Ex-Tax Auditor Plunkett Hit with Tax Fraud Charges

New York Attorney General Letitia James has announced the charges against Alton Plunkett, a former auditor with the New York Department of Taxation and Finance, for his involvement in a massive tax fraud scheme with RCI Hospitality Holdings.

Plunkett is accused of accepting bribes from RCI executives, including complimentary trips to their strip clubs, in exchange for avoiding over $8 million in sales taxes between 2010 and 2024. He has been arraigned on multiple charges, including Conspiracy in the Fourth Degree, Bribe Receiving in the Second Degree, Criminal Tax Fraud in the First, Second, and Third Degrees, and Falsifying Business Records in the First Degree.

RCI and five of its employees were indicted earlier this month for their part in the scheme. The investigation revealed that RCI’s top executives authorized and directed the bribes to Plunkett, who received at least 13 trips to Florida with private dances at RCI-owned strip clubs, including Tootsie’s Cabaret.

“Alton Plunkett took numerous bribes to help RCI cheat New Yorkers,” Attorney General James said. “We will ensure all involved in this bribery scheme are held accountable.”

The charges against Plunkett carry a maximum sentence of 25 years in prison if he is convicted on the top count of Criminal Tax Fraud in the First Degree.

The investigation was conducted by the Office of the Attorney General and the State Department of Taxation and Finance, with assistance from the Special Operations Unit.