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City pays for private investigator to get lap dances
May 31, 2005

By SHASTA CLARK
6 News Reporter

KNOXVILLE (WATE) -- The city of Knoxville used tax dollars to pay for lap dances at local strip clubs. It was part of an effort to force adult businesses to adhere to stricter regulations and the city says, in essence, it was money well spent.

The city paid a private investigator nearly $100 an hour to go to adult businesses. Then the city paid for the investigator to get lap dances while he was there.

On April 23rd, private investigator Greg Lundy went to the Mouse's Ear and paid a topless dancer $40 for a lap dance. He tipped her $3.00. The same night, Lundy also went to Th' Katch and paid for another lap dance.

That night, Lundy spent $135 of taxpayers' money on lap dances, beer and cover charges.

And that wasn't his last chance to do it. On April 29th, the city paid for him to visit four more establishments and buy two more lap dances with topless and totally nude dancers. He spent $132 that night.

Adding it all together, Lundy spent a total of $267.

6 News called city law director Morris Kizer to find out why the city paid for this. He wouldn't talk on camera but said on the phone it was his decision to hire Lundy.

Kizer says Lundy put every detail of what happened those nights in an affidavit. He says city council used the affidavit to pass new ordinances demanding stricter regulation of adult businesses.

6 News asked Councilman Rob Frost if he thinks the city should've paid for personal lap dances. "It's a minimal use of taxpayer dollars. I mean, the negative secondary effects that businesses like this cost make this expenditure chump change."

Frost says he thinks the city will be sued over the new ordinance and the private investigator's first hand account will help the city build a stronger case in court.

"You want to build the strongest case possible. And rather than allowing speculation over what the exchange of money really was for, we've got an independent investigator who can come into court and swears this is what happened," Frost says.

6 News called some of the adult businesses. They say they were shocked to learn the city hired a private investigator to visit their establishments. They also say the affidavit that Lundy wrote for city council is inaccurate.