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- "There's no such thing as friendship in this business."
- — Carlo Falcone
Born in Sicily in 1905, Carlo Falcone arrived in America in 1913 and quickly fell in with the Moretti family. He ran their bootlegging operation during Prohibition, working with Eddie Scarpa to run alcohol from Canada. Carlo secretly conspired with Frank Vinci to assassinate Tomaso Moretti in 1933, bringing the Vinci-Moretti War to an end and taking control of the Moretti family for himself.
Carlo Falcone owns the The Maltese Falcon, a restaurant in Midtown. It got its name due to his love of detective novels. His underboss Eddie Scarpa runs the day-to-day business of the restaurant, spending most of his time at the bar.
He is known to be a great philanthropist in Empire Bay, as a generous benefactor he took over much of the construction costs of the Zavesky Observatory. Carlo is a ruthless modernizer and an apt strategist who sees the American Mafia as needing to break from its Sicilian traditions. He recognizes that the mob got rich through Prohibition, and that they need a similar revenue stream to stay at peace.
In 1950 an assassination attempt was made on Carlo while he was visiting the Garden of Eden club in Oyster Bay. The attempted hit was carried out by Rocco, one of Carlo's capos, and his crew, in an attempt to take over the family. Eddie Scarpa and Joe Barbaro fought off the attack, then chased Rocco to a construction site and finished him off.
The following year the car carrying Carlo's accountant, Harvey "Beans" Epstein, went missing along with his two guards. Thinking the Clemente Crime Family was making a move on him, Carlo sent Vito Scaletta to follow Luca Gurino, who eventually led Vito to the Clemente Slaughterhouse, where they were keeping the men. After taking out the Clemente men guarding the slaughterhouse, Vito left Tony Balls to finish off Luca to report back to Eddie Scarpa. Upon arriving at the Maltese Falcon, Vito and Joe Barbaro were brought into the Falcone family as made men.
Realizing that selling drugs like heroin and marijuana could provide a steady flow of money into the family, Falcone set up operations to supply Empire Bay. When he found out Alberto Clemente had muscled his way in and was stealing his customers, he sent Vito Scaletta and Joe Barbaro to kill him by bombing his family meeting at the Empire Arms Hotel. This resulted in the deaths of both Clemente and most of his crime family, putting them out of business for good. He then set his sights on taking out Frank Vinci, the last person standing in his way of becoming the only crime family in the city.
The Federal Bureau of Narcotics sent Henry Tomasino into the Falcone crime family to gather information on his operation. It's unclear exactly when Tomasino became an informant, but he managed to supply the feds with enough information that many in Empire Bay were worried. When Triad enforcer Zhe Yun Wong found out about Tomasino through one of his contacts in the bureau, he had him killed. Thinking he was above the law and too powerful to be taken down, Carlo's only concern was that Vito had vouched for a rat.
On September 26th, 1951, Carlo sends orders for Vito Scaletta to meet him at the planetarium, where he intends to kill Vito for vouching for Henry Tomasino and bringing him into his family. As Vito leaves his apartment for the meeting, he is approached by Leo Galante and Mr. Chu. After informing Vito about the seriousness of his present situation, Leo gives him an ultimatum; kill Carlo Falcone or be killed himself.
Meanwhile, Carlo had offered Joe Barbaro the position of capo in his family on the condition that he kill Vito when he arrives; however, once Joe comes face to face with his lifelong friend, he turns on Carlo and helps Vito take him out. After a lengthy firefight Carlo is wounded, and then Vito approaches and slowly shoots him four more times, putting the final bullet in his head.
- Lauretta Ghiraldini (wife)
- Lily Falcone (mother)
- Tomas Falcone (father)
- Xaviero Falcone (brother)
- Anna Falcone (sister)
- He prides himself on his likeness to actor Humphrey Bogart, earning him nicknames like "Bogey" and "Little Humphrey".
- The Frankie Potts files list one of Carlo's aliases as "Blacktop Carl", though no explanation is given for its origin.
- He owns a large mansion in Oyster Bay on Baker Lane. It can be partially seen from Marty's Apartment or you can follow the road to the main gate.
- He owns a glass manufacturing plant in Columbus, Ohio.
- According to Eddie, Carlo loves astronomy, which explains why he funded the building of the planetarium in Hillwood.
- The wine stocked at The Maltese Falcon is Carlo's favorite brand, as bartender Jack Olivero sometimes says when Vito buys wine there.