Judge declares mistrial in mob boss fraud case

NEW YORK — A mistrial was declared on Tuesday in the New York City racketeering trial of a notorious Philadelphia mob boss who had insisted he quit his life of crime after a lengthy prison term.

Jurors at the trial of Joseph “Skinny Joey” Merlino told U.S. District Judge Richard Sullivan in a series of five notes that they were hopelessly deadlocked after nearly days of deliberations.

“Thank God for the jury,” a subdued Merlino told reporters afterward. He declined further comment.

There was no word from the government on whether it would seek another trial.

Prosecutors had alleged that instead of retiring, Merlino muscled his way into gambling and health insurance schemes run by crime families on the East Coast. He used his standing four as a feared figure in the Mafia to demand protection payments from bookies and other underlings running a scheme to collect thousands of dollars of insurance claims by bribing doctors to write phony pain cream prescriptions for people who had no ailments, prosecutors said.

“Being with Merlino did not come for free,” Assistant U.S. Attorney Lauren Schorr said during closing arguments. “You pay tribute.”

Defense attorney Edwin Jacob countered by telling jurors that they were being misled by “compromised” turncoat mobsters who testified against Merlino, including one who made hundreds of hours of secret recordings of him.

“Have you heard anybody say Joseph Merlino is the boss of the Philadelphia mob?” Jacobs asked, referring to tapes played for the jury. “The an-