Lap Dance Scandal: New York Auditor Indicted in Tax Fraud Scheme
New York's state auditor, Alton Plunkett, faces charges over a bribery scheme involving the parent company of Rick's Cabaret. Allegedly, he accepted lap dances to aid RCI Hospitality Holdings in avoiding over $8 million in taxes. Plunkett denies the charges, as other defendants also claim innocence.
Alton Plunkett, a state auditor in New York, is embroiled in a scandal where he allegedly accepted lap dances to facilitate a tax evasion scheme. The allegations involve the parent company of Rick's Cabaret and imply a fraud spanning over a decade.
Charged by attorney general Letitia James, Plunkett pleaded not guilty to accusations of criminal tax fraud, bribery, and falsifying business records. This development echoes charges against RCI Hospitality Holdings and five executives, who are also under scrutiny for the purported bribery scheme that allegedly helped them evade millions in taxes.
Plunkett's actions reportedly involved arranging favorable audits, influenced by enticing trips to Miami strip clubs. The allegations have had tangible impacts, with RCI's shares plunging after the indictments. Meanwhile, Plunkett's legal proceedings unfold in Manhattan court, amid mounting evidence from emails and text messages suggesting his involvement.
(With inputs from agencies.)
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