City Atty. Rocky Delgadillo's suit targetscriminals' homes and assets. Defendants include Mexican Mafia leaders Ruben'Nite Owl' Castro and Frank 'Puppet' Martinez.

A first-of-a-kindlawsuit filed Monday by the Los Angeles city attorney seeks cash damages againstleaders of a notorious gang and proposes to distribute their criminal assetsamong residents of crime-plagued neighborhoods.

The lawsuit targets nine imprisoned leaders of the

18th Street

gang, including two leadersof the Mexican Mafia, and demands civil damages on behalf of residents of twocity neighborhoods. If successful, the suit would distribute proceeds fromseized homes, businesses and other assets to neighborhood residents who cannotfile suit themselves because they fear retaliation, prosecutors say.

"Today, we're sending a message to gang leaders across this city: If youbreak the law, we will not only find you, arrest you and put you behind bars,we will also take away your money, your property, your homes and yourcars," City Atty. Rocky Delgadillo said. "Every penny we strip awaywill be returned to the neighborhoods."

Delgadillo said the action is necessary because the gang leaders, even thoughthey are in prison, collect profits from illegal "street taxes"imposed on residents of the Pico-Union and Westlake areas, where drug dealers, storeowners and even ice cream vendors must pay protection.

The suit seeks compensation for all property damage, property devaluation,emotional distress, personal injury, medical expenses and time in whichresidents could not use public parks because of gang activity. <![if !supportLineBreakNewLine]>
<![endif]>

The nine leaders ofthe

18th Street

gang named in the suit are: Sergio "Tricky" Pantoja, Frank"Puppet" Martinez,Araceli "Traviesa" Bravo, Michael"Mousie" Pineda, Jose Juan "Wicked" Alvarez, Noe "LilDuster" Chavez, Efrain "Dandy Boy" Ruiz Torres, Jose "Toro"Morales Perez and Ruben "Nite Owl" Castro.

Castro, 46, is a leader, or carnal, of the Mexican Mafia, also known as the"La Eme" prison gang. Authorities say Castro controls two cliques ofthe

18th Street

gang -- the Shatto Park Locos and the Hoover Locos.

Castro is alleged to have run those gang cliques froma federal maximum-security prison in Colorado, where he is serving multiplelife terms and was recently sentenced to an additional 27 years and threemonths for racketeering. Prosecutors say that from behind bars, Martinez, another La Emecarnal, allegedly made as much as $40,000 a month from criminal activity.Delgadillo said that if a judgment is won against the gang leaders in civilcourt, legitimately acquired assets can also be garnered. He said many of theassets are concealed by relatives and will be aggressively pursued.

At the home of one Martinezrelative, investigators found $444,605 stashed in storage boxes and in a vacuumcleaner bag, according to Bruce Riordan, the city attorney's gang prosecutorand a former federal prosecutor of the

18th Street

gang and Mexican Mafia.

"Included on the bank notes were

18th Street

marks with streets and collectors' names,"he said.

"We have come across investment in juice bars, even," Riordan said.

Another of the nine, Pantoja, owned a local tattoo parlor, Unico's, which was shut down by prosecutors because,authorities said, it was the center of a cocaine sales operation.

State officials have frozen prison accounts of some Pelican Bay State Prisoninmates with large sums on the books.

The gang extorts as much as 30% of the take from some businesses in and around MacArthur Park, Riordan said. A babywas killed last year in that area when, prosecutors said, gang members werethreatening a business owner.

City prosecutors can bring the suit thanks to a newlyenacted state law, which allows them to act on behalf of members of theneighborhoods affected by gang activity and collect monetary damages awarded inspecific civil actions. The law allows such actions in areas with ganginjunctions. The

18th Street

gang is already the subject of five gang injunctions by city prosecutors.

The lawsuit involves neighborhoods covered by two of the five injunctionsagainst the

18th Street

gang. The Pico-Union neighborhood is bounded by

James M. Wood Boulevard

to the north, the110 Freeway to the east, the 10 Freeway to the south and

Hoover Street

to the west. The Westlake neighborhood isbounded by

Beverly Boulevard

to the north, the 110 Freeway to the east,

James M. Wood Boulevard

to the south and

Normandie Avenue

tothe west.

"This prosecution will make this community whole again," LAPD DeputyChief Charlie Beck said.