Junior Gotti Hits Triple Crown with 3rd Mistrial

Friends of ours: John "Junior" Gotti, Gambino Crime Family

A judge declared a mistrial Wednesday in the racketeering trial of former mob boss John A. "Junior" Gotti, the third time in 12 months a jury had been unable to reach a verdict in the case.

The jury sent out a note Wednesday indicating it could not reach a unanimous verdict. "Your honor, unfortunately we are deadlocked," said the note, prompting U.S. District Judge Shira Scheindlin to declare the mistrial shortly after noon. A day earlier, the jury had sent a similar note to the judge.

It was the jury's seventh day of deliberations. Two previous juries in the last year wound up deadlocked, with resulting mistrials.

A relieved Gotti hugged his brother Peter and other supporters Wednesday, then wiped his eyes while sitting at the defense table. "It was a tough one," Gotti said. "This one drained the life from me."

Gotti's lawyers argued the second-generation Mafiosi had years ago severed his ties to organized crime. If convicted, the 42-year-old Gotti had faced up to 30 years in prison. He is free on $7 million bail, and there was no immediate word on whether the government would mount a fourth prosecution.

From the start, the key issue in the case has been whether Gotti quit the Gambino crime family as he claims before July 1999. If so, a five-year statute of limitations would have expired before prosecutors brought new racketeering charges in 2004.

Prosecutors say the jury should conclude Gotti continued to receive mob money after 1999 and thus was part of a racketeering conspiracy. His defense lawyers say Gotti paid a large fine when he pleaded guilty to a racketeering charge in another case in 1999 and was permitted to keep the property and businesses which remained, regardless of where the money originated.

Gotti was also accused of ordering two 1992 attacks on radio talk show host Curtis Sliwa, including one where he was shot twice before escaping out the window of a taxi rigged to keep him trapped inside. Prosecutors have said Gotti was retaliating for on-air attacks against his father, John Gotti, who was sentenced in 1992 to life in prison without parole. He died in prison in 2002.

Sliwa sat in the courtroom, looking disappointed, as the mistrial was declared. But this trial didn't focus as much as the first two did on the Sliwa attacks. Prosecutors instead aimed their evidence at convincing jurors that Gotti never quit the mob before he pleaded guilty to racketeering charges in 1999 as he insisted he had.

They tracked Gotti's financial moves to try to convince the jury that Gotti never left the mob because he continued earning money off businesses such as real estate that he started with crime-tainted money.

Gotti's defense team acknowledged his life in organized crime, but insisted their client had retired from the Mafia and had no role in the Sliwa attack. Gotti was indicted on these charges in July 2004, just two months before he was due out of prison on a prior conviction.

Last September, a jury deadlocked 11-1 in favor of conviction. At his second trial, the majority of the second jury favored acquitting Gotti in March after his lawyers successfully emphasized their claim that he had had quit the mob. The trials were meant to resolve the 14-year-old question of whether Gotti ordered two assaults on Sliwa.

According to authorities, the younger Gotti assumed control of the powerful Gambino family after his father's 1992 conviction on racketeering and murder charges.

Tweet

Junior Gotti Jury says It's Deadlocked

Friends of ours: John "Junior" Gotti, John "Dapper Don" Gotti, Gambino Crime Family

A jury deliberating the fate of John "Junior" Gotti at his third racketeering trial told the judge Tuesday it was unable to agree on a verdict. The judge asked the jury to try again.

The jury released a note after noon saying it had only been able to agree on one of two acts it must decide before reaching a verdict on the racketeering charge. "We have been unable to reach a unanimous verdict on all charges," the jury said. "We feel we are deadlocked."

From the start, the jury has sought evidence aimed at deciding whether Gotti quit the Gambino crime family before July 1991, as he claims. If so, a five-year statute of limitations would have expired before prosecutors brought new racketeering charges in 2004.

The jury was in its sixth day of deliberations. It had asked for some evidence to be read back as it deliberated over the last week, but the panel has not been particularly noisy in a courthouse where jurors can sometimes be heard shouting at one another.

U.S. District Judge Shira Scheindlin encouraged the jurors to give it another try, saying the case would likely have to be tried again and it was unlikely that another jury would be better able to judge the evidence. Two previous juries in the last year wound up deadlocked, with resulting mistrials. "I know it's been long but there's still no hurry," she said. "I ask you with great respect that you continue your deliberations and I await your word whatever it may be."

Prosecutors say the jury should conclude Gotti continued to receive mob money after 1999 and thus was part of a racketeering conspiracy.

Defense lawyers say Gotti paid a large fine when he pleaded guilty to a racketeering charge in another case in 1999 and was permitted to keep the property and businesses which remained, regardless of where the money originated.

Gotti has also been accused of ordering two 1992 attacks on radio talk show host Curtis Sliwa, including one in which Sliwa was shot twice before he escaped out the window of a car.

Prosecutors have said Gotti was retaliating for on-air attacks against his father, John Gotti, who was sentenced in 1992 to life in prison without parole. He died in prison in 2002.

If convicted, Gotti could face up to 30 years in prison. He is free on $7 million bail.

Tweet

Mobster Son's Brewery Stake Challenged by Feds

Friends of ours: Jackie Cerone

The federal agency that took over bankrupt Pittsburgh Brewing Co.'s pension plan has challenged the status of the brewery's second-largest investor as the sole creditor with rights to trademark beers Iron City and IC Light.

The Pension Benefit Guaranty Corp. wants to alter a March agreement that makes Jack P. Cerone, a Chicago attorney who owns a minority share in the Lawrenceville brewery, the only creditor of Keystone Brewers Holding Co., which owns the trademark rights. A hearing is scheduled for today in Bankruptcy Court in Pittsburgh.

The pension agency claims it too is a creditor because it assumed $11.8 million pension liabilities from bankrupt Pittsburgh Brewing in May. Cerone is owed about $6 million, according to a financial statement filed in April.

The pension insurer also wants the court to eliminate a provision in the March agreement that preserves Cerone's rights even if the brewery is forced into liquidation. Pittsburgh Brewing filed a Chapter 11 bankrutpcy in December and faces an Oct. 15 deadline to file a reorganization plan. The pension insurer declined to comment further, spokesman Gary Pastorius said.

The agreement between Cerone and a committee of unsecured creditors was approved March 9 without the agency's knowledge, the pension insurer said. Neither Cerone nor his Pittsburgh attorney, Donald Calaiaro, could be reached for comment.

Under the deal, Cerone gets weekly payments of $9,105 on two loans to Pittsburgh Brewing. He purchased the loans in 2003 for $1.5 million. Cerone also agreed to postpone payments of $2,200 a week on an August 2005 loan he made to the brewery. Joseph R. Piccirilli, Pittsburgh Brewing's president, has said he agreed to make the payments to Cerone because of his ownership of the loans.

Cerone acquired his minority stake in the brewery -- 10 percent of the brewery's stock, plus warrants that allow him to buy an additional 10 percent -- when he purchased a loan from Provident Bank of Cincinnati, Piccirilli said.

Cerone's father, the late Jackie Cerone, was "a notorious mobster in the 'Chicago Outfit,'" said Dan Moldea, author of "The Hoffa Wars" and an expert on the Teamsters union. Cerone had links to both labor unions and management, Moldea said.

Cerone's insurance firm, Marble Insurance Agency of Addison, Ill., was barred from doing business with Teamsters Local 727 of Chicago and other Teamster-related clients in 1993 because of his father's alleged ties to organized crime, according to a 2004 report prepared for the International Brotherhood of Teamsters.

Separately, the union representing bottlers and brewers at Pittsburgh Brewing says it may take the company's latest contract offer to its membership for a vote. A decision will be made early next month. "I think we may be done negotiating," said George Sharkey, a business agent for the International Union of Electrical Workers-Communications Workers of America Local 144B, which represents the brewery's bottlers.

Two bargaining sessions last week failed to produce a tentative agreement, and the brewery's demands are similar to those made in July, Sharkey said. Pittsburgh Brewing wanted a 10 percent wage cut, but workers would get wage increases stipulated in the current contract, which took effect in May 2005, Sharkey said.

If the union does not approve the company's offer, Sharkey said he the brewery may renew its efforts to seek permission in Bankruptcy Court to terminate its labor contract. Pittsburgh Brewing asked the court for such permission, but postponed a hearing on the matter last month because negotiations had resumed.

Piccirilli declined to comment yesterday, but has said a cost-cutting labor contract is a key element of a successful reorganization.

Thanks to Joe Napsha

Tweet

No Verdict Yet for Junior Gotti

Friends of ours: John "Junior" Gotti

Jurors in John A. (Junior) Gotti's racketeering trial wrapped up their fourth day of deliberations yesterday by asking for homework.

Jurors wanted to take home a lengthy jury charge, which details the law they must apply in reaching a verdict, but Manhattan Federal Judge Shira Scheindlin denied the request after both sides objected. Prosecutors and the defense feared doing so might invite jurors to consult with relatives or friends.

Scheindlin suggested reading the charge at home over the weekend might help jurors as they ponder their decision. "I will be guided by your unanimity but I think it's unfortunate," Scheindlin told the attorneys.

Early in the day, jurors asked to listen to a tape of a recorded July 2003 prison visit, which included Gotti encouraging Howard Beach pal Steve Dobies to hold a fund-raiser to help him pay his legal bills.

Several of the jurors' notes to the judge have focused on testimony that centers on the key element in Gotti's defense - that he renounced all ties to the mob in 1999 around the time he pleaded guilty to racketeering charges. Gotti served six years in prison on those charges.

Gotti, 42, is accused in a wide-ranging conspiracy of loansharking, extortion, witness-tampering and kidnapping. He's accused of sending thugs to silence radio host Curtis Sliwa in June 1992, after Sliwa repeatedly mocked the Gotti clan on the air.

The mob scion scored mistrials when jurors deadlocked at two earlier trials.

Thanks to Thomas Zambito

Tweet

Mob Boss Hit List Results in Terror Case Restrictions

Friends of ours: Vincent "Vinny Gorgeous" Basciano

A set of restrictive rules established for terrorism suspects has been imposed on a convicted mob figure under investigation for plotting to kill a federal judge and others, prosecutors disclosed in a court hearing Thursday.

U.S. Attorney General Alberto Gonzales imposed the rules on reputed mob boss Vincent Basciano after a jail house informant revealed a list that Basciano wrote, which prosecutors allege was a hit list with the names of the judge, a prosecutor and three mafia turncoats.

Basciano gave the list to the informant, a fellow inmate at the Metropolitan Correctional Center in Manhattan, according to prosecutors, and indicated he wanted the people on it killed. A lawyer for Basciano has said that the list was intended for a mystical religious ceremony, recommended by the informant, to improve Basciano's fortune in his trial.

Basciano, known as Vinny Gorgeous, was convicted earlier this year of racketeering charges, though jurors deadlocked over more serious allegations including murder.

The special rules imposed on Basciano, known as special administrative measures, restrict privileges including phone and mail use and visits. They also require his lawyers to sign affidavits saying they will not pass messages from their client to anyone.

The measures have been used 40 times since they were developed in 1996, according to a Justice Department spokesman. Twenty-five of those instances involved terrorism cases. The spokesman said that the rules had been used in three other organized crime cases, but would not say which.

A prosecutor in the hearing Thursday in U.S. District Court in Brooklyn suggested the rules were meant to keep Basciano from communicating what they allege are bad intentions.

Basciano now faces a murder and racketeering indictment including the accusation that he planned to kill the prosecutor whose name appeared on the list. If convicted, he could face the death penalty.

Tweet