Mike Davis represented the Warsaw American Legion Post at the Alcoholic Beverage Board hearing Thursday, acknowledging the club operated gambling machines last year.
It is the second violation for John C. Peterson Post 49. If a third violation is ever charged, the organization will lose its beer, wine and liquor license.
"It's a local board policy," said Board President Gordon Vanator of the three-strikes-and-you're-out philosophy.
Excise officer John Barchak said the local boards set up local rules regarding license renewals. The state excise department is seeing more repeat offenders.
"Gambling is running amuck. It's illegal and this is the Legion's second offense," he said.
Davis said it wouldn't happen again, not until the legislature changes the laws making gambling machines legal.
"We investigate when there is a complaint and this year we have a ton of them," Barchak said.
Davis said citizens reporting on citizens reminded him of the 1940s.
Vanator advised Davis and others waiting to be heard that the local board does not know about violations until the monthly meeting.
The Legion's license was renewed.
Also renewed, after review and warnings, was the beer, wine and liquor license for CBJ Pastime Inc., First Street, Pierceton. The business president and secretary Cindy Humes of Leesburg appeared at the hearing.
The Pastime also was found to have gambling machines recently and Hume wanted to know who complained.
Barchak said people may make complaints, sign their name and leave a number or the calls are taken anonymously.
"In either case we don't release their names and we investigate all complaints," Barchak said.
He advised Humes to contact her legislators. "Are you doing anything to change the law?" he asked.
The board also:
Approved a transfer of ownership license for beer and wine to LM Acquisition Inc, 726 S. Huntington St., Syracuse, doing business as Lance's New Market, Todd R. Taylor, Ohio, President, Cletus S. Miller, Defiance Ohio, secretary.
Miller appeared to answer questions regarding the transfer.
Also approved were beer wine and liquor license renewals for:
Roger W. Peterson, RR 3, Ind. 13, Syracuse, d/b/a Pete's Fabulous Fish of Syracuse;
Pure Pleasure Inc., 1727 W. Lake St., Warsaw, d/b/a Pizza King, Patrick O' Connell, Warsaw, president and secretary;
Clouse Enterprise, 801 N. Huntington St., Syracuse, d/b/a Down Under, Todd Clouse, Milford, president, Christopher Clouse, Milford, secretary;
Wagon Wheel Productions, 2517 E. Center St., Warsaw, d/b/a Wagon Wheel Theatre, Bruce Shaffner, Leesburg, president; Steve Shaffner, Warsaw, secretary;
M.L.O. Restaurant Inc., 207 W. South St., North Webster d/b/a Ye Olde Pub, Michael L. O'Conner, North Webster, president and secretary;
Barbee Hotel Bar & Grill, Inc., 3620 N. Barbee Road, Warsaw, d/b/a Barbee Hotel Bar & Grill, Phillip Fozo, Warsaw, president, Beverly Fozo, Warsaw, secretary; and
American Legion Post 258, First and Catholic, Pierceton.
A transfer of ownership request for Yoder Family Investments LLC, 1201 S. Huntington St., Syracuse d/b/a Wawasee Bowling Lanes was continued because notice was not posted 10 days prior to Thursday's hearing.
Also continued, because no one appeared, was the beer, wine and liquor license renewal for the Fraternal Order of Eagles No. 3760, 12889 N. Kern Road, Syracuse. The club was found to be in violation of the state's gambling laws.
Also continued was the beer, wine and liquor license renewal for Hooks Superx Inc., 100 N. Detroit St., Warsaw d/b/a CBS Pharmacy No. 6462, Zenon Lankowsky, Rhode Island, president, Thomas Moffatt, Rhode Island, secretary. The business was open during the special school board election in February.
Board members are Gordon Vanator, Ken Johnson and Elim Smith.