BUFFALO, N.Y. — An investigation by Homeland Security Investigations (HSI) Buffalo, in coordination with law enforcement partners, resulted in the Dec. 27 federal jury conviction of Peter Gerace for conspiracy to defraud the United States, bribery, sex trafficking conspiracy, maintaining a drug involved premises, narcotics conspiracy, witness tampering, and distribution of cocaine, which carry a maximum sentence of life in prison. Gerace, 57 of Clarence, New York, is scheduled to be sentenced Aug. 15, 2025, before Judge Lawrence J. Vilardo, who presided over the trial of the case.
HSI Buffalo Special Agent in Charge Erin Keegan announced the verdict alongside U.S. Attorney Trini E. Ross, for the Western District of New York; Matthew Miraglia, Special Agent-in-Charge of the FBI’s Buffalo Field Office; and Ryan T. Geach, Special Agent-in-Charge of the U.S. Department of Justice Office of the Inspector General Northeast Region.
“With his conviction, Peter Gerace must face the reality that he is not above the law, nor can he escape its consequences. Homeland Security Investigations, in collaboration with our law enforcement partners, is committed to safeguarding the vulnerable from those who use bribery, manipulation, and fear for their own personal gain,” said Keegan. “The welfare of the public is our highest priority, and HSI Buffalo will take every necessary measure to protect the safety and wellbeing of Western New Yorkers.”
According to the investigation and details disclosed at trial:
Between 2005 and 2019, Gerace, owner and operator of Pharaoh's Gentlemen's Club, conspired to defraud the United States and paid cash bribes to Drug Enforcement Administration special agent Joseph Bongiovanni. In exchange for payments he received, Bongiovanni protected Gerace and utilized his position to dissuade other members of law enforcement from conducting investigations into Gerace’s activities at Pharaoh’s. Bongiovanni was previously convicted and is awaiting sentencing.
In addition, between 2006, through 2019, Gerace knowingly maintained Pharaoh’s Gentlemen's Club as a drug involved premises, where he and others distributed cocaine, Adderall, marijuana, and heroin. Gerace and others distributed controlled substances and used other methods to coerce Pharaoh’s dancers to engage in sex acts inside Pharaoh’s. Gerace also, acting with others, sent threatening Facebook messages to a witness in order to prevent her from testifying and providing information in an official proceeding.
The verdict was the result of an investigation by HSI, the FBI, and the DOJ-OIG, Northeast Region.
Any individual who believes they have information pertaining to suspected criminal activity is encouraged to call the HSI tip-line at 1-877-4-HSI-TIP.