Particle.news
Download on the App Store

Former Gambino Enforcer and Englishtown Councilman Arrested on Loansharking and Extortion Charges

Prosecutors say the arrests reveal an alleged loansharking scheme using threats, a business front, prompting scrutiny of how a convicted mob figure was placed in local office.

Overview

  • State police arrested John Alite and Stephen Locrotondo on June 19 after a probe led by the New Jersey Attorney General’s Office and the Division of Criminal Justice.
  • Alite was charged with theft by extortion, corporate misconduct, usury and making terroristic threats while Locrotondo faces usury and conspiracy counts.
  • Court papers allege the pair issued high‑interest loans above New Jersey’s legal rate, used threats to collect debts, and that Alite’s company, Straightened‑Out Entertainment, helped promote the scheme.
  • Searches of Alite’s home reportedly recovered numerous weapons and prosecutors say records show at least $75,000 in alleged proceeds and borrower statements claiming intimidation.
  • Alite’s attorney and Englishtown officials stress his presumption of innocence as the case moves to court, and the arrests are likely to spur local questions about vetting and consumer‑protection enforcement.