Chapter 9 - Inside Studio 54 – The Real Story of Sex, Drugs & Rock 'n' Roll

Chapter Nine:  The Battle for the Liquor License  In spite of the raid on Studio 54 in December 1978, the club remained open and hotter than ever for more than a year. Time passed, and for twelve months, Steve and Ian continued to plea-bargain with the Feds, and then finally in January of 1980, they reached an agreement and  reported to prison on February 4. The night before his incarceration, Steve sang "My Way" at their going-away party, which was attended by Diana Ross, David Geffen, and many of the Studio regulars. Studio 54 remained open, with Steve and Ian issuing directives to General Manager Michael Overington from the prison public phone until February 29, when the liquor license expired.