Lindsay Lohan has been cast as Kim Gotti in the new film "Gotti: Three Generations," which stars John Travolta as John Gotti Sr., her character's father-in-law.
The actress was previously in talks to portray the late mob boss' daughter Victoria but it was reported earlier in the day that she was not longer being considered for the role.
Fiore Films, an independent production company, said in a statement obtained by OnTheRedCarpet.com that Lohan had agreed to a two-picture deal with the firm - "Gotti: Three Generations" and "Mob Street."
"We're very pleased to have Lindsay on-board for both of these films," Marc Fiore, executive producer and producer of the movie and CEO of Fiore Films, said in a statement to OnTheRedCarpet.com.
"She has been very enthusiastic about the Gotti project, and after resuming discussions with her, we were impressed by her commitment to the film and felt she would be a perfect Kim Gotti," he said.
John Gotti was also known as "The Dapper Don" and headed the Gambino crime family. He died in prison at age 61 in 2002 after battling cancer. He was serving a life term for murder, racketeering, extortion and tax evasion.
His 47-year-old son, John Gotti Jr., also known as "Junior" later sold the film rights to Fiore. John Gotti Jr. married Kim Albanese in 1990. They have six children.
"In 1988, at the age of 24, Gotti Jr. became a 'made man,' and was officially inducted into the Mafia, making him the heir-apparent to head the Gambino crime family," Fiore Films' statement said.
Fiore said earlier on Wednesday that he had broken off talks with Lohan because of demands made by her management team, Reuters reported.
The news wire quoted him as saying later: "We had a little rocky road today, but Lindsay definitely revived the situation," adding that Lohan called him personally to plead her case.
John Travolta has voiced his support for Lohan's participation in the film. Lohan appeared at a recent press conference for the film and said that she was very excited to be part of the project.
Others set to star in "Gotti: Three Generations" are Travolta's 11-year-old daughter Ella Bleu and Joe Pesci, who will play John Gotti's right-hand man, Angelo Ruggiero. Production is set to begin in New York the fall and the movie is scheduled to hit theaters in late 2012, Fiore Films' statement said.
"Mob Street" tells of the Italian mafia's involvement in Wall Street and how its members "lived like movie stars, drinking Cristal and walking arm in arm with the most beautiful women in the world," before "everything came crashing down" amid an FBI investigation, according to Fiore Films.
Over the past few years, Lohan, who rose to fame with movies such as "Mean Girls" in 2004, has become more known for her off-screen antics, including a 2007 conviction for drunk driving and cocaine possession. She has been to jail several times and has also undergone numerous stints in rehab for alcohol and drug abuse.
Meanwhile, Lohan is awaiting an April 22 preliminary hearing on another case - the alleged theft of a $2,500 necklace from a jewelry store. Lohan recently rejected plea offers and maintains she is innocent.
During the hearing, prosecutors are expected to present evidence against her and determine if there is enough to warrant a trial. Also, a judge is set to determine if she violated her probation. If it is decided she had, she could return to jail.