Crime Family Figures Accept Plea Bargain Prosecution Sees Mafia Plot To Enter Video Poker Business

Five alleged leaders and associates of the Gambino and Genovese organized crime families pleaded guilty to conspiracy Saturday in what prosecutors call a Mafia plot to infiltrate Louisiana’s video poker business.

“The government made us an offer we couldn’t refuse,” said Joel Winograd, lawyer for John Gammarano, one of the five.

The defendants were accused of using at least four front companies to distribute video poker machines and siphon off profits between 1991 and 1994. People with ties to organized crime are barred from the gambling business in Louisiana.

Four others pleaded guilty previously, six were scheduled to plead guilty Tuesday and four were to go to trial on Sept. 18.

“This has broken the back of the organized crime family in New Orleans, which means the Gulf Coast, too,” said Anthony Radosti, head of a private anti-crime group called the Metropolitan Crime Commission.

The case is not related to an FBI investigation into whether state legislators supported the video poker business in exchange for campaign contributions and a hidden interest in the industry. No one has been charged.

In this case, the men were indicted on charges of racketeering, mail fraud, wire fraud and conducting an illegal gambling business. They could have faced more than 100 years in prison and millions of dollars in restitution.

The conspiracy charge carries penalties of up to 20 years in prison and $250,000 in fines - or up to double the gross gains or victims’ gross losses from the scheme. Sentencing was set for Jan. 13.

Winograd declined to elaborate on the plea agreement and U.S. Attorney Eddie Jordan said a local court rule bars his office from discussing the case.

Those pleading guilty Saturday were:

Joseph Corozzo, 53, of New York, described by prosecutors as a capo, or captain, of the Gambino crime family.

John Gammarano, 54, of New York, an alleged Gambino soldier.

Eugene Gilpin, 58, of New York, an alleged associate of the Genovese crime family.

Joseph Paul Marcello Jr., 71, of New Orleans, brother of the late Carlos Marcello, reputed New Orleans crime lord.

Aaron Mintz, 74, of New Orleans, a furniture dealer allegedly used as figurehead to meet residency requirements for a license.