- Einhorn is wiped out in the Great Crash, losing the family's inheritance and most of the properties they own.
- With those he still owns, he's a ruthless landlord, turning off people's heat if they can't pay the rent.
- He's taken to court and loses.
- Close to broke, he has to let Augie go.
- Simon has lost his savings, but his business sense keeps him afloat.
- Augie goes to work selling soda.
- Simon shows up at the poolroom during a dull time, apparently having nothing better to do.
- However, he keeps clear of hoodlums and thieves "on their professional side."
- Augie, meanwhile, becomes party to a robbery.
- He'd been running with Jimmy Klein and Clem Tambow much of the time.
- Through his connections, he's approached by the thief named Joe Gorman.
- Augie doesn't decline the offer.
- He intends to rob a leather goods store.
- Augie acts as the lookout.
- When it's done, Augie returns home, feeling miserable, not sure how he'll explain his cut of the money.
- Augie tells Gorman not to count on him for future robberies. Gorman is fine with the news.
- Einhorn finds out about the robbery and gives Augie a lecture. Yes, the robbery proceeded without a hitch, but if they'd been caught in the act, Augie could have been an accomplice to murdering a cop.
- Einhorn tells Augie he won't be welcome back to the poolroom if he does anything so stupid again, but also reveals to Augie a truth about himself: Augie has opposition in him.
- Augie feels warmly toward Einhorn for really thinking about him.
- Einhorn, too, has his swindles, but he plays it safer than relying on lowlifes like Gorman.
- Einhorn rehires Augie, albeit for less money.
- His first task is with one of Einhorn's schemes: taking in a gangster named Nosey Mutchnik.
- They plan to buy a vacant lot together, one Einhorn already owns.
- Einhorn tells Augie not to worry, that the gangster is too stupid to do the necessary research and connect all the dots.
- They pull it off. Einhorn makes an easy $400—a lot of cash in the days of the Great Depression.
- Augie is given a wallet and $10 as a graduation gift from the Einhorns.
- Before his party, Augie is taken to be taken to a show by Einhorn.
- That's the story Einhorn tells his wife. He actually has a brothel in mind.
- They find the place, but there's some embarrassment when the host of the place learns the Einhorn cannot move his arms and legs.
- Einhorn pays for the services.
- As they're leaving, Augie carrying Einhorn, the older man whispers to Augie not to look at anyone on the way out.
- After being dropped off at home, Einhorn tells Augie to take the car to his party.