Frank Costello remains one of organized crime’s most fascinating and enigmatic figures. Known as the “Prime Minister of the Underworld,” this Calabrese-born mobster shaped American organized crime for decades. Yet countless details about his life remain shrouded in mystery or distorted by legend. Here are ten surprising historical facts about the man who built an empire through politics, diplomacy, and ruthless business acumen.

1. His Real Name Wasn’t Frank Costello

Francesco Castiglia arrived in New York from Calabria, Italy in 1895 at age four. He adopted the anglicized surname “Costello” during his early criminal career, a calculated move to appear more assimilated and less identifiable to law enforcement. Remarkably, even associates sometimes called him by his birth name, though publicly he maintained the Costello identity throughout his life. This name change reflected his sophisticated understanding of American culture and how perception shaped criminal operations in a modern society.

2. He Introduced Gambling Syndicates to American Organized Crime

Before Costello’s systematic approach, organized gambling was fragmented and localized. He revolutionized the operation by creating interstate gambling networks, coordinating with Meyer Lansky to establish standardized operations across multiple states. His vision transformed gambling from street-level operations into corporate-style enterprises with layers of management and profit distribution. This innovation generated hundreds of millions in revenue and established the template for modern organized crime financial operations throughout the mid-twentieth century.

3. He Shot Himself in the Head and Survived

On April 2, 1957, Costello was shot in the head outside his Manhattan apartment building. The bullet grazed his skull, causing minor injury but missing vital areas. Remarkably, he identified his shooter as Vincent “The Chin” Gigante, the Genovese family boss, though he later recanted. The incident marked the beginning of Costello’s decline and forced his retreat from organized crime. His survival was medically miraculous, yet it ultimately accelerated the power transition he had long resisted.

4. Costello Owned Half of Las Vegas Before the Mob

While commonly credited to Bugsy Siegel, Costello invested heavily in Las Vegas development in the 1940s, securing controlling interests in multiple casinos. He partnered with legitimate investors and politicians, creating a facade of legitimacy that preceded the Mob’s infamous takeover of the Strip. His financial methods influenced Lansky’s later approach to laundering mob money through casino operations. Costello’s early Vegas investments demonstrated prescient understanding of gambling’s potential in the desert before it became synonymous with organized crime.

5. He Had Direct Lines to New York’s Political Machine

Costello maintained personal relationships with politicians, judges, and law enforcement officials at the highest levels. FBI records indicate he hosted dinners with sitting judges and politicians who accepted his hospitality knowingly. His influence extended to mayoral campaigns, and he reportedly suggested candidates for important judicial positions. This level of political penetration surpassed typical mob corruption, establishing Costello as a kingmaker rather than a mere criminal. His network transformed organized crime from street-level rackets into integrated economic and political power.

6. He Testified Before the Kefauver Committee and Became a Television Star

During the famous Kefauver hearings in 1951, Costello agreed to testify publicly, an unprecedented decision for a mob leader. The televised hearings made him a national celebrity, with millions watching his composed demeanor and evasive testimony. He famously refused to have his face filmed, requesting only his hands appear on camera. The hearings damaged his reputation and increased federal scrutiny, yet Costello’s dignified performance contrasted sharply with typical gangster stereotypes, enhancing his mystique.

7. Frank Costello Structured the National Commission with Lucky Luciano

Working alongside Lucky Luciano, Costello helped establish The Commission, the governing body that regulated organized crime across America. This wasn’t mob mythology—it was documented organizational innovation. The Commission prevented wars between families by establishing territorial agreements and dispute resolution mechanisms. Costello served as a senior statesman on the Commission, earning respect for his negotiation skills and strategic vision. This structure maintained relative peace within organized crime for nearly three decades.

8. He Predicted His Own Replacement Five Years in Advance

In 1955, Costello privately indicated that Carlo Gambino would eventually assume leadership of the Genovese family. He wasn’t forced out immediately but rather orchestrated a planned succession to prevent violent conflict. This demonstrated sophisticated organizational thinking rare in organized crime. Costello’s graceful transition contrasted sharply with the violent power struggles characterizing other families. His foresight prevented a damaging internal war and established Gambino’s legitimate claim to authority.

9. He Built a Legitimate Business Empire Alongside His Criminal Operations

Costello invested in hotels, restaurants, import-export businesses, and real estate throughout New York and Florida. His legitimate enterprises generated substantial income and provided cover for money laundering. Unlike typical mobsters who reinvested profits into criminal enterprises, Costello diversified strategically. His business portfolio created employment, paid taxes on substantial portions of income, and generated political goodwill. This hybrid approach influenced organized crime’s later evolution toward legitimate business integration and foreshadowed modern organized crime’s emphasis on white-collar operations.

10. Costello’s Influence Extended to Hollywood and Entertainment

FBI files document Costello’s relationships with entertainment industry figures, including studio executives, producers, and performers. He attended industry events, financed productions, and maintained friendships with celebrities. His entertainment connections provided additional money laundering opportunities and social legitimacy. Unlike Al Capone, whose criminality was blatant, Costello cultivated an image of sophisticated businessman and philanthropist. His Hollywood connections represented the modern mob’s integration into mainstream American culture during the post-war era.

Frank Costello’s legacy extends far beyond typical mafia history. He represented organized crime’s evolution from brutal street gangs to organized business enterprises with political influence and institutional structure. His strategic innovations in gambling operations, political integration, and business diversification established templates that criminal organizations still employ today. The “Prime Minister of the Underworld” earned his title through intelligence, restraint, and visionary thinking—qualities that distinguished him from more stereotypical mob figures throughout American criminal history.