Recently in racketeering Category

Preet Bharara, the U.S. Attorney for the Southern District of New York, and George Venizelos, the Special Agent-in-Charge of the New York Office of the FBI, announced today the unsealing of an indictment against fourteen members and associates of the Gambino Organized Crime Family of La Cosa Nostra (the Gambino Family) charging racketeering, murder, sex trafficking, sex trafficking of a minor, jury tampering, extortion, assault, narcotics trafficking, wire fraud, loansharking and illegal gambling.

The 14 defendants charged today are Daniel Marino, Thomas Orefice, Onofrio Modica, Dominick Difiore, Anthony Manzella, Michael Scotto, Michael Scarpaci, Thomas Scarpaci, David Eisler, Salvatore Borgia, Steve Maiurro, Keith Dellitalia, Suzanne Porcelli and  Anthony Vecchione.  Modica was arrested on April 16, 2010.  Twelve defendants were arrested early this morning by the FBI, and Maiurro remains at large.  The arrested defendants are expected to be presented in Manhattan federal court later today before U.S. Magistrate Judge Michael H. Dolinger.  The case is assigned to U.S. District Judge Lewis A. Kaplan.  The initial conference before Judge Kaplan is scheduled for April 21, 2010, at 11 a.m.

As alleged in the indictment unsealed today in Manhattan federal court, as well as the government's motion for detention filed today:

Daniel Marino is a longtime member and is currently a boss of the Gambino Family.  In that capacity, Marino has over 200 fully-inducted or "made" mafia members under his command, as well as hundreds of associates who commit crimes with and for the mafia.  Thomas Orefice and Onofrio Modica are currently soldiers of the Gambino Family acting under Marino's supervision.  Orefice and Modica each supervise crews that include Dominick Difiore, Anthony Manzella, Michael Scotto, Michael Scarpaci, Thomas Scarpaci, David Eisler and Salvatore Borgia, all of whom are charged with racketeering and racketeering conspiracy.  The indictment also charges other individuals who committed crimes with and for the Gambino Family, including Steve Maiurro, Keith Dellitalia, Suzanne Porcelli and Anthony Vecchione.  

In addition to the racketeering charges, the defendants are charged with the following crimes:

Murder of Thomas Spinelli

Marino is charged with the 1989 murder of Thomas Spinelli, a made member of the Gambino Family.  In the months leading up to Spinelli's death, concern arose in the Gambino Family about his testimony in a federal grand jury about many of the mafia's members and activities.  As a result, Marino, working with various co-conspirators, including John J. Gotti (who was then Boss of the Gambino Family) and Salvatore Gravano (who was then Underboss) set out to kill Spinelli to prevent him from further testifying.  Marino and his co-conspirators lured Spinelli to a window company in Brooklyn, where he was shot in the head and killed.  Marino then helped to dispose of Spinelli's body, which has never been found.

Murder of Frank Hydell

Marino is also charged for the 1998 murder of Frank Hydell.  In 1997, suspicion arose within the Gambino Family that Hydell, Marino's nephew, was cooperating with law enforcement which, in fact, was the case.  Based on these suspicions, various Gambino Family members and associates plotted to kill Hydell and sought Marino's approval for the hit.  Upon Marino's authorization to kill Hydell, the Gambino Family members and associates lured Hydell to a strip club in Staten Island where he was shot three times in the face and back.  He died in the strip club's parking lot.

Murder of James DiGuglielmo and Richard Sbarra

Modica is charged with the double murder of James DiGuglielmo and Richard Sbarra.  Modica and DiGuglielmo became involved in a drug-related dispute.  As a result, on Aug. 22, 1987, Modica drove his motorcycle with a shooter riding on the back to a crowded parking lot where the shooter opened fire at DiGuglielmo.  DiGuglielmo and Sbarra, an innocent bystander, were killed in the drive-by shooting.

Sex Trafficking and Sex Trafficking of A Minor

Orefice, Difiore, Manzella, Scotto, Eisler, Maiurro and Porcelli are charged with sex trafficking and sex trafficking of a minor.  From 2008 to 2009, the defendants operated a prostitution business where young women and girls -- including an underage girl who was 15 years old at the time -- were exploited and sold for sex.  The defendants first recruited various young women and girls -- ages 15 through 19 -- to work as prostitutes.  The defendants then advertised the prostitution business on Craigslist and other websites.  The defendants drove the women to appointments in Manhattan, Brooklyn, New Jersey and Staten Island to have sex with clients.  The defendants then took approximately 50 percent of the money paid to the young women.  The defendants also made the women available for sex to gamblers at a weekly, high-stakes poker games that Orefice and his crew ran.

Jury Tampering

In 1992, then-Boss John J. Gotti was on trial for federal racketeering and murder charges in the Eastern District of New York.  Modica, along with various other Gambino Family members, took part in a plot to locate the anonymous, sequestered jurors sitting on that trial.  Modica and the others eventually penetrated various security measures, and located the jury at the hotel where it was sequestered.  The plan to tamper with the jury was called off, however, when Gotti came to believe that the jury would not convict him, even without outside interference.

Extortions and Assaults

Marino is charged with extorting broad swaths of the construction industry in and around New York from at least the 1980s to the present.  Through the use of violence and threats, Marino and the Gambino Family have extorted millions of dollars annually from unions, contractors, developers and suppliers.  

Orefice, Difiore, Manzella, Scotto, Michael Scarpaci, Thomas Scarpaci, Dellitalia, Eisler and Vecchione are charged with extorting payments from various businesses and individuals through the use of violence and threats.  The defendants targeted businesses in the home heating oil industry and the financial services industry, as well as various individuals in and around New York City.

Several of the extortions resulted in serious beatings.  For example:

• In December 2005, after an extortion victim failed to make a payment, Orefice, Difiore and Dellitalia punched and used a baseball bat to beat the victim.
• In 2008, Orefice and Difiore tracked down another extortion victim who failed to make a payment, beat him viciously, and left him on the street.
• In the summer of 2009, members of Orefice's crew went to the office of a business owner in an attempt to shake him down, demanded to see their extortion victim, and, when refused, threatened the business owner's office staff.

Wire Fraud

Orefice and Manzella are charged with defrauding various high-end restaurants in New York City by inflating invoices for meat orders placed with Manzella's company and paying kickbacks to the chefs responsible for ordering the meat.  The invoices were sometimes inflated by as much as 40 percent of actual costs.  To ensure that the chefs at the restaurants would continue ordering meat from Manzella's company, and to encourage them to turn a blind eye to the scam, Orefice and Manzella kicked back about five percent of the proceeds back to them.

Narcotics Trafficking

Orefice, Difiore and Borgia are charged with trafficking in narcotics -- including cocaine, oxycontin, and marijuana -- for and on behalf of the Gambino Family.  

Loansharking

Marino, Orefice, Difiore, Scotto, Michael Scarpaci and Thomas Scarpaci are charged with making and collecting extortionate extensions of credit -- commonly known as "loansharking."  When debtors became unable to keep up their repayment obligations, the defendants threatened them.  In one series of consensually-recorded discussions about the loansharking operation, a loanshark victim was said to have been "roughed up" and put in the trunk of a car.  The participants then agreed that, if necessary, firearms, including AK-47s and AR-14s, could be obtained to help ensure repayment from debtors.  

Gambling

Marino, Orefice, Modica, Difiore, Manzella, Michael Scarpaci, Thomas Scarpaci, Eisler, Borgia and Dellitalia are charged with running illegal gambling operations for the Gambino Family.  These operations included an internet-based sports betting, or "bookmaking," operation, and a regular, high-stakes card game.

The indictment also seeks forfeiture of the proceeds of the alleged crimes, including of $20 million as to counts one and two.

U.S. Attorney Preet Bharara stated: "As today's case demonstrates, the mafia is not dead.  It is alive and kicking.  Modern mobsters may be less colorful, less flamboyant, and less glamorous than some of their predecessors, but they are still terrorizing businesses, using baseball bats, and putting people in the hospital.  Today, the Gambino Family has lost one of its leaders, and many of its rising stars have now fallen.  We will continue to work with our partners at the FBI to eradicate the mafia, and to keep organized crime from victimizing the businesses, and the people, of this City."

FBI Special Agent-in-Charge George Venizelos stated: "In some ways, this is not the Gambino family of John J. Gotti.  But while the leadership may maintain a lower profile, this case shows that it's still about making money illegally, by whatever means.  No crime seemed too depraved to be exploited if it was a money-maker, including the sexual exploitation of a 15-year-old.  In truth, despite the popular fascination, it was never really about the thousand-dollar suits.  It was -- and is -- about murder, mayhem and money."

Mr. Bharara praised the outstanding investigative work of the FBI.  Mr. Bharara also noted that the investigation is continuing.

Assistant U.S. Attorneys Elie Honig, Steve Kwok and Jason Hernandez are in charge of the prosecution.  The case is being handled by the Office's Organized Crime Unit.

The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

SOURCE U.S. Department of Justice

Three Massachusetts men and an Arkansas man were charged today in U.S. District Court in Boston with racketeering conspiracy.

Carmen M. Ortiz, U.S. Attorney for the District of Massachusetts; Jane Duke, U.S. Attorney for the Eastern District of Arkansas; Warren T. Bamford, Special Agent in Charge of the FBI - Boston Field Division; and Thomas J. Browne, Special Agent in Charge of the FBI - Little Rock Field Office, announced today that Ralph F. Deleo, age 66, of Somerville, Mass.; Franklin M. Goldman, age 66, of Randolph, Mass.; Edmond Kulesza, age 56, of Somerville, Mass.; and George Wylie Thompson, age 54, of Cabot, Ark., were charged in an indictment with criminal conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act.

The Indictment alleges that Deleo, who was the "street boss" of the Colombo Family of La Cosa Nostra (LCN), directed and controlled the operations of the Deleo Crew, which included but was not limited to Deleo, Goldman, Kulesza and Thompson. According to the indictment, members and associates of the Deleo Crew engaged in the importation, trafficking and distribution of narcotics and controlled substances, including cocaine and marijuana; extortion; loan sharking; and interstate and foreign travel in aid of racketeering. It is alleged that the Deleo Crew operated principally in the areas of Massachusetts, Arkansas, Rhode Island, New York and Florida.

As detailed in the indictment, LCN, also known as the "Mafia," is a criminal organization that operates in various parts of the United States and Canada through entities known as "families." The five most powerful families of LCN are based in New York City. The Colombo Family is one of the five families of LCN in New York. Deleo's alleged membership in, and leadership of, the Colombo Family facilitated the affairs of the Deleo Crew and enhanced the ability of its members to make money by illegal means. Conversely, Deleo allegedly used the criminal activities of the Deleo Crew to increase and maintain his status in the Colombo Family.

This case began in the Eastern District of Arkansas (EDAR) as an investigation into illegal activities involving Thompson and others. The investigation has resulted in two indictments charging Thompson in the EDAR with drug trafficking; illegal possession and sale of firearms, ammunition and silencers; the operation of an illegal gambling business; marriage fraud; and wire fraud scheme involving a local elected official in Arkansas. During the course of the investigation into Thompson in the EDAR, search warrants executed by the FBI and ATF resulted in the seizure of approximately 147 firearms, over 80,000 rounds of ammunition and five illegal silencers. Since Thompson was previously convicted of a felony offense, the pending charges against him include charges of being a felon in possession of these items. (See EDAR Press Releases dated Nov. 16, 2009 and Dec. 2, 2009.)

Shortly after the execution of these warrants, Thompson fled the country. He was eventually apprehended in Bangkok, Thailand and deported to the United States, and is currently in custody awaiting trial in Arkansas. As is set forth in the indictments, while Thompson was out of the United States, he maintained contact with Deleo.

U.S. Attorney Ortiz said, "Each of these defendants and their alleged crimes posed a serious threat to the public. I want to commend the exemplary coordination among law enforcement officials in multiple jurisdictions and agencies for bringing this case to fruition. I would also like to thank and acknowledge the U.S. Attorney's Office for the Eastern District of Arkansas for their assistance in investigating this case."

"The crimes that the defendants are charged with pose a threat to American society. The FBI has made enormous progress against La Cosa Nostra and is not letting up. We will continue to work closely with our law enforcement partners and use all of the tools at our disposal to eliminate the mob's influence," said Special Agent Warren Bamford.

U.S. Attorney for the Eastern District of Arkansas Jane W. Duke commented, "The FBI office in Arkansas, and the U.S. Attorney's Office in Little Rock, worked diligently to bring those charges that took place in Arkansas and to facilitate the pursuit of the broader racketeering charges now being brought in Boston. The fact that our investigation has worked into a much larger scenario involving a significant crime family operating in other parts of the United States is a great example of what can be accomplished when U.S. Attorney's Offices and law enforcement agencies work together to combat crime. We are pleased to be a part of this case."

If convicted on the RICO charge, Deleo, Goldman, Kulesza and Thompson each face up to 20 years in prison, to be followed by three years of supervised release and a $500,000 fine.

The U.S. Attorney's Office would like to acknowledge the cooperation and assistance of the U.S. Attorney's Offices for the Eastern District of Arkansas, the Eastern District of New York, the Southern District of Florida and Organized Crime and Racketeering Section of the Criminal Division of the Department of Justice.

The District of Massachusetts case is being investigated by the FBI's Organized Crime Task Force, which includes representatives of the Boston Police Department, Medford Police Department, Quincy Police Department, Massachusetts Department of Corrections and the Internal Revenue Service. The FBI Task Force was also assisted by the Massachusetts State Police, Somerville Police Department and the Middlesex County District Attorney's Office.

The Eastern District of Arkansas case is being investigated by the FBI - Little Rock Field Office, the Bureau of ATF - Little Rock Field Office and the Arkansas State Police.

The Massachusetts case is being prosecuted by Assistant U.S. Attorneys Timothy E. Moran and Peter K. Levitt of Ortiz's Organized Crime Strike Force Unit. The Eastern District of Arkansas case is being prosecuted by Assistant U.S. Attorney Laura G. Hoey.

The details contained in the indictment are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.