A District Licensing Committee hearing over whether the Terminus, which is set to open in the place of former Great King St bar The Break, gets temporary authority to trade under the property's existing licence will be held on Thursday. It follows police concern about Mr Dale's involvement.
Business associates last month spoke to the Otago Daily Times about Mr Dale's string of debts, claimed to total at least $240,000, from Capone and Boogie Nites - which at one time were run together under the name Boogie - both in Frederick St, and Urban Factory in Great King St.
Mr Dale said yesterday he had voluntarily stepped aside from any involvement in the Terminus in the interests of the business owners and accused police of relying on ‘‘unsubstantiated rumours'' about his debt situation.
Alcohol harm prevention officer Sergeant Ian Paulin said in an email to a licensing inspector that while there was no mechanism for police to oppose a temporary application, there were some issues the committee should be made aware of.
Police had received information indicating Mr Dale had left Boogie, which ceased trading last year, with a trail of unpaid debt, Sgt Paulin said.
He noted that Thomas Hannagan, who was also linked with the applicant, was duty manager at Boogie Nites during O Week in 2014 when police deemed the bar to be ‘‘dangerously overcrowded''.
‘‘Police question his ability to run a busy and crowded premises.''
The area around The Break had also been ‘‘crime and disorder free'' for the past year, with a dramatic drop in the number of calls to police.
‘‘Any increase in disorder and calls for service to this area should this temporary application be issued will be directly attributable to this premises.''
District Licensing Committee secretary Kevin Mechen said in the agenda that Ryan McKenzie was the sole director of Meticulous, Awesome & Creative Ltd, which had applied for the temporary licence.
While Mr Hannagan and Mr Dale were not part of the company, there was concern about what role they would take in the company and Mr McKenzie had indicated Mr Hannagan and Mr Dale were interested in buying a shareholding in the company.
‘‘The committee needs to satisfy itself that the application is genuine and Mr McKenzie will be operating the premises and it is not a vehicle to allow Messrs Dale and Hannagan to have a premises when they may have otherwise not succeed [sic] on their own.''
Mr Dale said in a statement, provided in response to questions from the ODT, that he was not involved in the Terminus and ‘‘never was, other than as an adviser and possible DJ/contractor''.
He also said he had no interest in buying shares in the company behind the application.
Asked about the debt figure cited by Sgt Paulin, he said: ‘‘I am disappointed that Mr Paulin and any person would accept unsubstantiated rumours as evidence and I am surprised that this has been the case from a standing police officer.
‘‘I have never been charged with an offence, or received debt lodgements against my person.''
He also questioned why his financial circumstances were being taken into account as a factor at the hearing, saying they had never been taken into account in past decisions.
A large number of current licence holders had previous ventures liquidated as it was an ‘‘extremely volatile'' industry.
Licensing inspector Martine Cashell-Smith requested the committee consider the issues raised by police, but to note the two people who police were concerned about were not actually the applicants for the temporary authority.
Mr Mechen told the Otago Daily Times last month it was unusual for hearings to be held for temporary authorities, as they were normally given as a matter of course.
