The IRS Was Closing In On Them
The club owners got arrested for non-licensed alcohol selling. Studio 54 was shuttered until further notice. It was a good thing that they an amazing lawyer by the name of Roy Cohn, who brought them out of prison and got them a liquor license. However, you should keep in mind that he was no ordinary lawyer. He was the lawyer of Senator McCarthy and even worked for Donald Trump at one point. As soon as Rubell and Schrager got out, they felt invincible. The amazing feeling did not last, however. Although they got to enjoy three more years of success, the IRS proved to be too big of an opponent.
The IRS Was Closing In On Them
Cher And Howard Himelstein Bust A Move
It took two dozen IRS agents to seize and retrieve information about the finances of the club. There was an allegation that the owners had been skimming money and keeping large amounts of drugs. Both of the reports turned out to be true. They found drugs in a vault in the club as well as unreported cash. Overall, they had $2.5 million dollars that they did not report. The two served time in prison for fraud, and the club shut down for good in 1980.
Cher And Howard Himelstein Bust A Move
