Mob Rules

by Louis Ferrante

  Speaking of Jonathan Swift, I felt like Gulliver, all tied up and stepped on by people much smaller than myself. It was time for me to stand up.

  I decided to unlock the aggressive spirit I’d developed in the Mafia, a world in which I first had to survive before I could succeed.

  Whereas I, lost among the obscure crowd, have had to deploy more knowledge, more calculation and skill merely to survive than has sufficed to rule all the provinces of Spain for a century!

  —Figaro in Pierre Beaumarchais’s The Marriage of Figaro

  I suddenly had a great advantage over these small people; my life experiences were the training ground for success.

  The life I’d lived, which I often regretted, was also the life that taught me how to defend against predators, sniff out a bullshitter, and outfox a snake. It was a life that taught me to be self-reliant, to think big, and to believe in myself.

  In the Mafia, I learned to take the initiative, come up with a new idea, and put it into action. I learned how to communicate with people. To the satisfaction of both parties, I settled beefs between doctors, lawyers, bankers, and brokers, men with impressive academic credentials who lacked the basic ability to talk things out. Having dealt with many and varied people in my past, I could hobnob as easily in polite society as in the ghetto. I could bullshit with a bum or forge an alliance with a banker; I could speak with anyone.

  I also developed a knack for eliminating obstacles. I sometimes pushed them aside; other times, I plowed straight through them.

  There are now no Alps.

  —Napoleon dismissing the largest obstacle on his road to conquering Italy

  (Napoleon was born and raised on the island of Corsica, an island that revered its bandits; this native influence always remained a part of him. And he controlled France like a Mob boss.)

  The Mafia often gets its way by strong-arming people. But more times than not, mobsters accomplish the same end by befriending someone, ingratiating themselves with that person, then simply asking for what they want.

  After re-evaluating my idea of “legit” society, I found that my new clique was a lot like my old clique, less violent but sometimes more cunning. I continued to practice the civil aspects of Mafia life, ditched the rest, and success followed. The ancients would’ve been proud; I was a contemporary testament to the Spartan “Thief Theory.”

  Today I dedicate my life to helping people. My memoir, Unlocked, has reached readers all over the world, and I receive a constant flow of fan mail from people who tell me that my book has changed their lives. I’ve appeared on television in over two hundred countries and speak before various audiences, from hardened cons to probation officers, from youth groups to senior citizens, from colleges and universities to business organizations and library conferences.

  Like the Homeric Greeks, Talmudic Jews, and Native American storytellers, older mobsters use the oral tradition to school their young and hand down the seasoned wisdom of the streets. Throughout this book, I continue the age-old tradition of storytelling to convey that wisdom. When appropriate, I supplement Mafia stories with historical anecdotes to emphasize that any lesson can be universally applied and that nothing changes under the sun. If you learn what happened yesterday, you’ll be prepared for what’s bound to happen tomorrow. I’ve also interspersed relevant quotes throughout the text to reinforce a point and encourage further reading.

  This book is designed to teach the better attributes of La Cosa Nostra, so that Our Thing can become Your Thing.

  INTRODUCTION

  THE Mafia is the longest-running corporation in history. It thrives along with other companies during prosperous times and flourishes even more in periods of economic decline. Bear or bull makes no difference to the Mafia.

  Al Capone’s soup kitchens fed thousands every day during the Great Depression. Why was Al able to dish out all that soup? How were Bugsy Siegel and Meyer Lansky able to visualize a multibillion-dollar resort called Las Vegas when their more legitimate contemporaries saw only a sleepy little desert town? Why, at this moment of deep economic uncertainty, is the Mob thriving, scooping up real estate across the country while millions fight foreclosure?

  The fact is, for all the Mob’s well-deserved reputation for violence, its most successful members have always been remarkably astute businessmen, bringing to the table an uncommon brand of entrepreneurial acumen—even a set of strong values, born of their unique background.

  Mr. Persico . . . you are one of the most intelligent people I have ever seen in my life.

  —Judge John F. Keenan’s comment on Don Carmine Persico’s pro se courtroom performance

  These individuals would have succeeded in any field they chose, and indeed many built their fortunes in ventures far removed from organized crime. They applied their street smarts to legal enterprise and earned millions doing so.

  His intelligence and personality might have served him well in legitimate business.

  —Judge Joanna Seybert’s comment at the sentencing of Don Alphonse “Allie Boy” Persico, son and successor of Don Carmine Persico

  Accustomed to a daily struggle for supremacy, mobsters are well prepared to triumph in any sphere and under any circumstances. Mobsters who have successfully crossed over into the straight world have done so by retaining their aggressive nature, but tempering it so as not to frighten people out of doing business with them entirely. Their typical bullying tactics are supplanted by rocklike firmness combined with charismatic persuasion. In short, they ditch the guns and daggers while dressing up their other Darwinian traits.

  Mafia families are cut from a special kind of human cloth: they include people of especially strong aggressive and predatory tendencies.

  —Pino Arlacchi, Mafia Business

  Some mobsters I’ve known have gone legit but taken a bit longer to shed their Mafia skin. At the start, they bully and frighten off their competition, and force others into doing business with them—or else. It’s tough to shake old habits. However, even for these men, legitimate success inevitably leads to a complete disavowal of criminal behavior. Why risk jail time when such a vast fortune is at stake? Why act like a hoodlum if you don’t have to? Why build an empire and destroy it with fraud?

  Many would think that even if a mobster refrains from using coercion in the business world, the threat is implied because of his background. Thus, not much has to be said or done to gain a foothold in a particular neighborhood, acquire a contract, or negotiate a sweetheart deal. True, some mobsters enjoy the benefits of their reputations. But just as many go to great lengths to conceal their underworld credentials.

  For twenty years, no one in my neighborhood of Flushing, Queens, knew that the local Key Food supermarket was owned by a top mobster until newspapers leaked the story. In fact, Gambino capo Patsy Conte owned several supermarkets, and sat on the board of directors for the Key Food supermarket chain.

  Conte never said, “Buy my food or else!” Instead, he sat in an office quietly figuring out whom to appoint to management, what products to sell the consumer, and where to source the freshest meat and produce at the lowest cost. Conte kept hundreds, if not thousands, of people employed. Not bad for a mobster, huh?

  I could name a dozen large, successful companies off the top of my head that are owned or largely run by both active and former mobsters. For all appearances, the companies are legit; none endorse Mafia policies, yet they owe their prosperity to Mafia savvy, polished and honed for honest use.

  Armed with only strong, likable personalities, mobsters have gained entry into plenty of surprising places.

  Some of them, except for the criminal part of their life, can be very nice people.

  —Former New York City mayor Rudolph Giuliani

  The Mafia didn’t shoot their way into Vatican City but oversaw the finances of the Catholic Church in 1971. Their profitable run came to an end only in 1978, after the suspicious death of a pope.

  President Jimmy Carter unwittingly named reputed Gambino
capo Anthony Scotto as a candidate for secretary of labor. Ronald Reagan’s secretary of labor, Ray Donovan, was acquitted in a trial that linked him to New York’s Genovese family. I’m not sure if Reagan realized how close to home his words were when he said, “Today, the power of organized crime reaches into every segment of our society.”

  How does a mobster, a mere street thug dressed in a suit with a splash of cologne, work his way into the Vatican or the White House or onto the board of a supermarket chain?

  If we shed our prejudices, we’ll find that successful mobsters are not unlike top business or political leaders. The Mafia shares the same power structure as any government or corporation, and the same savvy is needed to climb the ladder of all three organizations. Many key government posts are filled by corporate successes; their transitions into government are smooth because the essential qualities needed for success, once understood and attained, can be applied in any field.

  Because human nature is constant, a person who acquires diplomatic skills and leadership qualities and can motivate others can succeed in any organization, whether government, corporate, or Mafia.

  If you’re a student of political science or business administration, or just eager to succeed, it’s worth a look at the black sheep of this power trio: the Mafia.

  These criminal gangs have such power that they constitute a government within a government in this country.

  —Kefauver Committee hearings on organized crime, 1950–51

  Colombo capo Thomas Petrizzo dropped out of school at sixteen. He failed at every business attempt he made into his forties. By then, he’d gained enough street smarts to succeed in any venture, eventually supplying steel for major construction projects and earning over $50 million a year. When Petrizzo was arrested on racketeering charges, his colleagues in the steel industry were astonished.

  One of our nation’s top steel executives said, “[Petrizzo] was one of the most sincere and honest people I ever met in this business; his services and word were like gold.”

  “His word is gold” is a key phrase used in the Mob whenever vouching for someone or passing on a verbal résumé. Whoever achieves this triple-A rating will inevitably meet with prosperity.

  My word is better than anything else I got to offer.

  —Salvatore Profaci, capo and son of Joe Profaci, founder of what would become known as the Colombo family

  Petrizzo played a large part in constructing some of the biggest projects in New York: the World Financial Center, the IBM Building, South Street Seaport, and Battery Park City, to name a few.

  In fact, every construction boom in New York has been spearheaded by Mafia-owned or -associated companies. The rapid growth of Manhattan’s concrete skyline would have been seriously stunted without the Mob’s contractors, earth-moving machinery, and smooth union leadership. In the 1980s, a study by New York State’s Organized Crime Task Force concluded that our nation’s top building developers preferred doing business with the Mafia over legitimate but mercurial union leaders.

  The success of the Mafia depends upon the excellence of its services; . . . [and] the loyalty of its millions of satisfied customers.

  —Nicholas Pileggi, The Saturday Evening Post

  At every construction site in New York, a million little corruptions take place behind the dirt heap, each worthy of its own headline. But above these whispers and the passing of envelopes, another skyscraper rises in Manhattan. The capital of the world, home of the United Nations, and backdrop for the Statue of Liberty was built in large part by hardworking immigrants—under the secret leadership of La Cosa Nostra.

  PART I

  LESSONS FOR A SOLDIER (EMPLOYEE)

  Good morning, gentlemen, and anyone listening. This is the nine o’clock meeting of the Chicago underworld.

  —Murray “The Camel” Humphreys, general counsel for the Chicago Mafia

  LESSON 1

  Make Them an Offer They Can’t Refuse: A Surefire Way to Get Hired

  HOW does someone get in with the Mafia?

  First, you have to want in, like any other potential employee who wants a job. In New York, it helps if someone in your immediate family belongs to one of the five crime families, like your dad or uncle. If so, chances are you’ll end up in that particular family.

  If your immediate family has no Mafia ties, and mine didn’t, you’re a cowboy, street guy, or free agent.

  The Mafia has headhunters everywhere, just like corporations. If you’re a street earner with a good name, a mobster from any one of the five families will find you. Once you’re found, the mobster will put a “claim” on you. But the claim has mutual benefits. The mobster acquires a new source of income, while the street earner is invested with the collective power of the family, allowing him the potential to earn more than he ever did independently.

  Unlike in the corporate world, once claimed, i.e. hired, you don’t get a weekly paycheck, medical benefits, paid vacation, or sick days. You get shit, only a piece of what you earn.

  What boss wouldn’t hire a worker who expects to keep only a percentage of what he or she earns?

  Tell any potential employer you don’t want a paycheck, zilch, only a piece of what you earn, and you won’t have to sit through many job interviews. Sure, some top companies might reject your offer if they’re too selective, but a company that’s hungry won’t.

  If you think this Mafia hiring method doesn’t apply to the corporate world, you’re wrong.

  I once stood up for a rich Wall Street guy on a beef. After I straightened it out, he had his limo pick us up and drive us to Atlantic City. On the way there, I asked him how he got his start on Wall Street.

  He said that he started at a brokerage firm on Long Island. “I walked in off the street and asked for the manager,” he explained. “All I wanted was a chance to prove myself. No set salary, just one month with a desk and a phone.”

  The manager was amused by his chutzpah and told him to start as a cold-caller since he hadn’t yet taken the Series 7 exam qualifying him as a stockbroker. In that first month, his leads generated over ten thousand bucks in brokerage fees for the firm. Before his first year was up, he passed the broker’s exam and became the company’s top earner.

  He exuded confidence, and the manager who hired him saw that self-confidence translating into profit.

  [Chris] Rosenberg was a small-time drug dealer but DeMeo liked his style. Chris was tenacious, cocky, and determined to make a sale.

  —Mobsters: Roy DeMeo

  I laughed, and said to him, “We start out the same way in the Mob, strictly commission.”

  I once read that Warren Buffett, one of the world’s richest men, started out just like us, offering his sweat for a small piece of what he earned for the company. Imagine hiring Warren Buffett for beans?

  Confidence is an asset, something that doesn’t show on a résumé. Make contact with people. Show your ambition. Let them know you’re a go-getter. Everyone’s looking for a good investment; that next investment should be you.

  LESSON 2

  It’s the Principle!: When to Make a Point

  THIS guy Alex owned a restaurant in Manhattan. He bet football and got in over his head with a bookie I knew.

  Every night, Alex’s restaurant was packed, reservations only, yet he continued to claim that he didn’t have my friend’s payments. So the bookie sent three bruisers to wreck his joint.

  “I don’t care if he offers you cash on the spot,” the bookie told the bruisers before they left for the restaurant. “It’s too late; it’s now a question of principle.”

  Sure enough, Alex tried to square up with the three bruisers as soon as they walked in, just before closing time. Following my friend’s orders, the bruisers refused Alex’s cash and wrecked the place.

  Alex eventually paid his debt. I asked my friend why he didn’t accept the cash the night Alex had offered it. With hundreds of debtors, he explained to me, it was best to have a reputation as a businessman who stands on pr
inciple.

  “If a bank never repossessed a car,” he told me, “who would make a car payment?”

  Most of us operate with a “take the money and run” attitude. How many of us are willing to stand on principle and accept a short-term loss to reap long-term benefits?

  We can’t be letting these fucking assholes play us for fools. That gets around on the street, we’re out of business.

  —Mobster Carmine Genovese

  Don Salvatore Maranzano was one of the first American Mafia bosses. He studied the Roman Empire and structured his crime family after the old Roman legions, with capos, or captains, assuming the role of legates, men who rule over a legion of soldiers. He even emulated Julius Caesar, establishing himself as emperor over his captains. Ironically, Maranzano was assassinated by his own men, just like his role model Caesar. But while in power, Maranzano stood firm on principle, also like Caesar.

  Julius Caesar seized power in Rome after a bloody civil war against his arch-nemesis Pompey. After losing the war, Pompey sought refuge in Egypt. When Pompey arrived there, he was viciously murdered. The assassins then presented his head as a gift to Caesar.

  You’d think Caesar would’ve been flattered by foreigners going to such lengths to please him, presenting him with the head of his enemy. Instead, Caesar promptly put Pompey’s assassins to death. To Caesar, it was a question of principle. Although Pompey was his sworn enemy, he was still a Roman citizen, and no one had the right to take the life of a Roman citizen except the Roman government, i.e. Caesar. Had Caesar condoned the murder of a Roman citizen, where would it end?

  The Mafia, like Caesar, avenges the unsanctioned death of a member, even if that member was hated and had it coming. Because of this, very few members have been murdered without a boss’s permission.