Police spokeswoman Stephanie Slater told XBIZ that the investigation was a result of information provided by community members who suspected illegal activity was taking place within the club.
Police reports state that before filing for a search warrant, police conducted a month-long surveillance of Platinum Gold, during which one dancer offered an officer "everything" for $300.
Another officer reported being told by employees that they paid club owner Norman Goddard a portion of the proceeds in order to use the establishment for drug sale.
After serving a search warrant, the report said that officers found cocaine, marijuana, methadone, OxyContin and drug paraphernalia in two dancers' lockers.
Goddard is formally charged with drug trafficking, keeping a house of ill fame and deriving support from proceeds of prostitution. Dancer Melinda Ventre is charged with solicitation of prostitution and drug possession.
All other arrests pertained to drug possession and/or sale. Slater said Goddard's charges are the most serious.
Slater also said that though Platinum Gold has not been shut down, the police department is working to have the club's liquor license revoked.