RES 88382 - Laserfiche WebLink

DISCUSSION: Issue of Ownership The Pastime Pool Hall's cardroom permit has been held jointly by Jay Nelson and Frank Shenave since 1979. As a matter of law, the actions of one partner and co-permitee, i.e. a felony narcotics conviction, subjects both partners to the potential sanctions of permit suspension or revocation. The issue of ownership is not relevant to this hearing either under analogous case law or local ordinance. California decisions indicate clearly that under these circumstances the entire permit involved here must be revoked, in toto. (see Rice v. Alcoholic Beverage Control Appeals Board, 89 Cal. App. 3d 30 (1979)). As well, under the City's cardroom ordinance (PMC section 6.12,090) the privileges conferred by a permit may be transferred only with the consent of the City Council. No such application had been received prior to the revocation action of June 29. As a result, the revocation can only be effective as to both Nelson and Shenave, under their original partnership. Appropriateness of Revocation The level of sanction imposed by the Chief of Police, i.e., revocation, is consistent with the evidence as presented in the revocation letter of June 29. In essence, the Pastime had become a center for small time drug dealing with a notable degree of openness and with one of its owners, Jay Nelson, as a primary dealer. The Nelsons and Shenaves are in-laws. Jeanne Nelson is Jackie Shenave's twin sister. If Frank Shenave was unaware of the drug dealings of his brother-in-law and others in and around the Pastime it would appear that he was seriously remiss in his partnership and permit-holding duties. In one documented instance, the Shenave's pick-up truck was used by a third person to fetch cocaine from the Nelson residence to sell to an informant buyer at the Pastime. Given the numerous instances of documented drug dealing in and around the tavern, a reasonable conclusion would be that Frank Shenave failed to take reasonable steps to prevent such activity on the premises.