The thug who fired the shot that killed Rhys Jones is said to have become a feared prison gang leader.
Sean Mercer reportedly heads up a violent faction within the high-security North East jail HMP Frankland.
The 29-year-old's gang is said to oversee the supply of drugs including marijuana and mind-bending synthetic drug Spice.
Mercer, who has been behind bars for more than a decade , is also claimed to have influence over the distribution of mobile phones - which are illegal behind bars - and alcohol.
A senior prison source has been quoted as saying that Mercer’s gang can charge up to £100 for an A4 size sheet of paper which has been soaked in Spice.
The Daily Star reported that the source said: “Mercer is the drugs kingpin inside Frankland. He controls the trade through fear but never gets his hands dirty.
“He has a network of people working for him on both the inside and outside and he’s making a lot of money.”
Mercer is said to go to the gym every day, enjoy cooking, and is studying for a degree with the Open University.
It has previously been claimed that he has a "cushy" existence at the jail - dubbed Monster Mansion because it houses some of the UK's most notorious prisoners - with access to a TV, games consoles and personal trainer.
A member of the notorious Croxteth Crew, he was jailed for a minimum of 22 years after being convicted over Rhys' death.
The 2007 tragedy had shocked the nation and led to a significant police operation to hold those responsible to account.
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The schoolboy Everton fan had been walking home from football practice, crossing the car park of the Fir Tree pub, when he was caught in the crossfire as then 16-year-old Mercer, then of Good Shepherd Close in Croxteth , fired at gang rivals.
A Ministry of Justice spokesman said that it would not comment on individual prisoners.
