ORDERS:
FINAL ORDER AND DECISION
STATEMENT OF THE CASE
This matter is before the Administrative Law Judge Division (“ALJD” or “Division”) pursuant to the
request of G’s Palace (“Respondent”) for a contested case hearing pursuant to the decision by the
Department of Revenue (“Department”) to seek revocation of Respondent’s on-premise beer and wine permit
(“permit”) and mini-bottle license (“license”) for its premises at 15099 Newberry Road, Blair, South Carolina.
The Department seeks revocation of the permit and license under the provisions of S.C. Code Ann. § 61-4-580(5) and 61-6-1830 on the basis that the location is a public nuisance.
After notice to the parties, a contested case hearing was held at the offices of the Division in
Columbia, South Carolina, on Monday, May 5, 2003. After a thorough review of the file and the evidence
presented at the hearing, I find and conclude that Respondent’s on-premise beer and wine permit and mini-bottle license should be revoked.
FINDINGS OF FACT
Having observed the witnesses and exhibits presented at the hearing and closely passed upon their
credibility, taking into consideration the burden of persuasion by the parties, I make the following
Findings of Fact by a preponderance of the evidence:
1.The Division has personal and subject matter jurisdiction.
2.Notice of the date, time, place and nature of the hearing was timely given to all parties.
3.The Respondent holds an on-premises beer and wine permit and a private club sales and
consumption (mini-bottle) license for the location at 15099 Newberry Road, Blair, South Carolina.
4. G’s Palace is a South Carolina corporation. There are five people serving on its Board
and Jeffrey Leon Brown is the principal officer. G’s Palace operates as a private club with 122 members.
5.G’s Palace is located in a residential area off of Highway 34 in Fairfield County.
Approximately six to eight residences can be seen from the location.
6.G’s Palace is normally open on Saturday nights from 12:00 a.m. to 3:00 a.m.
7. At times when the club is open, there have been 300 to 400 people at the location, with
large crowds often congregating in the parking lots. Seventy-five to eighty percent of these people come
from outside of Fairfield County.
8. The Fairfield County Sheriff’s Department contacted the South Carolina Department of
Revenue due to a large number of complaints at the location.
9. The Fairfield County Sheriff’s Department has reported that sixty-five criminal incidents
have occurred at the location since April of 1999. These include the following:
April 25, 1999-Disorderly Conduct
May 2, 1999-Disorderly Conduct; Resisting Arrest
Simple Possession of Marijuana
May 9, 1999-Simple Possession of Marijuana
Simple Possession of Marijuana
May 23, 1999-Assault and Battery; Lynching
Minor Possession of Alcoholic Liquor
Disorderly Conduct
Minor Possession of Alcoholic Liquor; Possession of
Marijuana
Illegal Parking
Simple Possession of Marijuana
June 13, 1999-Assault and Battery
Criminal Domestic Violence; Assault and Battery
July 5, 1999-Discharge of a Firearm (pistol); Fight
Simple Possession of Marijuana
Simple Possession of Marijuana
Disorderly Conduct
August 29, 1999-Minor in Possession of Beer
Possession with Intent to Distribute Crack Cocaine
Simple Possession of Marijuana
September 19, 1999-Shooting incident
September 26, 1999-Disorderly Conduct
November 14, 1999-Assault and Battery with Intent to Kill
November 20, 1999-SLED violations for permitting purchase of beer by a person
under the age of 21 and for permitting the consumption of
liquor by a non-member
April 9, 2000-Simple Possession of Marijuana
Simple Possession of Marijuana
Possession of Marijuana; Possession with Intent to
Distribute Crack Cocaine
Simple Possession of Marijuana
April 23, 2000-Disorderly Conduct
Possession of Cocaine; Simple Possession of MarijuanaJune 18, 2000-Destruction of Personal Property
Simple Possession of Marijuana
June 25, 2000-Vandalism
Vandalism
July 2, 2000-Disorderly Conduct; Assault and Battery of a High and
Aggravated Nature
August 6, 2000-Fight; Simple Possession of Marijuana
September 24, 2000-Simple Possession of Marijuana
Disorderly Conduct
October 8, 2000-Unlawful Possession of a Pistol
March 4, 2001-Assault and Battery
April 16, 2001-Assault and Battery
May 6, 2001-Assault and Battery
May 27, 2001-Unauthorized Use of a Vehicle; Destruction of Personal
Property
July 1, 2001-Possession with Intent to Distribute Crack Cocaine
July 15, 2001-Larceny; Vandalism
Larceny from a Vehicle
Vehicle Vandalism
July 29, 2001-Vandalism
August 5, 2001-Larceny of a Motor Vehicle
November 4, 2001-Destruction of Private Property
January 1, 2002-Assault and Battery
Simple Possession of Marijuana
Simple Possession of Marijuana
July 14, 2002-Assault and Battery
August 11, 2002-Disturbance/Disorderly Conduct
September 14, 2002-Vandalism; Larceny of a Vehicle
November 10, 2002-Assault and Battery
November 17, 2002-Assault and Battery of a High and Aggravated Nature;
Disturbance/Disorderly Conduct
December 15, 2002-Simple Possession of Marijuana
Simple Possession of Marijuana
December 29, 2002-Assault and Battery
10. The Fairfield County Sheriff’s Office has five deputies on duty per shift to cover the
entire Fairfield County, which encompasses 692 square miles. At times, the entire shift of deputies on
duty has been at the location responding to criminal incidents.
11. In an effort to improve problems inside the location, in about February 2002, unarmed
security guards were hired. In addition, more lighting has been installed in the parking lots and two
security officers walk the parking lot and direct traffic. Despite these efforts to improve security,
however, problems have continued to occur at this location.
CONCLUSIONS OF LAW
Based upon the foregoing Findings of Fact, I conclude, as a matter of law, the following:
1.S.C. Code Ann. § 1-23-600 (Supp. 2002) grants jurisdiction to the Administrative Law
Judge Division to hear contested cases under the Administrative Procedures Act.
2.S.C. Code Ann. § 61-2-260 (Supp. 2002) provides that contested case hearings arising
under the provisions of Title 61 must be heard by an Administrative Law Judge with the Division.
3.S.C. Code Ann. § 61-4-580 (5) (Supp. 2002) provides that “No holder of a permit
authorizing the sale of beer or wine or a servant, agent, or employee of the permittee may knowingly
commit any of the following acts upon the licensed premises covered by the holder’s permit: ...(5) permit
any act, the commission of which tends to create a public nuisance or which constitutes a crime under the
laws of this State...A violation of any provision of this section is a ground for the revocation or
suspension of the holder’s permit.”
4. “‘Knowingly’ includes not only actual knowledge of a fact, but also situations where a
person has such information, or the circumstances are such, as would lead a prudent person to form a
belief as to the fact, and if followed by inquiry would have disclosed its character.” South Carolina Dep’t
of Revenue v. Odom, Docket No. 97-ALJ-17-0368-CC (November 25, 1997) (citing State v. Tompkins,
263 S.C. 472, 211 S.E.2d 549 (1975); Feldman v. South Carolina Tax Comm’n, 203 S.C. 49, 26 S.E.2d
22 (1943); Daley v. Ward, 303 S.C. 81, 399 S.E.2d 13 (Ct App. 1990)). Due to the number and nature
of the criminal incidents occurring at the location since April of 1999, the Respondent clearly had
knowledge that numerous criminal incidents were taking place at the location and that the occurrence of
such criminal incidents created a public nuisance to the surrounding community.
5. S.C. Code Ann. § 61-6-1830 (Supp. 2002) provides that “[t]he department may suspend,
revoke, or refuse to renew a license issued pursuant to subarticle 1 of this article upon finding that: (1)
the applicant no longer meets the requirements of Section 61-6-1820...” (emphasis added).
6. S.C. Code Ann. § 61-6-1820(2) (Supp. 2002) lists as one of its requirements that “[t]he
applicant, if an individual, is of good moral character or, if a corporation or association, has a reputation
for peace and good order in its community, and its principals are of good moral character.”
Due to the high number and the severity of the criminal activities at this location, I find that the
operation of G’s Palace constitutes a public nuisance. I further find that the continued operation of G’s
Palace would be detrimental to the general welfare of the surrounding community. There is ample
evidence in the record establishing that Respondent’s property is the site of frequent criminal activity
ranging from disorderly conduct and assault and battery to a shooting and possession with intent to
distribute crack cocaine. The number of criminal incidents at this location has also put a strain on law
enforcement in Fairfield County by often requiring a large number of the deputies on duty to respond to
incidents at this location during its hours of operation. The continued sale of beer and wine and mini-
bottles at this location will only exacerbate the occurrence of criminal incidents in this residential area.
Although the Respondent has taken some measures to decrease the number of criminal incidents at this
location, criminal activity continues at this location. Permits and licenses issued by the State of South
Carolina for the sale of liquor, beer, and wine are not rights or property, but are privileges granted in the
exercise of the police power of this state to be used and enjoyed only so long as the restrictions and
conditions governing them are complied with. The Administrative Law Judge Division, as the tribunal
authorized to grant the issuance of a permit, is likewise authorized to revoke or suspend the permit for
cause. See Feldman v. S.C. Tax Comm’n, 203 S.C. 49, 26 S.E.2d 22 (1943).
ORDER
Based upon the foregoing Findings of Fact and Conclusions of Law,
IT IS HEREBY ORDERED that the on-premises beer and wine permit and mini-bottle license
issued to Respondent G’s Palace for its premises located at 15099 Newberry Road, Blair, South Carolina,
is hereby REVOKED;
AND IT IS SO ORDERED.
_____________________________________
Marvin F. Kittrell
Chief Administrative Law Judge
Columbia, South Carolina
July 9, 2003 |