1978 SPECIAL REPORT: "STUDIO 54 COCAINE BUST"

Federal agents armed with search warrants swept through the chic disco Studio 54 twice yesterday, confiscated financial records and a stash of drugs and arrested one of the club's owners for cocaine possession.

The Daily News learned that the agents were seeking evidence of organized-crime involvement in the disco, which as New York City's premier night club is the nightly gathering spot of some of the world's most wealthy, influential and famous citizens.