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Studio 54/Kino LorberSteve Rubell in front of Studio 54.His name means nothing now to most, but for those who were lucky enough to come of age in New York City in the late 1970s, Steve Rubell was a legend. His Manhattan nightclub, Studio 54, was the envy of the world at least for hip youths, dancers, and celebrities who needed a place to party freely.Studio 54 became a bona fide oasis of music, drugs, and racial harmony for everyone from rock stars and actors to artists and politicians. Regulars included Bianca Jagger, Cher, Andy Warhol, and Liza Minnelli. The club even welcomed some of the worlds most famous stars, like John Lennon and Michael Jackson.But while Rubell had made undeniable history, Studio 54 wouldnt survive the decade. In 1979, he and his business partner Ian Schrager were charged with tax evasion after an investigation into their infamous club revealed shady business practices. They spent over a year in prison, and while Rubell slowly rebuilt his career after his release, his businesses never reached the same heights as Studio 54.This is the story of how Steve Rubells star-studded life came crashing down after three short years as the king of disco paradise.The Early Life Of Steve RubellSteve Rubell was born in New York City on Dec. 2, 1943. He was raised in a Jewish household in Brooklyn, and he went on to study finance at Syracuse University. There, he met Ian Schrager, a fellow member of the Sigma Alpha Mu fraternity.After earning his masters degree, Rubell joined the New York Army National Guard to avoid conscription into the Vietnam War. Then, after a brief stint at a brokerage firm, Rubell began his career as an entrepreneur by running two Steak Loft franchise restaurants.But Steve Rubell wanted something more out of life than selling meals to hungry tourists. So, in the mid-1970s, he teamed up with his old friend Schrager and entered the burgeoning disco market. As Schrager told New York magazine in 1998, We opened Enchanted Garden [a teen disco in Queens] in December 1976. It didnt take very much to get into it, so we just decided, Hey, lets try and do a nightclub.'Adam Scull/PHOTOlink/Alamy Stock PhotoWorkers setting up Studio 54 before the nightclubs grand opening in 1977.Rubell and Schrager rented a space in an old CBS studio on West 54th Street, and in April 1977, Studio 54 opened its doors.The Short-Lived Reign Of Studio 54While many of the most popular nightclubs in New York at the time offered flashy interiors or the most exclusive VIP areas, Studio 54 organically distinguished itself. Rather than letting in only the most promising spenders or finely dressed people, Rubell himself stood outside each night and judged right on the spot who was allowed to enter. If he liked a customers style, energy, and aura, they were welcomed past the clubs famous velvet rope.Zeitgeist FilmsSteve Rubell and Ian Schrager vetting patrons outside of their nightclub in July 1978.We wanted to have only party people, Schrager told the podcast Hospitality Design in 2019. It was nothing to do with wealth or race or creed or color or anything like that We wanted to have people that would be free to party, that women could come there and not be bothered by guys. That a celebrity can come there and not be asked for autographs.The results were nothing short of historic, drawing the most legendary names in music, movies, and culture. Before long, Studio 54 was the place to be in New York City. Mick and Bianca Jagger, Oscar-winning actress Liza Minnelli, and king of pop art Andy Warhol were often seen at the venue alongside celebrities like Calvin Klein, Elizabeth Taylor, Barbra Streisand, and Brooke Shields.John Barrett/PHOTOlink/Alamy Stock PhotoA lively night at Studio 54 in 1978.Studio 54 was only a nightclub, of course, but for the people who defined it with their presence, it was a paradise. Then, in 1978, Steve Rubell purportedly boasted in an interview with New York magazine, Only the mafia does better, but dont tell anybody, as reported by The Times in 2018. That comment, along with Rubells claims that the club had brought in $7 million in its first year alone, sparked an investigation: The businesss tax returns didnt exactly line up with the statements.On Dec. 14, 1978, federal agents raided Studio 54. It was the beginning of the end.The Day The Party DiedAccording to a 1980 article in The New York Times, the raid revealed that Schrager and Rubell had been systemically skimming 40 to 60 percent of the receipts of Studio 54 to evade more than $400,000 in taxes.The men tried to avoid prosecution by offering up information on Hamilton Jordan, President Jimmy Carters chief of staff, who they alleged had snorted cocaine in the club, but they were ultimately found guilty and sentenced to three-and-a-half years behind bars.In February 1980, just days before reporting to prison, Ian Schrager and Steve Rubell threw a massive goodbye party at Studio 54 themed The End of Modern-Day Gomorrah. Diana Ross performed, and, as the Rolling Stone reported in 2017, one attendee recalled that Steve was coked out of his mind. Bianca [Jagger] was hugging him, and he was saying, I love you people! I dont know what Im going to do without Studio!'Getty Images/Charles RuppmannSteve Rubell stands in a ransacked office at Studio 54 after authorities raided the club in December 1978.With that, the three-year reign of Studio 54 came to a dramatic end. Inside Steve Rubells Final YearsRubell was released from prison after just 14 months, but he never returned to Studio 54. He and Schrager had sold the club in December 1980, and while they experimented with several new businesses throughout the 80s, none were as successful as their beloved disco.The men first launched a series of hotels, and then they transformed an old movie theater and concert hall into a nightclub called Palladium in 1985. The same year it opened, Steve Rubell was diagnosed with HIV.Rubell had never publicly come out, but his sexuality was an open secret. And like so many other gay men at the time, he fell victim to the AIDS epidemic that was sweeping the nation in the 1980s.He died four years later at age 45.While Rubells detractors and pearl-clutching onlookers would link his famous nightclub and his ultimate death from AIDS as a shameful lesson about the dangers of drugs and excess, his own people the artists, the dancers, the actors, the painters, the rock stars, the DJs, and the kids who came of age at Studio 54 remembered him as their brother.Album/Alamy Stock PhotoCrowds people gathered in front of Studio 54 hoping to be admitted inside.Studio 54 is long gone, but its legacy has stood the test of time. It was featured in the acclaimed graphic novel Watchmen, inspired the 1998 film 54, and served as the number one place to party for the most celebrated artists of the 20th century. While the club only operated for a few short years in its original form, Studio 54 has had an unparalleled influence on modern nightlife, fashion, and celebrity culture that has endured for decades, inspiring todays entrepreneurs to focus on the people who will always make a place what it is of the world they aspire to build.After learning about the life and death of Steve Rubell, look through 54 decadent photos from the disco era. Then, go inside the summer of 1977 in New York City.The post The Life And Crimes Of Steve Rubell, The Co-Founder Of Studio 54 Who Was Convicted Of Tax Evasion appeared first on All That's Interesting.

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