BUFFALO, N.Y. — A witness in the federal investigation of Pharaohs Gentleman’s Club owner Peter Gerace has been arrested for the second time in a year, according to a criminal complaint unsealed Monday in U.S. District Court.
Phlycia Hunt was recently arrested and charged with theft of government funds for using $1,200 provided to her by the federal government for purposes other than paying rent. The government provided her the money “for the express purpose of paying rent at a safe, privately-owned location known to the FBI,” the criminal complaint stated.
U.S. Magistrate Judge Jeremiah J. McCarthy ordered Hunt to remain in custody until later this week as the judge weighs information from federal prosecutors and from Hunt’s federal defender about whether she can secure a location in a drug treatment center and whether she will be required to wear an ankle monitor.
Hunt was arrested in May 2023 for drug possession, which according to the complaint has since been dismissed. The new complaint references Gerace and states that Hunt “is a witness in an ongoing federal investigation regarding public corruption, bribery, drug trafficking, sex trafficking, and witness tampering.” The Buffalo News has reported that Hunt was a former employee of Gerace’s at the strip club.
The complaint stated that after her arrest on the misdemeanor drug charges, Hunt “continued to provide pertinent information related to the ongoing investigation…The investigation has involved threats against various federal witnesses, including Hunt.”
Carla Benz, Hunt’s attorney, stated in court that Hunt has overdosed four times on drugs inside the Niagara County jail before being revived with Narcan. She also said Hunt was “beaten up” by another witness there. Assistant U.S. Attorney Nicholas Cooper stated that the person who beat her up was also a defendant.
Federal prosecutors recently filed a motion to set a trial date for Gerace, who is in jail awaiting trial on charges of sex and drug trafficking.
Former Drug Enforcement Administration agent Joseph Bongiovanni earlier this month was convicted of obstruction of justice and lying to federal agents. Jurors acquitted Bongiovanni of a charge that he improperly wiped his DEA cellphone and failed to reach a verdict on a dozen other charges, including allegations the longtime agent accepted $250,000 in bribes.
Court papers stated that prosecutors have asked to retry Bongiovanni by June 18. They also filed a motion under seal seeking to interview one of the jurors in the previous trial.
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