Two New York Clubs Lose Liquor Licenses, One Closes

Two strip clubs in New York have lost their liquor licenses following raids conducted by local police and the FBI.  The police were investigating drug trafficking and prostitution offenses involving dancers and patrons–but not the owners of the clubs.

Rick’s Tally Ho in Cheektowaga, NY, near Buffalo, had its liquor license revoked.  The owner cannot reapply for a new license for a period of two years.  In addition to losing his liquor license, the owner will pay a $10,000 fine.  No criminal activity has been alleged against the owner, Richard Snowden.

The 24KT Gold club on Route 5 in Hamburg had its liquor license canceled.  The owners will pay a $30,000 fine.  The owners, Mark and Christine Whipple,  purchased the club last November.  As a result of losing their liquor license, the club has been closed.  A DJ at the club was arrested on drug charges.  The owners may reopen the club if they get their liquor license back.

There is no detail given regarding the prostitution allegations in any of the news stories.  Whether or not true prostitution was occurring or merely grinding or non-sexual touching is not known at this time.

News stories indicate the prostitution offenses were taking place in private VIP rooms.  I know owners like having private VIP rooms because they make money.  But they are also a liability because even if the clubs have strict rules against prostitution, a few dirty dancers may break the law.  It looks like the owners of these clubs learned the hard way because they have lost their liquor licenses which bring them much of their revenue.  VIP rooms are the bane of the industry.

The Buffalo News 1
The Buffalo News 2

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