SALEM – A Danvers man who police say killed his 60-year-old father with a hammer and knife during an incident in their Auburn Street home in Danvers was indicted Friday by an Essex grand jury.Stephen Anastasi, 24, of 2 Auburn St., Danvers, is charged with first-degree murder in the death of his father, John Anastasi, on Nov. 11.John Anastasi, a well-known owner of Farmer John’s, a Gloucester produce market, was found by a neighbor shortly before 10:30 a.m. on a floor with his face down, covered in blankets and bloody towels. A knife was reportedly sticking out of the back of his neck.Investigators allege the elder Anastasi was seated at the kitchen table when his son struck him from behind with a hammer. As he fell to the floor, the defendant allegedly struck his father two more times with the hammer.Stephen Anastasi, who has a history of drug problems, reportedly told police he then left the scene to buy heroin, ingested a bag with a friend then returned to the scene.When he returned a couple hours later, he heard his father making noises so he allegedly stabbed him in the back of the neck and left.The indictment moves the case from Salem District Court, where Anastasi has pleaded innocent, to Salem Superior Court, where he will be re-arraigned next week.Anastasi remains held without bail at Middleton Jail. He faces a potential life sentence in state prison with no chance of parole.Assistant District Attorney John B. Brennan is prosecuting the case for the commonwealth.