Attorney General Jennifer Davenport announced that two men were arrested for various crimes including terroristic threats, extortion, usury, and conspiracy.
John Alite, 63, of Englishtown, New Jersey, was arrested on June 19, 2026, and charged with multiple counts of theft by extortion (second degree), corporate misconduct (second degree), usury (second degree), and terroristic threats. It is alleged that Alite made loans in excess of the maximum rate permitted by law and subsequently obtained the property and monies of victims by threatening to commit violent acts. He is also alleged to have misused his corporation, Straightened-Out Entertainment, Inc., to promote his criminal scheme. Alite is a councilman in Englishtown.
Stephen Locrotondo, 67, of Bridgewater, New Jersey, was also arrested today and charged with usury and conspiracy, for allegedly agreeing to receive interest on loans in excess of the maximum rate permitted by law in coordination with Alite.
“These arrests are the result of rigorous investigative work and the strong cooperation between the Division of Criminal Justice and New Jersey State Police, who work tirelessly every day in the pursuit of justice,” said Attorney General Davenport. “Our office is dedicated to ensuring that all businesses conduct themselves fairly and lawfully. The conduct alleged in this case was anything but, and we will work to hold those who cheat and steal accountable.”
“Our commitment to holding offenders accountable and delivering justice for victims does not end with an arrest,” said DCJ Director Theresa L. Hilton. “We remain steadfast in our mission to secure justice for every victim to ensure their voices are heard.”
“The charges in this case, which include theft by extortion, terroristic threats, usury, conspiracy, and corporate misconduct, represent serious allegations involving the use of intimidation, coercion, and unlawful financial practices for personal gain. These offenses strike at the fundamental principles of fairness, accountability, and public trust,” said Jeanne Hengemuhle, Acting Superintendent of the New Jersey State Police. “Today’s arrests reflect the diligent work of detectives committed to uncovering complex criminal activity and pursuing justice on behalf of those impacted. Individuals who seek to enrich themselves through intimidation, exploitation, or abuse of power should expect to be held accountable for their actions.”
Deputy Attorney General Heather Hausleben is prosecuting the case. The case is being investigated by Detective Sergeant Michael Gallant of the New Jersey State Police, Government Services Section, under the supervision of Justin Blackwell, Commanding Officer of the Government Services Section.
All individuals are presumed innocent until proven guilty.
