Matthews, who beat James Usry, a former school administrator spent a fortune to get elected and then ran up enormous legal bills in a court battle over a recount.

Shapiro told Leonetti about the campaign expenses that he was paying for, such as advertising, signs, handouts, bands, as well as personal and entertainment costs for Matthews.

Matthews was elected mayor of Atlantic City a couple of months before Scarfo went to federal prison in August 1982 on his firearms conviction.

[3] Leonetti and Matthews met privately on several occasions, usually at the apartment of Kenny Shapiro, a Philadelphia wheeler-dealer who was speculating in Atlantic City real estate and would be described by the New Jersey SCI as a Scarfo mob 'financier'.

Both the New Jersey State Police and the FBI set up surveillance of his Seatex office on Atlantic Avenue in Ventnor City, a chemical blending and packaging company that operated around the block, from Scarf Inc. Frank Lentino, a former Teamster who had become a labor organizer for Bartenders Local 54 and Leonetti's conduit for Matthews, introduced him to James Biaco.

As it turned out, the city-owned property was related to an FBI investigation that later resulted in the conviction of Matthews and Scarfo Family associate Frank Lentino.

In the indictment, released by United States Attorney W. Hunt Dumont, Matthews was accused of having close dealings with Nicodemo "Little Nicky" Scarfo for years, dating to before he was mayor.

Matthews allegedly turned a blind eye to the actions of his primary supporters Scarfo and Phillip "Crazy Phil" Leonetti, joining them in shaking down others and concentrating on extorting money from city officials.

[4] By admitting to accepting a $10,000 bribe from an FBI agent posing as a businessman who wanted his help in buying a parcel of city-owned land zoned for casinos on favorable terms, government dropped seven other counts.

Frank Lentino, an associate of the Scarfo crime family and business agent for Local 54 of the Bartenders and Hotel Workers' Union in Atlantic City and Teamsters Local 158 in Philadelphia admitted, even after his retirement, to conspiring with Matthews and reputed organized crime leaders in return for the Mayor's aid in getting a city contract and in favorably purchasing city-owned land zoned for casinos.