Tax Case Plea Bargain Closes Last Two Adult Movie Theaters in Utah

The last two adult movie theaters operating in Utah are shutting down as part of a plea bargain, a federal prosecutor said Monday.

The closures culminate a decade-long crusade against theaters that show X-rated programs, U.S. Atty. Brent Ward said at a news conference.

“Only a handful of cities in the United States our size or larger are free from any adult businesses,” he said. “Today, Salt Lake City becomes one of these cities.

“In most communities across the country, the trend in recent years has been towards a relaxation of the community standard defining what is obscene. Here, just the opposite is occurring,” Ward said.

Four other adult movie theaters shut their doors over the past few years, said Deputy Salt Lake County Atty. Roger Cutler.

Iqbal Sial, owner of the Capri West Theater and the Cinema Theater in downtown Salt Lake City, shut his theaters as he pleaded guilty Monday to a federal tax evasion charge for failing to pay more than $41,000 in federal income tax on income from the theaters in 1982.

“The skimmed money represents about 25% of the box-office total of the theaters, showing it is a very lucrative business indeed,” Ward said.

Sentencing on the felony tax evasion charge is scheduled for Feb. 5 before U.S. District Judge David Sam. The offense carries a maximum penalty of five years imprisonment and a $100,000 fine.