Green’s Dictionary of Slang

mahula adj.

[Yid. mekhule, Heb. mechula, spoiled, bankrupt]

(US) bankrupt or ruined.

1928		F. Whitman ‘Jewelry Auction Jargon’ AS III:5 375: Mahula—To go broke.
1949		Monteleone Criminal Sl. (rev. edn) 151: mahula To become bankrupt.