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Indiana nightclub owner busted for money laundering, other felonies

NEW ALBANY, Ind. (WANE) The owner of an adult entertainment nightclub in southern Indiana is facing multiple felony charges following an investigation that began nearly a year ago.

Indiana State Police and the Indiana Department of Revenue began looking into the operations of the Rustic Frog located in New Albany in April 2022.

As a result of the investigation, it was determined that the Rustic Frog’s owner had been engaged in corrupt business practices and had failed to pay Indiana sales tax amounting to $132,542 over a three year period starting in 2020.

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An arrest warrant was obtained on Thursday and club owner Donald Scott was taken into custody at the Floyd County Jail where he was held without bond.

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Scott faces the following charges:

  1. Corrupt Business Practices – Level 5 Felony
  2. Money Laundering – Level 5 Felony
  3. Money Laundering – Level 6 Felony (2 counts)
  4. Theft – Level 5 Felony
  5. Theft – Level 6 Felony (2 counts)
  6. Failure to Remit Taxes – Level 6 Felony (3 counts)

As reported by WANE 15