State attorneys general can enforce what are known as bad-boy statutes that restrict businesses convicted of felonies from dealing in securities.
The ordinance, which severely restricts businesses devoting a substantial portion of their operations to adult materials, is already treading on thin constitutional ice.
A New York appellate judge issued an order yesterday postponing enforcement of the city's new law restricting X-rated businesses.
The city's new ordinance restricting X-rated businesses cleared an important hurdle yesterday when a five-judge appeals panel unanimously ruled that it was constitutional.
He also voted against restricting businesses with ties to terrorism.
In 1999 he was given the Defender of Decency Award by Americans for Decency for his efforts to restrict sexually oriented businesses in the city.
Steve Kramer, a bartender, wanted a vote to reverse the new law restricting X-rated businesses.
State aid rules restrict or exclude businesses in certain industries such as agriculture, coal and transport.