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State Calls Local ABC Decision 'Arbitrary, Capricious'

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On appeal, the Indiana Alcoholic Beverage Commission reversed a decision by the Kosciusko County ABC to deny Village Pantry, 400 S. Buffalo St., Warsaw, to sell beer and wine at the store, excise officer Patty Fleck told the Kosciusko ABC Thursday.

Village Pantry filed its application for a permit in September 1999 and its public hearing on the permit was held by the county ABC Nov. 4 and Dec. 2, 1999. The county ABC denied the permit with a 3-to-1 vote, with Fleck voting to approve the permit.

Thursday, Fleck said she voted in favor of the permit then because there was no remonstrance against the permit and there was no legal reason to deny it.

"I was just against them selling gas and beer at the same location," said ABC president Darwin Call.

Village Pantry appealed the county ABC decision to the state board, and the appeal was heard in July. The judge concluded, according to a finding of fact, that the board denied the permit "without any evidence whatsoever being presented to it as to why the permit should not be granted and without any evidence showing that the applicant is not qualified to hold the permit as applied for."

The judge also found the recommendation by the county ABC was "arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with the law; contrary to a constitutional right, power, privilege or immunity; in excess of, or contrary to, statutory jurisdiction, authority, limitations or rights; without observance of procedure required by law; and unsupported by substantial evidence."

Fleck said, "(Village Pantry is) up and running on that permit" now.

In another case before the county ABC Thursday, Bruce Miller, of Marge's Marina, Silver Lake, petitioned for a transfer of stock of his beer and wine dealer permit.

However, Fleck continued the permit petition because what Miller wants to do with the business is not permitted.

Miller wants to lease the property and business to another individual, but have the permit in his name. Miller would then be liable if any wrongdoing occurred at the business.

"You cannot leave your business to him," Fleck said, "and have nothing to do with it."

She said Miller needs to let the man who was going to lease the business and property buy Miller out or Miller needs to keep the business and operate it. She said Miller could have a manager help with the business. A manager would need to hold the same qualifications as the owner of the permit.

If Miller wants a manager to operate the business, she said, the manager would need to come in with him at the February meeting and show proof that the manager is not going to lease the business from Miller and that the manager has no interest in the business.

Call said Miller also could sell another person the business and license on contract while Miller would own the contract. Miller said that isn't possible and he has two mortgages on the property already.

Fleck recommended Miller consult an attorney and said, "You need to decide what you're going to do."

Retailer permits for beer, wine and liquor and Sunday sales were approved in escrow for Sounds, U.S. 30E, Warsaw. Fleck said construction is just getting started on the inside of the business and they have not had their final inspection yet. Once the business has its final inspection by the ABC, Fleck said, the permit can be released to them.

She said the business hopes to hire a chef from Chicago and plans to be a fancy "dress-up kind of place."

Automatic renewals approved Thursday by the Kosciusko County ABC include:

• Fraternal Order of Eagles, Syracuse, beer, wine and liquor retailer renewal permit.

• Harmony's Place, Syracuse, beer, wine and liquor retailer renewal permit.

• Blue Coyote, Warsaw, beer, wine and liquor retailer renewal permit.

Members of the county ABC are president Darwin Call, Kenneth Johnson, Gordon Vanator and Indiana Excise Officer Patty Fleck. They meet at 2 p.m. in the Kosciusko County courthouse on the first Thursday of every month.