In Little Italy, Umberto's Clam House is known for its ambiance of butcher-block tables and zesty dishes of calamari, scungilli and mussels. It is also notorious as the setting for the final and fatal gun battle of one mobster, Joseph (Crazy Joey) Gallo and as the hangout of a another, Matthew (Matty the Horse) Ianniello, a former Mafia kingpin now in prison.
But after seven years of tight supervision by the Federal Government, the daily management and control of the restaurant soon will be largely returned to Mr. Ianniello's brother, Robert, according to lawyers and officials who are negotiating a court agreement.
A lawyer for Robert Ianniello said the changes are necessary because the Government's intervention in the delicate art of Italian cuisine has brought lean times and red ink to Umberto's.
"What this proves is that the Government has no place in the restaurant business," the lawyer, Gerald Shargel, said in an interview.
Soon after Umberto's opened in early 1972, Mr. Gallo, the leader of a violence-prone faction in the Colombo crime family, was gunned down there on April 7, 1972, while celebrating his 43d birthday. Bullet holes from gunfire exchanged between the assassins and Mr. Gallo's bodyguards remain as scars on the doorway of a tenement on Mulberry Street, directly across the street from the restaurant.
In addition to a conviction in 1988 on racketeering charges, Matthew Ianniello and eight other men were convicted in 1985 on separate charges of skimming $2 million from Umberto's and a number of other Manhattan restaurants and bars. Matthew Ianniello, 73, who was identified by the Federal Bureau of Investigation as a capo in the Genovese crime family, is serving a 13-year prison term for racketeering.
Soon after Umberto's opened in early 1972, Mr. Gallo, the leader of a violence-prone faction in the Colombo crime family, was gunned down there on April 7, 1972, while celebrating his 43d birthday. Bullet holes from gunfire exchanged between the assassins and Mr. Gallo's bodyguards remain as scars on the doorway of a tenement on Mulberry Street, directly across the street from the restaurant.
In addition to a conviction in 1988 on racketeering charges, Matthew Ianniello and eight other men were convicted in 1985 on separate charges of skimming $2 million from Umberto's and a number of other Manhattan restaurants and bars. Matthew Ianniello, 73, who was identified by the Federal Bureau of Investigation as a capo in the Genovese crime family, is serving a 13-year prison term for racketeering.
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