A bar that opened in the Hudson Valley just after prohibition has been shuttered by police due to allegations of criminal activity and unsafe code violations.

For generations, it has been one of the most recognizable nightlife spots in the City of Poughkeepsie, but serious allegations forced its sudden closure over the weekend.

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The Derby at 96 Main Street in Poughkeepsie first opened in the 1930s. Since then, a series of owners have maintained this Hudson Valley landmark, which has consistently been a popular hangout for college students and locals.

Investigation Leads to Serious Charges at Poughkeepsie Bar

According to the City of Poughkeepsie Police Department, the investigation began after numerous complaints from the community about alcohol being sold to underage individuals inside the establishment. Police worked with the New York State Liquor Authority, along with the City’s Fire and Building Departments, to conduct a sting operation to find out what was happening.

Investigators say that when they conducted an inspection, approximately 20% of the patrons inside the bar were under the legal drinking age.

As a result, two bartenders were arrested and charged with Unlawfully Dealing with a Child in the First Degree, a Class A misdemeanor.

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Code Violations Force Closure

In addition to the arrests, inspectors identified multiple building and fire code violations at the property. Officials say the issues were serious enough that the location was deemed unsafe.

The Derby was ordered closed until the violations were corrected and the property has been brought into compliance with city regulations.

Late Monday, owners indicated on social media that "Public assembly and Fire Department issues" had been resolved and that The Derby would reopen on Tuesday morning.

However, it's unclear whether the business will be allowed to continue operating as a bar. The New York State Liquor Authority is continuing its own investigation, which could impact the business's liquor license moving forward.

Police say anyone with information regarding criminal activity is encouraged to contact the City of Poughkeepsie Police Department's confidential tip line at 845 451-7577.

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