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Lawsuit accuses strip clubs, taxis of scam

3 June 2009

LAS VEGAS, Nevada –- A Southern California man is suing dozens of Las Vegas strip clubs, taxi companies and limousine providers, accusing them of running illegal kickback schemes that defraud tourists of millions of dollars.

Theodore Trapp says he boarded a cab at Caesars Palace on Jan. 17 for a trip to a club called Play it Again Sam on Spring Mountain Road.

He claims the driver disparaged the club and offered to take Trapp to a better club.

Trapp says he took the suggestion and was taken to a strip club.

Later, Trapp says he learned the strip club paid the driver as much as $100 in kickbacks for delivering him.

The practice is illegal in Las Vegas.

The lawsuit filed Tuesday in U.S. District Court claims the practice has scammed tourists out of as much as $40 million over the years and seeks to recoup damages as a class action.

Jay Edelson and Rafey Balabanian of KamberEdelson LLC in Chicago and James Smyth II of Kummer Kaempfer Bonner Renshaw & Ferrario are the plaintiffs' attorneys listed on the lawsuit.