ORDERS:
CONSENT ORDER
This matter was initiated by a citation issued by the South Carolina Department of
Revenue ("Department") against Respondents for violation of the Video Game Machines Act
[S.C. Code Ann. Section 12-21-2804(A)(Supp. 1996)]. On January 22, 1997, Respondents were
cited for having more than five licenses acquired pursuant to S.C. Code Ann. Section 12-21-2720(A)(3) (Supp. 1996) (referred to as "Class III licenses") at a single place or premises, in
violation of Section 12-21-2804(A) and 27 S.C. Code Ann. Regs. 117-190 (Supp. 1996). A
Department Determination was issued sustaining the imposition of the violation based on
Respondents' failure to have a separate employee and utility meter on each premises as required
by Regs. 117-190. The determination sought revocation of Respondent Gault's ten Class III
licenses, that no licenses will be used for the operation of machines at this location for a period
of six months and a monetary penalty in the amount of $5,000.00 against each Respondent.
Prior to a hearing on this matter, the parties entered into a consent agreement
resolving the matter. That agreement is incorporated into this Order.
The agreement between the parties is as follows:
1. For the violation of Section 12-21-2804(A) and Regs. 117-190 that
occurred on January 22, 1997, failure to have an employee and utility meter on each premises,
Respondent Gault's ten Class III licenses in use at that location (Nos. 041119, 041118, 041120,
041121, 041331, 041332, 041338, 041566, 041567, and 041568) are revoked (see Order of
Default dated December 8, 1997). As these licenses have expired, the Department does not
require their surrender.
2. Respondents further agree not to operate or to allow the operation of Class
III machines in the physical location of the rooms, at the time of the violation, doing business as
Pilot #310 and Pilot Gameroom 2, located at 1405 E. Main Street, Duncan, South Carolina, for a
period of six months (these rooms are accurately depicted on the attached diagram). This six
month suspension begins Monday, February 9, 1998.
3. Respondent Pilot Corporation further agrees to remit to the Department a
monetary fine in the amount of $500.00 for each of the two rooms in violation. This payment
will be remitted to the Department no later than 5:00 p.m. on Monday, February 9, 1998.
4. In consideration of the above, the Department agrees that the revocation of
the licenses as set forth above does not affect the machines to which those licenses were attached,
and those machines may be re-licensed on other premises. The Department further agrees to
waive the remaining monetary penalties sought for this violation as to each Respondent.
I find the above settlement to be fair and equitable, approve such settlement, and
hereby Order its adoption. The Court retains continuing jurisdiction to enforce this Order. As
the parties no longer require a hearing on this matter I also Order this matter Dismissed with
Prejudice.
AND IT IS SO ORDERED.
__________________________
Honorable Stephen P. Bates
Administrative Law Judge
February 5, 1998
Columbia, South Carolina
We Consent:
_________________________
Carol I. McMahan
Counsel for Regulatory Litigation
_________________________
James H. Harrison
Attorney for Pilot Corporation
SEE CASE FILE FOR DIAGRAM ATTACHED TO THIS ORDER |
