A company that owns strip clubs around the country and several of its executives have been charged with bribing a government official with free trips to some of the clubs and thousands of dollars in spending money to avoid paying more than $8 million in sales taxes to New York City and the state of New York, prosecutors said Tuesday.New York Attorney General Letitia James said the alleged scheme by Houston-based RCI Hospitality Holdings and its corporate leaders ran from 2010 to 2024 and involved bribing a New York state tax auditor, in exchange for receiving favorable treatment during at least six tax audits that were performed over a decade.RCI Hospitality, publicly traded on the Nasdaq composite, owns and operates more than 60 clubs and sports bars and restaurants across the county, including Rick's Cabaret establishments located in more than a dozen cities including New York City, according to the company's website.It also owns two other businesses in Manhattan.A 79-count grand jury indictment that was unsealed Tuesday charges RCI, five of its executives and the three clubs in Manhattan with conspiracy, bribery, tax fraud and other crimes.“RCI’s executives shamelessly used their strip clubs to bribe their way out of paying millions of dollars in taxes,” James said in a statement.
“I will always take action to fight corruption and ensure everyone pays their fair share.”Daniel Horwitz, a New York lawyer for RCI, disputed the allegations and said the defendants will fight the charges in court.“We are clearly disappointed with the New York Attorney General’s decision to move forward with an indictment and look forward to addressing the allegations," Horwitz said in a statement."We remind everybody that these indictments contain only allegations, which we believe are baseless.
RCI and the individuals involved are presumed innocent and should be allowed to have their day in court.”Popular ReadsUtah governor says alleged Kirk shooter not cooperating w...