A former mob hitman ran for office, won, then got arrested for loansharking

A notorious mob hitman who once testified against John “Junior” Gotti before cleaning up his life and becoming a councilman in New Jersey has been arrested on extortion and loansharking charges that, if proven, reflect a return to the lifestyle of his youth.

John Alite, 63, was arrested on Friday in New Jersey, where he was sworn in early last year as a councilman in the borough of Englishtown. Released after a court appearance Saturday, Alite is scheduled to return to court for a detention hearing Wednesday.

His attorney, Douglas Anton, responding to an email seeking comment, said he did not want to speak about the case before the next court appearance.

Alite faces multiple counts of extortion, corporate misconduct, loansharking and terroristic threats.

Alite provided loans at exorbitant rates before threatening violence to collect on them, authorities said, citing the discovery in his home of metal knuckles, an expandable baton, six baseball bats and about two dozen knives, including switchblades.

The baseball bats, authorities said, included one stored near his home’s front door and five more in a kitchen storage bench.

An officer of the New Jersey State Police, an investigative arm of the attorney general’s office, said in court papers that it appeared that the weapons found in Alite’s residence were intended for use in collecting debts.

According to court papers, Alite had threatened one person he had lent money to, saying he would strike him across the head with a baseball bat if he didn’t meet his demands.

Alite also had bragged that he had in the past endeavored to “gut” people like “fish,” the court papers said.

In a release, prosecutors said Alite carried out crimes in part through his corporation, Straightened-Out Entertainment Inc.

They said he illegally obtained property and money from his victims by threats of violence in ways that reflected his 2009 testimony at a Gotti trial that ended with a deadlocked jury.

Alite told a Manhattan federal court jury that he killed a childhood friend to earn respect from fellow mobsters.

This story was originally featured on Fortune.com