Landlord sues Las Vegas strip club owner, alleging he runs brothel

The Siegel Group, new owner of the building that houses the Can Can Room, levied several allegations in court papers against club owner Sam Aldabbagh, whose decades-old strip joint behind the under-construction Resorts World Las Vegas offers “world-renowned beauties in the buff” and dancers who provide the “one-on-one attention you desire in our beautiful decorated bedrooms,” its website says.

Among other things, the landlord alleged in the lawsuit that women who apply for a job at the Can Can Room — whose Clark County business license is currently suspended — are “required” to engage in sex acts with Aldabbagh “as part of their ‘interview.’ ”

According to the lawsuit, dancers must engage in sex acts with Aldabbagh and patrons; Aldabbagh “employs a ‘Madam’ as part of his illegal brothel” who screens women for interviews and collects money from customers for sex acts; and the club has VIP Rooms with beds where employees perform sex acts “in exchange for compensation.”

Filed Sept. 5 in District Court, the complaint also alleges that Aldabbagh “is aware of everything that happens” in the Can Can Room, claiming he “closely monitors” the activities through video and audio surveillance.

Court papers in the case show that two employees were arrested this summer on suspicion of soliciting prostitution after Las Vegas detectives conducted a 2 a.m. undercover operation at the club.

Allegations ‘completely false’

Aldabbagh – whose name is also spelled in county records as Aldabagh – could not be reached for comment by phone.

After the Review-Journal emailed him seeking comments for this story, Las Vegas lawyer Tara Popova replied, saying that she represents Aldabbagh and that the “allegations regarding an unlawful business are completely false, and we will vigorously defend against them on all levels until we prevail.”

She added: “We are also considering the appropriate counterclaims” against the landlord and will respond in court in a “matter of weeks.”

The Can Can Room, 3155 Sammy Davis Jr. Drive, sits in a 62,000-square-foot commercial building, just west of the Strip, that Siegel Group founder Steve Siegel acquired in May. The lawsuit against Aldabbagh was filed by the property’s holding company, Siegel Plaza West LLC.

In a letter to Aldabbagh that was included with the lawsuit, Siegel Group general counsel Sean Thueson said the company conducted its “own investigation and obtained additional information,” and he alleged there were “various illegal and criminal activities at the Can Can Room.”

Michael Crandall, senior vice president of The Siegel Group, told the Review-Journal that the company does not comment on pending litigation but that it’s the company’s understanding the club has closed.

Undercover operation

Las Vegas police conducted an undercover operation at the Can Can Room in the early hours of July 19, which led, in part, to two employees being arrested on suspicion of soliciting prostitution, according to a letter dated Aug. 1 from the Metropolitan Police Department to The Siegel Group. The letter is attached to the lawsuit.

Officer Alejandra Zambrano, a Metro spokeswoman, told the Review-Journal on Wednesday that three women were arrested, two on suspicion of soliciting/engaging in prostitution and one on suspicion of one count of possession of drug paraphernalia.

All of the counts are misdemeanors.

The Can Can Room’s business license was suspended July 30, Clark County spokesman Dan Kulin said.

Concerns for Clark County’s business license department and Metro include not only entertainers being arrested on suspicion of soliciting prostitution but also allegations of selling and consuming of alcohol on premises, Kulin said, adding that the club does not have a liquor license.

Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342. Follow @eli_segall on Twitter.

Can Can Room Lawsuit by Las Vegas Review-Journal on Scribd