A longtime employee of the Crazy Horse Too Gentlemen's Club was the last of 17 people to accept a group plea agreement this week, ending a lengthy criminal investigation of the business and its employees.
Attorney John McNicholas said his client, floorman Steve Alberts, submitted his signed plea agreement moments before the deal was to expire Friday evening. McNicholas said Assistant U.S. Attorney Eric Johnson informed him that everyone else had signed their agreements.
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Tony Sgro, the attorney representing club owner Rick Rizzolo, said he also spoke with the prosecutor late Friday.
"I've been advised the deal is done," Sgro said.
Johnson has refused to comment on the group deal, which required the signatures of all 17 suspects to become valid. Plea hearings for the defendants have not been scheduled.
Albert Rapuano, general manager of the topless club, also accepted a plea agreement late Friday.
"To my knowledge, everybody is down. Everybody is taking the deal," said Rapuano's attorney, John Momot.
Both Alberts and Rapuano agreed to plead guilty to conspiracy to evade taxes, a felony. Their deals call for them to receive a maximum prison term of 16 months.
Rizzolo signed a plea agreement earlier this week in which he agreed to plead guilty to the same charge.
Sgro said Rizzolo admitted by signing his plea agreement that "he afforded an opportunity to his employees to receive cash and report that income inaccurately."
Sgro said authorities have been investigating Rizzolo since at least 1995, when they began using wiretaps to gather information about him.
In February 2003, dozens of law enforcement officers raided his club at 2476 Industrial Road. Authorities closed the business while they conducted an 11-hour search of its premises and nearby storage units.
Sgro said authorities also searched the club in late 2001.
In January 2005, shift manager Robert D'Apice was arrested at the Crazy Horse on racketeering and tax evasion charges. A federal indictment accused him and unnamed others at the club of using force to compel customers to pay disputed charges.
The indictment cited the September 2001 incident in which Kansas City tourist Kirk Henry was paralyzed from the chest down. In a lawsuit, Henry alleges that D'Apice broke his neck outside the club.
D'Apice's lawyer, Michael Cristalli, said his client signed a plea agreement Thursday, and it was sent to the U.S. attorney's office Friday.
Cristalli said the deal calls for D'Apice to plead guilty to conspiracy to participating in an enterprise engaged in racketeering activity, a felony, and to receive a prison sentence in the range of 37 to 46 months.
Cristalli said the deal requires his client to admit that he was involved in at least two "extortionate acts" in the course of his work as a shift manager at the Crazy Horse.
Cristalli said the plea agreement includes the following statement: "Although defendant denies causing permanent or life-threatening injury to any patron of the Crazy Horse Too, defendant concedes that the government could present evidence sufficient to establish for purposes of sentencing, by a preponderance of the evidence, that at least one extortion caused such injury."
Like the agreements of Alberts and Rapuano, Rizzolo's deal limits his prison time to 16 months. However, Rizzolo's deal requires him to pay $10 million to Henry, $5 million in fines and forfeiture, and $1.7 million to settle his tax liability.
Sgro said Rizzolo has agreed to sell the Crazy Horse within a year to pay off his debts.
Sgro said prosecutors have agreed, as part of their deal with Rizzolo, not to pursue criminal charges against his sister, Annette; brother, Ralph; or father, Bart.
Attorney Donald Campbell, who represents Henry in his civil case, has refused to comment on the plea agreements in the criminal case.
David Chesnoff, the attorney representing reputed mob soldier Vincent Faraci, said his client accepted the same deal as Alberts and Rapuano.
"I think it was a well-reasoned settlement by Nevada defense lawyers with Nevada prosecutors," Chesnoff said. "There was mutual respect between all the parties."
Attorney John Spilotro said his client, former shift manager Rocco "Rocky" Lombardo, accepted his plea agreement late Friday. Spilotro said Lombardo, the brother of reputed Chicago mob boss Joseph "Joey the Clown" Lombardo, has agreed to plead guilty to a felony tax charge.
"We are hoping for probation," said Spilotro, who said Rocco Lombardo is retired and in poor health.