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The Future of Las Vegas’ Gay Nightclub Krave: Bankruptcy

The owners of Krave, the 17,000-square-foot club that’s about the only thing Las Vegas’s strip has to offer in the way of gay nightlife, has filed for bankruptcy protection.

That doesn’t mean Sia Amiri and Kelly Murphy’s go-go boy fest is disappearing anytime soon; just that he’d like some extra time paying his bills, given how badly the recession has hit all things Vegas. “The company listed assets of $153,416 against liabilities of $3.5 million — including some $485,000 owed to the Nevada Department of Taxation and Division of Industrial Relations for sales, entertainment and unemployment taxes; and about $601,000 owed to the IRS for payroll taxes,” reports the Las Vegas Sun. “Another $847,000 in back rent is owed to landlord IRALP Inc., the bankruptcy filing says.”

(Photo via)

By:           editor editor
On:           Jan 19, 2010
Tagged: , , , ,

  • 41 Comments
    • Lady Ga-Gasp
      Lady Ga-Gasp

      Well, you know… its a cash business.

      Jan 19, 2010 at 2:33 pm · @ReplyReply to this comment ·
    • Mike in Asheville, nee "in Brooklyn"
      Mike in Asheville, nee "in Brooklyn"

      “Soon” is a relative term. Under Chapter 11 bankruptcy, past due payroll, sales and income taxes are not dischargeable, so that $1.1 million is still owing. And, if you want to maintain a lease agreement, you are required to be current on leases you intend to keep. So, to stay in their existing location, the owners will have to pony up the $850k in back rent OR relocate to a new venue (and have to pay the discharged amount of back rent).

      Thats a lot of cash required to stay put, $2 million. Then there is the remaining $1.5 million owing to vendors. I’d guess that if they pay off their invoices for booze, they won’t be getting new deliveries. While that is negotiable, some money will have to be made available.

      What ever happened to ‘Viva Las Gay-gas?”

      Jan 19, 2010 at 3:30 pm · @ReplyReply to this comment ·
    • dontblamemeivotedforhillary
      dontblamemeivotedforhillary

      The celebrities, fag handbags and gay-for-pay’s helped ruin Krave. Perhaps the smaller bars for the locals will thrive and gays will actually get to know your name. Change is always happening and the Roxy-type era is clearly over! Krave’s Krash is Inevitable!

      Jan 19, 2010 at 5:14 pm · @ReplyReply to this comment ·
    • Toro Castano
      Toro Castano

      Where are James and Penny/Hope going to perform now?!

      Jan 19, 2010 at 8:59 pm · @ReplyReply to this comment ·
    • Daniel
      Daniel

      @Toro Castano: hahaha, yes!!! I was hoping someone would comment with a Showgirls reference when I read this headline!

      Jan 19, 2010 at 11:07 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S.

      That’s interesting as Kelly Murphy was arrested by the FBI in San Antonio, TX in 1994 for fraud and sentenced to 2 years in federal prison. Seems like someone has been sucking cash out of Krave. You wouldnt know it by the crowds. How could they not afford their bills with that location and that crowd? Ask Kelly Murphy, Chief Financial Officer of Krave.

      Jan 20, 2010 at 3:25 am · @ReplyReply to this comment ·
    • Bob Lablah
      Bob Lablah

      @Mistress Mom: I believe your post. My question/belief is it seems hard to believe that whoever approved the loan was not in on the scam.

      How could that social security number alone not given off a red flag? It seems (or at least one would think) the birth date would have come up with the SSN when a check was performed.

      And this guy was handed a check without the bank securing the cars first? Too many “flaming” red flags were waving and the loan officer ignored them all. The FBI should have checked for a safe deposit box in the name of that loan officer. I bet it is overflowing with cash.

      Jan 20, 2010 at 9:37 am · @ReplyReply to this comment ·
    • Mistress Mom
      Mistress Mom

      @Bob Lablah Im sure there were “Flaming” :) Red Flags but as we have all seen over the past few years with the mortgage debacle, its not hard to defraud a bank. The banks stupidity shouldnt negate from the fact that Kelly Murphy stole from them, then lied to the FBI and spent two years in Federal Prison.

      It would be interesting to know some of the other businesses he has been involved in…

      Jan 20, 2010 at 12:00 pm · @ReplyReply to this comment ·
    • Mistress Mom
      Mistress Mom

      @Bob Lablah:

      @Bob Lablah Im sure there were “Flaming” :) Red Flags but as we have all seen over the past few years with the mortgage debacle, its not hard to defraud a bank. The banks stupidity shouldnt negate from the fact that Kelly Murphy stole from them, then lied to the FBI and spent two years in Federal Prison.

      It would be interesting to know some of the other businesses he has been involved in…

      Jan 20, 2010 at 12:01 pm · @ReplyReply to this comment ·
    • Lecolle
      Lecolle

      Aaaah boys, don’t just pick on Kelly! Do your research, Bill Huggins and his partner Sia Amiri just did a Bankruptcy on their Los Angeles Restuarant, Ummba a few months ago. They run up debt, then BK! And Sia is being sued by the partners for fraud! I think Krave was in trouble from day one!

      Jan 20, 2010 at 6:52 pm · @ReplyReply to this comment ·
    • Mistress Mom
      Mistress Mom

      @Lecolle: so they are all criminals? half the creditors on the BK filing look to be Sia and Kelly totaling around 1.7MM in debt. Why would they do that and not disclose management as creditors?

      Jan 21, 2010 at 6:51 am · @ReplyReply to this comment ·
    • jason
      jason

      Why do we even need Krave? We should be able to go to any nightclub and be ourselves. We should be taking legal action against any Vegas club that refuses us entry or discriminates against us in any way.

      Jan 21, 2010 at 7:25 am · @ReplyReply to this comment ·
    • Lisa
      Lisa

      Kelly Murphy should be arrested for theft. He has taken $ from krave and from garnishments that were to be sent to child support agencies across the US and they have never made it to child support this has been going on for several months and I know first hand. My ex would never deprive his daughter of anything and I have seen his pay stubs so I know Krave took the $ out and I know Kelly was the one who was to wire the $ to child support and continuously it never got there!

      Jan 21, 2010 at 9:12 pm · @ReplyReply to this comment ·
    • Lisa
      Lisa

      I have been thinking and feeling sorry for everyone involved in this issue…I do not wish anyone any harm or problems due to Krave filing chapter 11. No one deserves to be out of jobs in this job market.
      I just wish those involved would repay what they can especially to those who have suffered loss of license, wages, visitation etc. due to delinquent child support. I do not blame Kelly since his past history should have enlighted krave prior to them putting him in that position. Who really knows the true story, anyone can be accused of anything and since he is a father I have to think he would put his children first, or at least I want to believe that. I just ask that they make good on the small amounts they owe don’t put others in bad positions when it isn’t necessary. The owners have shown when they are put in a corner they have come forward and put some funds towards paying off these debts (showing they admit it is their fault) well just stop now and start doing the right thing….

      Jan 21, 2010 at 10:18 pm · @ReplyReply to this comment ·
    • Lecolle
      Lecolle

      I don’t know why everyone is blaming Kelly, he hasn’t paid any attention to Krave since he got his new boyfriend, or GoGo Boy! And I say good for him! Krave is a big business and trust me it takes a lot of people to make things happen. Where is Sia in all of this? LA? Get Kelly paying attention again and Krave will rock!

      Jan 22, 2010 at 1:49 am · @ReplyReply to this comment ·
    • beachbody
      beachbody

      @Lecolle: are u lecolle@aol? do u know your email is attached to hundreds and hundreds of thousands dollars of fraudulent wire transfers?

      Jan 28, 2010 at 4:56 pm · @ReplyReply to this comment ·
    • beachbody
      beachbody

      @Lisa: … Lisa, do you know that Kelly Murphy and his go-go boy Daniel were selling wallpapers and chairs around the town two years ago? U right on with your comment, gal!

      Jan 28, 2010 at 5:09 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S. [Different person #1 using similar name]

      lecolle@aol.com is a known alias of Kelly Murphy.

      Jan 28, 2010 at 5:20 pm · @ReplyReply to this comment ·
    • wormwilly
      wormwilly

      wow, i just saw some a posting about Kelly Murphy. I hope he stays calm because the heat is going to get turned up. I used to work for Murphy at Rancho that he bankrupted and I know that he personally went bk in San Bernardino.

      Jan 28, 2010 at 11:08 pm · @ReplyReply to this comment ·
    • closeoutc
      closeoutc

      beachbody, are u talking about Daniel Harris that was Murphys bag boy, blond hair, blue eyes, front boy who was covering for Murphy? Ha, thats interesting. Maybe Harris will do time for Murphys neferious deeds.

      Jan 28, 2010 at 11:35 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S. [Different person #1 using similar name]

      @Lecolle: how come you stopped posting?

      Jan 29, 2010 at 1:39 pm · @ReplyReply to this comment ·
    • beachbody
      beachbody

      @Simon S.: simon s, lecolle is Robert Trask aka Kelly Murphy. Time is running short for lecolle, everyone is on his game. The only thing he will be rocking is his jail cell.

      Jan 29, 2010 at 8:57 pm · @ReplyReply to this comment ·
    • wormwilly
      wormwilly

      @beachbody: how about Dan Harris? His name has come up on many shared bank accounts. MayBE he will be joining Kelly’s jailhouse rock…ha-ha.

      Jan 29, 2010 at 9:07 pm · @ReplyReply to this comment ·
    • traskcolt
      traskcolt

      get your motor running

      Jan 29, 2010 at 9:22 pm · @ReplyReply to this comment ·
    • vjarea52
      vjarea52

      Wow. Anyone know that kelly murphy had most of his tech crew organize with local 720 IATSE entertainment union? In a 4-3 vote in favor of unionizing, murphy appealed the case & got 2 votes removed because he challenged the merit of pay stubs and W2’s He and Kim conspired on… The bartenders went union. Amazing jonathan employed me and kelly had fired me because I joined the union vote. I testified against him. This guy has screwed over way too many lives.

      Feb 5, 2010 at 5:36 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S. [Different person #1 using similar name]

      @vjarea52: too many might be an understatement…

      Feb 6, 2010 at 8:14 pm · @ReplyReply to this comment ·
    • beachbody
      beachbody

      The history of Kelly Murphy for over 25 years has been stealing from people, not only Krave Entertainment is in the bk, so is Via Show that Murphy was CFO for. Prior to that there are numerous bankruptcies he was associated with. How long does it take for everyone to wake up and realize this man Kelly Murphy is a criminal…?

      Feb 6, 2010 at 8:22 pm · @ReplyReply to this comment ·
    • M4MnVEGAS
      M4MnVEGAS

      Kelly is a douche, he screws over everyone. how does a felon acquire a liquor license? how many people are going to be out of a job when his house of cards crumble? krave was fun well it lasted…

      Feb 6, 2010 at 8:22 pm · @ReplyReply to this comment ·
    • wormwilly
      wormwilly

      @beachbody: Yes, I know, people dont get it about Kelly Murphy! He bk Rancho Home Improvement and was sued for fraud by his shareholders. Yes, the house of cards starting to crumble, you watch, Murphy and his ex-boyfriend Daniel Harris…

      Feb 6, 2010 at 8:28 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S. [Different person #1 using similar name]

      @M4MnVEGAS: Kelly didnt put his name on any of the paper work. Sia signed on all of it…

      Feb 9, 2010 at 1:17 am · @ReplyReply to this comment ·
    • John D.
      John D.

      Really people? I just did a search in the Texas Department of Public Safety database, and found No Records matching Kelly Murphy description. I am inclined to believe that “Simon S” is a disgruntled ex employee or ex boyfriend, either way I am wondering why he is so hard up for Kelly Murphy and why he is spreading these apparent lies? Kelly is not always a nice person and some times I have called him disparaging names in the past as I have worked for him too. The man is a very smart, no bull shit kind of guy. But while I worked for him I saw the man work harder than everyone in the organization to keep Krave the best place for every gay man to enjoy a night out, get laid, and meet new amazing people. The problems with Krave were there before Kelly took over the running of Krave/Harmon Theater. Since Kelly has been at Krave the average attendance on a Saturday night has doubled in great part to him. While the economy has really hit Vegas hard it has hit hard at Krave too and that really is not Kelly Murphy’s fault. I my humble opinion Kelly is the reason that anyone at Krave has a job… point blank. And On a Side Note: Daniel Harris is a great guy that works really hard to make this world a better place and for the record he was not even in a relationship with Kelly Murphy when he got involved with Krave.

      Feb 15, 2010 at 6:32 pm · @ReplyReply to this comment ·
    • Simon S.
      Simon S. [Different person #1 using similar name]

      San Antonio Express-News
      Page 3B
      San Antonian pleads guilty in plot to illegally obtain loans

      Publication Date : August 20, 1994

      A San Antonio man who used his 7-year-old son’s Social Security number in a scheme to obtain three bank loans pleaded guilty Friday to bank fraud.

      U.S. District Judge Ed Prado set sentencing Oct. 20 for Kelly B. Murphy, 33, of the 8700 block of Edge Welles Drive.

      Murphy, who was allowed to remain free on bond, faces a maximum sentence of 30 years in prison, a $1 million fine or both.

      He admitted using fraudulent means, including use of his son’s Social Security number, to obtain the three loans totaling $73,500 from the USAA Federal Savings Bank during a four-month period last year.

      Murphy obtained a $25,000 loan on April 15, another $25,000 on June 23 and $23,500 on July 20, according to court records, by falsely securing the notes with expensive cars and failing to provide car titles to the bank.crime crimes

      Feb 18, 2010 at 3:54 am · @ReplyReply to this comment ·
    • C. Trask
      C. Trask

      @John D.: aka Kelly Murphy
      John D/Kelly Murphy, it might not be that obvious if were just talking about surface facing business operations but then you ramble off about Daniel Harris and what a great guy he is. Why dont you just come out and say its you? I love how you always push the blame on your partners, i wonder what they think of that. And yes, poor Daniel Harris…you dragged him into your whole mess of a life.

      Im hearing a little theme song… “Watcha Gonna Do, Whatcha Gonna Do When They Come For You? Bad Boys, Bad Boys Watcha Gonna Do, Watcha Gonna Do…”

      Feb 25, 2010 at 12:53 pm · @ReplyReply to this comment ·
    • John D.
      John D.

      Your right that my name is not John D. Big Deal but its not Kelly Murphy either. I figure if everyone else on here is nameless while they talk about my friends I can be nameless too.

      Regardless of the charges that you guys are expounding about here, Kelly is a good guy that knows the system inside and out probably even more so after this apparent incident. He is a Very Very smart guy I doubt he would make the same mistake twice in one life. He is probably to smart for his own good. He has built from the ground up multiple businesses and with that knowledge has Saved Krave, I repeat Saved Krave. Anyone that wasn’t there can’t really say anything meaningful in my opinion. And dragging up old wrongs have no bearing on what is happing in this situation.

      Here is the thing Kelly is very near and dear to my heart but also can be a pain in my ass and I roll me eyes at anyone thinking that anyone will be going to prison after a business didn’t make enough money. And since you people love to talk about Daniel as well, Daniel Harris hasn’t been with Kelly for roughly 4 or 5 years now. I believe he has been working for Nonprofit for the last two years and works with a couple of charities.

      If you want to attack people, Bill Huggins was in my opinion a crappy manager that used the club to get laid instead of getting people through the doors, and Sia is very likable but is more of the idea guy than the amazing operator.

      Feb 26, 2010 at 3:28 pm · @ReplyReply to this comment ·
    • kelly sucks
      kelly sucks

      I thought that Kelly was with that really really young kid from UNLV – Michael Day and Daniel was with Kelly before Michael. Michael was YOUNG YOUNG YOUNG and in love with Kelly. He started working at Krave with Kelly even when Daniel worked there for a bit. Once a business crook always a business crook. Apparently ALSO a unfaithful bastard.

      Feb 27, 2010 at 3:19 am · @ReplyReply to this comment ·
    • beachbody
      beachbody

      @kelly sucks: yeah, it’s a pattern with Kelly Murphy, he was cheating on Daniel Harris when they were together and the only reason he did not dump Harris before because they were locked together stealing millions of dollars. Once the heat was off, Kelly dumped Harris, and you’re right, Kelly loves YOUNG YOUNG YOUNG boys and he is ‘in the closet’ about a relationship with not even teenager that he hides to this day and he is in fear he will be exposed.

      Mar 12, 2010 at 9:51 pm · @ReplyReply to this comment ·
    • joshuat
      joshuat

      @John D.:
      @John D, WOW…you don’t have a clue who Kelly Murphy is or do YOU…he has never been successful in any business that he has been involved with the only thing he has done is steal from every company and BK ed them and in FACT name me one business that he has EVER been successful with. I bet you can’t.. name one!!!!Oh yea BTW what company did Murphy make all his money with…NONE he just stole it..hahahahah he’s a looser and him and Daniel Harris are going to the big house together for a reunion. Lol and he’s not that SMART he just thinks he is…looser Murphy hahahahaha looser at every thing in life a complete fraud…more to follow.COME ON AND NAME A COMPANY!

      Mar 13, 2010 at 12:30 am · @ReplyReply to this comment ·
    • beachbody
      beachbody

      @John D.:
      @John D… where did you go? Maybe you and Kelly Murphy the felon can cook up some new business together and get Chris T with you. Can’t you find a company that Murphy made money with or was successful? Hahahaha what a joke he is a loser. Time is running out for Kelly Murphy he is being exposed for what he is.. Evil.. and he already has made the mistake more than once since he is out of prison so twice is not the question.it’s when is he going to get caught? SOON..

      Apr 2, 2010 at 5:53 pm · @ReplyReply to this comment ·
    • john F.
      john F.

      I’ve been to Krave and the music sucks there. You don’t hire a straight DJ to cater a mostly gay crowd. I guest Bill’s son is working for free.

      Jul 27, 2010 at 1:12 am · @ReplyReply to this comment ·
    • gay guy
      gay guy

      So does anyone out there have an update on Krave and/or Kelly to date?

      Sep 28, 2010 at 1:15 am · @ReplyReply to this comment ·
    • gay guy
      gay guy

      NEVERMIND – I JUST FOUND AN ARTICLE THAT UPDATES IT

      http://www.lasvegassun.com/news/2010/oct/11/bids-taken-bankrupt-krave-nightclub-strip/allcomments/#comments

      SADLY THEY WILL PROBABLY SUCCEED.

      Oct 13, 2010 at 1:33 am · @ReplyReply to this comment ·

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