- "Your old man begged for his life. Begged. Like a dog."
Carmine Falcone was a mob boss in Gotham City, controlling much of the drug trafficking and illegal activity that happened under his supervision.
Batman Begins
Falcone spent time in prison, sharing a cell with Joe Chill who was there for murdering Thomas and Martha Wayne. Chill learned things about Falcone, and after the mobster was released Chill negotiated his own freedom in exchange for implicating Falcone via the information he had learned. Falcone sent a woman to kill Chill before he could start informing.
Bruce Wayne, the son of Chill's victims, then visited Falcone at his bar, with the intention of showing him that not everyone was afraid of him. Falcone told Wayne that he had absolute power in the city, and Wayne could never understand him enough to challenge him. Falceon had his thugs beat up Wayne and throw him out of the bar.
Several years later, Falcone was approached by Jonathan Crane, who was working for Ra's al Ghul. He agreed to smuggle Crane's drugs into Gotham, in exchange for Crane using his psychiatric credentials to get Falcone's thugs out of hard jail time. Falcone didn't ask questions about Crane's plan, only that the drugs went to the narrows. However one night Falcone was with Arnold Flass when Batman attacked the men and strung Falcone onto a light. He was implicated at the scene of the drug smuggling, and sent to Arkham Asylum for psychiatric evaluation.
Jonathan Crane carried out the assessment, but half way through sprayed him with fear toxin and revealed his alter-ego the Scarecrow. Falcone went insane and was transferred to Crane's secure wing. Later, the Arkham cells were opened and the inmates all escaped. Many were recaptured.