More than two years after he was indicted along with 14 other Wiseguys and associates, South Philly Mob Underboss Steve Mazzone was ordered Thursday to serve the next five years behind bars in a federal prison.
The sentencing by Judge Barclay Surrick came after federal prosecutors asked Surrick for a maximum sentence for Mazzone following a plea deal with federal prosecutors. Thursday’s action puts an exclamation mark on the much-publicized federal racketeering conspiracy case against 15 Philly Mobsters and Associates dating back to November 2020.
Mazzone, the highest ranking Wiseguy in the case, opted out of going to trial after a flurry of guilty pleas from his co-defendants and fellow high ranking Mobster Domenic Grande, Mob Soldier Joseph Servidio as well as Mazzone’s brother, Mob Soldier Sonny Mazzone earlier this year.
Mazzone and his brother plead guilty to racketeering conspiracy and other charges.
It’s Steve Mazzone’s second racketeering conviction. Mazzone did nine years in federal prison back in 2001 after he was convicted alongside Mob Boss Joey Merlino, Mob Captains John Ciancaglini and George Borgesi, and others.
The 59-year-old Mazzone will have to do at least 85 percent of his 5-year sentence, approximately 49 months. He will then face three years of supervised release, designed to sharply curtail any future mob activity by Mazzone.
Defense attorney Louis Busico had argued strongly for the lower end of the guidelines, 45 months.
Busico told Mobtalksitdown.com “Steven Mazzone has lived his life as a man’s man, we are pleased that the sentence is below the federal guidelines of 78 months.”
Busico also took the time to pay tribute to his co-counsel, the late John Moringolo, Mazzone’s attorney who passed away suddenly earlier this month at the age of 48. Moringolo and Busico have worked on this case for more than 2 years.
It’s Sonny Mazzone’s first federal conviction. He was sentenced to 2 years behind bars.
In a press release issued Thursday afternoon U.S. Attorney Jacqueline Romero said:
“Even though the Philadelphia mob has been weakened over the decades due in large part to persistent law enforcement efforts, the LCN and its criminal activities are still very much a problem and are damaging the communities in which it operates,” said U.S. Attorney Romero. “The U.S. Attorney’s Office is committed to prosecuting anyone who is committing serious federal crimes like these, and we will not rest until the mob is nothing but a memory that lives on in movies.”
“The Department of Justice has long been committed to dismantling LCN across the country and reducing its reach and influence,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “In this case, the defendant used his role as the underboss of the Philadelphia organized crime family to try to revive its fortunes, extorting victims in Pennsylvania and New Jersey. As this prosecution demonstrates, the department remains steadfast in its commitment to eradicating organized crime from our communities.”
“Steven Mazzone has been here before, previously convicted in an LCN case and sentenced to federal prison,” said Jacqueline Maguire, Special Agent in Charge of the FBI’s Philadelphia Division. “When he got out, he went right back to the same streets and same old rackets — overseeing loansharking, illegal gambling, and extortion. Mazzone and co. need to accept that the FBI is just as committed to shutting down organized crime here as ‘the family’ has been to sustain it.”
Here is how prosecutors laid out the evidence against Mazzone in excerpt from Mazzone’s sentencing memorandum obtained by Mobtalksitdown.com:
“The defendant is the underboss, or second-in-command, of the Philadelphia La Cosa
Nostra (LCN), a criminal enterprise that for decades has continually engaged in criminal conduct and used intimidation, threats, and its reputation for violence to instill fear and exert power over others.
As underboss, he was responsible for overseeing a vast network of criminal activity that
spanned across Philadelphia and parts of New Jersey. His conduct in this case included several expansive efforts to commit crimes involving extortion, illegal gambling, drug dealing, and loansharking.
As the underboss, the defendant set rules for LCN members and associates and
collected profits from illegal activity that was siphoned upward through the LCN command. structure to ensure the enterprise continued to exist. The defendant oversaw smaller groups of members and associates, or “crews,” that reported to management, or “capos,” who in turn reported to the defendant.
This hierarchical setup established clear lines of communication
throughout the LCN without the underboss having direct contact with the day-to-day activities of LCN, limiting the defendant’s exposure to law enforcement scrutiny of LCN’s crimes.
The defendant’s command over the LCN was made apparent in a recorded conversation
at a “making ceremony” to induct new members into the LCN in South Philadelphia in 2015, at which time an LCN member announced that “We’re all in the family now,” to which the defendant added, “Nobody break this chain . . . I know you were explained the rules already.”
This conversation provided insight into the defendant’s recognition of a set of rules that
governed the LCN’s members and its activities – rules that included vows of secrecy, pledges to use violence and weapons on behalf of the LCN, and allegiance to the LCN over all other relationships and people.
The conversation also established that the defendant formed the crews
that oversaw the LCN’s day-to-day operations: “They apply the same. You’re [CS] with
Domenic. Sammy, you’re with Domenic. (UI). This is George’s crew – Anthony, Tony, David. Obviously, Sonny Boy’s with me.”
The defendant defined the roles and placement of the LCN
members – roles and placements that directed the vast crimes to be committed by the LCN.
The defendant discussed and directed his co-conspirators’ efforts to extort bookmakers
and loan sharks in and around Atlantic City, New Jersey, while he coached his underlings in their methods of intimidation and collection of gambling proceeds. At the October 2015, recording containing the “making” ceremony the defendant stated, “We got to get a hold back on Atlantic City, buddy! That’s what I want. That’s what I want. We have to get that back. I mean we have a few guys out there, you know, right now. You’re going to have a couple more guys out there with you. You’re going to have Kenny Arabia with you too, cousin. I want you I want you to do something. You know, put him out there. Kenny’s good.”
Continuing, the defendant stated, “Yeah. [name of intended extortion victim] this guy’s supposed to be pushing big money out there. I can’t get nobody to get the hooks on him . . . So, what my point is. If you run across a guy like Kenny Arabia, he’s going to be with us. So, he’s pushing money (UI) penny ante shit. Just trying to get his foot in the door again. But, just, if you can help him, if you can guide him.
Guide him. But, he’s going to be there. Within the next, the next time we do this, he’s going to be with us.”
Because of his role within LCN, the defendant’s conduct was more serious because he supervised the criminal conduct of underlings that allowed him to remain insulated from the day-to-day operations and exposure from the consequences of his criminal activity.
As the “underboss” the defendant exercised influence and authority over LCN members and associates. He collected payment from junior members who were required to “kick up” the profits of the LCN’s criminal activity related to loansharking, gambling and drug trafficking, helping to perpetuate the enterprise and enabling it to continue victimizing the community in and around Philadelphia and New Jersey.
The evidence in this case included wiretap interceptions, which revealed that Louis
Barretta had a sports betting/sub-book relationship with Joe Malone, the defendant’s former father-in-law. The intercepts further revealed that Malone was involved in disbursing and collecting payments on street loans, in partnership with the defendant and co-conspirator John Romeo.
The wiretap established that the defendant provided financing for Malone’s usurious loans and that Malone made weekly payments to him on the profits. Coordinated surveillance corroborated several of these payments to Mazzone. The investigation revealed that the unlawful debts accrued and collected upon as a result of the gambling and loansharking operation, resulted in debtors paying annual interest rates upon the loans of as much as 264% to the defendant and LCN members.
In collecting these debts, several threats of violence were made to the debtors of
the enterprise’s gambling activities, including one threat to make a victim “disappear” for
nonpayment.
The investigation also revealed that the defendant had a close relationship with
codefendant Louis Barretta who ran and operated the vast illegal gambling operation. The operation relied upon multiple sub-bookmakers who forwarded wagers and monies to Barretta, who then forwarded monies to the LCN and the defendant. Mover the gambling operation functions to convert gambling debtors to even more loansharking victims who became increasingly dependent upon, and indebted to, the LCN and its members, including the defendant.
The evidence also revealed that he not only collected upon loans extend on his behalf by
others, but that he was also engaged in extending loans himself. Throughout the investigation the defendant extended extortionate loans to an FBI CS and collected large sums of money upon that debt. Therefore, the defendant relied on others to commit crimes on his behalf and also engaged in crime directly on his own.
The defendant is a 59 year old lifelong resident of Philadelphia who grew up with two
siblings, one of whom, Salvatore Mazzone, is a co-defendant in this case. He reported a good childhood and being close with his immediate family. He is engaged with three adult children from previous relationships and maintains a stable home and family life.
He has a history of employment as a salesman for a patio furniture factory in Pennsylvania and a building and equipment manager at a gym. He also has previous experience as an auto mechanic and bartender.
The defendant’s involvement in criminal activity is not a new venture. He has previously
committed these specific offenses right here in the same community. The defendant has a prior federal conviction in this district for RICO conspiracy and illegal sports bookmaking from 2000, when he was in his early 30s. In that case, which focused upon crimes in the 1990’s the defendant was then shown to be a high-ranking member of the LCN who quickly rose to significant power within the organization.
He was sentenced by Judge Herbert J. Hutton to 108 months’ incarceration followed by three years of supervised release. In that case, the defendant was convicted of extorting two victims who owed “protection” money to the LCN so the victims
could stay in business – the case evidence showed that he participated in having “drug dealers, bookmakers and other being forced to pay the mob thousands of dollars a month or risk being beaten or killed.” PSR ¶ 87.
He was captured on intercepted wiretap conversations discussing the
extortion. One of the victims was shot and seriously injured during the course of the extortion. The defendant’s conduct was serious because he engaged in activity with members and associates of organized crime that harmed his own community and reflected a disrespect for the law.
He has committed these same offenses previously and he served a lengthy sentence as a
result. The defendant has not learned from that event; instead, he returned to the same course of conduct and stands in the same position he was in over 20 years ago.
A term of imprisonment here has proven that it cannot punish or deter the defendant from committing these crimes. He must now be incapacitated and removed from the community that he disrespected by overseeing an enterprise that feeds off of it and erodes the dignity of those who live there.
A 60-month sentence of imprisonment will adequately incapacitate the defendant until his mid-60s, while ensuring that he is supervised upon his release to prevent him from engaging in further crimes.
The need for the sentence imposed to reflect the seriousness of the offense, to
promote respect for the law, and to provide just punishment for the offense.
There is no question that the offenses to which the defendant has accepted responsibility
was harmful to the citizens of Philadelphia and New Jersey.
The defendant managed the criminal activities of members and associates of the LCN, while also exerting the utmost position of leadership over the operations the LCN’s loansharking, bookmaking, and drug trafficking. The agreed upon sentence followed by a significant period of supervised release will incapacitate and
restrict the defendant, and it will reinforce the seriousness of the offense, respect for the law and hopefully serve as a general deterrent to those who consider the defendant’s position within the LCN as glamorous.
Indeed, it is not. While the primary purpose of incarceration here is to
incapacitate the defendant, it should also be deemed as punitive in that perhaps, this time, the defendant will choose to not re-engage in the activities of the LCN because he does not want to return to prison.
Reinforcing the seriousness of the offense is of great need with the defendant. While he
did indeed accept responsibility for the crimes by pleading guilty, it appears that he has no remorse or regret for his crimes.
The defendant’s sentencing memorandum for instance, offers not a single offering of regret, remorse or apology for committing his crimes and being a member of the LCN. His memorandum only speaks to the harm likely to be caused to his family
and friend by his coming term of incarceration. While he is clearly regretful for the damage he caused to the lives of his mother, fiancé, and children, he offers no apology to the Court or, more importantly, to the community and the victims of his crimes.
Further reflective of that lack of remorse and respect for the seriousness of his crimes, the defendant merely did “not dispute the government’s version of events” when given an opportunity to express remorse during his PSR
interview. PSR ¶ 43.
It remains to be seen whether at the upcoming sentencing hearing the
defendant, and/or his attorneys, will continue to simply thank the friends and family who have supported him, and who may appear in court, and express appreciation to the Court, but again further fail to renounce the LCN, his place within it, or apologize to his victims.
His prior failure to leave the LCN, despite receiving such significant punishment, and his continued failure to reject the LCN’s place in his life show that he is in great need a sentence that hopefully, at last, instills a respect for the law and an appreciation of the seriousness of the offenses.
Mobtalksitdown also obtained a copy of the Mazzone defense team’s sentencing memorandum. His lawyers, Lou Busico and the recently deceased John Moringolo, asked for a 45-month sentence citing Mazzone’s family ties and the need for Mazzone to care for his ailing mother. They also cited his employment history and his constant care for his mother, even moving into her home to care for her.
Their memo also states that Mazzone has concrete plans for employment after prison and after 60 years living in Philadelphia he will leave the city after serving his prison sentence and start a new life with his fiancée.
In a copy of Mazzone’s plea agreement obtained by Mobtalksitdown.com, there again was reference to an October 2015 Mob Induction ceremony held at a home in South Philadelphia. A cooperating witness who was inducted at the ceremony secretly recorded it. Here is an excerpt of the ceremony included in Mazzone’s plea document.
ML: You’ll all get introduced. You’ll get introduced to everybody. But ah we’re all
one family. This is the only flag around. This is it, this is Philly and that’s it. Joe, do you
want to say something? Anybody want to say anything?
JL: We’re all in the family now. No disputes should be, come between none of us.
]
SM: Nobody break this chain.
JL: Anybody, anybody comes between us, it’s on them.
SM: You know what I’m talking about?
JL: We’re all together.
All: La Familia.
SM: Alright, youse know the rules. [CS], I know you were explained the rules already.
CS: Yeah.
SM: [CS], you were explained the rules already.
CS: Yeah.
SM: They apply. The same (UI).
CS: Right.
SM: They apply the same. You’re [CS] with Domenic. Sammy, you’re with Domenic.
(UI). This is George’s crew – Anthony, Tony, David. Obviously, Sonny Boy’s with me.
The government’s transcript of the induction ceremony does not identify ML, JL. CS is presumed to be the confidential source recording the ceremony. SM is identified as Steven Mazzone.
Sonny Mazzone’s plea agreement also makes reference to a “Person #4” who engages in borrowing loansharking money from Sonny Mazzone allegedly through several intermediaries such as Mob Soldier Joseph Servidio and convicted Mob associate and drug dealer Victor Deluca, who also plead guilty and is now serving time in federal prison.
Neither Sonny Mazzone nor his brother Steven were charged with any drug counts in the indictment. Grande, Servidio and three others were.
The Brothers Mazzone defense team had openly proclaimed throughout court proceedings and filings that they intended to go to trial in September after earlier attempts to work out a non-cooperating plea agreement failed to gain any traction with the local wise guys.
That all changed a few weeks ago with the scheduling of those two guilty plea hearings. Mazzone was represented by the late New York defense Attorney John Moringolo and Philadelphia Defense Attorney Lou Busico.
None of the defendants who plead guilty have decided to cooperate.
Two other co-defendants are expected to follow suit, bringing to 12 the number of defendants who either have or are expected to plead guilty. One defendant, Ken Arabia, passed away shortly after the indictments were announced.
The case against two final defendants, Daniel Malatesta Sr. and Joseph “Joey Electric” Servidio, are pending court action as of this date.
Mazzone was caught on tape with a number of others as the local Mob conducted a Mob induction ceremony at a home in South Philadelphia back in October 2015. The entire ceremony was caught on secretly recorded tapes by a wiseguy turned cooperator who was actually made during that Fall induction ceremony.
Fast-rising South Philly Wiseguy and Capo Domenic Grande was also caught on tape at that same ceremony and in several drug deals. He plead guilty last month to racketeering conspiracy and drug charges during a 30-minute hearing before federal court Judge Barclay Surrick in Philadelphia.
Grande was sentenced to 78 months in prison and four years of supervised release,
The 43-year-old Grande has been under house arrest since December 2020 after he was indicted along with 14 others on federal charges along with Mazzone. He will report to prison in early January 2023.
A copy of Grande’s Plea Agreement obtained by Mobtalksitdown,com calls for Grande to serve 78 months or 6.5 years in federal prison. Grande is scheduled to be sentenced on September 2nd, so he gets to spend the Summer at home on modified house arrest.
Grande’s attorney, Brian McMonagle declined comment. The plea agreement says Grande was looking at a possible sentence of up to 20 years if he was convicted on the racketeering and drug counts. This is Grande’s first federal conviction.
Street sources say Grande had been discussing a potential plea deal for a while now but would only consider a deal if the agreed upon sentence amounted to 7 years or less in federal prison. No word on whether higher ups in the Philly Mob were consulted about Grande’s potential plea deal.
Grande was scheduled to go to trial in July along with three other defendants. Legal experts say Grande, a first-time offender, could have faced 10-15 years in federal prison on the drug counts alone if he went to trial and was found guilty. Grande was captured on secretly recorded tapes talking about alleged drug deals with a cooperating witness and others. Those tapes are said to be potentially damaging to Grande if played for a jury.
Drug defendant John Michael Payne, who was set to stand trial with Grande, changed his plea to guilty back on March 29th in connection with the drug charges against him.
Mazzone and four others were set for trial in September, pending any possible plea deals in their case, which does not include any drug counts.
Mob sources say Mazzone had been waiting to see if Grande took a deal before deciding whether to enter serious plea negotiations with federal prosecutors.
The Grande plea came after months of speculation as to whether a “good deal” would be offered to Grande or Mazzone in this case. It comes as thousands of pages of discovery, along with tape recorded conversations were released to defense attorneys and the defendants.
According to a document released several months ago, a confidential source recorded Grande back on July 4, 2016 in Atlantic City while they were talking about the mob’s involvement in cocaine deals, the source telling Grande he was about to “make a move.”
The source told Grande he wasn’t going to transport the drugs from Point A to Point B and wanted to “distance himself” , to which Grande responded “right.”
At one point the just released transcript says Grande lowered his voice and whispered, “You’ve got to be careful.”
The confidential informant tells Grande that he has a guy who can get bricks of cocaine. He went on to say that he wouldn’t do anything without “”letting you know first”. To which Grande responded, “I just want you to be careful.”
The informant continues by saying “I’m taking my time, I won’t make a move without checking with you.” Grande allegedly said,”Do what you got to do.”
Ironically, the warning Grande gave to the confidential source is eerily similar to a warning Mob Boss Joey Merlino once gave to FBI informant and Mob Captain Ron Previte in the late 1990s when he was trying to engage members of the Boston Mob in cocaine deals in Beantown. Merlino, not knowing Previte was working with the FBI, warned Previte saying, “Watch out up There. That’s a bad pinch. Be careful.”
The “bad pinch” the government contended meant drug charges if Previte and the Boston wise guys got busted. They subsequently got charged with drug counts in a wide sweeping racketeering indictment. Previte eventually testified against Merlino and the others, but Merlino, however, beat the charges at his trial here in Philadelphia on the Boston drug charges.
The release of these tape recordings comes as half a dozen mob associates charged in this latest racketeering indictment have either plead guilty or have hearings set to plead guilty in upcoming weeks. There’s been no word if Grande or Steve Mazzone, the reputed underboss, are trying to negotiate a plea deal with federal prosecutors
Prosecutors and defense attorneys have not commented at this point.
Here’s more on the Tapes in this case from a prior article posted on Mobtalksitdown.com about Grande and one time Mob Underboss Steven Mazzone:
For years they could often be seen together around South Philadelphia, laughing and joking on street corners, looking like the closest of friends, fellow Mobsters Steven Mazzone and Domenic Grande.
Mazzone, the one time alleged Underboss and Grande, an up and coming young Capo often seen as a possible leader of the local Mob in the future, were almost inseparable some days. But now a federal judge’s ruling may separate the two sharp looking wiseguys as they head to trial next Spring in the latest Racketeering Conspiracy case against the Philly Mob.
This week, Judge Barclay Surrick told defense attorneys and prosecutors he wants three separate trials for the 14 remaining defendants in the case due to the ongoing Covid19 pandemic. The judge told both sides to try and work out how the defendants would be grouped for trial sometime next Spring. And that may lead to Mazzone and Grande going their separate ways in this case that took five years for the FBI to build.
Mazzone is targeted in the indictments as one of the leaders of the Philly Mob, described in the indictments as the one time underboss. He is charged with racketeering conspiracy, gambling and loansharking counts.
Grande on the other hand is charged with racketeering conspiracy, loansharking and serious drug offenses. In court papers, Prosecutors have pointed to secretly recorded conversations of both mobsters.
Mazzone on tape allegedly giving marching orders to newly inducted mobsters at a Oct. 15, 2015 tape recorded Mob Induction ceremony and post ceremony dinner. Grande at the same ceremony and in separate and very damaging conversations regarding alleged drug dealing.
Although defense attorneys and prosecutors are not yet commenting on which defendants should be tried together, it is expected that Mazzone’s lawyers could argue not to try Mazzone and his good friend Grande together. You see Mazzone is not charged with any drug counts in the indictment, and sitting him next to Grande at trial, could hurt Mazzone, especially with those damaging drug tapes being used against Grande.
Grande’s lawyer could likewise argue that the damaging tapes of Mazzone giving orders to fellow wiseguys at the Mob making ceremony and afterwards could hurt Grande at trial. We’ll have to see which direction defense attorneys head.
Prosecutors also haven’t commented, but are expected to ask the judge to group Mazzone, Grande, Mazzone’s brother, made guy Salvatore “Sonny” Mazzone, and Mob Soldier Joseph Servidio together as the highest ranking members of the racketeering conspiracy. Again no court papers have been filed as of this date.
Some background on the case:
Underworld sources tell Mobtalksitdown.com the October 2015 ceremony was held at a South Philadelphia location and allegedly conducted by acting Mob Street Boss Michael “Lance” Lancelotti., who was not indicted in last November’s 7-count federal indictment charging 15 local Mobsters and associates in a wide sweeping racketeering case.
Jerry Capeci from Gang Land News in New York first broke the details from inside the ceremony and who was there.
According to Capeci’s article, he has an FBI transcript that indicates Lancelotti, Mazzone, former Mob Boss and now consigliere Joe Ligambi, Mob Captains George Borgesi, John Ciancaglini and Dom Grande were present. According to Capeci, Mob soldiers Sonny Mazzone, Anthony Accardo and Anthony Borgesi were also in attendance along with 3-4 more unnamed wiseguys.
Sources indicate that two or three new Mob soldiers were initiated into the South Philly crime family at that making ceremony.
Capeci’s article and underworld sources say it was Lancelotti who was caught on tape by FBI informant Anthony Persiano as he himself was being initiated into the resurgent crime family. Again, Lancelotti is not charged in this case.
Prosecutors have not revealed who tape recorded the ceremony or who their cooperating witness is. They have successfully argued for a protective order so his identity would not be publicly revealed.
Previously released court documents indicated that during the ceremony these words were picked up by a secret recording device worn by a government informant.
“Now, you’ll use these, for us. Right?” while pointing to a gun and a knife. Lancelotti allegedly stated, according to Capeci. “If I betray this family, betray my friends, I’ll burn in hell forever.”
The new members were then formally introduced to the Philly LCN hierarchy and made members who were present and participating in the ceremony. That included Mazzone, who was noted as having the title of “Underboss” and was charged back in November as the highest ranking mobster in the case..
Sources say the bombshell tape transcripts reveal Lancelotti, Mazzone and Grande’s alleged participation in the Mob making ceremony where the new members of the LCN were made, including Mazzone’s brother Sonny. Grande was introduced as a new “Caporegime” or Capo during the ceremony.
The local wiseguys have long maintained, along with their lawyers, that being a member of the Mob unto itself is not a crime. They maintain it is no different than being a member of any other organzation. Federal prosecutors and investigators beg to differ.
Lancelotti has not been charged with any crimes. He did not face charges in at least three major Philly Mob cases brought by the FBI and the local U.S. Attorney in the last 21 years that have sent many of his South Philly pals to prison
Following the induction ceremony, Capeci and sources say, high ranking Philly wiseguys, including Lancelotti, Mazzone, Grande and the newly initiated Mobsters, attended a traditional celebration dinner at a local restaurant in Collingswood, N.J.
In a previously released court document, the FBI revealed that Mazzone stated, “Got to get a hold back on Atlantic City, buddy! That’s what I want. That’s what I want. We have to get that back.” Then later, when explaining the manner in which to establish LCN control over the area, Mazzone stated, “I don’t want nobody just glomming our f…king shit. You
know what I mean? You understand what I’m saying? But we’re still street guys. Let’s face it…We’re f….king, we’re gangsters. I mean, you know, I’m not going to let no sucker take that.”
The document says Mazzone then continued “to name specific known criminals who he wished the LCN to extort, named specific LCN members and associates through whom the LCN would exert control, and the manner in which local criminals would pay illegal proceeds to the LCN.”
In court documents involving Grande, federal prosecutors again revealed conversations involving Grande captured on tape by an undercover FBI informant.
Here is a segment of that released court document:
“For instance, Grande was recorded, extensively, directing the activities of others, including LCN members and associates, in an effort to extort local bookmakers and loan sharks into paying monies to the LCN. In that portion of the case, Grande instructed another LCN member to “plant the flag” of the LCN in the Atlantic City area and regain control of bookmakers and loan sharks. He acknowledged that associates had their “hooks into” the local criminals and that the local criminals had to either pair with the LCN or “get the f… out.”
During discussions of how to exert full control over the local criminals, Grande warned that because of their activities that they could soon “catch, like, an extortion beef.”
After a series of successful extortion attempts of local bookmakers, Grande was then recorded negotiating the manner in which an extorted bookmaker would split proceeds with the LCN. Grande provided contact information to the local bookmaker for the LCN bookmaking operation, run by codefendant Louis Barretta, and explained the manner in which the operation functioned. From there, Grande was later recorded collecting gambling debts, or making gambling payments, over 30 times.
Regarding loansharking, Grande said, “see, like, I’m a loan shark. . . . I could put out, like, $42,000 right now and I got to tell people, ‘I’ll see you tomorrow.’”
Grande then continued on the recordings to arrange several loan shark loans on his own behalf, and allegedly on behalf of Steve Mazzone, with an FBI informant. Both Grande and Mazzone were then recorded several times, allegedly accepting “juice”, or interest payments, and principal payments on those loan shark loans.
Grande was also recorded allegedly discussing drug trafficking. He was recorded telling an FBI informant to be “careful” when obtaining a kilogram of cocaine for sale, but that the informant should “do what you gotta do” in order to sell the drugs.
When speaking of obtaining and selling oxycodone and counterfeit oxycodone (made with heroin and fentanyl) Grande allegedly stated, “if you can get that man, I can f…ing move thousands of them. . . . You know these kids sell them for f…ing $20 a piece?”
Mazzone and Grande were charged in the 40-page, seven-count Racketeering indictment that included racketeering conspiracy, bookmaking, loansharking, extortionate extensions of credit, Hobbs Act violations as well as drug trafficking against Grande and Servidio.
Mazzone and Grande were arrested in early morning raids last November.
Those arrests, followed raids a week earlier just before 6 a.m. when “Sonny” Mazzone, along with four other associates were arrested in an ongoing federal racketeering investigation.
Steve Mazzone was arrested at his row home around 6 a.m. by a large group of FBI agents and Pennsylvania State Police. The arrest drew the attention of neighbors on the block as Mazzone was lead away by authorities.
Grande, 42, was arrested at his 17th Street home in Packer Park. FBI agents and State Troopers spent hours searching his home after he was lead away by investigators. Prosecutors have said more evidence was recovered at Grande’s home during their search.
His arrest was really no surprise, coming after a very public two and half year drug trafficking investigation in South Jersey and Philadelphia.
Grande is charged with RICO conspiracy and drug trafficking along with other charges.
Steve and Salvatore “Sonny” Mazzone are not charged in the drug trafficking conspiracy.
The defendants, if convicted, could face serious prison time, from five to 40 years.
