Franzese became acquainted with his father's friends such as
Joseph Colombo, and according to Franzese, later became
inducted as a
made man on Halloween night 1975, under acting boss
Tommy DiBella. As part of the ceremony, Franzese took the
blood oath and swore
omerta. He took the oath alongside friend Jimmy Angelino, Joseph Peraino Jr., Salvatore Miciotta, Vito Guzzo Sr., and John Minerva — all of whom except Miciotta died violently over the next 20 years. Franzese was briefly mentored by Colombo soldier Joseph "Joe-Joe" Vitacco (1927–1980). During the late 1970s, Franzese met with future
Gambino crime family boss
John Gotti, who was then a
soldier.
Angelo Ruggiero was also present. Franzese was contacted by a flea market owner who complained that his partner was using and selling drugs at the market in
Bay Ridge, Brooklyn. Franzese agreed to frighten him and become the new partner. Franzese sent Colombo soldier-turned informant Anthony Sarivola and another member who remains unidentified. Gotti however claimed that the scared-off partner was an associate of his. Franzese later expressed admiration for Gotti, citing his strict mobster lifestyle and his overwhelming ego. In 1980, Franzese had become a
caporegime of a crew of 300.
Gasoline bootlegging In 1981, Franzese was contacted by Lawrence Salvatore Iorizzo, who had developed a scheme to defraud the federal government out of gasoline taxes. Iorizzo was being hassled by criminals in California and offered Franzese a percentage if he would defend and solve the issue. The pair set up 18 stock-bearer companies based in Panama. Under law at the time in Panama, gasoline could be sold tax-free from one wholesale company to the next. Franzese partnered with the
Russian Mafia in Brooklyn in the gas scheme. This gasoline supplied between one third and one half of all gasoline sold in the New York metropolitan area. Franzese had claimed that at the height of his career, he generated up to $8 million per week. Revenue officials estimated $250 million in gasoline tax was stolen in New York state per year, before moving on to Florida which was estimated to have lost $40 million to $250 million in stolen gasoline tax. He was referred to as the "Yuppie Don" in the 1980s,
Entertainment, sports management and other businesses During the 1970s, he began to enter the world of legitimate business and by the mid-1980s Franzese had a stronghold on various businesses such as car dealerships, leasing companies, auto repair shops, restaurants, nightclubs, a contractor company, movie production and distribution companies, travel agencies and video stores. By 1980, Franzese was a partner with
booking agent Norby Walters in his firm. Franzese's role was to intimidate existing and prospective clients. Franzese would later testify he provided the initial $50,000 to Walters to start his agency booking company with a 25% share of any profits. Additionally, Franzese would assist with any entertainers Walters had problems with by meeting their agents. In 1981, Franzese successfully extorted a role for Walters in the U.S. tour by singer
Michael Jackson and his brothers. In 1982, the manager for singer
Dionne Warwick wanted to drop Walters as an agent; Franzese met with the manager and persuaded him to keep Walters. Quintana was to give the impression that he was buying his way into the boxing world in order for King to reveal his criminal associations, however the investigation subsequently collapsed after Quintana failed to follow through with several hundred thousand dollars. In 1985, Walters set up a sports management agency with Franzese as a silent partner. At a meeting he agreed to hand over $50,000 in return for a 25 percent interest from the sports agency. Franzese was the president of Miami Gold, a film production company that produced the 1986 film
Knights of the City.
Indictment and prison (1985) In April 1985, Franzese was acquitted of racketeering charges. In another case in December 1985, Franzese was charged in both Florida and New York in regards to
counterfeiting and extortion from the gasoline bootlegging racket. In New York, Franzese was one of nine people indicted on 14 counts. Franzese was sentenced to 10 years in prison and ordered to pay $14.7 million in
restitution on the federal charges, agreeing to sell his assets including a mansion in
Old Brookville, New York, the Miami Gold production company, and use proceeds from the
Knights of the City film. He also was ordered to pay an additional $3 million in restitution to the state of Florida. Walters was found guilty, fined $395,000, and given a sentence of 5 years with the judge in the case citing the importance of Franzese's testimony. After Walters' conviction, Franzese was released from prison on parole after serving 43 months. In September 1990, Walters' conviction was overturned by the
7th Circuit Court of Appeals citing a
technicality. On December 27, 1991, Franzese was sentenced in New York to four years in federal prison for violating the
probation requirements from his 1989 release. While imprisoned in 1991, Franzese became a
born-again Christian after he was given a
Bible by a prison guard. He also spent three years in
solitary confinement. In 1992, Franzese co-authored his first book, an autobiography,
Quitting the Mob. In the book, Franzese discusses his criminal activities, life with his father, and meeting his second wife, Camille Garcia. == After prison (1994–present) ==