Liquor Permit Debate Lively

Liquor Permit Debate Lively

Campus Inn, Inc., E. Huron near State, has been granted City Council approval for a liquor license. But before councilmen reached that position last night, there was hefty debate and some uncontrolled laughter whcih forced a brief recess.

All councilmen generally agreed Campus Inn is deserving of a license; the debate centered on John C. Stegeman who is a major owner of the new hotel.

Third Ward Councilman Nicholas D. Kazarinoff first attempted to have the last remaining liquor license in the city issued to Aristidis and Mary Mellos who have been seeking a liquor license for a restaurant at 207 S. Main since June, 1964. The Campus Inn request was submitted in December of last year.

The main argument presented for giving the license to Campus Inn was that it would enable that establishment to employe more than 100 persons. Ann Arbor will be eligible for more liquor licenses later this year after census data becomes available.

Kazarinoff, after having his attempt at switching the recipient of the license foiled in a 7-to-3 vote, attempted to hold the issuance of the license to Campus Inn until Stegeman had divested himself of all interests in that establishment. Stegeman’s attorney Henry Conlin said this would be an impossibility.

Kazarinoff attacked Stegeman’s record of housing code violations in the city, noting he has received 28 violations and has been fined for 25 of them. He also noted Stegeman was overdue on taxes.

In a letter which was distributed to council, Stegeman said he was paying his taxes although “I had been told they were due by May 28th, but am glad to pay them now.” This letter was dated May 22.

The delinquent taxes totaled more than $5,000. Mayor Robert J. Harris commented that the May 28 date was when the taxes would be turned over to the county for collection—that they actually were due Dec. 1.

Kazarinoff cited other information concerning Stegeman and his court cases involving failure to pay bills, and also pointed to a $7,500 check which had been given to the city as a bond but which was drawn on an account which, when checked by the city, had been closed.

Mayor Harris and other councilmen broke into uncontrolled laughter when Kazarinoff read a letter from Stegeman written to the city attorney concerning some church property he had used to obtain the necessary square footage for a number of apartments he had built. In his letter, Stegeman had attempted to lay the blame on the church and indicate he was an innocent victim of circumstances.

The mayor announced there would be a brief recess while he and other councilmen composed themselves.

Kazarinoff’s motion that the license be held until Stegeman sells his interests was turned down in an 8-to-2 vote with only First Ward Councilman John Kirscht supporting the motion with Kazarinoff.

The resolution to grant the license was approved with the same voting pattern prevailing, eight in favor and two against.