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 February 20, 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 on each premises as required by Regs. 117-190. The determination sought revocation of Respondent DeLeon Amusements Inc.'s, three,
Collins Entertainment Inc.'s, one, and Freddie Lester's, six, 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, failure to
have an employee on each premises during business hours, Respondents DeLeon Amusements,
Inc., Collins Entertainment, Inc. and Freddie Lester agree to the revocation of the ten Class III
licenses in use at Winners Choice A and Winners Choice B, located at 1630 Main St.,
Summerville, South Carolina, on February 20, 1997. As nine of these licenses have expired, the
Department does not require their surrender. Respondent DeLeon Amusement, Inc. agrees to
surrender license No. 3802149 to the Department no later than 5:00 p.m. on January 26, 1998.
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
Winners Choice A and Winners Choice B, located at 1630 N. Main St., Summerville, South
Carolina, for a period of six months (these rooms are accurately depicted on the attached
diagram). This six month suspension begins Monday, January 26, 1998.
3. Respondents further agree to remit to the Department a monetary fine in
the amount of $500.00 for each room of the two rooms in violation. This payment will be
remitted to the Department no later than 5:00 p.m. on Monday, January 26, 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 Ralph King Anderson III
Administrative Law Judge
January ___, 1998
Columbia, South Carolina
We Consent:
____________________
Carol I McMahan
Counsel for Regulatory Litigation
____________________
James H. Harrison
Attorney for Respondents Collins Entertainment Corp.
and Kevin Kline
____________________
Jonathan S. Altman
Attorney for Respondent DeLeon Amusements, Inc.
____________________
Gaines W. Smith
Attorney for Respondent Freddie Lester |
