and why it's so important for us to remember the atrocities
that were committed against them.
Thanks so much for listening.
I'm Carter Roy, and this is Scams, Money, and Murder.
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