HomeMy WebLinkAbout1992-098 CCR1
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Member Celia Scott introduced the following resolution
and moved its adoption:
RESOLUTION NO. 92 -98
RESOLUTION AND CONSENT ORDER IMPOSING CIVIL PENALTY ON
LYNBROOK BOWL AND AMENDING THE 1991 BUDGET
WHEREAS, the City of Brooklyn Center has issued a liquor license to Steven
J. Nelson, Inc. d /b /a Lynbrook Bowl; of which corporation Steven J. Nelson is the
president and sole shareholder; and
WHEREAS, the City has been notified that certain illegal activities involving
gambling are alleged to have occurred on the licensed premises at Lynbrook Bowl;
and
WHEREAS, such illegal activity allegedly included sports bookmaking in
violation of Minn. Stat. H 609.75, Subd. 7, 609.76, Subd. 2 and 609.03(1); sale of
tipboards, in violation of Minn. Stat. 349.2127, Subd. 2(a) and 609.03(i); and the
sale of numbers in violation of Minn. Stat. 609.755 and 609.76, occurring over a
period of years at the licensed premises; and
WHEREAS, Brooklyn Center Code 11 -712, paragraph 17, and Minn. Stat.
340A.410, Subd. 5, prohibit such activities on the licensed premises; and
WHEREAS, the undersigned has admitted that he was aware of and participated
in one aspect of such gambling, specifically the purchase of numbers on sports
events, but asserts that he had no knowledge of the sale of tipboards or sport
bookmaking activities occurring on the premises, and
WHEREAS, the City Council regards such activities as a very serious matter
warranting the sanctions hereinafter set forth; and
WHEREAS, the Licensee has, to date, maintained a liquor establishment which
thas been relatively free of criminal activity, particularly criminal activity relating
directly to the sale of alcohol; and
WHEREAS, the Licensee has been cooperative in the investigation of this
matter, has demonstrated a willingness and desire to work with City staff in
resolving this matter without putting the City to the expense of an administrative
hearing, has expressed his understanding of the seriousness of the offenses, and
has committed to ensuring that such offenses do not recur; and
WHEREAS, the Council has determined that this Consent Order, resolving
issues relating to sanctions to be imposed by reason of the above- described
violations is reasonable, necessary and in the best interests of the public; and
WHEREAS, the Licensee has freely agreed to waive a statement of written
charges and a hearing thereon and to pay the civil penalty hereinafter described,
for the consideration set forth herein. The Licensee acknowledges and agrees that
he freely executed this agreement, without threat of criminal prosection, for the
purpose of avoiding a public hearing and resolving issues relating to sanctions to be
imposed by the City as the licensing authority, pursuant to Minn. Stat. 340A.415.
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RESOLUTION NO. 92 -98
ON THE BASIS OF THE FOREGOING, THEREFORE, IT IS ORDERED AND
AGREED AS FOLLOWS:
1. The Licensee will pay to the City Finance Director, within ten days of
receipt of written notification of approval of this Consent Order by the City Council
the sum of $2,000.00. Said payment shall be appropriated to Account #1350 -4411,
Police Department Training.
2. Licensee waives a written statement of charges notice of hearing and
hearing to which he is entitled by Minn. Stat. 340A.415.
3. The undersigned admits knowledge of, and involvement in, gambling
activities on the licensed premises, to wit: for a number of years, the licensed
premises have been used by a Mr. Clifford Hendrickson, for the sale of numbers for
sporting events, and the undersigned has allowed such sales to occur, allowed the
seller to use office space on the licensed premises for his activities and has
purchased numbers from Mr. Hendrickson.
4. The undersigned denies knowledge of or involvement in, any sale of
tipboards or sports bookmaking occurring on the licensed premises.
5. The City will impose, as the sole civil sanction for activities listed in
paragraph 3 above, a civil penalty in the amount of $2,000.00 payable asset forth
in paragraph 1 hereof. This agreement shall apply to those activities described in
paragraph 3 hereof which occurred on or before November 6, 1991 on the licensed
premises. This agreement shall also apply to those activities described in paragraph
4 occurring on or before November 6, 1991, but only to the extent the activities
occurred without the knowledge or involvement of the Licensee or its employees
This agreement shall not limit the right of the City to pursue civil remedies or to take
any action with respect to the license which is authorized by state law or City Code
for any activity to which this agreement does not specifically apply and which is a
violation of state law or City Code.
6. In the event of future violations of state law or City Code by Licensee,
no additional penalty shall be imposed for unlawful activity covered by this
ngreement. However, admissions of unlawful activity described herein may be taken
into consideration in determining appropriate sanctions in any future cases.
7. The Licensee has been informed that the City prosecutor has concluded,
on the basis of this agreement and other related factors, that he does not intend to
bring charges against the Licensee or the undersigned for activities described
herein. However, the undersigned understands and agrees on behalf of himself and
the Licensee:
a. That this agreement does not constitute an agreement not to bring
criminal charges for activities described herein;
b. That a decision whether to bring any charges rests within the
discretion of the City prosecuting attorney, the County attorney, or other
authorized law enforcement agencies;
c. That the Licensee freely enters into this agreement without any
promises from the City that no criminal charges will be brought;
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RESOLUTION NO.
ATTEST:
92 -98
d. That this agreement is entered into for the sole purpose of
resolving and settling any potential civil sanctions imposed pursuant to Minn.
Stat. 340A.415, and not for the purpose of resolving or settling any
potential criminal issues; and
e. That in the event criminal charges are brought against the
undersigned, the Licensee or any of its employees for activities described
herein, Licensee will not contest the validity of this agreement, repudiate, or
otherwise challenge this agreement in any way, by reason of the initiation or
prosecution of such criminal proceedings.
April 27, 1992
Date
Deputy Clerk
Todd Paulson, Mayor
The motion for the adoption of the foregoing resolution was duly
seconded by member Jerry Pedlar and upon vote being
taken thereon, the following voted in favor thereof:
Todd Paulson, Celia Scott, Jerry Pedlar, Dave Rosene, and Philip Cohen;
and the following voted against the same: none,
whereupon said resolution was declared duly passed and adopted.