Application No 9755/2016 IN THE MATTER of the Sale and Supply of Alcohol Act 2012 (the Act) AND IN THE MATTER of an application by Ms Ruby Terina Julia Mangu of Beeva Limited pursuant to section 127 for the renewal of an ON-Licence in respect of premises situated at 90 Peel Street and known as Sugar N Spice Bar. BEFORE THE GISBORNE DISTRICT LICENSING COMMITTEE Chairperson: Councillor Pat Seymour Members: Ken Lyell, Peter Williamson HEARING at Gisborne Cosmopolitan Club on Tuesday 12 July 2016 APPEARANCES Ms Ruby Mangu - Applicant for Beeva Ltd Mr Leighvi Maynard - Burnard Bull & Co - Solicitor for applicant Sergeant Issac Ngatai - Gisborne Police Alcohol Harm Reduction Officer Ms Kelly Hosking – Gisborne District Council Licensing Inspector Ms Kate Sykes - Operations Manager – Population Health - Hauora Tairawhiti RESERVED DECISION OF THE DISTRICT LICENSING COMMITTEE Mr Leighvi Maynard, solicitor for Ms Mangu, advised that he did not propose to make any oral presentation or to give evidence of any type. He was attending to answer questions from the Committee. BACKGROUND 1. This application for the renewal of an ON-Licence was received by the Gisborne District Council on the 11 February 2016 from Ms Ruby Terina Julia Mangu the sole director of BEEVA Limited. The venue at 90 Peel Street has had a long history of operating as an alcohol licensed premises. The use of the premises meets the definition under the Sale and Supply of Alcohol Act 2012 [the Act] of a Tavern. 2. Reports from the Operations Manager Population Health Hauora Tairawhiti and the Alcohol Harm Reduction Officer of the NZ Police at the time of the application offered no opposition. 3. There were matters of concern to District Licensing Inspectors around the premise’s hygiene and uncertainty around the management structure at the time the application was the received. ___________________________________________________________________________________________________________ A682510 Page 1 of 7 4. A meeting between Ms Mangu and licensing staff was held on 5 April 2016 where concerns were raised with Ms Mangu and clarification sought. 5. The District licensing Committee in considering the application noted those concerns and the contents of the file note of the meeting on 5 April 2016. 6. Section 107 of the Act provides for the Authority or Committee to refuse a licence even if the application is not opposed. 7. The Committee took the view that the concerns around hygiene, the lack of clarity around the management structure and undertakings given in the initial application in 2015, and repeated in this application relating to management and to the provision of certain foods, should be tested with the applicant. SITE VISIT 8. The Committee along with Ms Hosking Licensing Inspector, Sgt Isaac Ngatai and Ms Mangu visited the premises at 9.00am on the morning of the hearing. The Committee viewed the kitchen and the food contents of the freezer, the location of the safe seat as described by Ms Mangu and the breezeway used as a smoking area. The Committee noted potential safety issues with the padlocked gates on the breezeway/smoking area. APPLICATION 9. This is an application for an ON-Licence by "Beeva Limited" trading as "Sugar N Spice Bar". The premises have operated under the current ON-Licence for one year. The general nature of the business conducted under the licence will be that of a tavern. The premises operate as a gaming venue, bar and night club. The night club operates on a Friday and Saturday night. Ms Mangu, the sole director is proposing to continue operating the business in the same manner as it is currently. An increase in opening hours, within the default provision of the Act is sought. The lease agreement between the applicant and building owner has been provided in support of the application. The following certificated managers are employed at the premises through whom the licence will be exercised: (I) Tara Fox (2) Rhona Lee Pitcher 27/CERT/9491/2015 Expiry 28 October 2016 27/CERT/9150/2015 Expiry 24 April 2018 The premises day-to-day manager is Rhona Pitcher, who is suitably experienced to undertake these duties. There is no objection to the goods and services that the applicant is engaged in with relation to the principal activity of the business. APPLICANT 10. The applicant is a private company: Beeva Limited. Beeva Limited was incorporated under the Companies Act 1993 on 27 February 2015. ___________________________________________________________________________________________________________ A682510 Page 2 of 7 The listed sole Director of the company is Ruby Terina Julia Mangu of Gisborne. The listed Shareholders of the company are: (1) Leonie Eliza Cleaver of Gisborne; and (2) Stephanie Jean Adams of Gisborne, both holding 50% each of the shares. There are no ARLA enforcements or criminal offences listed against the company director or the shareholders. Ruby Mangu is the company director. This is her first business in the hospitality sector, although she had experience and mentoring prior to taking over the business last year. Ms Mangu confirmed that other work and family commitments several months after the on licence was initially granted, meant she had to take a step back from the day-to-day management of the premises. This resulted in the premises being operated in a way that was not satisfactory, and there was confusion as to who was responsible for the affairs of the business. After a meeting on 5 April 2016, and subsequent discussions and additional information being provided, there is reasonable confidence that Ms Mangu will maintain the premises and management structure that has been established. Ms Mangu has assured licensing staff that she is being proactive in her role as the Director of the company and is committed to ensuring the business is managed well. The premises holds a Class 4 gaming licence issued by the Department of Internal Affairs. Ms Mangu does not currently hold an active Manager's Certificate. Interview and general discussions with the applicant have revealed that Ms Mangu has adequate knowledge about responsibilities under the Sale and Supply of Alcohol Act 2012. She has made an undertaking to take more of an active role again at the premises and has confidence in the management structure that has been established at the premises to manage the day to day affair if she is unavailable to do so. There is no information to indicate Ms Mangu is an unsuitable person to operate these premises with an on-licence. CONDUCT OF LICENCE 11. There have been historic matters concerning premises hygiene and food availability during routine inspections 12. Some concerns were expressed by the Reporting Officers as to the management of the company and Ms Mangu had expressed some confusion in her meeting with the reporting officer on the 5th June. PREMISES 13. The premises at 90 Peel Street was established as a nightclub a number of years ago and have progressed through many iterations of management. The premises are deemed suitable for a nightclub and currently operate under a licence 27/ON/9182/2015. 14. Currently the entire licensed area is designated as a restricted area and the applicant is not seeking any change to that designation. This is appropriate for the activity of Beeva Ltd. ___________________________________________________________________________________________________________ A682510 Page 3 of 7 THE HEARING 15. The applicant Ms Ruby Mangu indicated that she did not wish to present further evidence but that she was happy to answer questions. 16. Ms Hosking for the District Licensing Committee Gisborne District Council sought clarification of the company structure of Beeva Limited. A draft of the company structure as described in the application was tabled and Ms Mangu confirmed that it reflected the company structure of Beeva Ltd and the individuals associated with the company at the time of the application. 17. Ms Mangu indicated that Ms Julie Hooper was no longer a member of staff and now resides in Australia and that she has employed Ms Shasha Brown who has previously worked at Sugar N Spice Bar as a certificated manager. Ms Mangu indicated that she has a further staff member in training Ms Donna Cust who has completed her LCQ and who works Friday nights and she is pleased with her approach and progress. 18. Ms Mangu indicated that staff meetings and her new approach to taking back control of the business attest that she has the management structure in place to support the application. 19. Ms Hosking noted undertakings have been given in the past going back to the initial application for the ON-Licence in 2015 and many of these same undertakings are not consistently met. 20. Ms Mangu was asked about the standards of kitchen cleanliness and who is responsible for the maintenance of the hygiene in the kitchen. Ms Mangu responded that she is responsible for 20% of the time and Ms Cleaver who uses the kitchen for her food preparation business is responsible for 80% of the time. 21. Of particular note was the state of the kitchen floor and of the safety aspects for staff of the lifting tiles and cracked lino; noted during the site visit. 22. Sgt Isaac Hoani Ngatai presented his evidence and an update from the previous tabled evidence of 16 February 2016. At the initial consideration of the application Sgt Ngatai noted no objections; the premises had three current staff members who held managers’ certificates. Ruby Mangu’s manager’s certificate had expired in January 2016 which she was about to renew. 23. Subsequently Sgt Ngatai’s police report for the hearing notes that Ms Mangu appeared before the Gisborne District Court on 27 May 2016 on a charge of driving with a breath alcohol level of 448 Mcgs/Litre of breath. She pleaded guilty and was discharged without conviction and had to pay reparation of $500. “The basis of the application for the discharge without conviction was based around her loss of employment as a security officer for a local security firm if she received a criminal conviction. The ON-Licence renewal application for Beeva Limited shows her as one of the four listed certified managers. Ms Mangu’s manager’s certificate has now expired. This drink drive matter will definitely affect her ability to apply for a manager’s certificate as this is a suitability issue. Police would be seeking a two year stand down for a new manager’s certificate that relates to a drink drive matter”. 24. Ms Mangu affirmed the new certificated manager and the bar person in training gave her confidence the obligations for certificated mangers and suitable bar staff could be met. ___________________________________________________________________________________________________________ A682510 Page 4 of 7 25. The DLC sought confirmation from Ms Mangu that matters raised previously and undertakings given as far back as the initial application of 2015 would be attended to and be consistently maintained 26. In response to questions from the District Licensing Committee arising from concerns in the file notes of the meeting of 5 June 2016: In relation to hygiene of the premises; Ms Mangu responded that she would take full responsibility for the standard of the cleaning of the food preparation premises and hygiene, and that she would be speaking to Mr and Mrs Cleaver. Ms Mangu responded that Ms Clever did have the use of the kitchen on three days a week for the use of Ms Cleaver’s business Nourish Kitchen hence the former 80/20 shared responsibility for hygiene. In the Committee’s view this shared responsibility has not been working. In relation to management of the premises; Ms Mangu advised that she had appointed Rona Pitcher as the duty manager and that she would personally take a closer role in the oversight of the management of the premises. Kurt Adams fixes all gaming machines in the district and does the bookwork for Beeva Ltd and pays the bills. Ms Mangu would have been happy to have him as the business manager but as he fixes all gaming machines in all other premises she did not want this to appear to create a conflict of interest for Kurt Adams. In relation to undertakings previously given around food availability: Hot soup; Ms Mangu discussed the hot soup provided fresh on a daily basis and sold to clients and business people in the area. The soup is supplied to Beeva Ltd from the Cleaver’s business Nourish Kitchen. 27. Ms Hosking noted in relation to the use of the kitchen by Nourish Kitchen that Beeva has the premise registration, therefore Beeva has the responsibility for the maintenance of standards in the kitchen. Hot chips; Still the frying facility on the premises is not available due to delays in repairs to the extractor fan, an undertaking given in 2015. ‘This should be remedied shortly’. In response to further questioning Ms Mangu gave an undertaking to have it repaired in two weeks and until then chips are purchased from McDonalds for clients. Some frozen food items were visible in the freezer during the site visit. The sausage sizzle; Again an undertaking from 2015. The Committee could find no evidence of this ever having occurred as Ms Mangu advised that the BBQ is ‘still upstairs’. Ms Mangu said that ‘clubs book to do it but then do not turn up’. Ms Hosking explored the practicalities of the delivery of a BBQ and the hours as suggested. The District Licensing Committee suggested that alternative means should be looked at for the provision of BBQ sausages if that is to continue to be an undertaking. 28. Ms Hosking asked who of staff physically provides the food. Ms Mangu responded that she does, bar staff raise their hands when food is required. 29. In relation to a question what role does Allan Thompson play; ‘No role now’. 30. In relation to comment that Ms Mangu has seen one of her managers serve intoxicated and underage patrons. Ms Mangu said that some patrons appear with tampered IDs especially driving licences; some appear with the ID of a brother or sister and that she has had words with the certificated manager involved and that she has been providing guidance and further training and support to ensure that this no longer happens. ___________________________________________________________________________________________________________ A682510 Page 5 of 7 Ms Mangu affirmed total confidence now in Tara Fox. Beeva have purchased an ultra violet light machine to check for tampering of IDs and they have three security staff on the bar. Ms Mangu noted that in future she would provide information around tampered IDs direct to the Police. 31. Ms Mangu affirmed that she was employed as a security guard for 360 Degrees Security on the Sugar and Spice premise. 32. The Committee noted the provision of an accountant’s confirmation that proceeds from the sale of alcohol as well as purchases are accounted for in the financial records of Beeva Limited. 33. Mr Leighvi Maynard asked for confirmation of the matters that Ms Mangu must attend to and sought confirmation that they were; hygiene, cleaning, attending to the extractor fan replacement – subject to resolution of technical issues, food availability, understanding and oversight of the premises/management. CONCLUSION 34. The Committee, in considering all evidence before it, formed a view that Ms Mangu is now determined to make the licensed premises of Beeva Limited meet its obligations under the Sale and Supply of Alcohol Act 2012. 35. There is no objection against the applicant’s request to alter opening hours. The proposed hours will lie within the default opening hours provided within the legislation and are agreed to. 36. Recording Ms Mangu’s stated intention to play a more hands on role in the day-to-day operations and supervision of the premises, the Committee granted the renewal of the ON-Licence for one year expiring on 20 July 2017. CONDITIONS 37. This licence is subject to the following conditions: (a) No alcohol is to be sold or supplied on Good Friday, Easter Sunday, Christmas Day or before 1.00pm on Anzac Day to any person other than persons who are present on the premises for the purpose of dining. (b) Alcohol may be sold only on the following days and during the following hours to any other person who is present on the premises; (i) Monday to Wednesday 10.00am to 2.00am the following day (ii) Thursday to Saturday 10:00am to 3.00am the following day (iii) Sunday 10:00am to 12.00 Midnight EXCEPT THAT on the Thursday before Good Friday; and on Easter Saturday; and on Christmas Eve: and on the day before Anzac Day liquor may only be sold between 10.00am and 12.00 midnight. (c) The licensee must have available a reasonable range of non-alcoholic refreshments and lowalcohol beverages for consumption on the premises, while the premises are open for business. (d) The licensee must have freely available for patrons at every bar and in the gaming room, drinking water and hygienic vessels for drinking the water on the premises. ___________________________________________________________________________________________________________ A682510 Page 6 of 7 (e) At all times when the premises are open for business, food in portions suitable for a single customer must be available for sale and for consumption on the premises(i) At reasonable prices; and (ii) Within a reasonable time of being ordered and within no longer than 20 minutes. Menus must be visible and food must be actively promoted. At a minimum, three types of substantial food items shall be available and the range or style of food shall be consistent with, or more substantial than, that submitted for the on-licence application. (f) Each of the following parts of the premises is designated as a “restricted' area at all times: The entire licensed area. (g) The licensee must ensure that signs are prominently displayed within the licensed premises detailing information on alternative forms of transport from the premises. (h) The licensee must implement and maintain the steps proposed in the application for the licence aimed at promoting the responsible consumption of alcohol including making available to all staff a host responsibility plan detailing the steps to be taken by the staff to ensure a safe drinking environment. (i) The licensee must ensure that the provisions of the Act relating to the sale and supply of alcohol to prohibited persons are observed and must display appropriate signs adjacent to every point of sale detailing the statutory restriction on the supply of alcohol to minors and the complete prohibition on sales to intoxicated persons. (j) A one-way door restriction applies for the following days and times: Friday to Sunday from 2:00am to 3:00am. (k) The licence is subject to the requirements of the Act and Regulations relating to payment of fees. Duration Subject to the requirements of the Act relating to the payment of fees, and to the provisions of the Act relating to the suspension and cancellation of licences, this licence expires on the: — 20TH day of July 2017 DATED at Gisborne this 20th day of July 2016. Patricia Seymour Chairperson Gisborne District Licensing Committee ___________________________________________________________________________________________________________ A682510 Page 7 of 7
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