[UPDATE BELOW]

It turns out that routine violations of the Smoke Free Air act weren't the only problem at M2 UltraLounge. The police were granted their request to shut down both M2 and Chelsea's Pink New York after describing them as the "Wild West of drug dealing" to the State Supreme Court. The Times reports that investigators found unlicensed security guards, saw fights that guards failed to control, and were able to buy a plethora of illegal drugs—cocaine, ketamine, Vicodin, Ecstasy and marijuana—nine times... in more than two years. That's what's counting as the "Wild West" these days?

M2 was in the spotlight a few months ago for letting patrons smoke cigarettes inside the bar, and even having bathroom attendants selling cigarettes for $2 each. The Health Department is still trying to get the club's operating license removed for that. However, owner Joey Morrissey said the case against the club doesn't "amount to a hill of beans," and told Eater he will fight the charges rather than paying a fine. His lawyer Robert Bookman said, "The club has a zero tolerance for drug use and zero tolerance for violence, and they spend a fortune on security...it doesn't mean that two people on a crowded dance floor aren't going to throw punches at each other. You can't blame the establishment for that happening, and certainly you can't justify shutting an establishment down for that happening." Morrissey is confident that both clubs will open in a few weeks.

But that's just not soon enough! Ne-Yo was supposed to perform this weekend, and The Daily News reports that P. Diddy was planning to host a party for DJ Pro Style's birthday at M2 next Monday. Now the party only has four confirmed guests on Facebook. Only one Facebook fan mentioned the closing, but the club seems to have deleted their Twitter account, signaling a longer hiatus than Morrissey might like.

[UPDATE] Well, that was fast. Things have already turned around for the club. We just received this statement from M2:

M2 is happy to announce that an agreement has been reached with the courts and NYPD to reopen the mega club after being closed over the weekend. Tonight (Tuesday, April 20th) Avatar star Michelle Rodriguez will host the lesbian lifestyle magazine GO's Nightlife Awards. M2 is working closely with the city and NYPD to create guidelines that will allow the club to remain open for Thursday's NFL Draft Party hosted by Deion Sanders, events scheduled for this weekend and next week including a party for the Tribeca Film Festival.