A man who owns more than 200 strip clubs around the United States filed a lawsuit against the Small Business Administration because he didn't receive any money from the $2 trillion stimulus package, according to the Las Vegas Sun.
Jason Mohney owns a chain of strip clubs called Little Darlings and claims Congress won't qualify him for relief because his business is classified as an operation of “prurient sexual nature.”
His lawsuit contends his business is blocked from these funds because his staff was unfairly discriminated against.
Mohney's lawsuit also names SBA Administrator Jovita Carranza and Treasury Secretary Steven Mnuchin.
“The purpose of these loans is to give money for payroll from businesses to their employees, so to do something like this is just shortchanging the employees themselves,” Mohney said according to the news outlet.
Businesses with fewer than 500 employees could borrow up to $10 million, according to the terms of the stimulus bill. Additionally, the loans would be forgiven if they helped to keep employees on the payroll for eight weeks or if they helped to pay building expenses like rent or utilities.
However, strippers are normally classified as independent contractors, so it's not clear if Mohney qualified for a loan.
Not all adult entertainment businesses have been denied by the SBA. Madam Bella Cummins, who owns Bella's Hacienda Ranch brothel, was notified that she was recently approved for about $70,000, although she didn't receive the money because the program ran out by that time.
“It was a huge milestone because it’s the first time I was approved for anything associated with a grant or part of a package,” Cummins said.
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