South Carolina              
Administrative Law Court
Edgar A. Brown building 1205 Pendleton St., Suite 224 Columbia, SC 29201 Voice: (803) 734-0550

SC Administrative Law Court Decisions

CAPTION:
SCDOR vs. James Karvelas, d/b/a Big Jim's Drive-In

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioners:
South Carolina Department of Revenue

Respondents:
James Karvelas, d/b/a Big Jim's Drive-In
 
DOCKET NUMBER:
94-ALJ-0349-CC

APPEARANCES:
For the Petitioner: Nicholas P. Sipe, Esquire

For the Respondent: Tony R. Megna, Esquire
 

ORDERS:

ORDER

STATEMENT OF THE CASE

This matter is before the Administrative Law Judge Division pursuant to a charge brought by Petitioner against the Respondent for a violation of Regulation 7-9(B) and SC Code Ann. § 61-13-287.

The petitioner made a timely request for a hearing on these charges and a hearing was held before the Administrative Law Judge Division in Columbia, South Carolina on January 16, 1995. Notice of the time, date, place and nature of the hearing was timely given to all parties.

I find the respondent guilty of the alleged violation and assess a fine of $50.00.



SUMMARY OF THE EVIDENCE

At the hearing on the matter, the undersigned was informed the parties had reached an agreement whereby the Respondent would plead guilty to the charge brought by Petitioner, and the Petitioner would recommend a fine of no less than $25.00 and no greater than $400.00. The Court accepted the plea entered by Respondent, and agreed to hear evidence as to mitigating circumstances as to the fine to be imposed.

The Petitioner testified that he is 67 years old and has operated two restaurants in Sumter, South Carolina since the mid-1940's with no ABC violations. According to his testimony, the location where the violation occurred is a family-style restaurant as opposed to a bar or sports bar. In addition, he testified that the waitress who committed the violation had been an employee of his business for over twenty-five years with no history of alcoholic beverage violations.



FINDINGS OF FACT


By a preponderance of the evidence, I make the following findings:

1. This Division has personal and subject matter jurisdiction over this matter.

2. James Karvelas, d/b/a Big Jim's Drive-In, 451 Broad Street, Sumter, South Carolina holds a beer and wine permit issued by the South Carolina Department of Revenue and Taxation.

3. On July 27, 1994, an agent of the Respondent sold a beer to a person under twenty-one years of age, as stipulated to by both parties.

4. The Court was impressed with and finds the Respondent to be sincere and credible. This finding was based upon a history of no ABC violations ever previously written against him in all the years he has been permitted. Further, the employee who sold the beer to the underage agent has been with him for twenty-five years with no violations.

Further, I find that the profitability of Respondent's restaurant is based upon food sales as opposed to alcoholic beverage sales.



CONCLUSIONS OF LAW


Based upon the foregoing Findings of Fact, I conclude as a matter of law the following:

1. SC Code Ann. Section 1-23-600 (Supp. 1993) grants jurisdiction to the Administrative Law Judge Division to hear contested appeals under the Administrative Procedures Act.

2. SC Code Ann. Section 61-1-55 (Supp. 1993) grants to the Administrative Law Judge Division the powers, duties, and responsibilities of a hearing officer in protested and contested matters governing alcoholic beverages, beer and wine.

3. ABC Regulation 7-9(B) prohibits a permit holder from permitting a person under twenty-one years of age to possess beer in a licensed establishment.

4. S.C. Code Ann. Section 61-13-510 (1990) authorizes, in lieu of suspension or revocation of a permit, the imposition of a monetary fine of not less than twenty-five dollars nor more than one thousand dollars for the violation of any regulation promulgated by the Department.

5. After considering the evidence and considering the mitigating circumstances presented by the Respondent, it concluded that a fair and reasonable penalty for this violation would be the payment of a fine by the Respondent to the Petitioner.







ORDER



Based upon the above Findings of Fact and Conclusions of Law, it is hereby:

ORDERED AND ADJUDGED that James Karvelas pay a monetary penalty in the amount of $50.00 for the offense cited above. If the Petitioner does not receive a total of $50.00 from James Karvelas within fifteen (15) days from the date of this Order, it is Ordered that the beer and wine permit be suspended for a period of fifteen (15) days. If the Petitioner does not receive the funds as stated, any agent of the State Law Enforcement Division shall serve a copy of this Order on Respondent and shall take possession of the beer and wine permit issued to James Karvelas, d/b/a Big Jim's Drive-In, 451 Broad Street, Sumter, South Carolina. Said agent shall hold the permit for fifteen (15) days. Upon expiration of the fifteen (15) day suspension, said agent shall return the permit to Respondent. During the period of this suspension, Respondent is ordered to post of copy of this Order at a visible location at his place of business, and to cease and desist all sales of beer and wine.

AND IT IS SO ORDERED.







_____________________________________

Marvin F. Kittrell

Chief Administrative Law Judge

Columbia, South Carolina

January 31, 1995


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