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Home My WebLink About961815.tiffHEARING CERTIFICATION DOCKET NO. 96-50 RE: EVIDENTIARY HEARING CONCERNING THE APPLICATION FOR A CHANGE OF OWNERSHIP FOR A HOTEL AND RESTAURANT LIQUOR LICENSE, WITH EXTENDED HOURS, FOR CONSUMPTION BY THE DRINK ON THE PREMISES ONLY, FROM ROBERT W. KLINE, DBA REWARDS BAR AND GRILL, TO MICHELLE L. JOHNSON, INC., DBA MICHELLE'S SALOON A public hearing was conducted on October 7, 1996, at 10:00 a.m., with the following present: Commissioner Barbara J. Kirkmeyer, Chair Commissioner George E. Baxter, Pro -Tern Commissioner Dale K. Hall Commissioner Constance L. Harbert Commissioner W. H. Webster Also present: Acting Clerk to the Board, Shelly Miller County Attorney, Bruce Barker The following business was transacted: I hereby certify that pursuant to a notice dated September 18, 1996, and duly published September 26, 1996, in the North Weld Herald, a public evidentiary hearing was conducted concerning the application for a Change of Ownership for a Hotel and Restaurant Liquor License, with extended hours, for consumption by the drink on the premises only, from Robert W. Kline, dba Rewards Bar and Grill, to Michelle L. Johnson, Inc., dba Michelle's Saloon. Bruce Barker, County Attorney, made this a matter of record and reviewed the following issues to be considered by the Board, as noticed: a) Whether the applicant is of good moral character. (Section 12-47-111(1)(a)(III), C.R.S.); b) Whether the hotel/restaurant is being financed, in whole or in part, by the applicant's husband, Michael S. Johnson, by virtue of his $20,000.00 gift to Ms. Johnson which she then used to purchase the licensed establishment. (Section 12-47-111(1)(a)(VI), C.R.S.); c) Whether Ms. Johnson, through her corporation, plans to have Mr. Johnson assist or be employed at the licensed establishment. (Section 12-47-111(1)(a)(VI), C.R.S.); and d) Whether Mr. Johnson is of good moral character. (Section 12-47-111(1)(a)(VI), C.R.S.). Mr. Barker also reviewed additional documents provided by Ms. Johnson as requested. Mr. Barker notified the Board that the check issued to the Clerk to the Board's Office for the County's application fee was from Mr. Johnson and was unpaid because the account was closed; therefore, Ms. Johnson resubmitted all required fees in certified funds. He stated CBI was unable to locate any records on Ms. Johnson; therefore, she has no known criminal record. Melvin Dinner, Attorney, represented the applicant, Michelle Johnson, and the current licensee, Robert Kline, and submitted a packet of information to the Board. Ms. Johnson was sworn in for the record by Mr. Dinner; she then answered numerous personal questions for him and verified the following documents, which were entered into the record: Exhibit 1 - Application for Change of Ownership and Individual History Record, date August 27, 1996; Exhibit 2 - Purchase and Sale Agreement between Robert W. Kline, dba Rewards Bar and Grill, and Michelle L. Johnson, Inc., dated P0: CP 961815 LC0042 HEARING CERTIFICATION RE: EVIDENTIARY HEARING - MICHELLE'S SALOON PAGE 2 August 26, 1996; Exhibit 3 - Articles of Incorporation; Exhibit 4 - Certificate of Good Standing from Secretary of State, dated August 26, 1996; Exhibit 5 - Stock Certificate No. 1 for 20,000 shares, dated August 27, 1996; Exhibit 6 - Lease Agreement between G.B.G.I., Inc., and Manual Corral and Isabel) Tarin, dba Country Diner, dated April 7, 1993, and Sublease between Robert W. Kline dba Rewards Bar and Grill, and Michelle L. Johnson, Inc., dated August 26, 1996; Exhibit 7 - Ante Nuptial Agreement between Michelle L. Johnson and Michael S. Johnson dated September 28, 1996; Exhibit 8 - Assignment from Michelle L. Johnson to M. L. Johnson, Inc., dated September 26, 1996, regarding sublease; Exhibit 9 - Bill of Sale from Robert W. Kline to Michelle L. Johnson, dated August 26, 1996; Exhibit 10 - Assignment from Michelle L. Johnson to Michelle L. Johnson, Inc., dated September 26, 1996, regarding purchase agreement; Exhibit 11 - Lease Agreement between Michelle L. Johnson and Robert W. Kline, dated August 26, 1996; Exhibit 12 - Deed between Michelle L. Johnson, aka Michelle Leah Johnson, to Michelle L. Johnson, Inc., dated September 27, 1996; Exhibit 13 - Sub -Sub Lease between Michelle L. Johnson, Inc., and Robert Kline, dated September 27, 1996, regarding the Lease Agreement and the Sublease described in Exhibit 6; Exhibit 14 - Revised Sub -Sub Lease between Michelle L. Johnson, Inc., and Robert Kline, dated October 4, 1996, with attachments; Exhibit 15 - Management Agreement between Robert W. Kline, dba Rewards Bar Grill, and Michelle L. Johnson, Inc., dated September 24, 1996; Exhibit 16 - Promissory Note between Michelle L. Johnson, Inc., and Robert W. Kline, dated August 26, 1996; Exhibit 17 - Promissory Note Payment Schedule; Exhibit 18 - Letter from Bruce Barker, County Attorney, to Michelle Johnson and Robert Kline, dated September 26, 1996; Exhibits 19 through 23, respectively - Letters of Reference on Michelle Johnson's behalf from Russell I. Cole, Scott D. Peterson, Shelley Cummins, Paul K. Blye, and Jack L. Honstein; Exhibit 24 - Rewards Bar Grill Liquor Inventory; Exhibit 25 - Letter of Reference on Michelle Johnson's behalf from Jason McBrien; and Exhibit 26 - Daily Sheet regarding bar occurrences. Mr. Dinner moved admission into the record of Exhibits 1 through 26 and reiterated Ms. Johnson is properly and well qualified to operate the subject establishment in accordance with State law. He then responded to questions from the Board regarding said exhibits. Mr. Barker further clarified the issue regarding the check from Mr. Johnson and reiterated Ms. Johnson has now submitted certified funds. Ms. Johnson explained Mr. Johnson's previous fianc� closed the checking account, of which they were unaware. She confirmed she used part of the gift for the license fees. Mr. Dinner reiterated Mr. Johnson has, nor will he have, no right, title, or interest in the incorporation or the business. Ms. Johnson and Mr. Dinner responded to further questions from the Board, and Mr. Barker confirmed the post ("ante") nuptial agreement is a legal agreement. Mr. Kline then confirmed for Mr. Dinner his signature on the various documents submitted as exhibits and stated he has known Ms. Johnson for approximately 15 months. He reviewed her duties as bartender/co-manager and confirmed her good moral character and his agreement to proceed with the transfer. Mr. Kline then responded to further questions from the Board. Chris Fresques, owner of Oil Can Harry's, stated he has personally known Ms. Johnson for over 2'/ years and reviewed her duties when she was employed by him as a bartender. He stated she was a very good employee and a very trustworthy person. Mr. Fresques stated he recommended Mr. Kline hire Ms. Johnson, and he also recommends the Board grant this application. Mr. Dinner reiterated Ms. Johnson is thoroughly qualified and capable of operating the establishment, as shown by Mr. Kline's willingness to sell her the bar and by Mr. Fresques' testifying her good moral character. He again confirmed Mr. Johnson has none, nor will he attain any interest in the bar. No further public testimony was 961815 LC0042 HEARING CERTIFICATION RE: EVIDENTIARY HEARING - MICHELLE'S SALOON PAGE 3 offered concerning this matter. Mr. Barker responded to further questions from the Board and recommended the Board, if it so chooses to approve this application, make a finding that Mr. Johnson has no financial interest in the operation and require a Condition of Approval restricting Mr. Johnson's involvement, since he is suspected to be not of good moral character. Responding to Chair Kirkmeyer, Ms. Johnson agreed to such a Condition of Approval which would not allow Mr. Johnson to assist or be employed at the establishment and also for all present and future employees to attend T.I.P.S. training. Commissioner Webster stated the $20,000.00 was a gift to Ms. Johnson, which she is free to expend as she wishes; therefore, he moved to approve the application for a Change of Ownership for a Hotel and Restaurant Liquor License, with extended hours, for consumption by the drink on the premises only, from Robert W. Kline, dba Rewards Bar and Grill, to Michelle L. Johnson, Inc., dba Michelle's Saloon, with the two Conditions of Approval as entered into the record and agreed to by the applicant. The motion was seconded by Commissioner Hall, who stated he believes Ms. Johnson is of good moral character and confirmed Mr. Johnson will not be involved. He also stated Ms. Johnson agreed to the Conditions of Approval, and he is willing to give her the benefit of the doubt and let the future tell. Commissioner Harbert agreed with Commissioner Hall's comments and stated she has reservations with Mr. Johnson's involvement because she is not familiar with post -nuptial agreements; however, that matter has been best proved through legal documentation. Commissioner Kirkmeyer agreed with the other Board member's comments and stated she, too, would vote for approval. The motion then carried unanimously. This Certification was approved on the 9th day of October, 1996. eputy CI TAPE #96-27 DOCKET #96-50 LC0042 to the Board APPROVED: BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO FXCl1SFr1 r)ATF OF APPROVAI Barbarfr J. Kirkmeyer, hair Dale K. Hall Constance L. Harbert W.ebsfer /1 961815 LC0042 NOTICE DOCKET NO. 96-50 Pursuant to the liquor laws of the State of Colorado, the licensing officials of Weld County, Colorado, determined it necessary to schedule an evidentiary hearing concerning the application for a Change of Ownership for a Hotel and Restaurant Liquor License, with extended hours, for consumption by the drink on the premises only, from Robert W. Kline, dba Rewards Bar and Grill, to Michelle I. Johnson, Inc., dba Michelle's Saloon. Date of application: August 27, 1996 The hearing on said license will be held in the First Floor Assembly Room, Weld County Centennial Center, 915 10th Street, Greeley, Colorado, on October 7, 1996, at 9:00 a.m., to consider the following issues: a) Whether the applicant is of good moral character. Section 12-47-111(1)(a)(III), C.R.S. b) Whether the hotel/restaurant is being financed, in whole or in part, by the applicant's husband, Michael S. Johnson, by virtue of his $20,000.00 gift to Ms. Johnson which she then used to purchase the licensed establishment. Section 12-47-111(1)(a)(VI), C.R.S. c) Whether Ms. Johnson, through her corporation, plans to have Mr. Johnson assist or be employed at the licensed establishment. Section 12-47-111(1)(a)(VI), C.R.S. d) Whether Mr. Johnson is of good moral character. Section 12-47-111(1)(a)(VI), C.R.S. Please contact the Clerk to the Board's Office at phone (970) 356-4000, extension 4226, or fax (970) 352-0242 prior to the day of the hearing so that reasonable accommodations can be made if, in accordance with the Americans with Disabilities Act, you require special accommodations in order to participate in this hearing as a result of a disability. Petitions and remonstrances may be filed in the office of the Clerk to the Board of County Commissioners, located in the Weld County Centennial Center, 915 10th Street, Third Floor, Greeley, Colorado. DATED AT GREELEY, COLORADO, THIS 18TH DAY OF SEPTEMBER, 1996. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO BY: DONALD D. WARDEN WELD COUNTY CLERK TO THE BOARD BY: SHELLY K. MILLER DEPUTY CLERK TO THE BOARD PUBLISHED: September 26, 1996, in the North Weld Herald AFFIDAVIT OF PUBLICATION NOTICE DOCKET NO. 96-50 Pursuant Colorado, to the liquor thelicelaws the State nsingofficials of Weld County, Colorado, determined it necessary cesar to schedule an evidentiary hearing concern- ing the application for a Change of Owner- ship for a Hotel and Restaurant Liquor U- cense, with extended hours, for consump- tion the drink on the premises only, from Robert W. Kline, dba Rewards Bar Grill, to Michelle I. Johnson, Inc., dba Michelle's Saloon. Date of application: August 27, 1996 The hearing on said Change of Ownership application mlyRoom, will Weld iCouthnt Irst Fentennial sembly CC on Oct, er 10th Se9, ., Colorado, on October 7, 1996, at 9:00 a.m., to consider the following Issues: a) Whchether licant is of good moral arracter.the ctpp Section 12-47.1111(1)()(111), C.R.S. b) financte rt In part, by Wheer arsethe ed.In wholeor applicant's virtuehusband, his$20,Michael S. 000.00 Johnson, by gift to Johnson wen she then used to purchase the licensed estab- lishment. Section 12-47-111(1)(a)(yl), C.R.S. c) Whether Ms. h cor- poration, lansto have r Mr. hJohnson assist or be employed at the licensed e* ablisYI t) Ct. Section 2-47-' 11d) Whether Mr. chJohnson Is of good moral aracter. Secton 12-47-I11(1)(a)(v) C:R.S. Please contact the ( Clerk to the Board's Of- fice phone 097362.0242 prior to the0, sion day f4226,the h fax hearing ) accommo- dations cannbe made if Inoa�rdance with the Americans with Disabilities Act, you re- quire special accommodations in order to pis ciery in this hearing as a result of a Petitions and remonstrances may be filed In Commmssioners, located the ethe Weld County Centennial Center, 9e 15. 10th Street, Third Floor, DATED T GREELEY, COLORADO, THIS DAY OF SEPTEMBER, WECOMMISSIONERS LD COUNTY, COLORADO BY: LRDEN WELDCOUNTY CLERK TO THE BOARD BY: SHELLY K. MILLER DPUTY CLERK TOOTHE BOARD inSeptember 26, 1996, the North Weld Herald STATE OF COLORADO COUNTY OF WELD SS. I, Bruce J. Bormann, of said County of Weld, being duly sworn, say that I am Publisher of THE NORTH WELD HERALD a weekly newspaper having a general circulation in said County and State, published in the Town of Eaton, in said County and State; and that the notice, of which the annexed is a true copy, has been published in said weekly newspaper for one successive week(s), that the notice was published in the regular and entire issue of every number of the paper during the period and time of publication, and in the newspaper proper and not in a supplement, and that the publication of said notice: Notice — Docket # 96-50 was in said newspaper bearing the date(s) of: day of September, 1996 Thursday, the 26th Thursday, the day of September , 1996 Thursday, the day of September , 1996 Thursday, the day of September , 1996 and that the said THE NORTH WELD HERALD has been published continuously and uninterruptedly for the period of 52 consecutive weeks, in said County and State, prior to the date of first publication of said notice, and the same is a newspaper within the meaning of an Act to regulate printing of legal notices and advertisem9af;, approved May 18, 1931, and all prior acts so far as in RU J. BORMANN, PUBLISHER Publication Cost: $ 2.68 Subscribed and sworn to before me this 27th day of September, 1996 EPI AC. E^GLE? :'c ERIKA C. BAGLEY, NOTA(lY PIC My commission expires October 21, 1999 OFFICE OF THE SHERIFF MEMORANDUM TO Bruce Barker FROM Mark T. Profitt DATE 092696 RE Posting of Notice/Resolutions Mr. Barker, Per your requestiI cted the Notice of Hearing at Rewards Ray and Grill at 2325 hours (11:25 p.m.)^ by taping the Notice to the front window next to the main en- trance. I also gave the two resolutions to the bartender, a Kari Gray, and advised her to give them to Michelle Johnson, as Ms. Johnson was not in the business at the time. I then took a photo of the posted Notice as required. Any questions, feel free to contact me at my duty station. MARK_ T. PRO: 4oAieb66 2gste fres3"a- 6 £y -c& ?32CAzs p. II, W.C.s.O. MEMORANDUM COLORADO TO: Barbara Eurich FROM: Carol Harding SUBJECT: Pass Through Funds -- Michelle Johnson October 7, 1996 This is to explain the transactions processed through the Banner Clearing Account (1000-90100- 6560) in regards to a liquor license application from Michelle Johnson, Inc. Ms. Johnson reversed the amounts on the checks required by the Colorado Department of Revenue and the Weld County Clerk to the Board's Office, making the check payable to the Department of Revenue in the amount of $328.75 and making the check which is payable to the Clerk to the Board in the amount of $946.25. Since the fees were paid using Certified Funds, it was decided it would be best to handle the $946.25 check as pass -through funds, issuing one warrant to the Colorado Department of Revenue in the amount of $617.50. This warrant, along with the one for $328.75 presently being held by the Clerk to the Board's office, will be sent to the state with the application. A second warrant will be issued to the Weld County Revolving Fund in the amount of $328.75, which will reimburse the amount of a previous check deposited for the County's application fee which was returned by the Treasurer because of a closed account. The entries listed below are the three items processed through the Clearing Account: 10/1/96 Deposit 10/7/96 Warrant - Colorado Department of Revenue 10/7/96 Warrant - Weld County Revolving Fund Due Date !er%V7/?P Document # x9G J-3/C-'� Account # /d6 -2F) — 96:/CO — —(c)0 Rayed By ( h' Extension 49/7 Date /,e2 with enc!os.0 _ Return to Dept ?� Authorized By �� $946.25 617.50 328.75 Due Date /9/7 /'3 c Document # r9 a 3i 43 Account # IE 'O—?P/c•O —6, 5-6O—/,E)T Keyed By Extension +<9/7 Date 767'/ Mai l__ Mail with enclosure Ret rntoDept Authorized By /y ��C-cc- Weld C.....ty INVOICE NUMBER OR REFERENCE INVOICE DATE INVOICE AMOUNT DISCOUNT OR : DEDUCTIONS :TAX WITHIIELD ADDITIONAL AMOUNT NET AMOUNT JOHNSON 10/07/96 617.50 .00 .00 617.50 COLORADO PAY TO THE ORDER OF 4 By 0eOi T e Board Of. County Commissioners GREELEY,COLORADO (970) 356-4000. FAX: (970) 352-0242 TREASURER OF SAID COUNTY COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT 1375 SHERMAN STREET DENVER CO 80261 Weld County 915 10th Street P.O. Box 758 Greeley, CO 80632 COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT 13 SHERMAN STREET DENVER CO 80261 DATE 10/07/96 Weld county INVOICE NUMBER OR REFERENCE INVOICE DATE INVOICE AMOUNT DISC0UNTOR DEDUCTIONS TAX WITHHELD ADDITIONAL AMOUNT NET AMOUNT 9780 10/04/96 97.00 .00 .00 97.00 9786 10/02/96 95.31 00 .00 .00 95.31 RETURNED 10/07/96 328.75 .00 .00 .00 328.75 uSSE" 3814397 O sL O W I- - NC NSgcHANGE${GQL • By Order: Ttie Board Qf County Commissioners GREELEY, COLORADO (970)356=4000 FAX: (970) 352-0242 TREASURER OF SAID COUNTY DATE 10/07/96 PAY TO THE ORDER OF WELD COUNTY REVOLVING FUND ACCOUNTING DEPARTMENT PO BOX 758 GREELEY CO 80632 Weld County 915 10th Street P.O. Box 758 Greeley, CO 80632 WELD COUNTY REVOLVING FUND ACCOUNTING DEPARTMENT P O BOX 758 GREELEY CO 80632 PAY F.XACflX •. VOID IPNOTCASH I . DAYS purohaser Nithe11e Pay To The Order Of.`****Colorado Department of Revenue******* Johnson, Inc. EX Re ly JLP., G4.00 Issued BY lMegraled Payment Syslenu Jr c Englewoatl, Colorado 7o Citibank CN=w York State). Bak . N Y e'�1' I_i 7_( ,t_ ___044:47....,_4._,4,_. AuthondzeSignature 1: d"q ****328 75***** Drawer; BANK ONE, COLORADO, N.A. OLOR. 9ADUALL.:AND ;FROM DARKT0MHT1Y By Order Of The Board Of Ceenty'Commissioners P.O. Box 758 • GREELEY, COLORADO (970) 356-4000 FAX: (970) 352-0242 TREASURER OF SAID COUNTY DATE 10/07/96 PAY TO THE ORDER OF COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT 1375 SHERMAN. STREET DENVER CO 20261 He 30 NOT CASHED', a/ DAYS •NO OFCOUN,Y MM 'solNfl idiom wring! SuIen Jo! noh us41 P 387 472 055' RECEIPT FOR CERTIFIED MAIL NO INSURANCE COVERAGE PROVIDED NOT FOR INTERNATIONAL MAIL See Reverse) PS Form 3800, June 1985 U.S.G.P.O. 1989-234-555 Sent to stiColorado Dept. Of Revenue _Liquor Enforcement Div. P 1375 Sherman Street —Denver, CO 80261 Pc Ce Sp, Restricted Delivery Fee Return Receipt showing to whom and Date Delivered Return Receipt showing to whom. Date. and Address of Delivery TOTAL Postage and Fees S Postmark or Date ,o/l7 (q m c m 0 0 • r0 N Q j O 0 • 0 m 0 N • t m E o E m 0 m y or, Q Q 3Ga N • O N 0 A I 8 E u fl ft 0 N C p pL 8 & gd € c8 Q c¢ == �a >E Oasr° Y't¢ Z EE = L urn CQ woo 8•x;•2 . toms 00101101 041 uo pewldwoa SS3uaav Nuflhllf .noA sl N .0 M Z Eqc g t 8 g 0 m H O O O8 0 O E m 2 m w m E m o. y 1L cc 4 f ❑ ❑ m 0 O 0 C r e 5. Received By: (Pri, 0 0 0 rn E PS Form 3811, D e..0 2191 S BANK=ONE® PAY TO THE ORDER OF JLP G 2.50 PERSONAL MONEY ORDER -_.OO NOT GOOD FOR MORE THAN $1000.00 MEMO Issued by Integrated Payment Systems. Inc., Englewood, Colorado To Citibank (New York State): Buffalo, N.Y. 1 / Ilg1DO`OO NA;.. SENDER Ili�leTllfrtil ADDRESS 1 14.00 x: Michelle L Pay To The Order Of ****Colorado Department of Revenue********** E`'',Af-. r:-143:3cMR JLP G4.00 nod By f Sank led Payment Cy YOM Stale' B.11ao Drawer: BANK ONE, COLORADO, N.A.. Ir E lowodd, Colorado V f rl Au horzed Signature I: t't: vii'z Mr io $ pyrfEaTURg ****328.75 ***** Dollars Purchaser Michelle L Johnson, inc." Pay To The Order Of ***Weld County Clerk to the board******* JLP G4.00 z;wtl By Iegrated Payrnot Svieras inc. EnaF Crtlhsnk IN5u York Stile) B_flare N od.Colorado 10-86020 **946.25******** Drawer: BANK ONE, COLORADO, N.A. _ l f f 'Ilf Y .y ,•:.4 1u Authorized S,gnatu e A. 4:O 2 20008681:6811'060444 86 30 30 54 2 Dollars ICHAEL JOHNSON 207 CUMBERLAND GAP ROAD NEDERLAND CO 80466 PAY TO TH ORDER OF 82-597/1070 tur ed Lin aid: un stop Payr 581 $3a 77 DOLLARS L'I r: LC 3 '940105048070o 0581 i000032875,o 21 DR 8411 (04/95) LIQUOR LICENSING PROCESSING DOCUMENT COLORADO DEPARTMENT OF REVENUE RETAIL LIQUOR & LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET 3.2% BEER LICENSE FEES DENVER CO 80261 DO NOT WRITE IN THIS SPACE 1. Name of Applicant(s) (exactly as it appears on state application) i2,EW h., o%4,266/11 Inc ' 2- Trade Name of Establishment (DBA) iniejLei s SA -26792- onthe �application) 3. Address of Premises (as it appears' , /670-3 77 < /itd State Sales Tax No Business Phone 303-176-6 /1 b • ALL ANSWERS MUST BE PRINTED IN BLACK INK OR TYPEWRITTEN • APPLICANT MUST CHECK THE APP OPRIATE BOX(ES) • LOCAL LICENSE FEE $ cots 7S .Un City �inonf County Otic� ... , SECTION D •LIQUAR:IJCENSE FEES State COZIP (� Cod&,.,. j O 230 ; Application Fee for New License $450.00 pplication Fee for Transfer of Ownership 450.00 � SECTION A i))..ka(i',.>.�.FEES' ;., ° 1" a IYm "•,� t° i < ,_ ; ,.:" 1980 i-2' 10. 0 ,ors t$' `- t; Retail Liquor Store License (city) 202.50 • Retail Liquor Store License (county) 287.50 ❑ Liquor Licensed Drugstore (city) 202.50 IILiquor Licensed Drugstore (county) 287.50 ■ Beer & Wine License (city) 177.50 • Beer & Wine License (county) 262.50 H & R License • city Qj,county 326.25 H & R License w/opt Prem • city ❑county 326.25 • Club License ■ city ■ county 135.00 0 Tavern License • city • county 326.25 • Arts License • city • county 135.00 ■ Racetrack License ❑ city 0 county 326.25 • Optional Premises License ❑ city • county 326.25 • Retail Gaming Tavern LicU city ❑ county 326.25 • BWS Special Event Permit each 25.00 If applicant has a Beer and Wine, or Malt, Vinous and Spirituous Liquor License, indicate your state • Liquor License Account No. 2210-100 (999) u Retail Warehouse Storage Permit 50.00 2280-100 (999) iii Request to Change, Alter or Modify Premises 75.00 1980-100 (999) • Addition of Optional Premises to Existing hoteVrestaurant $50.00 x Total Fee 2320-100 (999) • Request to Change Corporation or Trade Name 25.00 2230.100 (999) u Request to Change Location 100.00 2320.100(999) • Duplicate License 25.00 2320.100 (999) ❑ Subpoena Testimony Fees 100.00 (use license no. 21-94214)<4yp SECTIONS ' ':'. "' FEE ix eta }� �aY ', x a * ,.. � • ■ Managers Registration (hotel & restaurant only) 75.00 Extended Hours 170.00 Renewal - attach quDR r 8404 (application) ❑ Delivery Permit (liquor store/drugstore only) If applicant has a 3.2% Beer Retail license, indicate your • state 3.2% License Account No. 2280-100 (999) u Request to Change, Alter or Modify Premises.. 75.00 2330-100 (999) • Request to Change Corporate or Trade Name 25.00 2230-100-(999) u Request to Change Location 100.00 2330-100-(999) u Duplicate License 2500 ,'1 e a �;•,„. , . SECTION E .�'.".--'3.2%BEER UCENSEfEES < rbf = ) f ■ Application Fee for New License $450.00 • Application Fee for Transfer of Ownership 450.00 ■ Retail 3.2% Beer On Premises - (city) 71.25 ■ Retail 3.2% Beer On Premises - (county) 92.50 : SECTIONtC ,:. ,. r"' + ,' FEE a yn 2x • Retail 3.2% Beer Off Premises - (city) 71.25 If applicant has a Hotel/Restaurant liquor license and is• registering a new manager, indicate your state Liquor • License Account No. 224 ^ ^) =;>r ¢ F.yi ° 9� ❑ Retail 3.2% Beer Off Premises - (county) 92.50 Retail 3.2% Beer On/Off Premises - (city) 71.25 • Retail 3.2% Beer On/Off Premises - (county) 92.50 ■ 3.2% Beer Special Event Permit each 10.00 • 3.2% Beer On/Off Premises Only Delivery Permit 1970-750 (999) u Managers Registratign 75.00 DO NOT WRITE IN THIS SPACE - FOR DEPARTMENT OF REVENUE USE ONLY LIABILITY INFORMATION. I ,... pg 4 b{��beIntlyt# Ybt ,�$g�k'p,�}phgy� ik9 uabli,lrtMte S< y 4'L '�9ar D A�40taM5a s m 4x qq {{ 4d +65� d'4� �Eh4� E WN1 �i 1,gg �Y4kfi wSF #r, 3 t ? 4tt$�Y. 3t�4x R YB 4 t t rlxk��#'I �p�`, • i-4i yaa #i ^ y • � }7 d ,' S9<.a' stfi .i t tt .: t L '" y rn State:_ 750 (999) {9ty .. 1 2180-1b0 (999) '.ry County '' 2A00-100 (999) Managers Rag 1970-'750'(999) %// ) ( 4 _ / &// ff w„ea„irllw°„ 00- 00 99 0 h F p..i Y X r s ( ` Hours City k v 180-'100 x (999) l5d flours»County 2190-100 '(999) , m ° AL k , A yr sxt; 4s / DR 8404 (02/94) COLORADO DEPARTMENT OF REVENUE �j /' ! �. 13O75 RENFORCEMENT ERMAN STREET DIVISION I t, 'l ( L ' L L DENVER CO 80261 COLORADO LIQUOR OR 3.2 % RMENTED MALT BEVERAGE LICENSE APPLICATION 1. Applicant is a Date filed with Local Authority O /a7 /9� Corporation (Attach DR 8177) ❑ Individual (Attach DR 8404-1) ❑ Partnership (Attach DR 8441) ❑ Limited Liability Company (Attach DR 8405) F.E.I.N. la. Name of Applicant(s) If partnership, list partners' names (at least two); if corporation, name of corporation INC.' Sqcial - M_I_CHELLE;Fc�I41QHNSON State Sales Tax No. Business Telephone 2. Trade Name of Estaoiishment (DBA) MICHELLE'S SA' DON y'3— 71i -Lilld 3. Address of Premises (specify exact location of premises In—li_o3 —nu rner IV( City '1/4._(,Inq mnn-t County LueL0( State) (O ZIP CAe Cic7Y.-- 4. Mailing Addr s (Number and Street) ?all 03 �rner�lit] . City or Town L. &no mc4 State ft ZIP csde O`_G'--i 5. If the premises currently have a liquor or beer license, you MUST answer tb a following question: PrP.seRt,Trade Name of That >° I L ',Q r stablisJunent (DENPresent cS 1614 re quit PresentState License No. Present Type of License R n Present Expiration Date P 6. Is the applicant (including any of the partners, it.it partnership; members or manager if a limited liability company; or officers, stockhold- Yes No ers or directors if a corporation) or manager under the age of twenty-one years? ❑ No 7. Has the applicant (including any of the partners, if a partnership; members or manager if a limited liability company; or officers, stockhold- ers or directors if a corporation) or manager ever; us X (a) been denied an alcoholic beverage license? III �� (b) had an alcoholic beverage license suspended or revoked? (c) had interest in another entity that had an alcoholic beverage license suspended or revoked? El Q If you answered yes to 7a, b or c, explain in detail on a separate sheet. 8. Has a liquor license for the premises to be licensed been refused within the preceding two years? If "yes," explain in detail. r. 8a. Has a 3.2 beer license for the premises to be licensed been refused within the preceding one year? If "yes,' explain in detail. ❑ ❑ 9. Are the premises to be licensed within 500 feet of any public or parochial school, or the principal campus of any college, university or ❑ Q seminary? 1D. Has a liquor or beer license ever been issued to the applicant (including any of the partners, if a partnership; members or manager if a limited liability company; or officers, stockholders or directors if a corporation)? If yes, identify the name of the business and list any IIIItI 1 current financial interest in said business including any loans to or from a licensee. 11. Does the Applicant, as listed on line la of this application, have legal possession of the premises for at least 1 year from the date that ��ll . this license will be issued by virtue of ownership or under a lease? (If yes, attach a signed copy of deed or lease.) y( Li< Other in Detail) - u n 1 F_ = -.? ❑ Ownership ❑ Lease (Explain a. If leased, list name of landlord and tenant, and date of expiration, EXACTLY as they appear on the lease: Landlord Te,Gant� mi �r��4u4..�f-YI L. JOHNSON. INC Expires nickIch 11 ci- G.E.G. II INC. L Attach a diagram of the area to be licensed (including dimensions) which shows the bars, walls, partitions, entrances, exits and what each room shall be utilized for in this business. This diagram should be no larger than 8 1/2" X 11". (Doesn't have to be to scale) 12. Who has (including persons, firms, partnerships, corporations, limited liability companies) or will loan or give money, inventory, furniture or equipment to or for use in this business; or who will receive money from this business. Attach a separate sheet if necessary. NAME ADDRESS INTEREST r`obart W. Kling LjE33 h 1� IPCfCc.J ter,' =r, _t )-e 1 t - (f z'.(')_),)1 Attach copies of all notes and security instruments, and any written agreement or details of any oral agreement, by which any person (including partnerships, corporations, limited liability companies, etc) will share in the profit or gross proceeds of this establishment, and any agreement relating to the business which is contingent or conditional in any way by volume, profit, sales, giving of advice or consultation. 13. Optional Premises or Hotel and Restaurant Licenses with Optional Premises All Optional Premises applicants must attach a copy of the local ordinance or resolution authorizing the issuance of Optional Premises licenses. 961679 Premises requested.— Number of separate Optional areas DR 8404 (2/94) Page 2 14. Liquor Licensed Drug Store applicants, answer the following: Yes (a) Does the applicant for a Liquor Licensed Drug Store have a license issued by the Colorado Board of Pharmacy? COPY MUST BE ATTACHED. ■ No • 15. Club Liquor License applicants answer the following and attach DR 8177: (a) Is the applicant organization operated solely for a national, social, fraternal, patriotic, political or athletic purpose and not for pecuniary gain? ❑ (b) Is the applicant organization a regularly chartered branch, lodge or chapter of a national organization which is operated solely for the object of a patriotic or fraternal organization or society, but not for pecuniary gain? ❑ (c) How long has the club been incorporated? (d) How long has applicant occupied the premises (Three years required) to be licensed as a club? ■ ■ 16. Colorado Manufacturer, Wholesaler or Limited Winery applicants, answer the following: (a) Will the applicant store or sell alcoholic beverages at more than one location in Colorado? If "yes," provide the address of each location and explain the activity to be conducted at each location (e.g., warehouse, salesroom, etc.) (Attach DR 8438 for each location) ) (b) If applicant is a wholesaler, does or did any owner, partner, shareholder, director, officer, member or manager have any direct or indirect financial interest in a wholesaler, retailer, manufacturer or importer already licensed by the State of Colorado to sell malt, vinous or spirituous liquor? If yes, attach explanation in detail. (c) Does the applicant have a valid Federal Basic Permit or Brewers Notice? If "yes," attach a copy; if "no," explain whether one has been applied for. ❑ ■ • ■ 17. Nonresident Manufacturer (3.2% beer or malt liquor) or Importer (3.2% beer, malt, vinous or spirituous liquor) applicants, answer the following: (a) To what Colorado licensed wholesaler do you intend to ship your merchandise? (b) Does or did any owner, partner, shareholder, director, officer, member or manager have any direct or indirect financial interest in a wholesaler, retailer, manufacturer or importer already licensed by the State of Colorado to sell malt, vinous or spirituous liquor? If yes, attach explanation in detail. (c) Does the applicant have a valid Federal Basic Permit or Brewers Notice? If "yes," attach a copy; if "no," explain in detail. (d) Are you the primary source -of supply in the U.S.? If "no," explain. (e) Are all your products registered in Colorado? If "no," attach DR 8440 and register said products. • • ❑• • • 18. Name of Manager (If this is an application for a Hotel and Restaurant License, the manager must also submit a Manager Registration Form (DR 8367) and Individual History Record (DR 8404-I). Michelle Leath lahnaws Date of Birth OATH OF APPLICANT I declare under penalty of perjury in the second degree that this application and all attachments are true, correct, and complete to the best of my knowledge. Authorized Signature I I;HI k1e, i li (..L_, Title PrectQ^tlx Date 8/27/06 (Manufacturers, w'r, REPORT nonresident AND manufacturers, APPROVAL importers, disregard OF wholesalers, the LOCAL LICENSING Eirefte section belowr•j AUTHORITY wkIe ies -an0.011) P bq;licensees Is this application for a: ❑ New License..,, Transfer of Ownership ❑ Other (specify) Each person required to file DR 8404-I: Yes No Has been fingerprinted Q • Background, NCIC and CCIC checked The liquor licensed premises is ready for occupancy and has been inspected by the Local Licensing Authority. bd LJ If •'no," the building will be completed and ready for inspection by (date) The foregoing application has been examined; an" • "remises, business to be conducted, and character of the applicant are satisfactory. We do report that such license, if granted, will meet t i• �• ' ,, uirements of the neighborhood and the desires of the inhabitants, and will comply with the provisions of Title 12, Article 4" . RE, THIS APPLICATION IS APPROVED. Local Licensing Authority for./1 U tyt , COLORADO ❑ TOWN, CITY Q COUNTY s7ture 1861 =r•�q t t I Lll COUNTY BOARD OF Date /V —1-96 r'S•gnzt .nest) / ( UNTY $LERK TO THE HOARD Date i ©, e k in ft., i , DEPUTY If premises are located within a town or dity,tha6ege11ppi6val shoulre signed by the mayor and clerk, if in a county, then by the chairman of the board of county commissioners and the clerk to the board. If, by ordina ce or otherwise, the local licensing authority is some other official, then such approval should be given by such official. U C C It G ( nr1 "`"\.---•:, Y1 ^ DR 8177 (03/95) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET ROOM 600 DENVER CO 80261 (303)866-3741 CORPORATE APPLICANT INFORMATION AND CORPORATE REPORT OF CHANGES Liquor and 3.2 Beer License Submit to Local Authority (Local Authority will submit to State) DO NOT USE THIS FORM TO REFLECT A CHANGE IN PARTNERSHIP. IF THERE IS A CHANGE IN PARTNERSHIP, USE THE DR 8404 AND FILE A CHANGE OF OWNERSHIP WITH YOUR LOCAL LICENSING AUTHORITY. Attach Lxi Q the following Date Stamped documents to Articles of Incorporation Good Standing dated Authority if a foreign this applicant information: if incorporated less than 2 years. within the last two years if Corporation is corpotation. at least two old. NOTE: All Officers with a 10% (or more) and Directors of the Applicant/Licensee must fill out a DR 8404-I (Individual ownership interest in the Applicant must also fill out a DR 8404-1( ndividual History Record). All stockholders History Record). Corporate Applicant Name MICHELLE I0HN ON, TNG State Tax Account Number ':Y '?' (C��`! . State Liquor License Number Trade Name Michelle's Saloon Telephone Number i, - --:--1 ( Of Address of Licensed Premises )n769 Turner Blvd City Longmont State Co ZIP Code 80504 Mailing Address if different than above City State ZIP Code ALL APPLICANTS MUST LIST CURRENT OFFICERS AND DIRECTORS. If currently licensed and this is a change of corporate structure, also identify the Officers/Directors replaced and attach a certificate of good standing, dated within the last two years. Follow instructions in the shaded area above. Attach separate sheet if necessary. CURRENT CORPORATE OFFICERS Name Home Address DOB Replaces President Micholla I Johnson a5:; ErjbPrt nr DIRECTORS Name Home Address DOB Replaces Mirl-ua11m I Inhstnn 455 Fabert 9r 12- ALL STOCKHOLDERS AND PERCENTAGE OF STOCK NOW OWNED Is this corporation sub'ect to the reporting requirements of the Securities and Exchange Act of 1934? (Publicly traded) ❑ Yes ❑ No If yes, list only those stockholders owning 10% (or more) of the issued stock. If no, list all stockholders. CURRENT STOCKHOLDERS Name Home Address DOB % of Stock Now Owned MirhP11P I. Johnson 455 Egbert 12- Registered Agent Address For Service Michelle L. Johnson 45= Eoo.bert Brighton, Co 80507. OATH OF APPLICANT I declare under penalty of perjury in the second degree that this application and all attachments are true, correct, and complete to the best of my knowledge. Authorized Signature (I , Title President Date Aug 27, 1996 REPORT OF LOCAL LICENSING ALITegoingchangeshavebeenreceivedandexaminedbytheLocal �e Authority. Local Licensing Authority For 9 tNl LORALO Ills County ❑ Town/City Sign,,, re 2.5 /%z- .tCi / f 1 t6st � �-- C3 (n IR, WELD COUNTY BOARD cobauSSIONERS ^ Date to 6:4" Arrester 0 l� 7t�1 1 f i i Q LJL' DEPUTY Date / 94) �fi NOTE: Local authority, for all changes leaseubmit all copies to the Liquor Enforcement Division. An acknowledgment will be returned to the local authority. PURCHASE AND SALE AGREEMENT This purchase and Sale Agreement is entered into this/c\ day of / (LI ///1l.l,c 1996 by and between Robert W. Kline, a sole proprietor of Rewards Bar & Grill ("Seller") and Michelle L. Johnson, Inc. ("Buyer"). RECITALS 1. Seller is the owner of listed furniture, equipment and other assets (see Exhibit A): a. Rewards Bar & Grill 10763 Turner Blvd, Unit 1, Longmont, Co 80504 2. Seller is the owner of the listed assets located at Rewards Bar & Grill. 3. Seller desires to sell, convey and/or assign to Buyer, and Buyer desires to purchase from Seller the listed assets as specified below. AGREEMENT NOW THEREFORE, in consideration of the mutual covenants, warranties, payments and conditions set forth in this Agreement, the sufficiency of which is hereby acknowledged, Seller and Buyer agree as follows: 1. Seller agrees to convey to Buyer by Separate Bill of Sale all right, title and interest in and to all listed fixtures, equipment and other assets currently located at the business. 2. Seller further agrees to transfer and assign to Buyer all rights and interest in Rewards Bar & Grill. 3. Seller in addition agrees to relinquish to Buyer all proprietary interest, right and claims in and to existing or potential customers. 4. Specifically excepted from Seller's agreement to sell, transfer and/or assign to Buyer are all bank accounts relating to the business. 5. Seller represents and warrants as follows: a. Except as provided herein, Seller has good and marketable title to the assets conveyed hereunder and that the assets of the business will be conveyed free and clear of all liens and encumbrances of any nature whatsoever including, but not limited to any wages, salaries, commissions or other compensation, all employment taxes, social security taxes, withholding taxes, personal property taxes, trade accounts, judgments, financing statements, security agreements, federal, state and local tax liens, and past due payments under the existing lease agreement. Further, Seller agrees to indemnify and hold Buyer harmless against and from any claims for any liens, EXHIBIT encumbrances, or past due debts relating to rewards Bar & Grill and for claims by third parties of any nature whatsoever relating to Seller's actions, which occurred prior to the date of closing. b. Seller has filed all federal, state and local income tax returns, and all other tax returns which are required to be filed by it, and has paid or arranged for payment of all taxes owed by it. c. Seller conducts business as a sole proprietor and has the authority to enter into and perform its obligations under this Agreement as its sole proprietor. 6. Seller will surrender possession of the business to the Buyers immediately following the Closing date and upon receiving proof that the Buyer has obtained all necessary licensing. 7. Buyer shall pay to Seller a total purchase price of: a. $65,000 U.S. Dollars 8. The purchase price shall be paid as follows: A. Down Payment totalling $20,000 a. $1,100 down payment in cash shall be paid by July 20, 1996. b. $1,000 credit will be applied toward the down payment at Closing Date. c. $14,000 down payment in case shall be paid on the Closing date. d. $3,900 to be paid in four (4) installments as per Schedule B. Payments are due on the sixth (6th) of each month. B. The remaining balance shall be reflected by a Promissory Note (Exhibit B), payable in monthly installments commencing one month after the Closing Date and amortized over forty-seven (47) months and a lump sum payment of $20,010.28 due on 20th of August 2000 (Schedule A). The Promissory Note shall provide fora five (5) day grace period for payments and shall allow prepayment without penalty. The Promissory Note shall provide for a payment due date of the 20th day of each mont. 9. All telephone, gas, electric, water and other utilities, as well as all lease payments shall be appropriately adjusted between the parties after the closing date. Buyer shall be responsible for transferring all such services to its name within two (2) business days of the closing date. 10. The Closing Date for this Agreement shall be on or before August ol(o , 1996, or such other date as may be mutually agreed to by the parties. The Closing Date shall occur at Rewards Bar & Grill at the hour of 10:00 A.M. MDT. 11. Each party shall defend and indemnify the other, its successors or assigns, against any loss, damage or expense including reasonable attorney fees and court costs, occasioned by or incurred as a result of any breach or misrepresentation of any of the agreements, covenants, representations or warranties contained in this Agreement. 12. In the event that Buyer sells or leases the business to any party not contained in this agreement prior to Buyer's full payment of the purchase price, Buyer agrees to pay the remainder of the full purchase price within 3 business days of the date of said sale or lease. 13. The waiver of any breach of any term or condition of this Agreement shall not be deemed to constitute the waiver of any other breach of the same or any other term or condition. 14. Should any provision of this Agreement be held void or unenforceable, the remaining provisions shall remain in full force and effect. 15. Seller and Buyer shall cooperate with each other and shall execute and deliver such other documents as are necessary, or desirable in order to effect the purposes of this Agreement. Rewards Bar & Grill ("Seller") Michelle L. Johnson, Inc. By i 141 Robert W. Kline, Sole Proprietor President Michelle L. Johnson EXHIBIT A CURRENT ASSETS 1. A complete inventory of beer, wine, and liquor will be taken the day before the Closing Date. 2. A complete list of equipment owned by Rewards Bar & Grill 1 Ice Machine 1 Cigarette Machine Coolers 1 Poker Machine 1 27" Color Television Stereo Equipment 1 Liquor Gun 1 Large "Rewards Bar" Banner 1 Cash Register Sze- -e)-I o--� 3. A complete list of equipment leased to Rewards Bar & Grill 2 Pool Tables 1 Juke Box 1 Coke Gun 1 Dishwasher u LITE $50.00__) 'UIIMI I OIIIGIT:Al, OCI1 ATM ONE COPY I'ilUf 1 COIll'OIlA I loll NAr.IE Al II) PRINCIPAL ADDIIE85 CORP OCR 001 ARTICLES OF INCORPORATION rlAMt_ MICHELLE L. JOHNSON, _INC SITIEE1 , Unit One, 10767 Turner 01 V0I CITY , r nll._mrr+- SI Al Co— 7.IP _ G- 11115 DOCUMENT MUST DE TYPED IN BLACK I, srcNE1Ar1Y OF STATE- 1500 0nOADWAY 8200. DENVER, CO 00202 (300) 091-2200E%f 2 CUMULATIVE VOTING SIVd TES or stock Is AUIIIOIIIZEO. YES [I] NO lit Ir Dun'iIorI is LESS 11 IAN I'EnrEI UAL ENT Ell NUMOEIIOr YEARS 111Enr: Alit rrlovlslolls LIMITING on DENYING l0 SIIAfIEI IOLDETIS Tilt PREEMPTIVE Ir YESI minln provisions on n Rnpnr oln RIG' TI 10 ACONITE AUDIT IOTIAL 0111 T1EASUIIY SI IAUES or TICE COI1001IAT ION. YES 9 NOR 01 x II shoo) of pnpor. S I OCK IllrorlMA NON: (ll addlllonal.^.pmro In noodod, continuo nod sop:0010 0'h x I I shoot of pnpor). STOCK CLASS , comm On AU IIlonIZED SIIAl1ES __---- 100, 000 TT/NTT VALUE '< NOV 51001: CLASS . AUGIOITIZED SIIAFIEs 1'Afl VAI_DE T THE IE NAME OP lI IE INITIAL TIEGISI EUED AGEN I AND l I It ADDRESS Or 1I It REGIS I EIIED OFFICE IS: (rorpolnlIonn use LAST NAME npacn) LAST NAME _ J0.hnsnn STREET 055 EChent FII15TdMIDDLE NAME (- i--c'nn-e-i- *rah — CITY Prioht.CrT STATE _act_ ZIP aclrnl___ DIRECTORS:IIOW MANY DIRECTORS CONSTITUTE Mt IE IIJIIIM. HOARD or DIRECT ORS Or lilt COIlPoTIATION7 _J_ _ lilt NAMES AND ADDRESSES or TIIE PERSONS WIIO ARE TO SERVE AS DIRECTORS UNTIL TIIE IST ANNUAL MEETING or SI IATIEI IOLDETIS 01111NNL TIIEIR SUCCESSORS ATTE ELECT ED AND QUALIFIED Al1E: (II morn Timm noon. conlInuo on 801/2 x I I shoot of pnpm) LASTNAME JOHNSON STREET 435 F.ohert LAST NAME slntEr LAST FIAIME _.. 51nEET ... 111151& MIDDLE NAME ___1_ CITY 6r•.1Ghnlz---.__-STATE Co-_- ZIP .. . rmf1ST. d MIDDLE NAME .__—.—_.. ..... CITY CITY .. _. _._. _. STATE ZIP rinsr & MIDDLE NAME ._..___ —.------------------------- CITY INCOTIPOTIA TORS: NAMES AND ADDRESSSES: (It 00 0 Than Iwo, continuo on a soparalo 0'h x I 1711001 of pnpm) NAME - x M'r- �7 i 1nl,ac.r,^ c,c [�r.;Uh''1 -,, x 11'1 ti c 1/ LU cL c.4 <211€•,•7 -.,-'.' ADOUIT SS me lilt UNDEnSIGrIED TEIISON(S) or 111E AG rOM1loN CODE. ADOPT 111E AnovE AT1TICI.ES ro sE MAY TIE SI Al ED ON A SEPAr1ATE 0V x l I E,-`- t STALE 71P 905 E or In PENIS On MODE. ACTING As INCOnrorlATOn(S) or A COnronAnon ut Or IFICOIlPOMTlotl, HIE conroIIAT1oN IS ORGANIZED WIT MY LAWFUL PUnt SI TEE T OF rArrll. EXHIBIT c 5 Ie;l'i )1.11.5-41 h x ORGANIZATIONAL MEETING MICHELLE L. JOHNSON INC. An organizational meeting was held August 27, 1996 at corporate headquarters. The first item of business was the election of Directors. Michelle L. Johnson was elected as the Director. The next item was election of officers. Elected as President, Secretary. and as Treasurer was Michelle L. Johnson. The next item of business was consideration of a purchase agreement From Robert W. Kline of a restaurant lounge operation in Longmont, Colorado. A resolution was passed accepting the purchase agreement. The next item of business was the passing of a resolution authorizing the President to sign any and all documents necessary to complete the purchase including filing an application For transfer of the license, paying all fees and signing a lease assignment. In furtherance of this purchase Michelle L. Johnson agreed to transfer S20,000 to the company in exchange for 20,000 shares of stock in the company. A resolution was passed accepting the funds and to issue the stock. There being no Further business the meeting was ajourned. Submitted: Secretary Approved:f ici i�aL V ( J()tA(: LC u�� President I� C STATE NCO %'RADO DEPARTMENT OF STATE CERTIFICATE I, VICTORIA BUCKLEY, Secretary of State of the State of Colorado hereby certify that According to the records of this office MICHELLE L. JOHNSON, INC. (COLORADO CORPORATION) file # 961112513 was filed in this office on AUGUST 27, 1996, and has complied with the applicable provisions of the laws of the State of Colorado and on this date is in good standing and authorized and competent to transact business or to conduct its affairs within this state. Dated: AUGUST 26, 1996 r -e --61-4-(1O SECRETARY OF STATE EXHIBIT t:_ -rte 1, DR 8404-I (02/94) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 80261 INDIVIDUAL HISTORY RECORD To be completed by each individual applicant, all general partners of a partnership, all limited partners owning 10% (or more) of a partnership; all officers and directors of a corporation, all stockholders of a corporation owning 10% (or more) of the stock of such corporation; all limited liability company MANAGING members, or other limited liability company members with a 10% (or more) ownership interest in such company and all managers ofa Hotel and Restaurant license. NOTICE: This individual history record provides basic information which is necessary forthe licensing authorities investigation. ALL questions must be answered in their entirety. EVERY answer you give will be checked for its truthfulness. A deliberate falsehood will jeopardize the application as such falsehood within itself constitutes evidence regard ng the character of the applicant. 1. Name of Business Saloon MICHELLE L. JOHNSON. INC. dine Michelle's Date 1996 Aug 27, Social Security Number(s) 2. Your Full Name (last, first, middle) JOHNSON MICHELLE LEAN (CLARY) 3. Also Known As (maiden name/nickname, etc.) CLARY 4. Mailing Address (if different from residence) 455 Egbert Or. Brighton, Co 80601 Home Telephone 981-2407 5. Residence Address (street and number, city, state, ZIP) 6. Date of Birth Place of Birth Ft. Collins, Colorado 7. U.S. Citizen? )4 Yes No If Naturalized, state where When Name of U.S. District Court Naturalization Certificate Number Date of Certificate If an Alien, Give Alien's Registration Card Number Permanent Residence Card Number 8. Height S'7' Weight 130 Hair Color Br Eye Color Br Sex F Race Cauc 9. Do PI You Have a current Drivers License? If yes, give number, 8 state Yes ❑ No 10. Name of Present Employer Rewnrrlq 11. Type of Business or Employment 12. Address of Business Where Employed (street number, city, state, ZIP) Unit 1, 1n7R3 Turner Rivd Longmont, Co 80504 Business Telephone 13. Present Position Bartender 14. Marital Status Married 15. Name of Spouse (include maiden name if applicable) Minhmml S .Inhmmnn 16. Spouse's Date of Birth Spouse's Place of Birth Rremt I mkrem, Illinois 17. Spouse's residence address, if different than yours (street and number, city, state, ZIP) 18. Spouse's Present Employer SP IF Occupation Contractor 19. Address of Spouse's Present Employer 45S F0hert nr Rri0htnn, r.n Rnsnl 20. List the name(s) of all relatives working in or having a financial interest in the liquor industry. NAME OF RELATIVE RELATIONSHIP TO YOU POSITION HELD NAME OF EMPLOYER LOCATION OF EMPLOYER None 21. Do you now, or have you ever held a State of Colorado Liquor or Beer License, or loaned money, furniture, fixtures, equipment or inventory, to any Colorado Liquor or Beer Licensee? If yes, answer in detail L_I Yes n No VERSE SIDE DR 8404-1 (2/94) Page 2 22. Have you ever been convicted of a crime, or received a suspended sentence, deferred sentence, or forfeited bail for any offense in criminal or military court? (Do not include traffic violations, unless they resulted in suspension or revocation of your driver's license, or you were convicted of driving under the influence of drugs or alcoholic beverages.) If yes, explain in detail. ❑ Yes Q No 23. Have you ever received a violation notice, suspension or revocation for a liquor law violation, or been denied a liquor or beer license anywhere in the U.S.? If yes, explain in detail. ❑ Yes Q No 24. Military Service (branch) None 25. From To Serial Number Type of Discharge List all addresses where you have lived for the past five years. (Attach separate sheet if necessary) STREET AND NUMBER CITY, STATE, ZIP FROM TO 455 Egbert Or Brighton, Co 80601 last week 1303 E 110th P1 Northglenn, Co 80233 1986 1996 26. List all former employers or businesses engaged in within the last five years. (Attach separate sheet if necessary.) NAME OF EMPLOYER ADDRESS (STREET, NUMBER, CITY, STATE, ZIP) POSITION HELD FROM TO 107P1 Turner Blvd t_onament Bartender 1995 1996 Rewards Oil Can Harrys 833 401 Malley Northglenn, o Bartender 1993 1995 9 W Beck 1125 17th St #19 Denver 1992 1992 Western Paper Commerce City Co 1992 1993 27. What is your relationship to the applicant? (sole owner, partner, corporate officer, director, stockholder, member or manager) Director, Shareholder, Officer 28. If stockholder, number of shares owned beneficially or of record ?0,000 29. If partner, state whether ❑ General ❑ Limited Percent of outstanding stock owned 100% Percent of Partnership Owned If Limited Liability Company (percent owned) 30. Total amount you will invest in this business, including notes, loans, cash, services or equipment, and operating capital. (Reg. 46-106.1 and Reg. 47-107.1) $20,000 Amount $ 31 Identify the sources of all funds you will invest in this business as listed in 30 above. List all bank names, account numbers and the amount derived from such source. Also identify all persons authorized to sign on, or who are part owners of said account. (Attach copies of all your notes or loans used in or for this business.) Amounts Sources - Account Numbers Names on accounts or person who can sign on this account $ 20,000 Gift from Husband $ $ Oath of Applicant I declare under penalty of perjury in the second degree that this application and all attachments are true, correct, and complete to the best of my knowledge. Authorized Signature Title President Date Aug 77,199E WELD COUNTY ATTORNEY'S OFFICE PHONE: (970) 356-4000, EXT. 4391 FAX: (970) 352-0242 915 TENTH STREET GREELEY, COLORADO 80632 WIDe. COLORADO VIA FEDERAL EXPRESS Department of Public Safety Colorado Bureau of Investigation 690 Kipling Street, Suite 3000 Denver, CO 80215-9901 ATTN: Bert Heath (Personal) Dear Mr. Heath: September 30, 1996 RE: Rewards Bar & Grill Enclosed please find the finger print card for Michelle Johnson and a check in the amount of $14.00. Please process and return at your earliest convenience. This matter is scheduled for the Weld County Board of County Commissioners meeting on Monday, October 7, 1996. We would appreciate it if you could determine if there is any criminal history and/or outstanding warrants on Michelle Johnson. Please do not hesitate to contact me at (970) 356-4000, extension 4390 if you have any questions regarding this matter. Thank you in advance for your prompt attention to this matter. Sincer Enclosures ce T. Barker Weld County Attorney DR 8367 (12/87) Colorado Department of Revenue Liquor Enforcement Division 1375 Sherman St. Denver, CO 80261 303-666-37x1 Answer all questions. Press firmly or type. MANAGER'S REGISTRATION FORM • Form must be completed by all Hotel and Restaurantlicensees employing a separate and distinct manager. • Form must be submitted to and approved by Local Licensing Authority. • A state and local fee of $75 is required for Hotel and Restaurant applicants. • Managers must complete and submit form DRL 404-I (Individual History Record.) • Attach a copy of any written management contracts or agreements. 3. ACCOUNT NO. OF LICENSEE: OF DRREfyTLIG1 19En � A:- F DE NAME OF ESTABLISHMENT (DBp): 1 a A r Ic r r z Or UL 6. ADDRESS OF LICENSED ESTABLISHMENT: (J k ir<3 -1-Lttmr -biLc . 7. NAME OF MANAGER: 1 1 1 & h a Xjj'1 Ii50•11 10. CoMPENSATIONOOF MANAGER: 12. DOEESCCMCCA��N�/AIIG^^ER�`HAVE A FINANCIAL INTEREST IN ANY OTHER LIQUOR ESTABLISHMENT? NO ❑ YES IF YES, GIVE NAME AND LOCATION OF ESTABLISHMENT: 13. DOES MANAGER MANAGE ANOTHER "HOTEL AND RESTAURANT LICENSED LIQUOR ESTABLISHMENT IN COLORADO? IF YES, GIVE NAME AND LOCATION OF ESTABLISHMENT: V"11 CLASS* J OF / I f f3S ft CITY/TOWN L (r tic n f 8. DATE €,APLOYMENT BEGAN: Ch— it DID MArry�A�1GER EVER MANAGE LIQUOR ESTABLISHMENT IN ANY OTHER STATE? L4 NO ❑ YES IF YES, GIVE DETAILS FEE: $75 02.3-373// —Qaa a 5. BUSINESS TELEPHONE: �X f‘ -6 kr, /STATE ( fl ZIP ZL)L 9. EXPIRATION DATE: di NO ❑ YES OATH OF APPLICANT I declare under penalty of perjury in the second degree that I have read the foregoing registration and all attachments thereto, and that all information therein is true, correct, and complete to the best of my knowledge. SIGNATURE OF LICENSEEEj W�vvw'' SIGN •,`' SI bee g AIL k sl t'UTH 01 TITLk tt(VD J(019irl REPORT AND APPROVAL OF LOCAL UCENSING AUTHORITY ed and the character of the registrant is satisfactory and complies with the provision of Title 12, Article 47, CRS, as REGISTRATION IS HEREBY APPROVED. DATE:/�S/ %, DATj%3 /s . NUMBER: LOCAL LICENSING AUTHORITY (City or County): WELD COUNTY, COLORADO TITLE CHAIR, WELD COUNTY BOARD OF COMMISSIONERS RE RT OF STATE LICENSING AUTHORITY The foregoing has been examined and complies with the filing requirements of Title 12, Article 47, CRS, as amended. DATE: 09/25/96 SIGNATURE: TITLE: DATE: DR 8367 (12/87) MANAGER'S REGISTRATION FORM NAME OF CURRENT LICENSEE: DO NOT WRITE BELOW THIS LINE White copy - Liquor Enforcement Yellow copy - Local Licensing Authority Pink copy - Applicant ACCOUNT NO. OF LICENSEE: PERIOD: December 31, 19 41 - 24 FEE. (09) $75.00 PAY TO THE ORDER OF () i/ Rr F(I,, _ •-- - IONEER BANKS Ph. 651-7777 • Ph. 651-3806 1610 HOVER RD. • LONGMONT, COLORADO 801 REWARDS BAR & GRILL 10763 TURNER BLVD. 776-0116 LONGMONT, CO 80504 DATE 82-513[1070 1554 0003676 l a7— 7F 0 . Ayr- o Meur47 i$ ( LLARS B m M1EMO frl4 N'Fn u QL P 387 472 058 RECEIPT FOR CERTIFIED MAIL NO INSURANCE COVERAGE PROVIDED NOT FOR INTERNATIONAL MAIL (See Reverse) in Sent to str• eColorado Dept. Of Revenue Liquor Enforcement Div. P o1375 Sherman Street N Denver, CO 80261 Poe PS Form 3800, June 1985 Cer Spe. Restricted Delivery Fee Return Receipt showing to whom and Date Delivered Return Receipt showing to whom. Date. and Address of Delivery TOTAL Postage and Fees 5 Postmark or Date 0 £ va O 9 to m La t.$ CC 0. N 0 0 M 3 A ❑ ❑ N 1 -ii N g , cif 't0 f1 m F m m m U 8 cc N m E �a a m o+ a ils §-: Q N maim b9 3 m ?5 16 2 my £ ` b m w 8 5≥ a o$ £ o m m S 8a 3 S y m 1 m 6 S� C > a e Q- 11 >C g E 5 o f V1 N ¢ m 2 $ o a+ E p o Q a m o /dA 2 CCN ,eoo :.,_ 4 my c.:511 E §T$ f a WL 4- 1. i . N .e ¢'F a l c d o a eyy a ay r i ii rid 9 ga a Oy> C pp 6:'m'm 5 �e 8 zat t+ D-0— O > N W 1'oElareLg £ ¢Z$ it c Fa m!ccalit N( n a e a M OI tG -...9 Lenin Donna Gan uo palaldwoo $53Haatl NHI113S +noh al AN RyDPPFBDE T COMMUNITY RAMC 'ewes ldlaoeu turned 6uisn Jot noh >lunll o m C 0 O omestic Return Rec be o 0 ▪ co S 0 tc❑ ❑q N G L 0) a m C r LL a- Jur 13O. 1. 19S 11YI'I rNJri lu C_tllua APR 5 '93 16:27 FROM BERENBAUM-WEIN5NIENK PHGE.BB' r JAW AGR (T THIS LEAfl, dated for reference purposes only, the �7 - day of April, 1993, is made by and between G.B.G I, INC., a Colorado corporation (herein called "Lessor"), and )QMOAL CORRAL and'ISPRELL TARIM d/b/a COUNTRY DINER (herein collectively called "Losses"). 1. PR NISE3. Lessor, for and in oonaideration of the rents herein reserved to be paid by the Lessee, does hereby lease, lot and demise unto Lessee, that certain premises"as is" situated in the county of Weld, State of Colorado, commonly )mown as UNIT ONE, 10763 Turner Boulevard, Longmont, colorado 80504, together with all easements, rights and appurtenances pertaining thereto and with the building, atroutura and other improvements erected and/or to be erected upon said demised premises (the "Premises"), together with all fixtures and equipment located in the Premises, and replacements thereto, as shown on Exhibit A attached hereto. 2. "1'8P)(. 2.1 Primer/ Tell. The Tern &he duration of this Leapt *hall be for five (0). years commencing April 1, 1993, and continuing from month to month thereafter until March 31, 1998. 2.2 Option Terms. The Lessee shall have the ODtign to extend the tern of'thia tease by giving written notice to the Lessor act later than 120 days prior to the end of the previous Term, for two additional five (5) year periods to -wit, the first from April 1, 1995, until March 31, 2003(the "First Option Tern"), and the second five year option period from April 1, 2003, until March 31, 2008 (the ^second option Term") under the same term* and conditions set rorth Herein, provided however in order to exercise such Option, no default exists under the Lease. 3. RZRT: 5.1 (a) same Rental Durinq_Ps;i,ms_ry Tcre, The L covenants and agrees to pay to the Lessor minimum monthly rental of $1,000.00 per month, or six (6) percent of the monthly gross sales as that term to hereinafter defined, whichever is greater, in the event the monthly gross sales exceed 821,667.00 gross sales per month. Any percentage rental duo °hall be payable not later than the 15th day of the month for the month Net ended. for example, percentage rentals for April shall be due by the 15th of May. 3.1 (b) covenants aril 51,750.00 par as that tore Dash Rental During First option Term. The Lessee agrees to pay to the Lessor einimua:monthly rental of month, or aim (6) ysivmal LPt the a°nthly gross sales is hereinafter defined whichever is greater. The Ii. Jun Lib, 1t 'D Ud 11P1`I I-kUM TO 8311181 P.03 APR 5 'S3 I5:27 FROM BERENBAUM-WEINSHIENK PAGE.000 minima 'tenthly rental of 41,450 shall be due and payable by the let day of each month, in advance. If six (6) percent of the gross monthly sales, as that term is hereinafter defined, is in excess of the Minimum monthly Rental for the month just ending, the difference between $1,250.00 and six (6) percent of such monthly gross sales shall be payable not later than the 15th of the month for the month just ended. dor exaapls, percentage rentals for April shall be due by the 15th day of May. 3.1 (c) Sans Rental During Second Option Tom. The Lessee covenants and agrees to pay to the Lessor ainimua monthly rental of $1,500.00 per month, or six (6) percent of the monthly gross sales as that term is hereinafter defined whichever is greater. The minimum monthly rental of $1,500 shall be due and payable by the 1st day of each month, in advance. If six (6) percent of the gross monthly sales, as that tern is hereinafter defined, is in emcees of the Minimum Monthly Rental for the month just ending, the difference between $1,500.00 and six (6) percent of such monthly gross sales shall be payable not later than the 15th of the aoath for the month just ended. for example, percentage rentals for April shall be due by the 15th day of May. 3.2 payment os Rental'. all rentals shall be payable at the office of the Lessor, or at such other place as the Lessor may designate fret time to time, in writing, without offset or deduction of any kind whatsoever. 3.3 prrtim1 month. In the event that rental under this Lease commences or terminates other than on the first day of the month, then the rental provided for in paragraph 3.1 shall be prorated for the actual number of days left in said month. 3.4 Additional ,0tit Nang understood that Lessor is y shall receive celled a tenetlethe rent set forth in Article 3 free and clear of any and all impositions, taxes, real estate taxes, liens, charges or amt es of any nature whatsoever in connection with the ownershipand operation of the premises. In addition to the rent reserved by Article 3, Lessee shall pay to the parties respectively entitled thereto all impositions, insurance premiums, operating Charges, maintenance charges, construction costs, and any other Charges, costs and expenses which arise or may be contemplated under any provisions of this Lease during the terms hereof. All of such charges, costs and expenses shall constitute additional okarges, and upon failure or Lessee to pay any or such oasts, charges or expenses, Lessor shall have the sane rights and remedies as otherwise provided in this Lease for the failure of Lessee to pay rent. it is the intention of the parties hereto that this lease shall not be terminable for any reason by the Lessee and that the Leann shall in no event be entitled to any abatement of or reduction in rant payable hereunder, except as herein expressly provided. Any present or future law to the contrary shall not altar thin agreement of the parties. Jun Ut.1`J`Jb s.:ibYM bKUM RFDR 5 '03 16I2B IU '0..11101 FROM BERENBRUM-WEIN5HIENN - PROl,004 I 4. ASS SALES DEFINED. 4.1 The phrase "gross sales" whenever used herein is hereby defined to mean the dollar aggregate oft (a) The sales receipts of ■11 goods sold on or from the leased Premises for cash or otherwise, including bar and liquor sales; (b) The phrase `gross sales" shall also include gross males node by any poraieted submeesee, cunceesionaire, licensee or otherwise, in, at, on, or from the leased premises; and such gross `sales made by shy sublessees, concessionaires, licensees, or otherwise, snarl be included in the statement to be furnished by Lessee as hereinafter provided; (c) The tarn "gross sales" shall not include (1) the exchange of merchandise between stores of Leases where such exchanges are made solely for the convenient operation at Lessee's *iciness, end not for the purpose of making or consummating a sale which has theretofore been made in, at, on, or from the leased Praxises or for the purpose of depriving Lessor of the benefits of a sale which otherwise would have been in, at, on, or from the leased premises; (ii) returns of merchandise to shippera, manufacturers or suppliers; (iii) sales of fixtures or equipment altar use thereof in the conductor Lossse's business in the leased premises; (iv) in respect to sales en credit, the amount of any credit charges, interest or collection expense received or reasivable from Lessee's customers; and (v) sales to people employed by Leases at the leased Praxises. (d) There shall be deducted from gross sales (1) castor credit refunds made upon transactions included in gross sales; (ii) the amount of any city, county, state or federal sales tares on such sales which are required to be collected from the custoper, whether Included in the purchase pride or stated separately therefrom, and paid to the taxing authorities by Lessee; end (iii) in inspect to sales on credit, any asnnnt e which in the ioagee}tt of pewee are uncellectible and so charged off by Lessee on its beaks, where such amounts have been included in the gross sales for that lease year or any preceding lease year, but if there be any upon any subsequent collection of any such amount so oil by Lessee, the amount so collected shall be included in the cress saps of the lease year period in which the same ere Collected. S. LESSEE'S aooxs AND. REcoRns. 5,1 Lessee shall keep full and accurate books of ecoeunt, records and other pertinent data of the gross Salem made in, at, on, or from any business relating to the leased premises Which 'hall be retained for a period of three (3) full calendar years, and shall bo available ak all reasonable Limes for inspection at the leased praxises by Looser, or its duly authorized 3 • (Ai 5 '53 1 ! 9 FROM B6 ARlif!-WElNSR1ENk repreeehhE itlde, for the purpose of verifying any statement of gross sales required by Lessor and for taking excerpts therefrom. Loaaee 'hall be responsible and require that any permitted sublessee, concessionaire or licensee keep such books, regards, information, documents and data as are required hereunder of the Lessee so as to reflect the gross sales of such subleases, concessionaire or licensee, and such requirement* shall be inserted in any permitted sublease, ecncession or license agreement bade by Leila 6. SALTS REYORT3. 6.3. Lessee *hell submit to Lessor on or before tn. da following the end at each basin's'20th month during the tarmofthis Lease, at the place then fixed for the payment of rant, a written statement signed by Leases and certified by it to be true and correct and accurate in detail, shoving the a*ount of gross sales for each month during the lease year than ended. The statement referred to herein shall be in such fora and atyle and contain such details and brea)(dowM es Lessor say reeeenobly deteraine. Lessee shall ale* submit to Lessor within fifteen (15) days after the end of each month during the term of this Lease, a copy of any and all salsa tax reports filed by Lessee with the Colorado Tax Commissioner covering the period of time in the month then ended. 7. AUDIT OF 20072. 7.1 If" Lesser shall have an audit dada for any period during the term of this Laase, and the gross &ales shown by Lease's statement for such period should be found to be understated by more than one percent (le), than Lessee shall pay to ieseor, within 'even (7) days after written demand therefor, including, but not limited to, the fees charged by any firm or individual employes by teaact to perform the audit. Leases agrees to pay within seven (7) days after written demand therefor any deficiency in percentage rent show to be due by such audit, together with interest thereon at the hl9hcat rate of interest per amnion permitted to bo contracted for by individuals in the& State of Colorado, as determined from time to time, on the ass at of any suet deficiency oometneing from the last day of the loess year in 'which the deficiency occurred. If Lessee shall fail to pay any deficiency as herein yr0vided, then such failure to pay shall constitute a preach of this Lease. e • 077.AY IIi C014SSNCIMEXT 8.1 Notwithstanding said commencement data, if for any roasts Lessor cannot deliver possession of the rrsaies to Lease en said date, Lessor shall not be oubiect to any liability thursfor, nor shall such failure affect the validity of this Lease or the obligation of Teases hereunder or extend the term bettor, but in such case, Lassos shall not be obligated to pay rent until pshalllnotnhave deliveredSr-anises peeceeeioa of the Leased Premises within 4 aPR 3 '93 16:30 FROM BEREMBRLM-WEINSHIENK PR6F.006 thirty (30) days iron said commencement date, leases may, at Lessee's option, by notice in writing to Lessor Within ten (10) days thereafter, cancel this Lase. If Lessee occupies the Leased Premises prior to said commencement date, such occupancy shall not advance the termination date, and Lessee shall pay rent for such period at the initial monthly rat■■ set forth below, calculated on a per diem basis, Y. SECURITY DEPOSIT. 9.1 The Lasses shall pay to Lessor at the time of the execution or this lease a security deposit of $1,000.00 end the first acnth's rent referred to above. 10. MAINTEAAZ(CB, REPAIRS AND ALTXRATI0Ng. 10.1 ;annne'a obligations. Lessee flail, during the term of this lease, keep in good order, condition and repair, the premises and every part tlereor, structural or non-structural, end all ad easat sidewalks, landscaping, and signs located in the area wh Ch is adjacent to and included with the premises. Lessor shall incur no expanse nor have any obligation of any kind whatsoever in connection with maintenance or the praises, and Leases expressly waives the benefits of any statute now or hereafter in effect which would othorwise afford Leese* the rignt to make repairs at Lessor's expense or to terminate this Lease because of Lessor's failure to keep the premises in good order, condition and repair. 10.4 =ringer. On the last day of the Primary Term, or on any sooner termination, Lessee shall surrender the premises to Ueda; in .goad condition, broom clean, ordinary wear and tear excepted. Lessee shall repair any thereof. Or by tthhcc damage to the premises �sade istereo,,zuu nishinned by ite q and equipment, which repair sharemoval of llsincluderthe patching and filling of holes and repair of structural damage. 10.3 Zsegor'a Rights. If Lessee fails to perform Lessee's Obligations under this Article, Lessor may at its option (but shall not be required to) enter upon the praxises, after ten (10) days' prior written notice to Lessee and put the sap in good order, condition and repair and the cost thereof together with interest thereon at the rate of alohL.n:n (18) percent per annum snail become due and payable as additional rental to Lessor together with Looses's nave rental installment. 10.a Mtsrftions sy9j4tttona, (a) teases shall not, without Lessor's prior written consent, auks say alterations, impreveaents, or additions, in, on or about the premises, except for non-structural alterations not exceeding $3,000.00 in cost. As a condition to giving such consent, lessor may require Lessee to move any such alterations improvements, additions or utility i,ustalletions at the explratiOn of the term, and to restore the premises to their prior condition. 5 APR 5 '8a 16:31 FROM AFRFNAAIIM-WEINSHIENK PRGE.007 (b) Before commencing any work relating to alterations, additions, and improvements affecting the presides, Lessee shell notify Leaser in writing of the expected date of commenculent thereof. Lessor shall then have the right at any time and from tine to time to post and maintain on the premises such notices as Lessor reasonably deems necessary to protect the premises end Lessor from mechanics' liens, materialaens' liens or any other lien*. In any event, Lessee shall pay, when due, all claims far labor or materials furnished to or for Lessee at or for use in the premises. Lessee shall not permit any sconanios' or materialnens' liens to be levied against the praxises for any labor Or material furnished to Lessee or claimed to have been furnished to Lessee or Leases Is agents or contractors in connection with work of any character pertorasd on the premises by or at the directica of Lessee. (c) Unless Lessor requires their removalf, as set forth herein, nil alterations, improvements or additions which nay be Dade on the premises, shall beCose the property of Lessor and remain upon and be surrendered with the premised at the expiration of tea term.. Notwithstanding the provisions of this paragraph, testee'e machinery, epllpaent and other trade fixtures, other than that which is affixed to the premises so that it cannot be removed with material damage to the premises, or that which was in the premises at tna coamsnceasnt of the Leans or that which 1s to be retained by Lessor as provided for in this Lease, and is still in the premises at the termination of the Lease, shall remain the property of the Lessee and may be removed by Lessee subject to the provisions herein. 11.. °MAT NG, $XPZNSSS 11.1 Sperm%ing.Bxeenaaa. The tarn "Operating rxpenaas" is intended to be inclusive of all costs of operating and maintaining all portions of the demised promisee, but shall not include franchise, estate, inheritance, net income and excess profits taxes of Zesaor, intermit on and principal retirement of Lessor'a mortgage loans, leasing conniasions and costs chargeable by Lessor directly to specific tenants. Utilities ohall be paid for by Lessee as set forth in paragraph lb. (a) The parties agrees that the Lessee shall pay $09.00 per month at the tine the monthly rentals are paid as payment for Lew a'a water used each month. (b) The Lessee shall pay for and take care of the rvavvel of its awn trash. Such removal snall Os dons regularly and in an orderly fashion so as to keep the leased premises in a clean and sanitary condition. (o) Leese snail pay all taxes and assessments, general and special, which may be levied upon the Complex or upon any building or iuprovsaent owned by Lessor and a part of the complex and any tax levied in lieu thereof. The Lessee Shall have the 6 APR 5 '53 18:31 FROM BERENBIIIM-WF.INSMIENK PAGE.088 right, at its expense, to protest any taxes or assessments levied against the property or any improvements located thereon. Lessee shall pay the percentage of such taxes as sat forth in paragraph 11.2. (d) Lessee shall pay all costs and expenses incurred by Lessor in maintaining fire andextended wvaraga insurance, property damage and rent loss insurance, liability insurance, and any other insurance maintained by Lessor in connection with the ownership of the dsaised premises, and that part of any claim required to be paid under the deductible portion of any such inauranoa policies. Lessee shall pay the percentage of such costa and expenses as set forth in paragraph 11.2. (e) The parties agree that the Lessee snail pay fl0.00 per.nonth at the time the monthly rentals aro paid as payment for the common Area )(aintenance Fes. 11.2 )f nitig ai..Henti. (a) in addition to the Basic Rent provided for above, Lessee .hall pay to Lessor annually Lessee's Percentage share of operating Expender. teasee'e Percentage share shall be based on the ratio of the square feet of the premises to the total square feet of the Project, which it is agreed shall be forty-two percent (423) percent for purposes or tnls Lease. If the oommenoement data of this Lease is other than the first day of a calendar year, during the first and last twelve month period of the tare of this Leers Lessee's obligation to pay the foregoing expenses will be prorated banod on the number of days of the respective lease year in wbiob the tease vas in effect. (b) Commencing on the first day of the calendar month following commencement of the term hereof, and on tha first day of each calendar month thereafter, Lasses will pay to Lessor one - twelfth (1/11th) or Lessee's estimated annual payments of 84,356.00 in monthly installments or $363.00 per month. At any time and from time to time during the taro hereof, Lessor may furnish laeieo with written notice of a re -estimation of the annual expenses to reflect sore accurately, in Lessor's reasonable opinion, the current expenses. Commencing on the first day of the calendar month next succeed i ng de) ivory of such notice to Lessee, and centiaaing on the first day of each subsequent calendar month during the term (until subsequently re -estimated), Leases shall pay to Lessor ane-twelfth (1/12th) of the Lessee's share or the estimated annual eapenesm. 12. X$SQRAICE AND ii(DEX)ttTY. 12.1 liability Insurance. The Lessee shall obtain and keep in force during the term of thie Lelia a policy of comprehensive public liability insurance insuring Lessor and Lessee against any liability arising out of the ownerahip, use, occupancy or maintenance of the rrsninac and all areal' appurtenant thereto. asst insurance shall be in an amount of not leas than $500, 000 for 7 APR 7 '53 18;3Z FROM BERENBRUM-WEINSMIENK PRGG.009 injury to or death of one person in any one accident or occurrence and -in an amount of not less than $1,000,000 for injury to or death of sore than one person in any one accident or oeaurranoe. Such insurance shall further insure Lessor and Lessee against liability for property dosage of at least $100,000. The limits of said insurance ehall not, however, lisit the liability of Lees., hereunder. Sf the Lessee shall fail to procure and maintain said insurance the Lessor may, but shall not be required to, procure and maintain the same, but at the expanse of Lessee. 19.3 ;purely. Policies, Insurance required hereunder shall be in companies rated A, AA or better in "asst's insurance guide". The Leases shall deliver, prior to po ion, to Lessor, copies of policies of such insurance or certificates evidencing the existence, amount, and payment for one year of such insurance with ion payable clauses satisfactory to Lessor. go such policy shall bo cancelable or subject to reduction of coverage or other modification except after tan (10) days' prior written notice to Lessor. lessee call, Within ten (10) days prior to the expiration of such policies. furnish Lessor with renewals or "binders" thereof, or Lessor may order such insurance and charge thw oast thereof to Lasses, which amount shall be payable by Leases upon demand. Lessee shall not do or permit to be done anything which shall invalidate the insurance policies referred to in paragraph 11.1. Lessee ohall forthwith, upon Lessor's demand, reimburse Lessor for any additionalpremiums attributable to any Oct er omission or operation of Lessee causing such increase in the coat of insurance. 11.1 SIyar of Subrogation. Lessee and Lessor each waive any end all rights of recovery against the other, or against the officers, employees, agents and representatives of the other, for loss of or damage to such waiving party or its property or the Property of others under its control, where such loss or Sang. is insured against under any insurance policy in force at the time of such lose or damage. Lessor and Lessee shall, upon obtaining the Policies of insurance required hereunder, give notice to the insurance carriers that the foregoing mutual waiver or subrogation is contained in this Lease. 13.4 Hold Harmless., Lessee shall indemnify, defend and hold Lessor harmless from any and all claims arising from Lessee's use of the praises or from the conduct of its business or from any activity, work or things which may be permitted or suffered by Lessee in or about the premiers and shall further indemnify, defend and hold Lessor harmless from and against any and all claims arising from any breach or default in the performance of obligation en L.e"sse'o part to be performed under the provisions of this Leese or arising from, any negligence of Lessee or any of its agents, contractors, employees or invitees and from any and all Costa, attorneys' rose( expenses and liabilities incurred in the defense of any such claim or any action or proceeding brought thereon. Lessee hereby misname all risk of damage to property or injury to persons in or about the premises from any cause, and B ASR 5 '03 16'33 FROM OFRENDOUM-UEINSNIENK PAG£.Ole Taw hereby waives ell claims in respect thereof against Lessor, euaapting where said damage arises out of negligence of Lessor. 17.5 $vomntton of Lessor Iron Liability. lassos hereby agrees that Lessor shall not be liable for injury to Lessee's business or any loss of income therefrom or for damage to the goods, Wane, merchandise, or other property of Lasses, Lessee's eaployess, invitees, customers, or any other person in or about the premises; nor, unless through its negligence, shall Lessor be liable for injury to the person of Inset, Lessee's employees, agents or contractors and invitees, whether such damage or injury is caused by or results from Lire, steam, electricity, gas, water or rain, or from the breakage, leakage, obstruction or other defects of pipes, sprinklers, wires, appliance, plumbing,, air conditioning or lighting fixtures, or from any other cause, whether the said dance or injury results from conditions arising upon the premises. 19.i Zmtipment in premises. The equipment shown on Exhibit A attached hereto is the property 02 the Lessor and the Lessee acraoviedgee that acid items were in the demised preaisas at the time of the commencement of this Lease. At the termination of this Lease, no matter how occasioned, the Lessee shall deliver the praxises together with such equipment tv Use Leaaur in good worxing order and condition. 14. DNfags OR DESTRUCTION. 13:1 ggpair and Restoration. In the event the improvements on the premises or the building in which the premises are located are damaged or destroyed, partially Or totally, from any cause whatsoever, whether or not such damage or destruction is cowered by any insurance, and such damage cannot be rebuilt within a period of fifteen (15) days, then and in that event, this Lease shall forthwith terminatd'. 3.2 ftuationa. lArticls, a pro rata padjustment on termination of rent based u of this Lease pursuant to this (30) day month shall be lads. uDOn a thirty destruction Lu such t of Rentals. In the that Leuee cannot ca went the damage or its bulimia dur ire on the operation Of the the tfg the time the shat is repairing and restoring praaeises, rentals payable shall be abated. 14. yEROONUL PROPERTY TAX5S. Leassa shall pay prior to delinquency ell taxes esad'ssed against and levied upon leasehold imprvvesents, trade fixtures furnishings, equipment and all other personal property of LOOS** contained in the premiaea or elsewhere. Laded' shall d leasehold improvements, trade fixtures, furnish �4"e said all other personal property to be mss' equipment ely ed and billed from the real property of Lessor. lod asparnLey 9 Jan uc.1995 02:20PM H -QM IU ba11ia1 RPR 0 '93 16:34 FROM BERGNOAUM-WGINGNJGNK- PAGq.2I( 1Z. noritITIES. 7.essee shall pay all gee, hoat, light, power, telephone and other utilities and services supplied to the praxises feta= than water charges, which charges are previously set forth herein), together with any taxes thereon. 16. ASSIGI>WND ARD sUSLt lI7[G. 16.1 Pevene's consent Required. Lasses shall not voluntarily tar by uyeraLlun ;Jr law amnion, transfer, eurtgage,sublet, or otherwise transfer or encumber all or any part of Lssees's interest in this Leas* or in the praxises without Lessor's prior written consent, which consent shall not unreasonably withheld; provided, however that the Lessee hereunder and the guarantors of this Tease shall continue to remain liable in the event of any such subletting or assigning until they are specifically released in writing by the Lessor. 16.2 No Release QLLsaltee. Regardless of Lessor's consent, no subletting or assignment shall release Lessee of Lessee's Obligations to pay the rent and to perform all other obligations to be performed by Loose* hereunder for the term of this Lease. The acceptance of rent by Lessor from any other person shall not be cem'sed to be a waiver by Lessor of any provision hereof. Consent to ono assignment or subletting shall not be clamed c0naont to any subsequent assignment at subletting. 17, DBFAGLT6 AAD rni srUS. 17.1 pafaulta. The occurrence Of any one or more or the following events shall constitute a default and breach of this Lease by Lessee: lessee. (a) The vacating or abandonment of the premises by (b) The failure by Tease to make any payment of cask Reat, Additional Rant or any other payment requited to be shade by Lessee hereunder, as and when 4211e, where such faller* shall centime for a period of tan (10) days after written notice thereof from labor to Lessee. (c) The failure by Leseee to observe or perform any of the covenants, conditions or provisions of this Lease to he observed or performed by Lessen, other than described in Paragraph (b) above, where such failure shall continue fora period et thirty (10) days after written notice thereof from Lessor to Lessee; ggprovided, however, that if the nature of teases,• default in such more than thirty (70) days are reasonably required nor its curs, then Lessee shall not be dewed in default if Lassos commenced such cure within paid thirty (30) day period end thereafter diligently prodecutes such cure to completion. 10 JVII Wm AJJJ -VIII Rh< 5 '93 16,37 FROM BERENBFUM-WEINSH1ENK PRQE.012 (d) (1) The asking by Leslie of any general assignment, or general arrangement for the benefit of creditors, (ii) the filing by or against Lessee of a petition to have Lessee adjudged a bankrupt or a petition for reorganisation or arrangement under any law relating to bankruptcy (unless, in the case or a petition filed against Lease., the sage is dismissed within sixty (60) day.), (iii) the appointment or a trustee or receiver to Lake possession of substantially all of Lessee's assets located at the premises or of Lessee's interest in this Lease, where possession is not restored to Lessee within thirty (30) days; or (iv) the attaohaent, execution or other judicial seiner, of substantially all of Lessee's assets located at the premises or or Lessee's interest in this Lease, where such seizure is not discharged within thirty (30) days. 17.2 Remedies in Default. In the event of any such default or breach by Lessee, Lessor nay at any time thereafter, with or without notice or demand and without limiting Lessor in the exercise of any right or remedy which Lessor may have by reason of sugh default or breach; (a) Terminate Lessee's right to possession of the premises by. any lawful beans, in which case this lease shall tarninate and Lessee shall immediately surrender possession of the premises to Lessor. In such event, Lessor shall be entitled to recover from Lessee all damages incurred by Lessor by reason or Lessee's default including, but not .limited to, the coat of recovering possession of the praises; expenses of reletting, including necessary renovation and alteration of the premises, reasonable attorney's less, and any real estate =nisei= actually paid' the worth at the time of award by the court having jurisdiction thereof of the unpaid rent for the balance of the term) and that portion or the leasing cc4maission paid by Lessor applicable to the unexpired tern of this Lease. unpaid installments of rent or other gems shall bear interest from the date due at the rata of ten (10) percent per annum in the event Lessee shall have abandoned the premises, Lessor shall have the option of (i) retaking possession of the premises and recovering from the Inset the amount specified in this paragraph, or (ii) proceeding under paragraph (b) set forth immediately below. (b) maintain Lessee's right to possession, in which case this Lease shall continue in effect whether or not Lessee shall have abandoned the premises. In such event, Lessor shall be entitled to enforce all of Lessor's rights and remedies under this Lease, including the right to recover the rent as it becomes due bersun4er. (a) Pursue any other remedy now or hereafter available to Lessor under the laws or judicial decisions of the state in which the preaisas are located. 11 Jun LADJJJ tic •<11-T rnan , APR 5 '93 16:35 FROM BERENBRUM—WciMShlEHIS IU JJ111V1 RACsE.019 . 17.3 pate yhargea, Lessee hereby acknowledges that late payment by Lessee to Lessor of rent and other sums due hereunder will cause Lessor to. incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Such costs include, but are not limited to, processing and accounting chargea, and late charges which may be imposed on Lessor by the terms of any mortgage or trust deed covering the premises. Accordingly, if any installment of rent or any other sum due from Lessee shall not be received by Lessor or Lessor's designee within ten (10) days after written notice that said amount is past due, then Leases shall pay to Lessor a late Charge equal to One Hundred Dollars ($100,00). The parties hereby agree that such late Charge represents a fair and reasonable estimate of the cost Lessor will incur by reason of late payment by Lessee. In addition to the foregoing, all rent not paid when due bears interest at the rate of eighteen (1s) percent per annum from the duo date until paid. Accrance of such late charge by Lessor 'hall in no event con itute a waiver of Lessee's default with respect to such overdue amount, nor prevent Lessor from exercising any of the other rights and remedies granted hereunder. 18. Rt CIA ION. 18.1 If the premises or any portion thereof, are taken under the power of eminent domain, or sold by Lessor under the threat of the exercise of said power (all of which is herein referred to as "condemnations )1 this Lease shall terminate as to the part so taken as of the date the condemning authority takes title or possession, whichever occurs first. If more than twenty-five (254) percent of the floor area of any buildings on the premises, or more than twenty-five (s5%) percent of the land area of the premises not covered with buildings, is taken by condemnation, either Lessor or Lessee may terminate this Lease as of the data the condemning authority takes possession by notice in writing of such election within twenty (20) days after Leaser shall have notified Lessee of the taking or, in the absence of such notice, then within twenty (20) days after the condemning authority shall have taken possession. 18.2 If this Lease is not terminated by either Lessor or Lessee, then it shall remain in full force and effect as to the portion of the premises remaining, provided the rental shall be reduced in proportion to the floor area of the buildings taken within the premises. In the event this Lease is not so terminated, then Lessor agrees, at Lessor's sole cost, as soon as reasonably possible to restore the premises to a complete unit of like quality and Character as existed prior to the condemnation. All awards for the taking of any part of the premises or any payment made under the threat of the exercise of power or eminent domain shall be the property of Lessor, whether made as coapenaation for diminution of value of the leasehold or for the taking of the tee or as severance damages provided, however, that Lessee shall be entitled to any awar4 :or loss of or damage to Lessee's trade fixtures and 19. USE AND LICENSES. 19.1 nag. The premises shall be used for a restaurant and lounge. Lessee shall not use or permit the use of the praises in any manner that will tend to create waste or a nuisance. Lessee shall, at Lessee's expense, comply promptly with all applicable statutes, ordinances, rules, regulations, orders and requirements in effect during the Term or any part of any Term hereof regulating the use by Lessee of the premises, including but not limited to obtaining and maintaining appropriate business and liquor licenses. 19.2 Hazardous Waste. The Lessee will not use the property for storage or disposal of any hazardous materials, substances, or wastes and it agrees to indemnity the Lessor against any claims arising out of the Lessee's use of the property as concerns hazardous materials, substances, or wastes. 20. GENERAL PROVISIONS. .20.1 gigns. Lessee acknowledges that Lessor has advised Lessee that exterior signs advertising the business being carried on in the premises are not the property of the Lessor and the Lessee will make arrangements as it deems advisable and in its best interests for the rental and use of such signs, with the cost for such use to be paid by the Lessee directly to the owner of such signs. Such payment shall not affect the rental paid by the Lessee to the Lessor. 20.2 geverability. The invalidity of any provision of this Lease, as determined by a court of competent jurisdiction, shall in no way affect the validity of any other provision hereof. 20.3 Time is of the essence of this Agreement. 20.4 Captions. Article and paragraph captions are not a part hereof. 20.5 Waivers. No waiver by Lessor of any provision hereof shall be deemed a waiver of any other provision hereof or of any subsequent breach by Lessee of the same or any other prevision. Lessor's consent to or approval of any act shall not be deemed to render unnecessary the obtaining of Lessor's consent to or approval of any subsequent act by LeSeee. The acceptance of rant hereunder by Lessor shall not be a waiver of any preceding breach by Lessee of any provision hereof, other than the failure of Lessee to pay the particular rent no accepted, regardless of Lessor's' knowledge of such preceding breach at the time of acceptance of suck rent. zoos- Cuzulative Remedies. No remedy or election hereunder shall be deemed exclusive, but shall wherever possible, be aetsethe*4e._---..'-- ..ui w" Lt' , U_•r.ui IU till Lil P.iS I ' nit 5 'id Ibia? FRAM BEftEAHAUn-WEIA5h1ENK PAGE.015 70.7 Cwenjits and CunditIopp. Ueda provision of this Lease performable by Lessee shall be deemed both a covenant and • condition. 20.0 gnherlination. In the event that the premises are now, or may become, subject to any lien of any mortgage or deed of trust constituting a first lien on the premises in favor of any lender, Leaser (shall secure from such lender a written agreement that, if by foreclosure or. otherwise, such leader or any successor in interest shall oomo into possession or becese the owner or the premisesit will not disturb the possession, use or enloyaent of the tpremises by the laaaae, nor disaffirm this Lease or Lessee's Qh hereunder, so long as all obligations of Leese* are fully performed in accordance vitn the provisions of this Genie. 20.2 action to enforce the tarsa hereof or dom. If either eclarenri�ghtsehereundeerten he prevailing party in any such action, on trial or appeal shall be entitled to his reasonable attarney's tees to be paid by the losing party as fixed. by the court. 20.10 Tesan1s Access to Premieeg. Lessor and Lessor's a4ants shall have the right to enter the promisee at reasonable ti sna for thin purposes of inspecting the same, showing tbs seat to proapec� lave purahasere or lenders, and to post notices such as Droviaad for by Section 38-22-1os(2) Colorado Revised Statutes (1172, as neendea), or which Lessor deans necessary or desirable for the protection of Lessor, or to act in cases of emargency. 70.11 yatggr, The voluntary or other surrender of this Lease by Lessee, or a mutual cancellation thereof, shall hat work a merger, and shall, at the option of Lessor, terminate ail or any 'existing subtenancioa or may, at the option of Lessor, operate as en assignment to Lessor of any or all of such aubteaancies. 20.12 Notions. Whenever under this cease provision is made for any desand, notice or declaration of any kind, or share it is deedeemed dotaitirabies or or or e essaryyabyoeeitoher party to give or serve any in writing and served either personally or sent by yUnited hatl eees mail, postage prepaid, addressed at the addresses set lortt AereiabalowI To Lessor ati OIG I. Inc. data East Tennaeene Building 1, suite 223 Denver, Colorado 8023& cot Joseph yvrenbaua, 2aq. Derenbaum i Weinshienk, P.C. 270 17th Street, 26th Floor Denver, colorado $0202 14 hin IT.199.5 Vt:➢.iFYI FRf,5 Tn RiI1IRl P_Ih .APR 5 '33 16:38 FROM BERENBAUM-WJEINSHIENK PAGE,016 To Lessee at; Manual Corral and ieebell Tarin d/b/a Country Diner 10763 Turner Blvd., Unit 1 Longmont, Colorado 80504 cot Mr. Ron Chaves 10.13 Right to Terminate. In the event or a bona tide sale or lease of the entire Coupler, of which the demised premises are a part, to a third party in an era's length traneaction, the Lessor or its successor or assigns shall have the right to terminate this Lease upon gluing the Lessee one hundred eighty (180) days' written notice of such sale or lease and such termination. 21. PAINING. 71.1 yes cr par1SSnv facilities. The Leaves and its employees and customers shall have the nonexclusive right, in ceamon with the Lessor and other TIMMS of said building, fo park autospblles in the parking area provided by the Lessor, subject to such reasonable rules and regulations as the Lessor may from time to time iapoae, including the designation of specific areas in which automobiles of the Lessee and its employees must be ked. Upon written notice trod the Lessor, the Lessee will furnish the Lessor with the license numbers assigned to its automobiles and the automobiles of its employees, 22. HOLDING Olin, 22.1 Holdlna Over. If Lessee holds aver in possession at the expiration or termination of any Term, such holding over shall not be dseaWC bent as a xtendmontthe-men farm, but the tenancythereafter shall cwnditions herein set forth at a monthly rate the m is and twice the rent in stteat for the last month of the Term, untilqual to torminnted by elll,wc party by notice designating te f termination given to the other party, tan (lctys r more before such date. Lessee will indemnity Lazier against any class and losses arising trod a hold over by Lessee. Any hold over shall not limit Lesseets rights at law to evict Lessee or any other remedies legally available to it. The parties hereto have executed this teaaa which consists at this: peg. and fifteen (le) other pages at the place and oa the date* specified iaasdiately adjacent to their respective signatures. IS IV .X]:L1L1 IOW 5 '?3 16:38 fRON 8EREN RuM1•V1E1NsKJENx PAGE,91? IN WITNESS INIXNEON, this Lease Agreement is executed by the parties hereto which shall be binding upon the parties hereto, their succsascrs and assigns. s,BssOxt G.n.c. i, Inc., a Colorado corporation By: Sxoauted at: Dated T =SEE: 16 * rnroi onne M.,-- SUBLEASE THIS SUBLEASE is made this 26th day of August, 1996, by and between Robert W. Kline drbia Rewards Bar & Grill, a Colorado sole proprietorship (the "Sublessor') end Michelle L. Johnson, Inc., a Colorado Corporation (the Sublessee") In consideration of the payment of rent and the performance of the promises by the Sublessee set forth below the Sublessor does hereby lease to the Sublessee the premises situate in the City of Longmont. State of Colorado, more particularly nernihe f in the I Raga dated Ai inn 1. 1 AAc by Anti beaha an r.8. G. II. Inc.. a Colorado corporation ("Lessor ], and Robert W. Kline d/CJa Rewards Bar & Grill )'L t,ssee"L A copy of the Lease is attached hereto as Exhibit 1 and by reference incorporated. TO HAVE AND TO HOLD the same, with all the appurtenances unto the said Sublessee from 12:00 noon on the 26th day of August 1996, and thereafter for the remaining lease term specified in the.Lease. Rent and all other terms and conditions specified In the Lease are hereby incorporated and the Sublessee shall carry out the terms and condigons of the Lease as a part of this Sublease. The sublessee in consideration of leasing the premises, agrees as follows: L To pay the rent for the premises above-desalbed 2. To keep the improvements upon the premises, including sewer comedians, plumbing, wiring and glass in good repair, all at Sublessee's expense, and at the expiration of this Sublease to surrender the premises in as good a condition as when the Sublessee entered the premises, loss by fire, inevitable accident, and ordinary wear excepted. To keep all sidewalks on and around the premises free and dear from ice and snow, and to keep the entire Wend- premises free from all lifter, dirt, debris and obstructions; to keen the premises in a dean and sanitary condition as required by the ordinancns of the city and county in which the property is situate_ 3, To use the premises only for lawful purposes. 4. To neither hold nor attempt to hold the Sublessor liable for any injury or dernage either proximate or remote. occurring through or caused by the repairs. alterations. • injury or accident to the premises. or adjacent prernknc or other parts of the above premises not herein demised, or by reason of the negligence or default of the owners or occupants thereof or any other parson, not to hold the Sublaccor liable for or damage occasioned by defective electric wiring, or the breakage or stopPo9oaf plumbing or eswerage upon *aid promisee or upon adjacent premises, whether by breakage or stoppage result. from freezing or otherwise, to neither permit nor suffer acid promisee, or the wells or floor* thereof to be endangered by overloading, nor teed premises to be used for nay purpose which would render the insurance thereon void or the insurance risk more hazardous, nor make any alterations in or changes in, upon, or about said premises without first obtaining written consent of the Sublessor therefor. 5. To pay all Charges for water and water rents, and for heating and lighting of the building (if improvements exist on the premises) In which said premiere are located. IT IS EXPRESSLY UNDERSTOOD AND AGREED BETWEEN THE SUBLESSOR AND THE SUBLESSEE AS FOLLOWS;; 6. This Sublease is subject to all the tees and conditions of the Lease for the premises_ Sublessee agrees to be bound by alt terms and conditions of the Lease and agrees not to violate any of the terms and conditions thereof, or cause the terns and conditions thereof to be violated. 7. No assent, express or impled to any breach of any one or more of the agreements hereof shall be deemed to taken to be a waiver of any succeeding or other breach. B. If the premises are left vacant and any part of the rent reserved hereunder is not paid, then the Sublessor may, without being obligated to do so. and without terminating this Sublease, retake possession of the! said premises and rent the same for such rent, and upon such conditions as the Sublessor may think best, making such change and repairs as may be required, giving credit for the amount of rent so received less all expenses of such changes and repairs,;and the Sublessee shall be liable for the balance of the rent herein reserved until the expiration of the term of this Sublease. S_ rt any part of the rent provided to be paid herein is not paid when due, or if any default is made in any of the agreements by the Sublessee contained herein, it shall be lawful for the Sublessor to declare the term ended, and to enter into the premises, either with or without legal process, and to remove the Sublessee or any other person occupying the premises, using such force as may be necessary, without being liable to prosecution, or in damages therefor, arid to repossess the premises free and dear of any rights of the Sublessee. If at any tune, this Sublease is terminated under this paragraph the Sublessee agrees to peacefully surrender the premises to the Sublessor immediately upon termination, and if the Sublessee remains in possession of the premises, the Sublessee shall be deemed guilty of forcible entry and detainer of the premises, and waiving notice, shall be subject to forcible eviction with or without process of law. 10. In the event of any dispute arising under the terms of this Sublease, or in the event of non-payment of any sums arising under this Sublease and in the event the matter is turned over to an attorney, the party prevailing in such dispute shall be entitled, in addition to other damages or costs, to receive reasonable attorneys' fees from the other party. August 26, 1996 Lessor. a 11. In the event any payment required hereunder is not made within ten (10) days after the payment is due. a late charge in the amount of five percent (5%) of the payment will be paid by the Sub1Asse. 12. This Sublease is made with the express understanding and agreement that, in the event the Sublessee becomes insolvent, or declared bankrupt, then in either event the sublaaaor may declare thin Cubloaco cndad_ and nll riohfc of thn. SI thlesSee hereunder shall terminate and cease. 13. In addition to the terms and conditions heretofore specified pertaining to default, the following shall constitute an Event of Default under this Sublease: a The breach by Sublessee of any obligation, payment or duty evidenced by that the Lease or this Sublease. b. The failure of Sublessee to pay any amount of indebtedness due and owing to Robert W. Kline pursuant to that Promissory Note of even date herewith in the amount of $45,000 executed by Sublessee for the benefit of Robert W. Kline. 14. Sublessee shall indemnify and save harmless, the Sublessor from and against any losses, liabilities, damages, demands, obligations, fines or civil penalties together with all costs and reasonable attorneys' fees connected therewith, in any way arising out of, in connection with or related to Sublessees' operation of the Business or related to this Sublease or the Lease, on or after the closing date, in the failure or alleged failure of Sublessee to perform the obligations agreed to by Sublessee as set forth herein, or any claim by any third party based upon the liability of Sublessee arising by reason of any activity pertaining to the Business, the Sublease, or the Lease. THIS SUBLEASE shall be binding on all parties, their personal representatives, successors and assigns. SUBLESSOR; Robert W. Kline Sole Proprietor SUBLESSEE; Michelle L. Johnson, President Michelle L Johnson, Inc. I agree to this Sublease as per the maste L3= .t forth herein as Exhibit 1. G_B,4,t: Inc. DAVID G. MAeicS 6rcv" 94t 4.FC. ANTE NUPTIAL AGREEMENT Michelle L. Johnson, wife and Michael S. Johnson, husband, having been married in August 1996 in Las Vegas, Nevada wish to enter into the following antenuptial agreement, jointly referred to as the parties. The parties acknowledge that they have discussed their own individual financial situations and have made full and complete disclosure of their respective financial conditions to the other. Each party fully realizes that they are waiving rights, which they would otherwise possess under the Uniform Dissolution of Marriage Act, and each party by their signature hereon acknowledges that they have been encouraged to seek legal counsel prior to executing this document and by their signatures, state that they have either consulted independent legal counsel, or have had ample opportunity to do so. Each party warrants that they have full legal capacity to enter into this agreement. 1. Husband currently owns a certain parcel of land in Nederland, Colorado, which includes an insurance claim. The parties agree that this property and its proceeds shall remain the full and exclusive property of the husband. 2. Wife currently has a contract interest in a restaurant -bar operation known as M. L. Johnson Inc., dba Rewards Bar and Grill. The parties agree that this property and its proceeds shall remain the full and exclusive property of the wife. 3. The parties agree to waive any share in these assets, whether by will, statutory right, statutory share, dower, courtesy, whether such right now exists by case law or by statute. 4. The parties agree to waive any increase in the value of these assets. 5. The parties agree that should any individual part of this agreement be adjudged illegal or otherwise unenforceable, then the rest of the agreement shall still apply. 6. The antenuptial agreement represents the entire agreement of the parties and there are no representations other than those stated herein. This agj• en ay ly be modified in a writing executed by both parties. Dated.CI 9 A(y 0 hJL l k Michelle L. Johnson chael S. Johnson Dated: BILL OF SALE I, Robert W. Kline, Sole Proprietor of Rewards Bar & Grill, in the County of Weld, State of Colorado, in consideration of Sixty -Five Thousand dollars ($65,000) to be paid by Michelle L. Johnson, the receipt of which is hereby acknowledged, do hereby grant, sell, transfer and deliver unto the said party the following: 1. Equipment listed as per Exhibit A. 2. All other company assets to include, but not limited to: a. Licenses b. Exclusive use of name c. Vendor and customer lists d. All other items relating to the business To have and to hold the same Buyer and her heirs, executors, administrators, successors and assigns to their use forever. And I hereby covenant with grantee that I am the lawful owner of the said business assets; that they are free from all encumbrances; that 1 have good right to sell the same as aforesaid; and that I will warrant and defend the same against the lawful claims and demands of all persons. Robert W. Kline, Sole Proprietor ("Seller") Date Michelle L. Johnson ("Buyer") Date thpi tem./mu/ay 0 /ay El_ EXHIBIT I 4="X '/e/r 4 -2 4 CDrn4?e. „1 /J et .'9Uip-)2E/Yi 0/vti!C.O / C'& 10/7G//lA/t jv/ffri0 ro 63 0 c -Q OseS z/o / c/ / Ci'//N� e cc'(% c4%I9 C 9OJ ,n / Pohl,'(/XiAY. / 7" Co1o/' 2-7 if /7/vtCrVCe oo) /72.Z 5'2-1460 /9 v//77/ve✓li v/ rye - ,S„eiv is Si / ,2) 9 C-�Um1 (A'o; S41c) *7'55 / ,C.4�� ant r.'� 41 fe CAS/ y/.� Tee c-7275/02,5) <cc J5ooT/ (s))) Poo 774E2 A/c -- 1) CI 4016,66) 6-6,660 / 2 02 / /elf: 54 coo/&? Csr/9/irJo<ct5f (Jig/E.,S (;5.L.6c2r- c ris/21-/o/U,C SA4L.C Sri/A)-. .Sj' S re.R2/C070,4)-ea? v ,2A/C. C�,7Cg0114 ✓O4 "449/vz /7t) 6,A-77(76- X01 i9/ f 4c 4 ' 721.2_4/4D, r/7/0S o2 /WA TS C/SX6d-r" ✓v88Z-7 72i2tolt /Q A J. re n9i-4,2,14/{ //r7J S/24 /7A) , G'T7C / C )k/CS 4/& / .0 /lie&/tip % s 4RPS .4s,60N / N,ea11) opi.nv / /219P sve -- riic9PP / Osr inn') / C00%S EKt/ 'Q G=o1j2 1 i9o.GOecag S)q711 l ;Site zr- S 51q/ (/32v'9 St/v AT y4/i.0 / 241 c/- 5 n -)i' � / 0'0004S /I. R.0,e l c 0o,es ,<r - M( /w (;o coo we) 42-2- S171- reh- YS / C' D (%' C44,7-5 GGO c1-- Aige' / 69 S i/tyn ' 5W:k-F.C S S.1 _• C�}Ita 9' Lu ot. j i'LrY� ` p Chi much - oh.CS C,ta --57e-5 7 17D Li JA) /v/4' DO �tJ 47) °iv 5Ne-:ZV sig 2 EXHIBIT B Country Diner, Inc. Lesser Owned Owner Buyers Initials Initials Quan. Description LA/27 1 - 7 Tables 36' Round — 2 Tables 30' Round A -S' Tables 48X30 Rectangular 2 Tables 36130 Square ' ,78" chairs A/g turn)- •lA' Bar Stools / 7 ror'91- 2 Booster Chairs 19 Light Fixtures -5' I Pictures on Walls / tI,9117Z5 9-1Artificial Plants or Trees •7 ro r91 — S Sugar Shakers 6 Salt & Pepper Holders AJor✓, 55 Salt & Pepper Shakers S / SETS 30 Sugar Holders Z41 ro mE" - c --.!e 30 Ash Trays /5'T'rnl— ^89 'Soup Bowls I 3 G-driSS :27 tv'(9oo 33 —Soup -Cups 3 Doz. Soup Spoons, Ice Tea Spoons (est).2 ^11" Plastic Handled Steak Knives re t79 L 1/7'9 Doz. Forks, Knives & Reg. Spoons Q1�cy''^ 2 Stainless Steel Calendars ,.13'18' Stainless Steel Mixing Bowls 1 14' Stainless Steel Nixing Bowls /j; ONE. 12'n'Backing Sheets 12 Insert Lids w/Handles 2 China Cap 4 Cook Fry Pans 6 Egg Pans 6 Cooks Pots (various sizes) 2 / 40 qrt. Soup Kettles OAS ONA / 51 Dinner Plates 15—Creaers,, X2E' Monkey Dishes /O r -11)?— L A5' Saucers 15 r0 r/} L .s( Liners aaTor4/- 4 64 oz. Plastic Pitchers 9 6C1 OZ :N- Cups (coffee) /c7 7--(22-4/— _,63* Plastic Tunblersg'd 8 Plastic Bread Baskets (wicker looking) $75 Worth of Laddles, Tongs & Large Spoons (est.) 8 Salad Bar Inserts Owner Initials EXHIBIT B Country Diner, Inc. Lesser Owned Buyers Initials Quan. Description 1 Uniwell, Cash Register /1162;r— ill e c" if -- 1 Delfield, Pie Display Case 36' NOT LOO('tu MG 1 18' Rand Sink v/Speed Rack 1 72' 3 Comparttent Dreams Both Sides 1 Beverage Air 35' Hug Freezer 1 Eagle, Soup Warner �✓�^� 1 CHC, 58' Reach in Cooler 4'7/CoolerRacks 1 Can Storage Rack 1 Waitress Station w/Ice Holding Sink .479 Waitress Trays 1 Garland 6 Burner Stove w/24' Grill Attached v/Broiler 1 36' 6 Burner Char Broiler 1 30 lb. Fry Master Gas Natural w/2 Baskets 12 Good Screens No N! 1 Beverage Air 48' (incomplete) w\Sandvich Prep Table 1 72' Gas Steam Table 2 Burner 2 ,Ghat Lamps 1 72' 2 Hole Waitress Server Holding Shelf 1 17' Cooks Wheel • 1 Hone Type 4 Hole Toaster 1 CMG 29' Reach in Freezer N ON/- 1 Delfield, 66' sandwich Bar 1 - Belgin Waffel Iron AJ%'^'r: 1 38' Prep Produce Sink 1 87' 3 Conpartnent Sink 1 Bradford fi White 75 Gal Hot Water Beater 1 Onas 9' Heat Slicer 1 Amanna Microwave / stl/F'9/O 2 Portion Control Scales 1 Elcheapo 20 Gal Flour Bin raj —I/, 14 Stainless Steel Steal Table Inserts . 7.( G 2 Emergency Lights NON y2: 1 Exit Signs /.% ,t 2 Hand Blow Dryers In Bathrooms • 1 5 H.P. Compressor Unit (Tecumxck) 1 2 1/2 H.P. Tecunxck Compressor Unit • 2 7 by 8 ft. 5 H.P. Low Temp Compresso) .42 -?-4/ 1 Walk in Cooler 1/2 H.P. Medium Temp. Serial i 71673111 " 169746T, 8802FHo2$8,}FIYST SCHEDULE B DOWN PAYMENT SCHEDULE Payment Date Beginning Interest Ending Number Due Balance Amount Payment Balance 1 7-ao-- YF 3,900.00 100.00 1,100.00, 2,900.00 2 /0 - 20 •- g 2,900.00 100.00 1,100.00 1,900.00 3 1i - ?0- qy 1,900.00 100.00 1,100.00 900.00 4 /,l -,20- y4 900.00 100.00 1,000.00 0.00 ASSIGNMENT WITNESSETH: I Michelle L. Johnson, entered into a purchase agreement with Robert W. Kline to purchase certain equipment located at 10765 Turner Blvd., Longmont, Colorado at a restaurant -bar operation known as Rewards Bar and Grill. By these presents I hereby assign all interest thereunder to Michelle L. Johnson Inc. and agree to remain personally liable for any encumbrance thereon. �VA-4-sJ Dated: Acceptance of Assignment Consent to Assignment miohuit Michelle L. Johnson ney Michelle L. Johnson, President Michelle L. Johnson Inc. Robert W. Kline EXHIBIT /0 i ti/7 c cI L( _ _ i cc k ich Vrcif\ of) c �W ( C �Lo&rj ; RD(r C 4-d-1 1c* i� \Cx �eeCU/7?Cl 3O 11 � l cHLLL L i ckw - Recorded at o'clock M., Reception No Recorder. RECORDER'S STAMP KNOW ALL MEN BY THESE PRESENTS, That Michelle L. Johnson, a/k/a Michelle Leah Johnson of the County of Weld , in the State of Colorado, of the first part, for and in consideration of other good and valuable considerations and Ten Dollars, to her in hand paid at or before the ensealing or delivery of these presents by Michelle L. Johnson, Inc., a Colorado corporation xltttte Gcattttryxdfx , 1titcfil iEKMAxTaM§t )of the second part, the receipt whereof is hereby acknowledged, has bargained and sold, and by these presents doe s grant and convey unto the said part y of the second part, i t s ex aetton?cxdmimietrxtoxs successors or assigns, the following property, goods and chattels, to wit: All of the inventory, equipment and capital of Rewards Bar& Grill as more specifically described in Exhibit A attached 10763 Turner Boulevard, Longmont, CO 80504 located at i t s TO HAVE AND TO HOLD the same unto the said part y of the second part, executors, administrators, successors or assigns, forever. And the said part Y of the first part, for her sel f her heirs, executors, administrators, successors or assigns, covenant s and agree s to and with the said part Y of the second part, its exia3i $I iliit%dt rr, succes- sors or assigns, to WARRANT and DEFEND the sale of said property, goods and chattels, hereby made unto the said part Y of the second part, i t s xekkiutX#dhiiif€itkiS successors or assigns against all and every person or persons whomsoever. IN WITNESS WHEREOF, The part Y of the first part has hereunto sether hand and seal ,this 27th day of September ,I9 96• (Th e)(jai L-Jcit_it-,I")<</Kki 1In UAL, Lit ILI litil ai.Li. _.. [SEAL] Michelle L. Johnson, a/k/a /Michelle Leah Johnson [SEAL] [SEAL] Signed, sealed and delivered in the presence of STATE OF COLORADO, tss. County of Weld The f igegoing instrument as acknowledged before xpe this, 2 7 t h day of. 19 ,by. riic elwie Johnson, a /a Michelle eah Alycommission expires August 28, 1999 Prt -ene 1 5.,.l,y > ^a and aT14 Official seal. [SEAL] September Johnson 4ir.<cladilrail: Notary Public. EXHIBIT •It by natural person or persons here Insert name or names; if by Person neting In representative or o /7 attorn y-tn-fact, then insert name oC person as executor, attorney -In -fact or other capacity or description //ddtGC/LLLLLRtr//„[LI`DrI Jh� poration, then insert name of such officer or officers, as the President or other officers of such corporation, n Acknowedgment, Session 1927. No. 35A BILL OF SALE. —Bradford Publishing Co., 1824-46 Stout Street, Denver, Colorado --11 -72 EXHIBIT A CURRENT ASSETS 1. A complete inventory of beer, wine, and liquor will be taken the day before the Closing Date. 2. A complete list of equipment owned by Rewards Bar & Grill 1 Ice Machine 1 Cigarette Machine Coolers 1 Poker Machine 1 27" Color Television Stereo Equipment 1 Liquor Gun 1 Large "Rewards Bar" Banner 1 Cash Register 3. A complete list of equipment leased to Rewards Bar & Grill 2 Pool Tables 1 Juke Box 1 Coke Gun 1 Dishwasher rf- SUB -SUB LEASE COMES NOW Michelle L. Johnson, Inc., a Corporation duly organized and existing under and by virtue of the laws of the State of Colorado, as sub -sub lessor, and does hereby transfer and assign all right, title and interest of the above described corporation, Michelle L. Johnson, Inc., as sub -sub lessor, to Robert Kline, with address of 8658 Garland Court, Arvada, CO 80001, covering the inventory, equipment and capital of the business of Rewards Bar and Grill located at 10763 Turner Boulevard, Longmont, CO 80504, all as more specifically described in Exhibit "A" attached hereto and incorporated by reference herein, as well as all right, title and interest in and to the premises pertaining to the operation of said business, that is, the business of Rewards Bar & Grill located at 10763 Turner Boulevard, Longmont, CO 80504, as more specifically described in that certain Lease Agreement dated April 7, 1993 between G.B.G.I, Inc., a Colorado corporation, as lessor, and Manual Corral and Isabell Tarin, d/b/a Country Diner, as lessee, a copy of which is attached hereto as Exhibit "B", and that certain Sublease dated August 26, 1996 heretofore entered into by Robert W. Kline, d/b/a Rewards Bar & Grill, a Colorado sole proprietorship, as sublessor, and Michelle L. Johnson, Inc., a Colorado corporation, as sublessee, a copy of which is attached hereto as Exhibit "C". Dated and signed at Greeley, Colorado this 27th day of September, 1996. MICHELLE L. JOHNSON, INC., a Colorado corporation Byf1�-i t \(\11,l'S L-eS+Ctit't Michelle L. Johnson, President Robert Kline, a/k/a Robert W. Kline EXHIBIT STATE OF COLORADO ) SS. COUNTY OF WELD Subscribed and sworn to before me this 27th day of September, 1996 by Michelle L. Johnson, President of Michelle L. Johnson, Inc., a Colorado corporation. WITNESS My hand and official seal. My commission expires: August 28, 1999. tar ' Notary u STATE OF COLORADO ) SS. COUNTY OF WELD Subscribed and sworn to before me this 27th day of September, 1996 by Robert Kline, a/k/a Robert W. Kline. WITNESS My hand and official seal. My commission expires: August 28, 1999. Notar Public SUB -SUB LEASE COMES NOW Michelle L. Johnson, Inc., a corporation duly organized and existing under and by virtue of the laws of the State of Colorado, as sub -sub lessor, and does hereby transfer and assign all right, title and interest of the above described corporation, Michelle L. Johnson, Inc., as sub -sub lessor, to Robert Kline, with address of 8658 Garland Court, Arvada, CO 80001, covering the inventory, equipment and capital of the business of Rewards Bar and Grill located at 10763 Turner Boulevard, Longmont, CO 80504, all as more specifically described in Exhibit "A" attached hereto and incorporated by reference herein, as well as all right, title and interest in and to the premises pertaining to the operation of said business, that is, the business of Rewards Bar & Grill located at 10763 Turner Boulevard, Longmont, CO 80504, as more specifically described in that certain Lease Agreement dated April 7, 1993 between G.B.G.I, Inc., a Colorado corporation, as lessor, and Manual Corral and Isabell Tarin, d/b/a Country Diner, as lessee, a copy of which is attached hereto as Exhibit "B", that certain Sublease dated June 1, 1995 heretofore entered into by Manual Corral and Isabell Tarin, d/b/a Country Diner, as sublessor, and Robert W. Kline, as sublessee, a copy of which is attached hereto as Exhibit "C", and that certain Sublease dated August 26, 1996 heretofore entered into by Robert W. Kline, d/b/a Rewards Bar & Grill, a Colorado sole proprietorship, as sublessor, and Michelle L. Johnson, Inc., a Colorado corporation, as sublessee, a copy of which is attached hereto as Exhibit "D". Dated and signed at Greeley, Colorado, this 4/L day of October, 1996. MICHELLE L. JOHNSON, INC., a Colorado corporation By1 u 1\ bib Lc, ��11 Lc3v_ _id Michelle L. Johnson, President l r, ct — /`1,- Robert Kline, a/k/a Robert W. Kline STATE OF COLORADO ) SS. COUNTY OF WELD Subscribed and sworn to before me this q day of October, 1996, by Michelle L. Johnson, President of Michelle L. Johnson, Inc., a Colorado corporation. WITNESS My hand and official seal. My commission expires: August 28, 1999. 23A -4.v Notary Public STATE OF COLORADO ) SS. COUNTY OF WELD Subscribed and sworn to before me this _ 1996, by Robert Kline, a/k/a Robert W. Kline. WITNESS My hand and official seal. My commission expires: August 28, 1999. day of October, Notary Public MANAGEMENT AGREEMENT This Management Agreement, dated September 24, 1996, is made by and between Robert W. Kline dba Rewards Bar & Grill (Owner) and Michelle L. Johnson Inc. (Manager) under the following conditions: 1. Owner is the sole proprietor of Rewards Bar & Grill which has a restaurant and liquor license at 10763 Turner Boulevard, Longmont, CO 80504. 2. Owner hereby hires Michelle L. Johnson Inc. as Manager for a period of sixty (60) days from the date of this agreement. 3. Remuneration shall be fifty dollars ($50.00) per day plus tips. 4. This agreement shall expire in sixty (60) days or upon the transfer of Rewards Bar & Grill's liquor license by permanent transfer or temporary transfer, whichever first occurs. To the above agreement we affix our signatures. rc2 obert W. Kline, Sole Proprietor Rewards Bar & Grill Date r C vt_ ��GUlc(L\ Q)'1 /� �61 Michelle L. Johnson Inc. Date EXHIBIT EXHIBIT B PROMISSORY NOTE STATE OF COLORADO COUNTY OF WELD August 26, 1996 Michelle L. Johnson, for value received promise to pay to the order of Robert W. Kline dba Rewards Bar & Grill the amount of $45,000 with interest at the rate of 9.5% per annum for forty-seven months payable on the 20th of each month beginning September 20, 1996, and the balance of $20,010.28 to be paid in a lump sum on August 20, 2000. CONDITIONS OF THIS PROMISSORY NOTE ARE AS FOLLOWS: 1. Repayment of this Promissory Note is to be made according to the attached Repayment Schedule A. 2. Any Default on this note will result in foreclosure on this note and forfeiture of all monies paid up to the date of Default toward the down payment and remaining balance of the note. A Default will be deemed as having occurred when payment, as per Schedule A, has not been received within fifteen (15) days of the payment date. 3. Payments received within five (5) days of the payment date will be considered as having been paid on time (grace period). 4. Payments received more than five (5) days after the payment due date will be subject to a late charge equal to ten percent (10%) of the monthly amount due. 5. The down payment to this note is also being paid on installments (Schedule B). Any default in the payment of the down payment will result in foreclosure on this note and forfeiture of all monies paid toward this note and down payment up to the date of default. 6. The terms and conditions of the Sale Agreement between Robert W. Kline dba Rewards Bar & Grill ("Seller") and Michelle L> Johnson, Inc. ("Buyer") govern this promissory note. 7. Robert W. Kline agrees to credit of $751.00 towards 1st months down payment. AGREED TO THIS 26th day of August, 1996 Aieeir— IA/ Robert W. Kline _ SIR 1216 - Michelle L. Johnson, Inc. President the undersigned as part of the consideration of this purchase agreement agree to guarantee all payments under this promissory note. 1Y1ho1,,((1, I jrJ'IA? (h Jfr - SCHEDULE A PROMISSORY NOTE PAYMENT SCHEDULE Payment Date Beginning Interest Interest Monthly Ending Number Due Balance Rate* Amount Payment Balance 1 45,000.00 0.7917% 356.25 1130.54 44,225.71 2 44,225.71 0.7917% 350.12 1130.54 43,445.29 3 43,445.29 0.7917% 343.94 1130.54 42,658.69 4 42,658.69 0.7917% 337.71 1130.54 41,865.87 5 41,865.87 0.7917% 331.44 1130.54 41,066.76 6 41,066.76 0.7917% 325.11 1130.54 40,261.34 7 40,261.34 0.7917% 318.74 1130.54 39,449.53 8 39,449.53 0.7917% 312.31 1130.54 38,631.30 9 38,631.30 0.7917% 305.83 1130.54 37,806.59 10 37,806.59 0.7917% 299.30 1130.54 36,975.35 11 36,975.35 0.7917% 292.72 1130.54 36,137.54 12 36,137.54 0.7917% 286.09 1130.54 35,293.08 13 35,293.08 0.7917% 279.40 1130.54 34,441.95 t4 34,441.95 0.7917% 272.67 1130.54 33,584.07 15 33,584.07 0.7917% 265.87 1130.54 32,719.41 16 32,719.41 0.7917% 259.03 1130.54 31,847.90 17 31,847.90 0.7917% 252.13 1130.54 30,969.49 18 30,969.49 0.7917% 245.18 1130.54 30,084.12 19 30,084.12 0.7917% 238.17 1130.54 29,191.75 20 29,191.75 0.7917% 231.10 1130.54 28,292.31 21 28,292.31 0.7917% 223.98 1130.54 27,385.75 22 27,385.75 0.7917% 216.80 1130.54 26,472.01 23 26,472.01 0.7917% 209.57 1130.54 25,551.04 24 25,551.04 0.7917% 202.28 1130.54 24,622.78 25 24,622.78 0.7917% 194.93 1130.54 23,687.17 26 23,687.17 0.7917% 187.52 1130.54 22,744.16 27 22,744.16 0.7917% 180.06 1130.54 21,793.67 28 21,793.67 0.7917% 172.53 1130.54 20,835.67 29 20,835.67 0.7917% 164.95 1130.54 19,870.08 30 19,870.08 0.7917% 157.30 1130.54 18,896.84 31 18,896.84 0.7917% 149.60 1130.54 17,915.90 32 17,915.90 0.7917% 141.83 1130.54 16,927.19 33 16,927.19 0.7917% 134.01 1130.54 15,930.66 34 15,930.66 0.7917% 126.12 1130.54 14,926.24 35 14,926.24 0.7917% 118.17 1130.54 13,913.87 36 13,913.87 0.7917% 110.15 1130.54 12,893.48 37: 12,893.48 0.7917% 102.07 1130.54 11,865.01 38 11,865.01 0.7917% 93.93 1130.54 10,828.40 89 10,828.40 0.7917% 85.72 1130.54 9,783.59 40 9,783.59 0.7917% 77.45 1130.54 8,730.50 41 8,730.50 0.7917% 69.12 1130.54 7,669.08 42 7,669.08 0.7917% 60.71 1130.54 6,599.25 43 6,599.25 0.7917% 52.24 1130.54 5,520.95 44 5,520.95 0.7917% 43.71 1130.54 4,434.12 45 4,434.12 0.7917% 35.10 1130.54 3,338.68 46 3,338.68 0.7917% 26.43 1130.54 2,234.58 47 2,234.58 0.7917% 17.69 1130.54 1,121.73 48 1,121.73 0.7917% 8.88 1130.61 0.00 = 9.5% annual interest divided by 12 months SCHEDULE A PROMISSORY NOTE PAYMENT SCHEDULE Payment Date Beginning Interest Interest Interest Monthly Ending Number Due Balance Rate Rate* Amount Payment Balance 1 45,000.00 0.0079167 0.7917% 356.25 800 44,556.25 2 44,556.25 0.0079167 0.7917% 352.74 800 44,108.99 3 44,108.99 0.0079167 0.7917% 349.20 800 43,658.18 4 43,658.18 0.0079167 0.7917% 345.63 800 43,203.81 5 43,203.81 0.0079167 0.7917% 342.03 800 42,745.84 6 42,745.84 0.0079167 0.7917% 338.40 800 42,284.25 7 42,284.25 0.0079167 0.7917% 334.75 800 41,819.00 8 41,819.00 0.0079167 0.7917% 331.07 800 41,350.06 9 41,350.06 0.0079167 0.7917% 327.35 800 40,877.42 10 40,877.42 0.0079167 0.7917% 323.61 800 40,401.03 11 40,401.03 0.0079167 0.7917% 319.84 800 39,920.87 12, 39,920.87 0.0079167 0.7917% 316.04 800 39,436.91 13 39,436.91 0.0079167 0.7917% 312.21 800 38,949.12 14 38,949.12 0.0079167 0.7917% 308.35 800 38,457.47 15 38,457.47 0.0079167 0.7917% 304.45 800 37,961.92 16 37,961.92 0.0079167 0.7917% 300.53 800 37,462.45 17 37,462.45 0.0079167 0.7917% 296.58 800 36,959.03 18 36,959.03 0.0079167 0.7917% 292.59 800 36,451.62 19 36,451.62 0.0079167 0.7917% 288.58 800 35,940.20 20 35,940.20 0.0079167 0.7917% 284.53 800 35,424.73 21 35,424.73 0.0079167 0.7917% 280.45 800 34,905.17 22 34,905.17 0.0079167 0.7917% 276.33 800 34,381.51 23 34,381.51 0.0079167 0.7917% 272.19 800 33,853.69 24 33,853.69 0.0079167 0.7917% 268.01 800 33,321.70 25 33,321.70 0.0079167 0.7917% 263.80 800 32,785.50 26 32,785.50 0.0079167 0.7917% 259.55 800 32,245.05 27 32,245.05 0.0079167 0.7917% 255.27 800 31,700.32 28 31,700.32 0.0079167 0.7917% 250.96 800 31,151.28 29 31,151.28 0.0079167 0.7917% 246.61 800 30,597.90 30 30,597.90 0.0079167 0.7917% 242.23 800 30,040.13 31 30,040.13 0.0079167 0.7917% 237.82 800 29,477.95 32 29,477.95 0.0079167 0.7917% 233.37 800 28,911.32 33 28,911.32 0.0079167 0.7917% 228.88 800 28,340.20 34 28,340.20 0.0079167 0.7917% 224.36 B00 27,764.56 35 27,764.56 0.0079167 0.7917% 219.80 800 27,184.36 36 27,184.36 0.0079167 0.7917% 215.21 800 26,599.57 37 26,599.57 0.0079167 0.7917% 210.58 800 26,010.15 38 26,010.15 0.0079167 0.7917% 205.91 800 25,416.06 39 25,416.06 0.0079167 0.7917% 201.21 800 24,817.27 40 24,817.27 0.0079167 0.7917% 196.47 800 24,213.74 41 24,213.74 0.0079167 0.7917% 191.69 800 23,605.44 42 • 23,605.44 0.0079167 0.7917% 186.88 800 22,992.31 43 22,992.31 0.0079167 0.7917% 182.02 800 22,374.33 44 22,374.33 0.0079167 0.7917% 177.13 800 21,751.46 45 21,751.46 0.0079167 0.7917% 172.20 800 21,123.66 46 21,123.66 0.0079167 0.7917% 167.23 800 20,490.89 47 20,490.89 0.0079167 0.7917% 162.22 800 19,853.11 48 19,853.11 0.0079167 0.7917% 157.17 20,010.28 0.00 Payment #48 is a final lump sum payment equalling 320,010.28. *= 9.5% annual interest divided by 12 months fet WIWDc COLORADO WELD COUNTY ATTORNEY'S OFFICE PHONE: (970) 356-4000, EXT. 4391 FAX: (970) 352-0242 915 TENTH STREET GREELEY, COLORADO 80632 September 26, 1996 Michelle Johnson Robert Kline Rewards Bar and Grill 8658 Garland Court 10763 Turner Boulevard Arvada, CO 80005 Longmont, CO 80504 SENT BY FEDERAL EXPRESS OVERNIGHT DELIVERY RE: Completion of Necessary Details for Manager's Registration Form and for Change of Ownership Dear Mr. Kline and Ms. Johnson: As I have mentioned a variety of times to both of you, there are necessary details which must be completed for the submittal of the Manager's Registration Form and for the Change of Ownership for the Rewards Bar and Grill ("Rewards"). Those details arc as follows: 1. For the Manager's Registration Form, a fee of $75.00 dollars from Rewards must be submitted to the Weld County Clerk to the Board's Office. Additionally, the Form must be signed by Mr. Kline as the Licensee and Ms. Johnson as the Manager. 2. The sub -sublease from Michelle Johnson to Robert Kline must be renewed for the period of time in which Rewards is to be operated under the license of Mr. Kline. Specifically, the lease must be from Ms. Johnson's corporation to Mr. Kline, and it must include the premises and all of the inventory, equipment, and capital of the business. The lease must specifically include all of these items. The Bill of Sale submitted with the Change of Ownership shows that Ms. Johnson personally purchased the inventory, equipment, and capitol of the business. Ms. Johnson's corporation is applying for the Change of Ownership. Therefore, Ms. Johnson must convey all of these items to the corporation so that it owns the business. A document showing the conveyance from Ms. Johnson to the corporation must be submitted to the Clerk to the Board's Office. EXHIBIT [6e1J Michelle Johnson and Robert Kline September 26, 1996 Page 2. 4. The Clerk to the Board's Office must receive a check from Rewards in the sum of $14.00 dollars and made payable to "CBI" for the submittal of Ms. Johnson's fingerprints to the Colorado Bureau of Investigation. The check cannot be a personal check; rather, it must he either a business check or it must be certified. I will expect Weld County to receive the signed Manager's Registration Form, the check for the submittal of the Form, and the check for the CBI fingerprints no later than 5:00 p.m. on Friday, September 27, 1996. The other documents referred to above, including the sub -sublease from Ms. Johnson's corporation to Mr. Kline and the conveyance of the inventory, equipment, and capitol of the business from Ms. Johnson to her corporation, must be received no later than 5:00 p.m. on Tuesday, October 1, 1996. If these time requirements are not met, I will recommend to the Board of County Commissioners that the liquor license in the name of Robert Kline be considered for suspension or revocation, because the manager has not been properly registered. I will then recommend that the Change of Ownership to Ms. Johnson's corporation be denied, because of the lack of documentation showing the proper conveyances and ownership. Enclosed are copies of the Board of County Commissioners' resolutions regarding the postponement of the hearing regarding the request for temporary permit and the setting of the evidentiary hearing for Change of Ownership. If you should have any questions regarding the enclosed or this letter, please feel free to call me at (970) 356-4000, extension 4390. Sincerely/ /Bruce T. Barker Weld County Attorney BTB/Im: Let/MJoInson.l m Enclosures pc Barbara Kirkmcyer Clerk to the Board Deputy Mark Profitt Dave Ziemer, State Liquor Enforcement 39(0 7n - e-- .' P AZit -t -.-2-A a -� 0-6C, fier effe-/ --gr? ,,/ ed-„, "n J J ter SAA.` gv 1 f G// ///2 &,-/4Nr s7 Go N9 o Air; d a reo -C-4"/ C4 e2 )7).6 5r9 id/S/ sLy J;24 4 ,Z /% EXHIBIT ._-c c .P---) .Clice COMMu I CJ Cdnom `Ihth may (O1Jnu) /0 -3- U FLU L w5 601 frzllP kikson ( t ±ito (u .44 u-2(vpilts cc ecauds BULL & I9.L.gu hc&o bees) a{ pal bass d Jodeuiti 6 duo of) 0 iiOnoz - S hao (L c ttjd Athwaed /o/Lo ecu,2 e ✓uu o 4ci pc a ons amo/ hao h 17O ILL) i i&O /CLe, u.35 Gu'2 C,tfzdeA_ iontto . n racy Zdeed.6� mac/ 620 wzia ct1 ac caoMnzvw echa eom d 0 a b> f tO .d.Q G ,t . uod, do z old/ �D d tut& Oa *U/3 . abLd %tizu2/ • /azi lc 7674/ arm ffuos EXHIBIT w —Z -; gr s r1 , ,' /O-7-? x� g Ce)Le_ &- (Oa n Sammons Trucking PAUL BLYE Terminal Manager 10763 Turner Blvd., 44 • Longmont, CO 80504 (303) 774-1946 • (800) 765-4946 • FAX (303) 774-1948 Home Office: Missoula, Montana (.-1 EXHIBIT a ;x(;71- Date October 4, 1996 To To Whom It May Concern From Jack L. Honstein SUBJECT: APPLICATION FOR LIQUOR LICENSE I am making this written statement in reference to Michelle Johnson's application for a Liquor License in Weld County, City of DelCameno, establishment's business name is Rewards. I Jack Honstein have known Michelle for approximately one and a half years. Over this period of time, Michelle and I have developed a strong and honest friendship. Michelle and I have many mutual friends. I have attended many social and private functions with her and she has a great personality and exhibits a great report with most everyone. She has had problems in the past but was able to work through them professionally and intelligently with solid, positive results. With regard to her work ethics and habits, since I have known Michelle, she as manager was instrumental in re-establishing a solid growth and financial picture and profit in a short time. Michelle has a great relationship with fellow workers and employees. She also exhibits a professional attitude when dealing with both pleasant and unpleasant patrons and is truly concerned for customers and customer satisfaction. She has and does provide a means for patrons who are too intoxicated to drive to be transported by either cab or employee. In my opinion, Michelle has all the attributes to own and run an establishment of this nature. I feel confident that she will make a great business owner and contribute much to the community. ,1 4,AL, Jack L. Honstein Master Firefighter/Driver Operator Rocky Flats Fire Departmept REWARDS BAR GRILL LIQUOR INVENTORY Inventory MON TOES WED THUR FRI SAT Total Used End Count # to be Ordered Name SUN Absolut Vodka 80 Barton Gin Barton Rum White Barton Vodka Black Jack Canadian Mist Captain Morgan Rum• Crown Royal Bar Cuervo Teq Gold Early Times Round Emmets Irish Cream Highland Mtx filiccr Kapali Coffee Liqueur Montezuma Teq Gold Montezuma Teq Wht Rnd Rumple Minze Seagrams 7 Crown Smirnoff Vodka 80 Southern Comfort 80 Tanqueray Gin Tavern Lime Juice Mix Wild Turkey Bbn 80 CACTUS JUICE PEACHTRFT CREME DE BAN NA tog Nter 4�,F RAllMATAll "OMMAMIN 3UTTERSH0TS COMMENTS: 2 EXHIBIT REWARDS BAR GRILL LIQUOR INVENTORY Inventory MON TUES WED THUR FRI SAT Total Used --_ End # to be Count Ordered ■� ■■ Name SUN HOT DAMN _----_ MELON LIME DOUBLE ::•; ■�■■■■ MAD MELON RASPBERRY SCHNAPPS ■■■■■■ ■�■■■■ .�� AFTER SHOCK alit B SCOTCH GRAND TORRES ORANG PEPPERMINT VERMOUTH AMARETTO St AVOJQnc.ht ROOT BFFR JIM BEAM ■■�■ ■■.■■ SEAGRAMS VO RM T • 'BACARDI our BLACK VELVET GOLDSCHLAGER FLESHMANS BRANDY ergype ! vaclw.( YUKON JACK TRIPLE SEC COMMENTS: 111 Jason McBrien Telephone (3003) 684-0327 Custom Pciint & Body Turner Blvd. Longmont, CO 80504 October 3, 1996 To Whom it may Concern, in the time prior to her ownership of Rewards Bar Grill and up until present , Michele has been the driving force in keeping the business running and organized. With her encouragement ,the previous owner added a restaurant for her to manage, and put her in charge of booking bands for entertainment. Michele conducts herself in a friendly professional manner, maintaining control of the buisness and customers. Whenever a problem arises it is handled quickly, removing the source of the problem. It is a policy for the business to provide a ride or a room f.or customers who a. in need of this service. Michele has maintained the role of bartender, manager, inventory clerk, restaurant. manager, bouncer, bookkeeper, and basically kept the b siness alive. Being a business owner myself, I feel she has handled her responsibilities acceptionatly. Other business owners, with whom I'm aquainted view her this way as well. Jason McBrien JM EXHIBIT DAILY SHEET Date TOTAL CASH PAID OUT (TOTAL LINES 11 THRU 21) BANK DEPOSIT CASH ON HAND END OF DAY CREDIT CARDS END OF DAY DISCOUNTS COUPONS #1 SALES Food #2 Beer #3 Liquor #4 Other #5 #6 #7 TOTAL SALES FOR DAY (TOTAL LINES 1 THRU 6) #8 CASH IN #9 CASH START OF DAY #10 SALES TAX COLLECTED *#11 TOTAL TO BE ACCOUNTED FOR (TOTAL LINES 7 THRU 9 #12 CASH PAID OUT #13 #14 #15 #16 #17 #18 #19 #20 #21 #22 #23 #24 #25 #26 #27 *128 TOTAL ACCOUNTED FOR (TOTAL LINES 22 THRU 27) #29 OVER/(SHORT)'(DIFFERENCE BETWEEN LINES 10 AND 20) GUFFY & GUFFY, INC. 8771 WOLFF COURT, BLDG. 14, SUITE 100 WESTMINSTER, CO 80030 (303)650-0363 FAX (303)650-9464 2 EXHIBIT WliDc COLORADO TO: Board of County Commissioners FROM: Bruce T. Barker, Weld County Attorney DATE: September 18, 1996 RE: Rules and Procedures for Consideration of Liquor License Change of Ownership Application The following are some rules and procedures for the Board of County Commissioners to follow when it considers a Liquor License Change of Ownership Application: 1. The Board of County Commissioners may consider the Liquor License Change of Ownership Application on its regular agenda. Section 12-47-106(4)(c), C.R.S. No notice for the agenda item must be posted or published. Section 12-47-136(1), C.R.S. In a course of its consideration, the Board only has two options. Those are: (1) To approve the application and forwarded it to the State of Colorado Division of Liquor Enforcement for its consideration; or (2) Set the application for an evidentiary hearing after notice of the hearing has been posted on the licensed premises for a period of ten days. If the Board should set the matter for a hearing, it should notify the applicant of those issues which will be considered so that the applicant may adequately prepare his or her evidence accordingly. 2. The only criteria for the Board of County Commissioner's consideration in a Liquor License Change of Ownership Application is whether the applicant or any person who is employed by, or is assisting or financing the applicant is a "prohibited person" as the term is defined in § 12-47-111, C.R.S. 3. The term "good moral character" is not defined in the Colorado Liquor Code; however, it is clear from Colorado case law that what constitutes "good moral character" is largely left to the discretion of the Local Licensing Authority. Duren, Inc., v City of Lakewood, 709 P.2d 74 (Colo. App. 1985) in determining the issue of "good moral character", the Board of County Commissioners may consider "... propensities toward criminal conduct as revealed by any criminal record, taking into account such record as ameliorated by any rehabilitation." Squire Restaurant andLvufiige, Inc. v City and County of Denver, 890 P.2d 164 (Colo. AppA1994). BTB/db:Memo/BOCC/Llicense OCC/L license Br T. Barker Weld County Attorney B. The temporary suspension of a license without notice pending any prosecution, investigation, or pubic hearing shall be for a period not to exceed fifteen days. 12-47-111. Persons prohibited as licensees. (1)(a) No license provided by this article shall be issued to or held by: I) Any person until the annual fee therefor has been paid; (II) Repealed, L. 77, p. 644, 13, effective March 16, 1977. (III) Any person who is not of good moral character; (IV) Any corporation, any of whose officers, directors, or stockholders holding over ten percent of the outstanding and issued capital stock thereof are not of good moral character; (V) Any partnership, association, or company, any of whose officers, or any of whose members holding more than ten percent interest therein, are not of good moral character; (VI) Any person employing, assisted by, or financed in whole or in part by any other person who is not of good character and reputation satisfactory to the respective licensing authorities; (VII) Any sheriff, deputy sheriff, police officer, prosecuting officer, the state licensing authority, or any of its inspectors or employees; (VIII) Any person unless he is with respect to his character, record, and reputation satisfactory to the respective licensing authority. (b) In making a determination as to character or when considering the conviction of a crime, a licensing authority shall be governed by the provisions of section 24-5-101, C.R.S. (2) Except as may be provided pursuant to section 12-47-138 (1) (d) (IV), no license provided for by this article shall be issued to or held by any person who will operate any place where liquor is sold or is to be sold by the drink within five hundred feet from any public or parochial school or the principal campus of any college, university, or seminary; except that this provision shall not apply to any hotel, club, or restaurant located within such limit on April 12, 1935, or affect the renewal or reissuance of any license once granted, or apply to any licensed premises located or to be located on land owned by a municipality, or apply to a liquor license in effect and actively doing business before said principal campus was constructed, or apply to any club located within the principal campus of any college, university, or seminary, as defined in section 23-2- 102 (3), (4), and (5), C.R.S., which limits its membership to the faculty or staff of such institution. [Division note: See section 12-47-138(1)(dXI).] Regulation 47-111.1. Change of location - prohibited area. A licensee located within 500 feet from any public or parochial school or principal campus of any college, university or seminary may apply for a change 27 WE�Y� 44t: COLORADO Gordon Walker Colorado Liquor Enforcement Division 1375 Sherman Street Denver, CO 80261 WELD COUNTY ATTORNEY'S OFFICE PHONE: (970) 356-4000, EXT. 4391 FAX: (970) 352-0242 915 TENTH STREET GREELEY, COLORADO 80632 September 5, 1996 Facsimile: (303) 205-2341 ORIGINAL TO FOLLOW BY FIRST CLASS MAIL RE: Conversation with Michelle Johnson Regarding Rewards Bar and Grill Dear Mr. Walker: This letter is in response to your request for information concerning my conversation with Michelle Johnson on Wednesday, August 28, 1996, with respect to the liquor license for Rewards Bar & Grill ("Rewards"). Ms. Johnson stopped by the Weld County Attorney's Office in Greeley, Colorado, at approximately 11:50 a.m. on August 28, 1996. She told me that she had purchased the Rewards Bar and Grill from Robert Kline. She asked about the timing for obtaining a temporary permit to operate the bar. I told her that it would take approximately one week to ten days, because the next regularly scheduled meeting for the Board of County Commissioners would not take place until Wednesday, September 4, 1996. I also explained that I like to make sure that the change of ownership request and the temporary permit request would be heard by the Board at the same time. I doubted seriously whether she could provide us with all of the application information by our deadline for setting the Board's agenda for the September 4 meeting (August 30, 1996). Therefore, with respect to the granting of the temporary permit, I told her that in all probability the soonest we would be able to get it to the Board of County Commissioners would be Monday, September 9, 1996. Ms. Johnson then asked me whether Rewards could be operated under Mr. Kline's license. I told her that it could as long as Mr. Kline had control of the premises and was running the operation. Letter, Walker September 5, 1996 Page 2 Our conversation lasted probably two to three minutes at most. In retrospect, I am not certain whether Ms. Johnson understood what I was saying with respect to Mr. Kline being the one required to operate the bar. I was out of the office on Thursday, August 29, 1996. It is my understanding that Lee Morrison, Assistant Weld County Attorney, spoke with Mr. Kline about his liquor license and mentioned the concept of a "manager's agreement." I spoke with Mr. Kline on Friday, August 30, 1996, and explained to him that he should have been the one operating the bar and obtaining all of the proceeds therefrom. That day was the first time I had spoken with Mr. Kline since he originally obtained the liquor license a number of years ago. If you should have any questions regarding this letter or if I may be of any other assistance in this matter, please feel free to call me at (970) 356-4000, extension 4390. Sincerely, ce T. Barker Weld County Attorney BTB/db:Let/Rewards pc: Clerk to the Board Robert Kline David Ziemer AUG-29-1996 10:36 CO LIQUOR ENFORCEMENT DIU dnspecfien Report I 303 205 2341 P.07/08 055 Air 'license Number 92_3,311 WV UC/' Loot t9s-e7 Date of Report a ad Name Time In/Out tisfin 2 1 ORGTZ1 _ t. ptMI c Trade Name ,e6.„,44,2„ eia yi Manager Address / 7/3 7 //+ /6400 '// MewTYi, Telephone rh, 0 1) -0011041)40 state Ca °P irks Yes N3 WA RPM_ Comment i Valid State Liquor License Posted Valid State Sales Tax License Posted Valid Local License Posted Valid Federal Tax Stamp Posted % / Valid Food Service License Posted [M� Rim, d £ 7 O Minor Warning Sign Posted i --- Meals or Snacks Available 1#V 7%t` "701" «/ Cleanliness is Adequate 763X ii Book; and Invo'- [�,�y re" Pig ligla Beer Stock Acne...:" Wine Stock Acceptable Liquor Stock Acceptable Alcohol Purchased From Permitted Sources Compliance with Gambling Restrictions Manager Registered With Authorities 1 • %J%/(',hda-S Licensee in Possession/Control of Premises / 4 or/� d Trade Name Properly Registered s�us�,dp /it"iCJI�/ Loci Compliance with Intordcated Sale Restrictions Compliance with Saletd Minor Provisions )) r/ g 01 Okla CI-- O Premise Physical Control Adequate Le / ah<141 Acceptable Dispensing Systems ,w�✓1,'^, /r.)1+ ��7//'✓� OH Premise Storage Licensed -Mg Reim/NS-1 Only Permitted Items Sold _ ,� p�y� ,��y� Other Issues: in/MAet a/ 4nO o r ! et.Z S � / 6 L M &4a° /,,, Warning Issued 0 ❑ No 4111,(00Warned About investigator r 0/4 /v 0a,,,iegl:eTonA�a kbe AUG 29 '96 10:32 303 205 2341 PAGE.007 RUG -29-1996 10:37 CO LIQUOR ENFORCEMENT DIV 303 205 2341 P.:33/08 i:otORAbo nen PREVFIRIE UNIFORM SUMMONS & COMPLAIN I Lot rtrrOIK:CMENT DIVISION 1375&MERMANST.RMtm rur nrnm r nrvuc CYATF AF CAI ORO�O VS. N2 2393 OSTER00 WM ..•.. .w...� v.....�—.-----_ —__. DEFENDANT I! Nan 0aM en.� Im$tz 44 .c ! .4es• Data " M Addllatt COWMAN,aotln. ft r bp I (epua lYlOp 0 tio7airlral�Kr trra / 17 e//L i"f vas -5017 wroze^ 7 Woig e! caM u �7,b Cho 4. o Zw.go► s '414 4^ c.4el /Q7CT r irk hs4fiarl D�e�nd�Dr�ImYe �R��l g1wF ❑ A.M. C� fM�-6. t i�i,A .1-O We P.M. COURT I iir L!i d C6unty. Court located lit You are hereby summon�a tappdrar Cobcrado on 00 1.9 1 . . at 9 i c 0 & m. to answer charges stated below. ..—•-^• -' J WARNING: Ryoa Into ti I or appear in response to this sdrwnont as ordered, a warranty II he issued for your arred and additional costs assessed. VIOLATIONS RELATING TO Q 11-10.10801C0.3. PuraYun it MuaxrR miler me onto C wimp) CAR PEW mwlnitbe dbwswr f n-M,nb 04 Lim.. Q Wks al l.Mrd H.) A5 Q tt-a•1tM11MCAt _ ❑17 -a -121(1)(b) col To SAW or dmotWOW 1001 W l wn.nd. 01 purl Pit D 1a -474710M CAS. Pmbn d My M+ Mnenwdf Neal ll. 0 tt+7-ee(1)(ICR[FI. 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Pwrrbnd wmetd Pa bamip are onto Iwra, row wrow C1ai•11!(1)R)CRfi Ti all fax• inS met taro awing welt Shwa. 01Ha-,n(1XN(oCASTota.I b was urtrnrandr0e. ❑11-17-12epXi) CAL fronted bra pneauwrr pm Si.M O 1af!-1OMiNUCAL y�,h.wyMlwyayrnee\ 01 MSS St road wulrr. 1247.1*1N4 ORA Mental ub b11d 1wt�rww,. 0 n•I7-I2Nl NknA Crmrdba rapun pta 01, cni Owal)GIIA lawIIIIIS'kwrc met 0 1l/7.1t1(5IM@ CRAWLY aWq woad hoew. 0 1rropoo Mi cal Rdwde aw llalbmdlurd.t. b r wrist Wa pm. wow HI PI" this Q HI PI"t is wwww0ndeallankolbriwe- son wear pemdep. •OlSs purr rerarPlwow cure 0 1116111(71(NInd.R[h1meM I 61IIer A awRt) Citst e ❑ Other Violations Codailed Diatribe 9M as too odder mw w blew Si I4 *Wads omitted tiWows ., viii/e pawned spry nik prole onto at. ra et nd.Sri ott 4f-.. memM Ww4In ice.tIof10YlflSaMerelttMiand*o'lhdow0 Na a Wow film bI .i*.Mt I+pith MRem Rd b" Nana worst hS rma° ath Imm�wd 4 P -dui COMPLAINT mn I. fwd Hit lb -I CRS lras 'cdI 1L -17 -t70 CR MIlia Homer wdN- v.. ..•aid'edtt OR tat (abd11 COLD AOO 00010f fitTEAiE maven off M"NeT°' y 1 aim'wo' �T THE PEOPLE OF THE STATE OF COLORADO It Z 3 VS. DEFENDANT Mn "ILdiet, a ddMY-y t -Q .1-%' • I ` Cil/4 4 o 7 G let", NW I! d< rC Mdi1•pG'''��Sgr - Cr. ---, 1 uynrlAme/sprat `(/ EmIo7M lM lamaluc Mwo) eupness�d s _ _P�Ca°mzip •776 d//` R&M MUpRC(7)/ Re . l-ntlt Lsel I5a-, Ne%/-0 "11/ 7d6re 490,1 Core uns l I rr�_ , ', DUI `II$ ^rp 1e �./ o.' * i to a ��' ` c%r. Try.' ii1Tpia-- J P.M COURT You are hereby summoned b appear P/[ / County Court bcaltp IC 4 T11� __—�Z�' in de A,� Colorado on 0-ie 11. , 19 at _ % e n td m, to answer charges stated below. WARNING: IIyou fail to tall or appear in response to this Ammons as ordered, a warrant will be Issued for your arrest sad additional casts assessed. VIOLATIONS RELATING TO ❑ wiaimoj Cee Pooratto M Wean weer or wow ❑ tea7-ny1Np CAA To note aarwlbuWM Wow -b7 . Wow With lied S ❑.te-e-tibu)td CAL par. O11.0.1t1(Ia$CAL ASSrlw d 11•011Sbn 0 Itw•1afe0neCt[nbnrpr• ntld.wbprmwmr7.wd 0 II -0 -MM CAA tdndd w ptk +two waaad pores. Olt-a-tapigooraSubwWb paw'lmdw, ❑1st-lMMCA& Wbdia 0 it-11•It!(1ae CAS Pupeeb.I homed NS Mow Wotan❑n•14106p)CRA watt runt ow. • Pure anr.s,ao "Marlton y ery I a al\ 'ham 0MAM AS Slaw III - ❑ 11-.i-IltnJl+) CAL Ti III 1.- Q1l�rtal(nCAAasLLar Animal no,Mmwn • O laa•1M1701Cn 0 uMom 17 -tern ward - 1r(1)MCRa.Pw wwwwo aetimatl moo ❑ 1u-1-v1(I) cttuenNrpr- Mw sio to Siby Woad p era O III-101CAA WIN thisios- Far. a•1a•fr CAA Wawa 'nth' wood mat IRmMI &MI prrb- • Man OIt•IF11lttxpa)CAAtspw.rl, \ pmn war r urn s". ❑1aa7-1$MII(e rees wore GAS F pmm,rd.l1 two 'I ap. o 1e-4i-1aM110)CAa. Sint wafter/ wgday pow. 0 /9•/7.1tMlarl CAA USNUSNoils nwt'eerwMr, 1M-vMhar CRS WSJ NM rlbmoWit law. 017-47-1UMINN CAA Cowwwilw Ws wow ohm 0Ia-a-17M7Mdre CAA roan b IllllNrson*, dun. 01!•W1toPWSW fore, rahetM hew.n CI 1247-01(1101 CAA WNW A ew 1100WIsd primal, O kin Aw%.••ar•pnp rn0• II 7und.q 011-111aPpNOCASharaenr wrw17WWW lh)ltwlrWppb•. rnMbun yam el Mt w errocuro, udndlk w- No b• pm wk. it lured ap. Ofl-10CAA hlwb spiv a ni,„„tio An. O Other violations Code d ad Deasdbe no r des Nu main one to &Ten OW. of ammbred Rrdow a.dYN pwpd Audya der ppb akrbt to ern.de dYw +loam du* b ITMPAd.dlrrpolrMreM toe at 0b ante of Mow Moat rCume a wit swot In NW ' or .a s tonw1 wow to n ` 6af*f s 4C � 0 COMPLAINT - no -Mil= WI 'Mitt mar M h1 etl. if I Mel I V V. S fat We lweor %r UNIFORM SUMMONS & COMPLAINT RUG 29 '96 10:33 TOTAL P.08 303 205 2341 PRGE.008 REWARDS BAR & GRILL 10763 Turner Boulevard Longmont, CO 80504 (303) 776-0116 September 17, 1996 Weld County Attorney's Office 915 Tenth Street Greeley, CO 80632 Re: Letter of Recommendation Dear Sir/Madam: Michele Johnson has been employed by me during the last thirteen months as a co- manager of Rewards Bar & Grill. She performed her duties in an outstanding fashion. She developed good rapport with our clientele, was able to circumvent any difficulties and disagreements arising between customers on the rare occasions in which it became necessary, demonstrated sound judgment concerning customers' levels of intoxication, and was extremely tactful and polite to those whom she deemed unfit to be served alcohol. Michele's level of honesty and integrity were unquestionable and of the highest caliber. Michele has shown a strong moral character and sound business sense. I strongly recommend Michele be considered and approved for a temporary liquor license at Rewards Bar & Grill. If I can be of further assistance or should you have any questions I might answer, please feel free to contact me. Respectfully yours, KJC Robert W. Kline Sole Proprietor, Rewards Bar & Grill iilArratrnaio/ai C6 oso y anted /W Jogiq///�27 OA -tee Management Agreement Robert W. Kline, owner ac- Michelle Leah Johnson, manager as Follows. Owner is the owner of Re4'rds Bar 6 Grill, which has a Restaurant and Liquor License at 10763 Turner Blvd., Del Camino, Colorado 80604 and hereby hires manager to operate the same for a period of thirty days. Remuneration shall be $50 per day plus tips. This agreement shall expire in thirty days or upon a transFer of the business, its liquor license by permanent transfer or temporary transfer, whichever first occurs. To the above agreement we affix our signatures. obert W. Kline 2SC�1 Michelle Leah Johnson Date: O - n— 71(‘ Date:" r,t, �/�_ HE Ca aree. 1 ,ems 7n %t4cx a - etI -th -Z A ctri . Ce2cL calXied 4 SENTER GOLDFARB & RICE, L.L.C. WILLIAM L. SENTER' JAMES E. GOLDFARB THOMAS 5. RICE" STEVEN J. DAWES"' KAREN GAIL TREECE JOEL S. BABCOCK JOHN R. HABERLAND ARTHUR J. KUTZER CHERYL A. MARTIN PETER H. DOHERTY JOHN D. HAYES KATHERINE MARKHEIM LEE SONJA S. MCKENZIE SUSAN E. DALLAS ALENKA J. HAN JAMES B. FAIRBANKS JASON A. GELENDER PAMELA D. LEWIS VIA FEDERAL EXPRESS (Account No. 1889-2541-3) ATTORNEYS AT LAW THE NORWEST BUILDING SUITE 700 400 SOUTH COLORADO BOULEVARD P.O. BOX 22833 DENVER, COLORADO 80222 (303) 320-0509 TELECOPLER. (303) 320-0210 September 16, 1996 Bruce Barker, Esq. The Office of The Weld County Attorney 915 Tenth Street P.O. Box 1948 Greeley, Colorado 80632 Re: Michael Steven Johnson/M S Johnson Corporation d/b/a Michael's Saloon/Nina's Hacienda Dear Mr. Barker: Also Admitted Nebraska' Wyoming" Washington"' As you requested, enclosed please find copies of the following: 1. Findings Of Fact, Conclusions Of Law And Final Decision And Order of the Local Licensing Authority of the City of Dacono, Colorado regarding Licensee M S Johnson Corporation, d/b/a Michael's Saloon/Nina's Hacienda. 2. Liquor License Application materials submitted to the City of Dacono: Liquor License Application; drawings; Corporate Application Information and Corporate Report of Changes; Request to Change Corporate or Trade Name; corporate records of M S Johnson Corporation; special meeting report of D. L. Scott Enterprises, Inc.; settlement sheet dated July 9, 1996; Manager's Registration/Change form; Colorado Business Registration form; Liquor Licensing Processing Document; check of Michael Johnson to the Colorado Department of Revenue; two finger print cards on Michael Johnson; and Assignment of lease. 3. Colorado Department of Public Safety arrest record for Michael Johnson. 4. Dacono Police Department records and NCIC reports. (On the latter documents, we had to cull out records of another Michael Johnson.) 5. Copies of attempted sale records from Michael Johnson to Michelle Johnson. September 16, 1996 Page -2- 6. Colorado Motor Vehicle record of Michael Steven Johnson. I understand that you are requesting this information in connection with Michelle Johnson's application for a liquor license in connection with operating Rewards Bar & Grill in Del Camino. Please do not hesitate to call if you have any questions. Very truly yours, SENTER GOLDFARB & RICE, L.L.C. fat_ even J. awees SJD:mc Enclosures BEFORE THE LOCAL LICENSING AUTHORITY CITY OF DACONO, COLORADO In re: M S Johnson Corporation, Licensee FINDINGS OF FACT, CONCLUSIONS OF LAW, AND FINAL DECISION AND ORDER I. Introduction. A. This matter comes before the Local Licensing Authority of the City of Dacono, Colorado. The Licensee is M S Johnson Corporation. B. By application filed on or about July 10, 1996, M S Johnson Corporation applied for a transfer of ownership of a hotel and restaurant liquor license for Della's Place/Tri-Town Steakhouse, at 909 and 911 Carbondale Drive, Dacono, Colorado, and for a change of trade name to Michael's Saloon/Nina's Hacienda. Michael Steven Johnson is M S Johnson Corporation's president and 100 percent shareholder. Mr. Johnson is also the registered manager for the licensed premises. C. On July 10, 1996, the Authority approved the transfer of ownership. The Authority also approved a temporary permit to permit the Licensee to operate the licensed premises pending approval of the transfer by the State Licensing Authority. D. Effective August 13, 1996, it having been made to appear that the Licensee was guilty of a deliberate and willful violation of one or more applicable laws or regulations, and/or that the public health, safety, or welfare imperatively required emergency action, the Authority issued an order which temporarily and summarily suspended both the temporary permit and the transfer of ownership of the hotel and liquor license. The order also set a hearing to show cause why the temporary permit and the transfer of ownership should not be suspended or revoked. 1 E. On August 23, 1996, the show cause hearing was held. All members of the Authority were present except for Frances Phipps. The City was represented by Steven J. Dawes; the Licensee was represented by Andrew M. Lopez. F. At the hearing, the following persons were called as witnesses by the City: City Treasurer/Deputy Clerk Patricia Walker; Dacono Police Officer Kerry Lewis; Chantelle Cole; Dacono Police Sergeant Greg Lotspeich; and Dacono Police Officer Brian Skaggs. The following persons were called as witnesses by the Licensee: Mr. Johnson, Michelle Johnson, Dennis Scott, Nina Martinez, and Leo Martinez. G. At the hearing, City's Exhibits 1 through 5 and Licensee's Exhibits A through D were admitted. Also entered into the record by the Authority were the Authority's show cause order, a supplement to the show cause order, the minutes of the Authority's July 10, 1996 meeting, and a copy of the Licensee's application. II. Factual background. A. Mr. Johnson has an associate's degree in law enforcement, and a bachelor's degree in criminology. He worked for the Bureau of Prisons in California, and also was a probation administrator and probation officer in the County Court of Escambia County, Florida. He is presently working on a master's degree. He has lived in Colorado since 1984. B. On or about June 21, 1996, Mr. Johnson completed and signed, under penalty of perjury, the Licensee's application for a transfer of ownership and attachments. On one of the attachments, Mr. Johnson's individual history record, his birth date is stated as However, on another attachment, his fingerprint card (which is sent to the Federal Bureau of Investigation for a criminal history check), his birth date is stated as Because of the different birth dates, the criminal history check initially turned up criminal history records for both Mr. Johnson, whose correct birth date is and another person with the same first and last name and a birth date. The same incorrect birth date also appears on Mr. Johnson's driver's license and on his military discharge papers. C. Mr. Johnson's individual history record also states "No" in response to the following Question 22: Have you ever been convicted of a crime, or received a suspended sentence, deferred sentence, or forfeited bail for any offense in criminal or military court? 2 D. However, Mr. Johnson was charged with several counts of passing worthless checks in Florida; at least three of the charges arose between August, 1984 and March, 1985. Mr. Johnson stated that, because he had moved out of Florida, he did not know about the charges at the time they arose. He was put on probation or deferred judgment for the charges; he subsequently made restitution on the worthless checks. E. Although the criminal history check revealed that Mr. Johnson has had several other charges, those other charges did not result in any convictions. F. On July 26, 1996, Officer Lewis found a very intoxicated woman on the licensed premises. He told Mr. Johnson that the woman would need to be arrested and sent to a "detox" center. Mr. Johnson responded that the woman was his future mother-in-law and led her away. G. Michelle Johnson has worked at the licensed premises for about three weeks as a bartender. Her prior work experience includes employment at the Rewards Bar and Grill in Del Camino. After closing time at the licensed premises, she has, on occasion, consumed alcoholic beverages on the premises. On some of those occasions, other employees were present; on one occasion, a "customer/employee" was present. She has ceased drinking on the premises after hours since learning that it is prohibited by law. H. On August 5, 1996, Mr. Johnson discovered that his handgun was stolen from an office located within the licensed premises. He did not report the theft to the Dacono Police Department. Mr. Johnson's employee and associate, Danny Sarchet, stated that he would get the gun back. Mr. Johnson then left for Las Vegas to get married to Michelle Johnson. Mr. Sarchet was unsuccessful in getting the gun back while Mr. Johnson was in Las Vegas. I. Mr. Johnson was informed that a person named Leonard Macy had Mr. Johnson's gun. On August 8, 1996, at around 1:00 a.m., after Mr. Johnson returned from Las Vegas, Mr. Johnson, Mr. Sarchet, and Jeff Bone drove in Mr. Johnson's red Chevrolet Corvette from the licensed premises to a residence at 504 Glen Ayre; they parked the car on the street nearby. Leonard Macy, Richard Macy, Ronald Macy, and Vicky Diles lived at the residence. No one was home; without the residents' permission, Mr. Johnson and Mr. Sarchet broke into the residence, by breaking the screen and glass of a window adjacent to the door of the residence. Mr. Johnson and Mr. Sarchet were found in the residence when police arrived in response to a call of a burglary in progress. Mr. Bone was found in the Corvette. Also in the Corvette were a beer can and what appeared to be a mixed drink. Mr. Bone and Mr. Sarchet later stated that Mr. Bone had been told by Mr. Johnson not to 3 touch the drinks because they might need the drinks when they were done. J. While in the residence, Mr. Johnson and Mr. Sarchet kicked one bedroom door off its hinges, and pried open a padlock on another bedroom door with a claw hammer. Mr. Johnson and Mr. Sarchet also ransacked the house, causing damage. A waterbed in one of the bedrooms was punctured, resulting in water leakage. Officers also found drugs and drug paraphernalia in the house. K. During the course of the police investigation of this incident, Mr. Johnson waived his Miranda rights and made a statement to the police. Mr. Johnson admitted that he had been involved in breaking into and entering the residence, and that he had torn the screen from the window to permit Mr. Sarchet to crawl through the window and open the door to allow entry by Mr. Johnson. Mr. Johnson stated that his purpose for the breaking and entering was to recover his gun. He also admitted he had been the one who had used the hammer to break the lock, that he had punctured the waterbed with the hammer, and that he had been involved in the ransacking. L. On August 8, 1996, Ms. Johnson came in to work at the licensed premises at around 6:15 p.m. She took over the bar from Danny Sarchet. A woman was sitting at the bar. Because the woman was intoxicated, Ms. Johnson "cut her off," and offered her coffee or a soft drink. The woman then left the premises. M. On August 10, 1996, Officer Lewis did a routine liquor check at the licensed premises. He found two film containers on a desk in the office at the premises. Mr. Johnson stated that the containers contained pictures taken at his wedding. When one of the containers was opened, a burned paper clip and a marijuana cigarette butt were found inside. N. On August 10, 1996, while at the licensed premises, Mr. Johnson contacted Dacono Police Sergeant Rick Cashion and stated that Mr. Johnson had an individual at the licensed premises who could obtain a large quantity of drugs. Sergeant Cashion referred Mr. Johnson to the Weld County Drug Task Force. Later that evening, Mr. Johnson handed 1.6 ounces of cocaine to Officer Lewis at the Dacono police station. Mr. Johnson had purchased the cocaine from an individual for $1,500.00. 0. On August 11, 1996, Officer Lewis stopped Royce Bacon as he was driving away from the licensed premises. Mr. Bacon stated that he had just come from Michael's Saloon, and that he had consumed "a couple of beers." Testing revealed that Mr. Bacon had an alcohol level of .154 per 210 liters of breath. He was charged with driving under the influence. 4 P. Chantelle Cole worked at the licensed premises as a waitress for about two weeks. She stated that one night, she saw Mr. Johnson roll a marijuana cigarette on the bar. She also stated that during her employment, she saw persons at the bar in possession of cocaine, and someone once asked her to procure a "teener," or one-half of a sixteenth of an ounce of cocaine, for Mr. Johnson. She also stated that she witnessed drinking at the bar after closing time on a few occasions. She also stated that one night, she was asked by Mr. Johnson to stay late and "smoke a joint" and "play naked pool." Ms. Cole was fired from her job after about two weeks because, according to Mr. Johnson, the cash register and inventory had consistently come up "short" when she was working. III. Applicable laws and regulations. A. Pursuant to C.R.S. §12-47-106.5(5), a temporary permit may be cancelled, revoked, or summarily suspended if the local or state licensing authority determines that there is probable cause to believe that the transferee has violated any provision of this article, or has violated any rule or regulation adopted by the local or state licensing authority or has failed to truthfully disclose those matters required pursuant to the application forms required by the State Department of Revenue. B. Pursuant to C.R.S. §12-47-110(2) and Liquor Regulation §47-110.2.A and B, where a licensing authority has reasonable grounds to believe and finds that a licensee has been guilty of a deliberate and willful violation of any applicable law or regulation or that the public health, safety, or welfare imperatively requires emergency action, it may temporarily or summarily suspend the license pending proceedings for suspension or revocation. C. Pursuant to C.R.S. §12-47-128(1)(a) and (5)(a), it is unlawful for any person or any person licensed to sell at retail to sell, serve, give away, dispose of, exchange, or deliver or permit the sale, serving, giving, or procuring of any malt, vinous, or spirituous liquor to a visibly intoxicated person. D. Pursuant to Liquor Regulation 47-105.1.A, and Section 6- 71 of the Dacono Municipal Code, each licensee and employee of the licensee shall conduct the licensed premises in a decent, orderly and respectable manner, and shall not permit on the licensed premises the serving or loitering of an apparently intoxicated person, nor shall the licensee or the licensee's employees permit profanity, rowdiness, undue noise or other disturbance or activity offensive to the senses of the average citizen, or the residents of the neighborhood in which the licensed establishment is located. 5 E. Pursuant to Section 6-69 of the Dacono Municipal Code, it is unlawful for a licensee to permit any unlawful act or conduct by any person upon the premises. F. Pursuant to C.R.S. §12-47-111, no liquor license shall be issued to or held by any corporation, any of whose officers, directors, or stock holders holding over ten percent of the outstanding and issued standing stock thereof are not of good moral character, nor to any person employing another person who is not of good character and reputation satisfactory to the licensing authority, nor to any person unless the person is with respect to character, record, and reputation satisfactory to the licensing authority. G. Pursuant to C.R.S. §12-47-128(1)(h), it is unlawful for any person to consume malt, vinous, or spirituous liquor in any public place except on licensed premises permitted under the Liquor Code to sell such liquor by the drink for consumption thereon. H. Pursuant to Section 6-67 of the Dacono Municipal Code, it is unlawful for any person to have in the person's possession any malt, vinous, or spirituous liquors or 3.2 percent beer, i-n any unsealed container in any street or other public place. I. Pursuant to Section 6-71(c) of the Dacono Municipal Code, it is unlawful for a licensee to fail to report immediately to the Police Department any unlawful act committed on the licensed premises. J. Pursuant to C.R.S. §12-47-128(1)(h), it is unlawful to consume malt, vinous, or spirituous liquors on licensed premises during such hours as the sale of such liquor is prohibited by the Liquor Code. IV. Violations established at hearing. A. The evidence at the hearing establishes that Mr. Johnson fails to meet the "good moral character" requirement of C.R.S. §12- 47-111(1)(a)(IV), and is not, with respect to his character, record, and reputation, satisfactory to the licensing authority as required by C.R.S. §12-47-111(1)(a)(VIII), in that: 1. He had a conviction or a suspended or deferred sentence with regard to a crime, which he failed to disclose on an application signed by him under penalty of perjury. He stated that he did not understand that Question 22 on the individual history record required him to disclose the deferred judgment and/or probation situation that occurred in Florida. However, Mr. Johnson has extensive educational and work experience in criminal justice and probation matters. Therefore, he knew or reasonably should have known that the correct answer to Question 22 was "yes." The 6 failure to disclose the correct answer also constitutes a violation of C.R.S. §12-47-106.5(5). 2. He broke into and entered, without permission, the residence of another, and committed property damage therein. 3. He permitted a transaction to occur at the licensed premises which resulted in his purchase of a large quantity of cocaine. B. The evidence further established that the Licensee employed another person who whose character and reputation are not satisfactory to the licensing authority as required by C.R.S. §12- 47-111(1)(a)(VI), in that the Licensee employed Mr. Johnson and Mr. Sarchet, who both participated in the breaking and entering of the residence of another and committed property damage therein. C. The evidence further established that the Licensee and/or its employees failed to conduct the licensed premises in a decent, orderly, and respectable manner, and permitted unlawful activity and other activity offensive to the senses of the average citizen or the residents of the neighborhood in which the premises are located, in violation of Liquor Regulation 47-105.1.A, and Sections 6-69 and 6-71 of the Dacono Municipal Code, in that the following conduct was permitted on the licensed premises: 1. A transaction, which resulted in the sale of a large quantity of cocaine, was conducted at the licensed premises with Mr. Johnson's knowledge and participation. 2. A small quantity of marijuana was found on the licensed premises, in a film container which belonged to Mr. Johnson and which he believed were pictures of his wedding at Las Vegas, from which he had just returned. D. The evidence further established a violation of Liquor Regulation 47-105.1.A, and Section 6-71 of the Dacono Municipal Code in that, on more than one occasion, the serving or loitering of an apparently intoxicated person occurred on the licensed premises. E. The evidence also established a violation of Section 6- 71(c) of the Dacono Municipal Code, in that a theft of a handgun occurred at the licensed premises and the Licensee failed to report the theft. F. The evidence also established a violation of C.R.S. §12- 47-128(1)(h) in that, on more than one occasion, the Licensee permitted its employees to consume malt, vinous, or spirituous liquors during hours when the sale of liquor is prohibited by the liquor laws. 7 G. The evidence also established a violation of Section 6-67 of the Dacono Municipal Code in that Mr. Johnson and Mr. Sarchet had in their possession malt, vinous, or spirituous liquors or 3.2 percent beer, in an unsealed container, in a street or other public place. Mr. Johnson denied that there was any liquor in the beer can or in what appeared to be a mixed drink in Mr. Johnson's car. However, Mr. Sarchet and Mr. Bone both told the police that Mr. Johnson admonished Mr. Bone not to touch the drinks because they might need the drinks when they were done. This statement establishes to the Authority's satisfaction that the drinks contained liquor. V. Final decision and order. A. Based on the foregoing, the summary suspension previously ordered by the Authority was proper. It must be emphasized that all of the foregoing conduct has occurred in the very short time which has elapsed since the transfer of ownership was granted and the temporary permit was issued. In light of the nature and frequency of the conduct which has occurred, the public health, safety, and welfare imperatively required the summary suspension. B. The foregoing also establishes that the revocation of the temporary permit and the revocation of the transfer of ownership are warranted, and indeed, are imperatively required for the preservation of the public health, safety, and welfare. Accordingly, the revocation of the temporary permit and the revocation of the transfer of ownership are hereby ordered effective immediately. C. A true copy of this final decision and order shall be served on the Licensee, and mailed to the attorney for the City and the attorney for the Licensee. This decision and order shall also be reported to the State Licensing Authority as required by law. Done and signed this 26th day of August, 1996. LOCAL LICENSING AUTHORITY CITY OF DACONO By: Robert C. Renner Chairperson 8 CERTIFICATE OF HAND DELIVERY AND MAILING I hereby certify that a true copy of the foregoing FINDINGS OF FACT, CONCLUSIONS OF LAW, AND FINAL DECISION AND ORDER was transmitted to M S Johnson Corporation, by hand -delivery to the foj.,�owing person at the following address on this P day of , 1996: -11\0Atin I hereby certify that a true copy of the foregoing FINDINGS OF FACT, CONCLUSIONS OF LAW, AND FINAL DECISION AND ORDER was placed in the U.S. mail, first class postage prepaid, this day of , 19, addressed to each of the following: Steven J. Dawes, Esq. Senter, Goldfarb & Rice 400 South Colorado Boulevard, Suite 700 Denver, CO 80222 Andrew M. Lopez, Esq. 6000 E. Evans Boulevard, Suite 2208 Denver, CO 80222 082696/1452(tat1c:dacono\liquor\mslohnson.dec 9 cd Roy Romer GOVERNOR Patrick C. Ahlstrom EXECUTIVE DIRECTOR Division of Criminal Justice Colorado Slale Patrol Colorado Bureau of Investigation Division of Fire Safety OS COLORADO DEPARTMENT OF PUBLIC SAFETY SENTER GOLDFARB & RICE KENDRA HENNING PO BOX 22833 DENVER CO 80222 August 26, 1996 Colorado Bureau of Investigation Carl W. Whiteside, Director RE: JOHNSON, MICHAEL STEVEN DATE OF BIRTH: The Colorado arrest record for the person noted is attached. However, there are occasions when arresting agencies submit arrest cards which are either unreadable or incomplete. Those arrests, about which we retain no information, do not appear on our record. Additionally, fewer than one percent of Colorado arrest records have been sealed by court order and are not available for reference. Subscribed of Sincerely, CARL W. WHITESIDE DIRECTOR J. Michele Sirmans Chief Fingerprint Examiner Crime Information Center 1 o and sworn before me this �G 1 day 1996, County pf Jeff exson, State of Colorado. My Commission Expires: 690 Kipling Street, Suite 3 Denver, Colorado 80215- (303) 239-4300 Admin. FAX (303) 235-05 Invest. FAX (303 238-671 Nota MARXJ STEPHENS 0 Notary Publ(m16 North Elizab STATE OF COLOMBO). Colorado My Commission Expireailllf ? 2TW FAX (719) 542-641 h Street 1008 301 South Nevada Avenue Montrose, Colorado 81401 (970) 249-8621 FAX (970) 249-6308 PAGE # 1 ATTENTION: SENTER GOLDFARB & RICE COLORADO BUREAU OF INVESTIGATION - CRIME INFORMATION CENTER 690 KIPLING STREET, #3000, DENVER, COLORADO 80215 303/239-4208 THIS IDENTIFICATION RECORD, FOR LAWFUL USE ONLY, SUMMARIZES INFORMATION SENT TO THE CBI BY FINGERPRINT CONTRIBUTORS IN COLORADO. WHERE DISPOSITION IS NOT SHOWN OR FURTHER EXPLANATION OF A CHARGE OR DISPOSITION IS DESIRED, CONTACT THE AGENCY THAT FURNISHED THE FINGERPRINTS. ONLY THE COURT OR THE DISTRICT ATTORNEY IN WHOSE OFFICE A FINAL DISPOSITION OCCURRED CAN PROVIDE A CERTIFIED COPY OF THAT DISPOSITION. STATE LAW GOVERNS ACCESS TO SEALED RECORDS. UNLESS FINGERPRINTS ACCOMPANIED YOUR INQUIRY, WE CANNOT GUARANTEE THIS RECORD RELATES TO THE PERSON IN WHOM YOU HAVE AN INTEREST. BECAUSE ADDITIONS AND DELETIONS MAY BE MADE AT ANY TIME, A NEW COPY SHOULD BE REQUESTED WHEN NEEDED FOR SUBSEQUENT USE. NAME(S) USED: JOHNSON, MICHAEL STEVEN 080996 JOHNSON, MICHAEL PHYSICAL: DATE(S) OF BIRTH: PLACE(S) OF BIRTH: SCARS/MARKS: W M 600 158 BRO/BRO SKIN: IL SC R CHK SC R EAR TAT L ARM CONTRIBUTOR / ARREST# NAME / DATE CHARGE / DISPOSITION PD ENGLEWOOD ARREST # 79-12488 ARAPAHOE COUNTY SHE RIFF - LITTLETON ARREST # 391436 ARAPAHOE COUNTY SHE RIFF - LITTLETON ARREST # 391436 ADAMS COUNTY SHERIF F - BRIGHTON ARREST # 59279 JOHNSON, MICHAEL STEVEN DATE - 05/28/79 JOHNSON, MICHAEL STEVEN DATE - 01/30/80 JOHNSON, MICHAEL STEVEN DATE - 01/30/80 JOHNSON, MICHAEL STEVEN DATE - 12/23/85 LARCENY UNDER $50 MISDEMEANOR OFFENSE DATE: 05/28/79 DISPO: COURT DISMISSAL DISPO DATE: 01/10/80 ITEM #001/007 FAILURE TO APPEAR -SEE MIS OFFENSE DATE: 01/30/80 ITEM #002/007 TRAFFIC OFFENSE OFFENSE DATE: 01/30/80 ITEM #003/007 FUGITIVE OTHER JURISDICTION FOJ SO ESCAMBIA FL FTA/BADCHECKS ITEM #004/007 --- END OF PAGE # 1 --- DACONO POLICE DEPARTMENT EXHIBIT 96-1192 - SUFFIX 1 I INCIDENT 1 RPT DATE:08/08/1996 RPT TIME:22:22 OFFICER #:626 OFFICER:SKAGGS CLASSIFICATION:BURGLARY/BREAKING AND ENTERING CLASS:F OFFENSE ATTEMPTED/COMPLETED:C 1 OCCURANCE LOCATION :504 GLEN AYRE ST DISTRICT:1 GANG RELATED:N DOMESTIC VIOLENCEN WEAPON/FORCE USED: AUTOMATIC: OCCURRED EDATE:08/08/1996 ETIME:22:22 LDATE:08/08/1996 LTIME:22:22 # 0FFENDERS:3 # ARRESTS:3 # VICTIMS:1 PERSON INVOLVED 001 CODE:V V TYPE:INDIVIDUAL ARR TYPE: DATE: TIME: LAST:MACY FIRST:RICHARD MI:L DOB: SEX:M RACE:W AGE:27 HGT:509 WGT:180 HAI:BRO EYE:BRO DL#: DLS: DRESS: SOCSEC: ARR#: ARMED WITH: ARREST CODE: SMN#: ARREST DISPO: JUVDISP: ADDRESS H:504 GLEN AYRE, DACONO, CO, 80514 PHONE H:303-833-0790 ADDRESS w:8125 W I25 FRONTAGE RD, ERIE, CO, 80516 PHONE w:303-659-2422 OCCUPATION:CONSTRUCTION EMPLOYER: PERSON INVOLVED 01 CODE:A V TYPE: ARR TYPE:TAKEN INTO CUSTODY DATE:08/08/1996 TIME:22:22 LAST:BONE FIRST:JEFFERY MI:R DOB: SEX:M RACE:W AGE:31 HGT:600 WGT:155 HAI:BLN EYE:BLU DL#: DLS:CO DRESS: SOCSEC: ARR#:961192B ARMED W/:UNARMED : ARREST CODE:BURGLARY/BREAKING AND ENTERING SMN#: ARREST DISPO:HLD JUVDISP: ADDRESS H:1019 GLEN CREIGHTON, DACONO, CO, 80514 PHONE H:303-833-2679 ADDRESS W:, , , PHONE W: OCCUPATION: EMPLOYER: PERSON INVOLVED 02 CODE:A V TYPE: ARR TYPE:TAKEN INTO CUSTODY DATE:08/08/1996 TIME:22:22 LAST:JOHNSON FIRST:MICHAEL MI: DOB: SEX:M RACE:W AGE:46 HGT:600 WGT:165 HAI:BRO EYE:BRO DL#: DLS:CO DRESS: SOcsEC: ARR#:961192C ARMED W/:UNARMED : ARREST CODE:BURGLARY/BREAKING AND ENTERING SMN#: ARREST DISPO:HLD JUVDISP: ADDRESS H:445 EGHERT ST, BRIGHTON, CO, PHONE H:303-665-1021 ADDRESS W:, , , PHONE W: OCCUPATION: EMPLOYER: PERSON INVOLVED 03 CODE:A V TYPE: ARR TYPE:TAKEN INTO CUSTODY DATE:OB/08/1996 TIME:22:22 LAST:SARCHET FIRST:DANNY MI:W DOB: SEX:M RACE:W AGE:29 HGT:506 WGT:130 HAI:BRO EYE:BLU DL#: DLS:CO DRESS: SOCSEC: ARR#:961192D ARMED W/:UNARMED : ARREST CODE:BURGLARY/BREAKING AND ENTERING SMN#: ARREST DISPO:HLD JUVDISP: ADDRESS H:TRANSIENT, , , PHONE H: ADDRESS W:, , , PHONE W: OCCUPATION: EMPLOYER: PERSON INVOLVED CODE:C V TYPE: ARR TYPE: DATE: TIME: LAST:AUGUSTINE FIRST:JOHN MI: DOB: SEX: RACE: AGE:00 HGT: WGT: HAI: EYE: DL#: DLS: DRESS: SOCSEC: ARR#: ARMED WI: : ARREST CODE: SMN#: ARREST DISPO: JUVDISP: ADDRESS H:508 GLEN AYRE ST, DACONO, CO, 80514 PHONE H:303-833-2956 ADDRESS W:, , , PHONE W: OCCUPATION: EMPLOYER: SUPERVISOR/DATE:77/7 7-/Z-96 ASSIGNED TO: CC: REPORT: 96-1192 OFF: SKAGGS-626 PAGE 1 OF DACONO POLICE DEPARTMENT 96-1192 - SUFFIX 1 INCIDENT PERSON INVOLVED CODE: VTYPE: ARR TYPE: DATE: TIME: LAST: FIRST: MI: DOB: SEX: RACE: AGE: HGT: WGT: HAI: EYE: DIJ: DLS: DRESS: SOCSEC: ARR#: ARMED W/: : ARREST CODE: SMN#: ARREST DISPO: JUVDISP: ADDRESS H:, , , PHONE H: ADDRESS W:, , , PHONE W: OCCUPATION: EMPLOYER: VEHICLE INFORMATION #STOLEN: #RECOVERED: CODE:SV YEAR:1987 MAXE:CHEV MODEL:COR V1LIC:MAP5420 VALUE $: COLOR (top/bottom):BLK/RED LIS:CO LIC TYPE:PC VIN#: 1G1YY3181H5106174 ADDITIONAL DESCRIPTORS: VEHICLE #2 CODE: YEAR: MAKE: MODEL: LIC: VALUE$: COLOR (top/bottom): LIS: LIC TYPE: VIN#: ADDITIONAL DESCRIPTORS: PROPERTY ITEM #:1 TYPE:16 QTY: VALUE:2000 REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: ITEM #: TYPE: QTY: VALUE: REC-DATE: INCIDENT STATUS XCLEAR CATEGORY:NOT APPLICABLE CLEARANCE DATE: DEPT STATUS:CLOSED See "Synopsis" for narrative. SUPERVISOR/DATE: %•O t -/z-96 ASSIGNED TO: CC: REPORT: 96-1192 OFF: SKAGGS-626 PAGE 2 OF Dacono Police Department Offense Report Synopsis and Information CR 96-1192 SKAGGS DATE: 8/8/96 LOCATION: 504 GLEN AYRE ST Synopsis I RECIEVED THE CALL AS A BURGLARY IN PROGRESS AT 504 GLEN AYRE ST. THE COMPLAINANT STATED THAT HE OBSERVED TWO MALES GO UP TO THE RESIDENCE FROM A RED CHEVEROLET THAT WAS PARKED ON THE STREET, AND THAT HE HEARD GLASS BREAKING, AND THAT HE DID NOT RECOGNIZE THE VEHICLE. HE ALSO STATED THAT THERE WAS TO BE NO ONE AT THAT RESIDENCE. MYSELF AND SGT. TORREZ RESPONDED AT THE CALL, AND WE ARRIVED IN THE AREA AT ABOUT THE SAME TIME. UPON ARRIVAL, I OBSERVED A RED CORVETTE PARKED IN FRONT OF 508 GLEN AYRE ST, AND THERE WAS A MALE IN THE PASSENGER SEAT I KNEW AS JEFFERY BONE. I ASKED JEFFERY BONE WHAT WAS HAPPENING, HE IMMEDIATLEY BECAME NERVOUS, AND SAID THAT HE WAS JUST WAITING FOR SOMEONE. I ASKED HIM AGAIN WHAT WAS HAPPENING,A ND HE SAID THAT HE DID NOT WANT TO GET INTO TROUBLE, AND THAT HE WAS NOT DOING ANYTHING. I TOLD HIM TO TELL ME WHAT WAS GOING ON, AND HE SAID THAT HE WAS WAITING FOR TWO OTHER GUYS, ONE NAMED MIKE, AND THAT THEY WERE THERE TO GET BACK A STOLEN GUN. WHILE I WAS TALKING WITH JEFF, SGT. TORREZ HAD APPROACHED THE RESIDENCE AT 504 GLEN AYRE ST, AND WAS LISTENING FOR ANY ACITVITY. I TOLD HIM WHAT JEFF HAD JUST TOLD ME, AND AS I DID HE ADVISED ME THAT THERE WAS A BURGLARY GOING ON, AND THAT HE COULD HEAR THE PLACE BEING "RANSACKED." I IMMEDIATLEY HANDCUFFED JEFFERY BONE, AND PLACED HIM IN MY PATROL CAR, AND ASSUMED A COVER POSITION FOR SGT. TORREZ. CHRIS MARTINEZ, FIRESTONE POLICE, HAD JUST THEN ARRIVED. WE ALL THREE APPROACHED FROM THE NORTH END OF THE HOUSE, AND THE PLAN WAS THAT CHRIS WOULD WORK HIS WAY AROUND TO THE BACK OF THE RESIDENCE, AND SGT. TORREZ AND I WOULD APPROACH THE HOUSE, AND ATTEMPT TO SECURE IT, AND TAKE ANYONE INSIDE INTO CUSTODY. DURING OUR DISCUSSION, I COULD HEAR THUMPS, AND WHAT SOUNDED LIKE THINGS BEING THROWN AROUND INSIDE THE RESIDENCE. THE RESIDENCE WAS COMPLETELY DARK, INSIDE AND OUT. AT THIS TIME, I CALLED DISPATCH AND ASKED FOR FURTHER ASSISTANCE FROM THE WELD COUNTY SHERIFF'S OFFICE, AND THEY ADVISED THEY WOULD GET A DEPUTY ENROUTE. WE PLACED OURSELVES JUST OUTSIDE THE NORTH SIDE OF THE RESIDENCE, AND COULD SEE THAT THERE WAS A FRONT DOOR OPEN. WE STARTED TO APPROACH FROM OUR POSITION, ACROSS THE DRIVEWAY, AND AS WE DID THERE APPEARED A SILHOUETTE OF A PERSON IN THE FRONT DOOR. WE LIT THE DOOR UP WITH LIGHT, AND I IMMEDIATLEY RECOGNIZED THE PERSON AS MICHAEL JOHNSON. HE WAS IMMEDIATLEY ORDERED TO EXIT THE HOUSE ONTO THE SIDEWALK, WHERE HE WAS ORDERED INTO A PRONE POSITION, HANDS IN FRONT. I ASKED HIM IF THERE WAS ANYONE ELSE IN THE HOUSE, AND HE TOD ME THAT DANNY WAS. DANNY WAS ALSO ORDERED OUT, AND ORDERED INTO A PRONE POSITION. BOTH OF THEM WERE HANDCUFFED, AND SEARCHED. MORE NOISES WERE HEARD IN THE RESIDENCE, AND I REQUESTED THAT ANY RESPONDING COVER CARS STEP UP THIER RESPONSE. OFFICER MARTINEZ COVERED THE TWO WE HAD IN CUSTODY, WHILE SGT. TORREZ AND I COMPLETED A PROTECTIVE SWEEP OF THE ENTIRE RESIDENCE. NO OTHER PEOPLE WERE FOUND. DURING OUR SWEEP, WE OBSERVED SEVERAL INDICATORS OF FORCED ENTRY, AND AN APPARENT SEARCH FOR SOMETHING. NEXT TO THE FRONT DOOR, A WINDOW HAD BEEN BROKEN OUT, AND TWO OF THE THREE BEDROOMS HAD THE DOORS KICKED IN, AND THERE WAS EVIDENCE OF A FRANTIC SEARCH FOR SOMETHING. THERE WERE THINGS THROWN AROUND THE ROOMS, AND FURNITURE PULLED BACK FROM WALL, AND MISCELLANEOUS ITEMS SPREAD OVER ALL THE ROOMS. SGT. LOTSPEICH WAS ADVISED OF THE SITUATION, AND THE CRIME SCENE WAS SECURED FOR HIS ARRIVAL. ALL THREE SB WERE TAKEN TO BE INTERVIEWED. 3 Dacono Police Department Offense Report Synopsis and Information CR 96-1192 SKAGGS SGT. TORREZ INTERVIEWED DANNY SARCHET, AND I INTERVIEWED JEFF BONE, AND SGT. LOTSPEICH INTERVIEWED MICHAEL JOHNSON. SGT. LOTSPEICH ARRIVED AND PROCESSED THE CRIME SCENE WITH RESERVE OFFICER DAVE OSBORNE ASSISTING.(SEE THIER SUPPLEMENTALS) JEFF BONE, MICHAEL JOHNSON, AND DANNY SARCHET WERE ALL THREE PROCESSED AT THE POLICE DEPARTMENT, AND BOOKED INTO THE WELD COUNTY JAIL FOR CONSPIRACY TO COMMIT BURGLARY, AND 2ND DEGREE BURGLARY. Property Stolen or Recovered DRUGS, MODEL# S/N VALUE: Other Desc.: SEE ATTACHED PROPERTY LIST FOR FURTHER DETAILS. MODEL# S/N VALUE: Other Desc.: MODEL# S/N VALUE: Other Desc.: MODEL# S/N VALUE: Other Desc.: MODEL# S/N VALUE: Other Desc.: Officers Present and Duties #626 #722 #703 #76 #623 #635 SKAGGS: SGT. TORREZ: MARTINEZ: PROFITT: LOTSPEICH: OSBORNE: SEE 623 SUPPLEMENTAL INITIAL REPORT COVER OFFICER/INTERVIEW COVER OFFICER PERIMETER COVER CRIME SCENE INVESTIGATION ASSIST PROCESS SCENE rime Scene Description _ SEE 623 SUPPLEMENTAL Modus Operandi Evidence Found and Disposition Item: Disposition: Description: Location Found: Item: Disposition: Description: Location Found: Item: Disposition: Description: Location Found: Item: Disposition: Dacono Police Department Offense Report Synopsis and Information CR 96-1192 SKAGGS Description: Location Found: Item: Disposition: Description: Location Found: Photographs Taken and Disposition Photograph 1:SEE ATTACHED SUPPLEMENTAL REPORTS. Where Taken:CRIME SCENE Dispo:WITH CASE Photograph 2: Where Taken: Dispo: Photograph 3: Where Taken: Dispo: Photograph 4: Where Taken: Dispo: Photograph 5: Where Taken: Dispo: Photograph 6: Where Taken: Dispo: Photograph 7: Where Taken: Dispo: Photograph 8: Where Taken: Dispo: Photograph 9: Where Taken: Dispo: Photographl0: Where Taken: Dispo: Photographll: Where Taken: Dispo: Photographl2: Where Taken: Dispo: Persons Interviewed DOB: Ph.: DL#: Statement: DOB: Ph.: DL#: Statement: DOB: Ph.: DL#: Statement: DOB: Ph.: DL#: Statement: N/A Investigative Leads Circumstances of Arrest _ SEE SGT. LOTSPEICHS SUPPLEMENTAL REPORT AND ATTACHED AFFIDAVITS OF WARRANTLESS ARRESTS. Additional Information _ SEE CASE FILE FOR ADDITIONAL INFORMATION. DACONO POLICE DEPARTMENT SUPPLEMENTAL CASE REPORT 961192-1 CASE#: 96-1192 SUFFIX: 1 FILE: 961192-1 ORIG RPT DATE: 08/08/1996 CLASSIFICATION: BURGLARY/BREAKING AND ENTERING DATE: 08/10/1996 TIME: 14:19 OFFICER: LOTSPEICH - 623 LOCATION: 504 GLEN AYRE NARRATIVE: On 08/08/1996 , SGT. LOTSPEICH RECEIVED A PAGE FROM WELD COUNTY DISPATCH. UPON ANSWERING THE PAGE, IT WAS DISCOVERED THAT OFFICER B. SKAGGS 626, HAD RESPONDED TO 504 GLEN AYRE ON A REPORT OF A BURGLARY IN PROGRESS. SUBSEQUENTLY, THREE SUSPECTS WERE CONTACTED AND ARRESTED FOR FORCIBLY BREAKING INTO THE RESIDENCE AND RANSACKING THE RESIDENCE. SGT. LOTSPEICH WAS REQUESTED TO RESPOND TO THE RESIDENCE TO ASSIST IN THE CRIME SCENE PROCESSING. SGT. LOTSPEICH RESPONDED TO THE SCENE FROM THE VICINITY OF I25 AND HWY 52. UPON ARRIVING AT THE SCENE, SGT. LOTSPEICH SAW SEVERAL OFFICERS FROM THE TRI TOWN AREA, WELD COUNTY SHERIFFS DEPT. AND ERIE POLICE DEPARTMENT. THREE SUSPECTS WERE IN CUSTODY AND IN SEPARATE POLICE CARS. SGT. LOTSPEICH RECOGNIZED ONE OF THE SUSPECTS AS MICHAEL JOHNSON, THE OWNER OF THE MICHAELS SALOON IN THE CITY OF DACONO. MR. JOHNSONS RED CORVETTE CONVERTIBLE WAS PARKED ON THE EAST SIDE OF GLEN AYRE, BLOCKING THE DRIVEWAY OF 512 GLEN AYRE ST. IN THE CENTER CONSOLE AREA OF THE CORVETTE WAS A GLASS, CONTAINING A MIXED ALCOHOLIC BEVERAGE. THE GLASS WAS CONSISTENT AS COMING FROM HIS BAR. AN OPEN BEER WAS ALSO SITTING ON CENTER CONSOLE OF THE CAR. BETWEEN THE DRIVERS SEAT AND THE CENTER CONSOLE, WAS A RED BANK BAG. SGT. LOTSPEICH WAS ADVISED THAT A TOW TRUCK WAS ENROUTE FOR THE SUSPECTS CAR TO IMPOUND IT. SGT. LOTSPEICH SECURED THE CAR AND PLACED A POLICE HOLD ON IT. EVIDENCE TAPE WAS PLACED ON THE DOORS OF THE CORVETTE TO KEEP IT SECURED. SGT. LOTSPEICH WAS THEN BRIEFED BY OFFICER SKAGGS AS TO THE CIRCUMSTANCES OF THE ARREST. OFFICER SKAGGS SAID THAT THEY HAD RESPONDED TO THE SCENE ON A CALL OF A BURGLARY IN PROGRESS. A NEIGHBOR HAD HEARD GLASS BREAKING FROM THE VICINITY OF 504 GLEN AYRE AND CALLED THE POLICE. SGT. J. TORREZ AND OFFICER SKAGGS ARRIVED ON THE SCENE AND SAW THE RED CORVETTE PARKED IN THE STREET. OFFICER SKAGGS APPROACHED THE CAR AND SAW A MALE PARTY, KNOWN TO OFFICER SKAGGS, AS JEFFERY BONE, SITTING IN THE PASSENGER SEAT OF THE CAR. OFFICER SKAGGS ASKED THE SUSPECT BONE, WHAT HE WAS DOING AT THIS LOCATION. JEFF BONE THEN MADE THE STATEMENT TO OFFICER SKAGGS THAT HE DIDN'T WANT TO GET INTO TROUBLE. AT ABOUT THAT TIME, SGT. TORREZ.ADVISED OFFICER SKAGGS THAT HE HEARD THE SOUNDS OF RANSACKING COMING FROM INSIDE THE TRAILER AT 504 GLEN AYRE. THE SUSPECT, JEFF BONE, WAS HANDCUFFED AND SECURED WITH ANOTHER COVERING OFFICER AND SGT. TORREZ AND OFFICER SKAGGS THEN APPROACHED THE HOUSE. AS THE OFFICERS APPROACHED THE HOUSE, OFFICER SKAGGS AND SGT. TORREZ NOTICED THAT THERE WAS BROKEN GLASS ON THE GROUND NEXT TO THE FRONT DOOR. THE WINDOW JUST TO THE EAST OF THE FRONT DOOR WAS BROKEN AND THE BOTTOM PART OF THE WINDOW WAS PULLED OUT FROM THE BOTTOM. THE FRONT DOOR TO THE RESIDENCE WAS STANDING OPEN AND A WINDOW JUST TO THE WEST OF THE FRONT DOOR HAD THE SCREEN TORN AND PULLED BACK. BOTH OF THE OFFICERS COULD HEAR NOISES COMING FROM INSIDE THE TRAILER. AS THE OFFICERS APPROACHED THE FRONT DOOR, THEY COULD SEE THE OUTLINE OF A PERSON INSIDE THE FRONT DOOR IN THE KITCHEN AREA. THE OFFICERS CHALLENGED THE PERSON AND SHINED THE LIGHTS ON THE SUSPECT. THE SUSPECT, MICHAEL JOHNSON, SAW THE POLICE OFFICERS AND WAS ORDERED TO PUT HIS HANDS UP AND COME OUTSIDE. THE SUSPECT, MICHAEL JOHNSON, INSTEAD, TURNED AWAY FROM THE OFFICERS AND TOOK A STEP BACK INTO THE KITCHEN. BOTH OF THE OFFICERS AGAIN REPEATED THE COMMAND FOR THE SUSPECT TO PUT HIS HANDS UP AND TO COME OUT. THE SUSPECT COMPLIED THIS TIME AND HE WAS PRONED OUT ON THE GROUND IN FRONT OF THE RESIDENCE. SUPERVISOR:?, ff /Z • 96 DATE: ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 1 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL, CASE REPORT 961192-1 THE SECOND SUSPECT, DANNY SARCHET, WAS CONFRONTED IN THE HOUSE AND ORDERED TO PUT HIS HANDS UP AND TO EXIT THE HOUSE. THE SUSPECT COMPLIED AND HE WAS ALSO PHONED OUT ON THE GROUND AND TAKEN INTO CUSTODY. SGT. LOTSPEICH THEN DIRECTED THAT THE SCENE BE SECURED BY USING CRIME SCENE TAPE. SGT. LOTSPEICH THEN CALLED DISPATCH AND REQUESTED THAT THEY CONTACT OFFICER D. OSBORNE AND REQUEST THAT HE RESPOND TO THE SCENE WITH HIS CAMERAS TO ASSIST IN THE PROCESSING. SGT. LOTSPEICH LEFT THE SCENE AND WENT TO THE POLICE DEPARTMENT AND PICKED UP THE EVIDENCE KIT AND A POLICE CAR AND RESPONDED BACK TO THE SCENE. ELLIOTTS TOWING HAD ARRIVED ON THE SCENE AND WAS GETTING READY TO TOW THE CAR. OFFICER OSBORNE ARRIVED ON SCENE AND PHOTOGRAPHED THE SUSPECTS VEHICLE. SGT. LOTSPEICH AND OFFICER OSBORNE THEN APPROACHED THE TRAILER. SCENE: THE SCENE IS LOCATED AT THE ADDRESS OF 504 GLEN AYRE ST. IN THE CITY OF DACONO, WELD COUNTY, STATE OF COLORADO. THE RESIDENCE IS A TRAILER WHICH IS SITUATED ON THE EAST SIDE OF GLEN AYRE.ST. THE FRONT DOOR OF THE TRAILER FACES AND SITS ON THE NORTH SIDE OF THE RESIDENCE. THE STREET AT THIS LOCATION IS SITUATED ON A TURN -OUT SEMI CUL-DE-SAC. THERE IS A DRIVEWAY WHICH RUNS DIAGONALLY NORTHEAST, FROM THE STREET ON THE NORTH SIDE OF THE HOUSE. THERE IS A GLASS WINDOW WITH THREE SECTIONS JUST TO THE EAST OF THE FRONT DOOR. THE CENTER SECTION IS BROKEN AND THERE IS GLASS ON THE FRONT PORCH UNDER THE WINDOW. THERE IS ANOTHER GLASS WINDOW TO THE WEST OF THE FRONT DOOR. THIS IS ALSO A SECTIONED GLASS WINDOW WHICH IS COVERED BY A SCREEN. THE SCREEN IS TORN AWAY FROM THE WINDOW FRAME ON THE EAST SIDE AND PULLED OUT TOWARDS THE OUTSIDE OF THE WINDOW. THE FRONT DOOR IS A RIGHT HAND DOOR AND IT IS OPEN. THE FRONT DOOR OPENS TO THE INSIDE OF THE RESIDENCE AND OPENS INTO THE KITCHEN. THERE IS A TABLE AND CHAIRS IN THE KITCHEN AREA. JUST INSIDE THE FRONT DOOR, ON THE FLOOR, UNDER THE BROKEN WINDOW, IS A PHOTOGRAPH ALBUM. THE PHOTOGRAPH ALBUM IS OPEN AND SITTING ON TOP OF BROKEN PIECES OF GLASS, INDICATING THAT THE ALBUM WAS PLACED OR DROPPED THERE SOMETIME AFTER THE WINDOW WAS BROKEN. THERE ARE TWO BICYCLES STANDING UP IN THE KITCHEN AREA. ONE IS DIRECTLY IN FRONT OF THE FRONT DOOR AGAINST THE COUNTER AND THE OTHER IS BACK TO THE EAST SIDE OF THE KITCHEN IN A CORNER. STANDING INSIDE THE FRONT DOOR, LOOKING TO YOUR LEFT, (EAST), IS A HALLWAY WHICH LEADS TO THE BATHROOM AND A BEDROOM. THIS BEDROOM IS LATER FOUND TO BELONG TO LEONARD MACY. LOOKING TO THE RIGHT, (WEST), FROM THE FRONT DOOR, IS THE LIVINGROOM. THERE IS A BOOKSHELF ON THE NORTH WALL WHICH HAS A FISHTANK. THIS BOOKSHELF IS UNDER THE WINDOW WHICH HAS THE SCREEN TORN AWAY. IN THE SOUTHWEST CORNER OF THE RESIDENCE IS A BEDROOM WITH THE DOOR BROKEN FROM ITS HINGES. THERE IS A FOOTPRINT ON THE DOOR JUST UNDER THE DOORKNOB. THE DOOR IS BROKEN AND THE ONLY THING.THAT IS HOLDING IT UP IS THE HASP LOCK ON THE LATCH SIDE. AS YOU ENTER THE BEDROOM, THERE IS A LARGE TV CABINET WHICH HAS BEEN PULLED AWAY FROM THE NORTH WALL. THE BACK TO THE TV CABINET IS LOOSE AND SETTING UP AGAINST THE BACK OF THE TV. THERE IS A GLASS JAR, BROKEN, ON THE FLOOR AGAINST THE EAST SIDE OF THE TV CABINET. NUMEROUS PIECES OF LOOSE CHANGE ARE LYING ON THE FLOOR OF THE BEDROOM. SEVERAL PIECES OF NARCOTICS PARAPHERNALIA AND EVIDENCE OF NARCOTICS IS SEEN IN PLAIN VIEW IN THIS BEDROOM. THIS BEDROOM IS LATER DETERMINED TO BELONG TO RICHARD MACY. THIS IS CONFIRMED BY NOT ONLY THE PERSON HIMSELF, BUT BY PAPERS FOUND IN THIS ROOM BEARING HIS NAME. THERE IS A PIECE OF METAL WADDING ON THE FLOOR IN FRONT OF THE TV CONSOLE. THERE IS A SWISS TYPE ARMY KNIFE, WITH THE LARGE BLADE OUT, WITH WHITE POWDER ON THE BLADE ON TOP OF THE TV CONSOLE. THERE IS A CLEAR PLASTIC BAGGIE, WITH MARIJUANA IN IT ON TOP OF THE TV CONSOLE, IN PLAIN SIGHT. THERE IS A SMALL METAL PIECE OF PIPE ON THE FLOOR AT THE FOOT OF THE BED AND ANOTHER PIPE ON A GLASS TRAY SITTING ON TOP OF A STEREO SPEAKER ON THE NORTH SIDE OF THE HEADBOARD. THERE IS A BLUE BIC LIGHTER AND A SMALL PLASTIC BOTTLE WITH WHITE POWDER RESIDUE ALSO ON TOP OF THE SPEAKER. THERE IS A METAL CAN, WITH A PICTURE OF SANTA CLAUS ON TOP, WITH WHITE POWDER ON IT. UPON OPENING THIS CANISTER, ANOTHER BLACK PLASTIC CANISTER WITH WHITE POWDER, CONSISTENT WITH COCAINE ON TOP OF THE TV CONSOLE. SUPERVISOR: '7.Q S'•TZ-96 DATE: ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 2 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL ` CASE REPORT 961192-1 J THERE IS A WOODEN BOX WITH A RAZOR BLADE AND WHITE POWDER RESIDUE ON TOP OF THE TV CONSOLE. LEAVING THIS ROOM AND WALKING EAST, IS A DEN TYPE ROOM WITH A WEIGHT BENCH. THERE IS A HALLWAY AT THE EAST SIDE OF THE ROOM WHICH LEADS TO ANOTHER BEDROOM WITH A HASP TYPE LOCK ON THE DOOR. THIS HASP IS BROKEN AND THE PULLED FROM THE DOOR. AS YOU WALK INTO THIS BEDROOM, THERE IS A DRESSER ON THE SOUTH WALL OF THE ROOM AND A WATERBED. THIS ROOM IS RANSACKED AND EVIDENCE OF NARCOTICS IS ALSO SEEN IN THIS ROOM. THERE IS A HOLE IN THE WATERBED AND THERE IS WATER SEEPING AND SOAKING THE SHEETS. IN THE CENTER OF THE BED, IS A SMALL PIECE OF GREEN TILE AND A RAZOR BLADE. THERE IS WHITE POWDER ON THE GREEN TILE, WHICH IS CONSISTENT WITH COCAINE. THERE IS A SMALL PLASTIC BAGGIE CONTAINING WHAT APPEARS TO BE ROCK COCAINE, IN PLAIN VIEW ON THE LEDGE OF THE DRESSER. THERE ARE PAPERS WHICH IDENTIFY THIS ROOM AS BELONGING TO VICKI DILES AND RONALD MACY IN THE ROOM. THIS IS ALSO CONFIRMED LATER BY RICHARD MACY. THERE IS JEWELRY FROM A JEWELRY BOX ON THE DRESSER. THERE ARE TWO EMPTY JEWELRY BOX DRAWERS FOUND ON THE DRESSER WHICH ARE EMPTY. THERE ARE NUMEROUS PICTURES LYING ON THE CARPET AT THE FOOT OF THE BED, IN FRONT OF TV/VCR STAND. THE FRONT, EAST BEDROOM, WHICH IS IDENTIFIED AS BELONGING TO LEONARD MACY, DOES NOT APPEAR TO HAVE BEEN RANSACKED. THERE IS EVIDENCE OF NARCOTICS PARAPHERNALIA AND NARCOTICS FOUND ON THE SHELF OF THE DRESSER IN THIS ROOM. THERE IS A SMALL PLASTIC BAGGIE WITH WHITE POWDER RESIDUE ON THE SHELF IN PLAIN VIEW. THERE IS ALSO A BLACK FILM CANISTER, WITH NO LID, CONTAINING A YELLOW AND WHITE POWDER. (A LID FROM A FILM CANISTER USED BY OFFICER OSBORNE IS LATER USED TO SECURE THIS BOTTLE. THERE ARE 3 SPOONS, 4 RAZOR BLADES AND A ROUND PIECE OF METAL SCREEN FOUND IN THIS ROOM ON THE DRESSER. THE SPOONS ALL HAVE EVIDENCE OF BEING USED TO COOK NARCOTICS, AS THERE ARE BLACK SOOT MARKS ON THE BOTTOM OF THE SPOONS AND WHITE POWDER RESIDUE IN THE BOWL OF THE SPOONS. INVESTIGATION AT SCENE: THE PRELIMINARY INVESTIGATION AT THE SCENE INDICATED THAT ENTRY WAS MADE VIA EITHER THE BROKEN WINDOW, OR THE WINDOW WITH THE TORN SCREEN. ONCE INSIDE, THE SUSPECTS THEN ENTERED THE RESIDENCE AND FORCIBLY OPENED THE TWO BEDROOM DOORS. THE WEST BEDROOM DOOR WAS KICKED OPEN AND THE REAR WEST BEDROOM HAD THE HASP PRIED OFF WITH AN UNKNOWN INSTRUMENT. DRESSER DRAWERS WERE OPENED AND RANSACKED AND DUMPED ON THE FLOOR. JEWELRY BOXES IN THE REAR EAST BEDROOM WERE OPENED AND DUMPED ON THE DRESSER. ONE OF THE SUSPECTS WAS CONTACTED AND ARRESTED WHILE SITTING IN THE PASSENGER SEAT OF ONE OF THE SUSPECTS CAR. THE OTHER TWO SUSPECTS WERE CONFRONTED AND ARRESTED WHILE INSIDE THE RESIDENCE, WHICH DID NOT BELONG TO THEM. WHILE PROCESSING THE SCENE, ONE OF THE OCCUPANTS OF THE HOUSE, RICHARD MACY, CAME HOME. HE WAS TOLD OF THE SITUATION AND HE STATED THAT HE DID NOT GIVE ANYONE PERMISSION TO ENTER HIS RESIDENCE. HE ALSO STATED THAT THE SUSPECTS BROKE THE WINDOW AND DOORS TO THE HOUSE AND THAT NONE OF THE OTHER OCCUPANTS DID THE DAMAGE. THE VICTIM ALSO SAID THAT THE SUSPECTS BROKE THE JAR IN HIS BEDROOM AND MOVED OUT THE TV CONSOLE AND THAT HE DID NOT DO THE DAMAGE TO THE HOUSE. THE SUSPECT SAW SGT. LOTSPEICH TAGGING AND TESTING THE SUSPECTED NARCOTICS AND WHEN ASKED IF ANY OF IT WAS HIS, HE STATED THAT THE MARIJUANA WAS HIS AND HE ADMITTED THAT HE USED TO DO SOME COCAINE, BUT THAT HE HADN'T DONE ANY FOR A WHILE. THE SCENE WAS PHOTOGRAPHED AND VIDEOTAPED BY OFFICER OSBORNE AND RELEASED TO THE OWNER AT ABOUT 0200. SGT. LOTSPEICH RESPONDED BACK TO THE POLICE DEPARTMENT AND CONTACTED OFFICER SKAGGS. ONE OF THE SUSPECTS, MICHAEL JOHNSON, WAS IN THE HOLDING CELL AT THE STATION AND THE SUSPECT, BONE, WAS IN THE FRONT OFFICE AREA WITH OFFICER SKAGGS. THE THIRD SUSPECT, DANNY SARCHET, WAS AT FREDERICK POLICE DEPARTMENT BEING INTERVIEWED BY SGT. TORREZ. OFFICER SKAGGS ADVISED SGT. LOTSPEICH THAT HE HAD ADVISED THE SUSPECT, BONE OF HIS MIRANDA RIGHTS AND THAT MR. BONE HAD WAIVED HIS RIGHT TO AN ATTORNEY AND HAD GIVEN A STATEMENT. THE SYNOPSIS OF THE STATEMENT OF MR. BONE WAS AS FOLLOWS: "DANNY SAID COME INTO THE OFFICE, AND ASKED JEFF BONE IF HE KNEW LEONARD MACY AND WHERE LEONARD LIVED. JEFF ASKED WHY AND DANNY SAID BECAUSE MICHAEL JOHNSON HAD A SUPERVISOR: /J DATE: t-/2 ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 3 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL CASE REPORT 961192-1 9MM HANDGUN STOLEN FROM THE OFFICE AT THE BAR. DANNY SAID MICHAEL BEAT UP MANUEL SANDOVAL FOR SUSPICION OF STEALING THE GUN. LEONARD WENT INTO THE OFFICE ONE DAY TO USE THE PHONE, AND THAT IS WHEN THE GUN CAME UP MISSING. JEFF SAID THAT HE KNEW WHERE LEONARD LIVED. DANNY SAID "LET'S GO FOR A RIDE." DANNY AND JEFF GOT IN THE RED CORVETTE AND THEY DROVE BY THE HOUSE. DANNY WENT UP THE STREET A LITTLE BIT, PARKED THE CAR, AND SAID, "I'M GOING TO DO WHAT I CAN TO GET THE GUN BACK. I'M GOING TO SEE IF ANYONE IS THERE AND IF NOT, I'M GOING TO BREAK THE DOOR DOWN, I'M GOING TO DO WHAT I CAN TO GET THE GUN BACK." JEFF BONE WAITED IN THE CAR. DANNY CAME BACK TO THE CAR AND THEY WENT BACK TO THE BAR. DANNY CALLED JEFF OVER AGAIN AND SAID THAT HE AND MICHAEL WERE "GOING FOR A RIDE." DANNY AND MICHAEL LEFT BY THEMSELVES. JEFF WALKED UP THE STREET TO WHERE THE CAR WAS PARKED AND BEFORE AND HE SAW THE CAR PARKED THERE AGAIN. DANNY AND MICHAEL WERE GETTING READY TO WALK UP TO THE HOUSE AND THEY TOLD JEFF TO WAIT IN THE CAR AND NOT TO TOUCH THE DRINKS. DANNY SAID THAT, "WE MIGHT NEED THE DRINKS WHEN THEY WERE DONE." JEFF JUST WAITED IN THE CAR UNTIL HE WAS CONTACTED BY THE POLICE." AT ABOUT 0221, SGT. LOTSPEICH BEGAN A VIDEOTAPED INTERVIEW WITH THE SUSPECT, MICHAEL JOHNSON. THE SUSPECT WAS FORMALLY ADVISED OF HIS MIRANDA RIGHTS ON TAPE. HE STATED THAT HE UNDERSTOOD HIS RIGHTS AND HE WAIVED HIS RIGHT TO HAVE AN ATTORNEY PRESENT AND HE AGREED TO MAKE A STATEMENT. THE SUSPECT SIGNED THE MIRANDA FORM AND THE INTERVIEW WAS STARTED. MR. JOHNSON SAID THAT HE HAD A 9MM HANDGUN, A RUGER P89, IN THE OFFICE OF THE BAR. ON THE MORNING A AUGUST 5TH AT ABOUT 0100 HOURS, THE GUN WAS STOLEN FROM THE OFFICE. THE SUSPECTS THEN FIANCE, MICHELLE, SAW MANUEL AND LEONARD COMING OUT OF THE OFFICE. DANNY SARCHET IS THE ASSISTANT TO MICHAEL AND IS A FRIEND. DANNY TOLD MICHAEL THAT HE WAS GOING TO GET THE GUN BACK. MICHAEL SAID THAT HE AND HIS FIANCE LEFT FOR LAS VEGAS THAT NIGHT TO GET MARRIED AND DID NOT RETURN BACK TO TOWN UNTIL THURSDAY. WHEN MR. JOHNSON GOT BACK, HE STILL DID NOT HAVE THE GUN. MR. JOHNSON SAID THAT HE HAD INFORMATION THAT MANUEL SANDOVAL HAD THE GUN SO AT ABOUT 1900 HOURS, HE AND DANNY WENT AND CONFRONTED MANUEL. MANUEL TOLD MICHAEL THAT HE DID NOT HAVE THE GUN AND THAT LEONARD MACY HAD THE GUN. MR. JOHNSON SAID THAT HE AND DANNY SARCHET AND JEFF BONE ALL DROVE UP TO THE VICTIMS HOUSE AND THAT HE WAITED AT THE CAR WITH JEFF WHILE DANNY WENT TO THE FRONT DOOR. MR. JOHNSON FIRST SAID THAT HE DID NOT HEAR ANY GLASS BREAKING OR ANY OTHER NOISES. AFTER A FEW MINUTES, MICHAEL WENT UP TO THE FRONT DOOR OF THE HOUSE TO GET DANNY AND THAT HE JUST STEPPED INSIDE THE FRONT DOOR AND WAS CALLING DANNYS NAME WHEN HE TURNED AROUND TO GO AND WAS CONFRONTED BY THE ARRESTING OFFICERS. THE SUSPECT FIRST DENIED TO DOING ANY DAMAGE TO THE HOUSE AND SAID THAT HE NEVER WENT PAST THE KITCHEN AREA. AFTER FURTHER INTERVIEWING, THE SUSPECT ADMITTED TO BEING INVOLVED IN THE BURGLARY. HE ADMITTED TO BEING THE PERSON THAT TORE THE SCREEN FROM THE WINDOW AND THAT IT WAS DANNY THAT BROKE THE FRONT WINDOW. MICHAEL SAID THAT HE HELD BACK THE SCREEN FOR DANNY TO CRAWL INTO THE WINDOW AND THAT DANNY THEN CAME TO THE FRONT DOOR AND OPENED IT FOR MICHAEL. MR. JOHNSON ADMITTED TO GOING TO THE BACK EAST BEDROOM, BELONGING TO VICKI DILES AND RONALD MACY, AND USING A HAMMER THAT HE FOUND IN A STORAGE ROOM ADJACENT TO THE BEDROOM, USED THE HAMMER TO BREAK THE LOCK AND HASP. HE ALSO ADMITTED TO BEING THE PERSON THAT REMOVED THE DRAWERS FROM THE JEWELRY BOX AND DUMPING THE JEWELRY. HE ALSO ADMITTED TO BEING THE PERSON THAT RANSACKED THE TV/VCR STAND AT THE FOOT OF THE BED. MR. JOHNSON ALSO ADMITTED TO BEING THE PERSON THAT PUT THE HOLE IN THE WATERBED BY8 USING THE CLAW OF THE HAMMER, BUT SAID THAT IT WAS AN ACCIDENT. MR. JOHNSON THEN WAS ASKED ABOUT THE WEST BEDROOM. HE SAID THAT HE DID NOT KICK IN THE DOOR, BUT DID ADMIT TO REMOVING THE DRESSER DRAWERS AND DUMPING THEM ON THE BED OF RICHARD MACY'S BEDROOM. HE ADMITTED THAT HE ALSO HELPED MOVE OUT THE LARGE TV CABINET AWAY FROM THE WALL. THE SUSPECT SAID THAT HE WAS ONLY INTERESTED IN FINDING HIS GUN AND THAT HE DID NOT PLACE ANY OF THE NARCOTICS OR PARAPHERNALIA IN ANY OF THE ROOMS. MICHAEL SAID THAT HE KNEW THAT LEONARD MACY WAS SUPPOSED TO BE BRINGING A LARGE QUANTITY OF METHAMPHETAMINES FROM BRECKENRIDGE LATER THAT NIGHT. MICHAEL SAID THAT HE DID NOT KNOW WHAT TIME THE NARCOTICS WERE COMING OR WHAT KIND OF CAR LEONARD WAS DRIVING, BUT SUPERVISOR: -17D DATE: Alit S'V2-r/6 ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 4 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL CASE REPORT 961192-1 THAT IF HE COULD TALK TO DANNY, HE KNEW THE DETAILS AND THAT HE COULD GET THE INFORMATION ABOUT THE DRUG DELIVERY. THE INTERVIEW WAS CONCLUDED AT 0304 HOURS. (SEE ENTIRE VIDEO TAPE FOR FURTHER DETAILS.) SGT. J. TORREZ TRANSPORTED THE SUSPECT, DANNY SARCHET, BACK TO DACONO POLICE DEPARTMENT FROM FREDERICK. SGT. TORREZ ADVISED SGT. LOTSPEICH THAT THE SUSPECT HAD BEEN ADVISED OF HIS MIRANDA RIGHTS AND THAT HE REFUSED TO WAIVE HIS RIGHTS AND HAD REQUESTED AN ATTORNEY. NO FURTHER QUESTIONING WAS DONE AFTER THIS. SGT. LOTSPEICH CONTACTED THE WELD COUNTY COMMUNICATIONS CENTER AND REQUESTED THAT A MEMBER OF THE WELD COUNTY DRUG TASK FORCE CALL THE POLICE DEPARTMENT. APPROXIMATELY 10 MINUTES LATER, A PERSON FROM THE WELD COUNTY DRUG TASK FORCE CALLED SGT. LOTSPEICH AT THE STATION. THEY WERE APPRAISED OF THE SITUATION AND THE RECOVERY OF COCAINE, PARAPHERNALIA, ROCK COCAINE AND THEY WERE GIVEN THE INFORMATION ABOUT THE POSSIBILITY OF A LARGE AMOUNT OF METHAMPHETAMINES COMING INTO TOWN LATER IN THE MORNING. THEY STATED THAT THEY WOULD TALK TO THE SUSPECTS IN JAIL THE FOLLOWING MORNING BUT DECLINED TO RESPOND TO THE CITY TO ASSIST AT THIS TIME. ALL THREE OF THE SUSPECTS WERE CHARGED WITH 2ND DEGREE BURGLARY AND CONSPIRACY TO COMMIT BURGLARY AND TRANSPORTED TO AND BOOKED IN THE WELD COUNTY JAIL. 08/10/96 SGT. LOTSPEICH CHECKED THE NCIC COMPUTER AND FOUND THAT THE SUSPECT MICHAEL JOHNSON HAD A LENGTHY CRIMINAL HISTORY AND THAT HE WAS A CONVICTED FELON. INFORMATION WAS RECEIVED WHICH INDICATED THAT THE SUSPECT USED TWO DIFFERENT DATES OF BIRTH, AND SGT. LOTSPEICH THEN WENT NEXT DOOR AND CONTACTED THE BUSINESS LICENSE DIRECTOR FOR THE CITY AND GOT A COPY OF THE APPLICATION FOR A LIQUOR AND BUSINESS LICENSE. ON THE APPLICATION, MR. MICHAEL JOHNSON LISTED A DATE OF BIRTH AS HE ALSO STATED THAT HE HAD NOT BEEN CONVICTED OF A CRIME AND SIGNED THE FORM UNDER PENALTY OF PERJURY. SGT. LOTSPEICH THEN LOOKED AT THE FINGERPRINT CARDS THAT WERE SUBMITTED TO CBI FOR COMPARISON AND A RECORDS CHECK. THE DATE OF BIRTH ON BOTH CARDS SHOWED THE SUSPECT SIGNED BOTH OF THESE CARDS WITH THE SAME ADMONITION OF PERJURY. THE SUSPECT CRIMINAL RECORDS SHOWED THAT HE HAD TWO PRIOR ARRESTS FOR BURGLARY, MANY THEFT ARRESTS, CCW ARREST AND A 43 COUNT CHECK FRAUD ARREST. CRIMINAL RECORDS FOR THE OTHER TWO SUSPECTS WERE ALSO OBTAINED FROM CBI AND WERE ATTACHED TO THE CASE FILING. SGT. LOTSPEICH CONTACTED THE STATE AND LOCAL LIQUOR AUTHORITY AND APPRAISED THEM OF THE SITUATION. A COMPLAINT WAS FILED WITH THE LOCAL LIQUOR AUTHORITY FOR FURTHER PROCEEDINGS. 08/10/96 MR. MICHAEL JOHNSON CALLED WELD COUNTY COMMUNICATIONS AND REQUESTED 1330 THAT AN OFFICER CALL HIM. SGT. R. CASHION CALLED MR. JOHNSON AT THE BAR. MR. JOHNSON TOLD SGT. CASHION THAT HE HAD AN INDIVIDUAL THAT WAS IN THE BAR WHO COULD GET HIM A LARGE QUANTITY OF DRUGS AT THAT MOMENT. SGT. LOTSPEICH ADVISED SGT. CASHION TO TELL MR. JOHNSON TO CALL THE FREDERICK POLICE DEPARTMENT AND THE WELD COUNTY DRUG TASK FORCE SINCE THE LOCATION OF THE NARCOTICS WAS IN THE TOWN OF FREDERICK. 1955 SGT. LOTSPEICH RECEIVED AN EMERGENCY PAGE FROM OFFICER KERRY LEWIS 625, TO CALL HIM AT THE STATION. CHIEF T. DAVIS CALLED OFFICER LEWIS AND OFFICER LEWIS SAID THAT HE HAD GONE TO THE BAR AND THAT MR. MICHAEL JOHNSON HAD TAKEN OFFICER LEWIS INTO A BACK ROOM AND GIVEN HIM A PLASTIC BAGGIE WITH A LARGE AMOUNT OF UNCUT COCAINE. OFFICER LEWIS SAID THAT HE WEIGHED IN THE COCAINE AT 1.6 OUNCES. CHIEF DAVIS AND SGT. LOTSPEICH RESPONDED TO THE STATION FROM COLORADO NATIONAL SPEEDWAY. UPON ARRIVING AT THE STATION, OFFICER LEWIS INFORMED SGT. LOTSPEICH THAT HE HAD TESTED THE COCAINE AND IT TESTED POSITIVE. OFFICER LEWIS CALLED THE WELD COUNTY DRUG TASK FORCE TO INFORM THEM THAT THE SUSPECT, MICHAEL JOHNSON, HAD TURNED OVER 1.6 OUNCES OF COCAINE TO HIM AND THAT THE PERSON THAT HAD SUPPOSEDLY GIVEN IT TO HIM WAS GOING TO COME BACK ON SUNDAY, 8/11/96, FOR THE $1500.00. MEMBERS OF THE TASK FORCE INFORMED OFFICER LEWIS THAT THE SUSPECT, MICHAEL JOHNSON, HAD BEEN INSTRUCTED BY THEM NOT TO GET INVOLVED IN ANY KIND OF TRANSACTION AT THIS TIME. DEPUTY DA J. HARTMAN WAS ALSO CONSULTED ABOUT THE POSSIBILITY OF THE FILING OF CHARGES ON MICHAEL JOHNSON SUPERVISOR: 7/7 DATE: $••/2.96 ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 5 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL CASE REPORT 961192-1 II FOR POSSESSION OF COCAINE. DEPUTY DA J. HARTMAN REFUSED TO ACCEPT A CASE OF POSSESSION OF NARCOTICS ON THE SUSPECT, JOHNSON. THE COCAINE WAS PLACED IN EVIDENCE ON CASE NUMBER 96-1207. WITH THE FILING OF CHARGES ON THE SUSPECTS IN DISTRICT COURT, THIS CASE, WITH APPROVAL, SHALL BE CARRIED AS CLEARED BY ARREST. FURTHER INFORMATION RECEIVED SHALL BE FORWARDED TO THE DISTRICT ATTORNEYS OFFICE IN THE FORM OF ADDITIONAL SUPPLEMENTAL REPORTS AND LISTS OF WITNESSES. END OF REPORT. SGT. G. LOTSPEICH 623 SUPERVISOR: 1-'.0 DATE: 7- l -9d ASSIGNED TO: CR: 961192-1 OFFICER: LOTSPEICE - 623 DEPT STATUS: PAGE 6 OF DACONO POLICE DEPARTMENT SUPPLEMENTAL CASE REPORT 961192-2 CASE*: 96-1192 SUFFIX: 2 FILE: 961192-2 ORIG RPT DATE: 08/08/1996 CLASSIFICATION: BURGLARY/BREAKING AND ENTERING DATE: 08/10/1996 TIME: 14:19 OFFICER: LOTSPEICH - 623 LOCATION: 504 GLEN AYRE NARRATIVE: ON 08/08/96, JEFFERY BONE GAVE ME THE FOLLOWING STATEMENT UNDER ADVISEMENT: THAT HE WAS APPROACHED IN THE BAR, (MICHAEL'S SALOON) BY DANNY SARCHET WHO ASKED HIM INTO THE OFFICE. IN THE OFFICE, HE ASKED JEFF IF HE KNEW LEONARD MACY, AND IF HE KNEW WHERE LEONARD MACY LIVED. JEFF ASKED WHY, AND DANNY SAID THAT MICHAEL HAD A 9MM GUN STOLEN FROM THE OFFICE AT THE BAR. DANNY SAID THAT MICHAEL HAD BEATEN UP MANUEL SANDOVOL FOR SUSPICION OF STEALING THE GUN, BUT THAT MICHAEL HAD FOUND OUT THAT LEONARD HAD BEEN IN THE OFFICE TO USE THE PHONE, AND THAT IS WHEN THE GUN CAME UP MISSING. JEFF TOLD DANNY THAT HE KNEW WHERE "LEO" LIVED, AND DANNY SAID, "LET'S GO FOR A RIDE." DANNY AND JEFF GOT INTO THE RED CORVETTE, AND JEFF SHOWED DANNY WHERE THE HOUSE WAS, AND DANNY WENT UP THE STREET A LITTLE BIT, AND PARKED THE CAR. DANNY THE TOLD JEFF THAT HE WAS GOING TO DO WHAT HE COULD TO GET THE GUN BACK. DANNY SAID THAT HE WAS GOING TO SEE IF ANYONE WAS HOME, AND IF NOT HE WAS GOING TO BREAK THE DOOR DOWN, AND THAT HE WAS GOING TO DO WHAT HE COULD TO GET THE GUN BACK. JEFF WAITED IN THE CAR, AND DANNY RETURNED AND THEY THEN DROVE BACK TO THE BAR. DANNY AGAIN PULLED JEFF ASIDE AND TOLD JEFF THAT HE AND MICHAEL WERE GOING FOR A RIDE. DANNY AND MIKE LEFT BY THEMSELVES, AND JEFF SAID THAT HE WALKED UP TO THE LOCATION WHERE THEY HAD PARKED PREVIOUSLY, AND HE SAW DANNY AND MICHAEL WALKING UP TO THE HOUSE, AND JEFF WAS TOLD TO SIT IN THE CAR, AND NOT TO TOUCH THE DRINKS BECAUSE THEY "MIGHT NEED THEM WHEN THEY ARE DONE." JEFF WAITED IN THE CAR, AND SOON AFTER THE POLICE SHOWED UP. I WROTE THIS STATEMENT AS IT WAS RELAYED TO ME BY JEFF BONE. HE EXPRESSED TO ME THAT HE WAS NOT COMFORTABLE WRITING. SUPERVISOR:/7„12 DATE: tr-iz-ric ASSIGNED TO: CR: 961192-2 OFFICER: LOTSPEICH - 623 DEPT STATUS: PAGE 1 OF Page of —Pages CASE NO re -PP I.3 Dacono Police Department STATEMENT NAM B^AS�T. F^RITT. IDLE WM., �i�ct/ /V , / 11Ln4O Lac MAKING STATDEI4T t 0 Officer UW-Itness 0 Person advised RESIDENCE STR�ADOIESS . Soy 4ZeiVt1,e6 8T are O4ONo cowry /,t/tLI STATE No. DP COD! eitts RESDENCE PHONE ' ( 70? , 8'U3- Ono &SOFSS PRONE ( To?) be-af'2a SOCIAL SECURITY NO. DATE OF BRIM / IFTAI NO. // amass STFEET ADDRESS 7ias w T. Fr RD. CRY W. COS4TY WEW STATE Cam. LP CODE kW OFFICER TAKING STATDENT G L4 S _*S. N16Di 62S DATE 08-, o9 r 96 TLC 0/. Dg' Hours CONCERN RRD AN FCISENT OCCURND AT Ca/ GlaMill 5 LOCATION 'MERE STATEAENT TAKEN G/,4Y, - b'r. j �i�rGtiG Cr/hr it rL- n/ Gasirc— 'l2Arzr oiny ,c-ris irm I have read the foregoing statement and the facts contained therein are true to the best of my knowledge and belief. I do not maintain that it contains all of the facts or details of the incident, but only those facts about which I have been asked. CC / Dai• / !C OAM 0 PM C/ " ///L�ih9 Time Statement Completed Signature j of person making statement BONDING INFORMATION SHEET COURT CASE NO. INDEX SICK OR INJURED IN ANY WAY?: NONE SEEN/NONE STATED IF YES, EXPLAIN: TREATING PHYSICIAN: LOCATION: BOOKING NUMBER: 961192-3 AGENCY CASE NUMBER: 96-1192 RELATED CASE NUMBER: MILEAGE(arrest warrant): ARRESTING AGENCY: DACONO POLICE DEPARTMENT OFFICER: SKAGGS - 626 DEFENDANT INFORMATION NAME: SARCHET , DANNY ,W DOB: CURRENT ADDRESS: TRANSIENT CO HOW LONG: HOW LONG IN WELD COUNTY: 29 HOW LONG IN COLO: 29 HOW MANY JOBS LAST 5 YRS?: RELATIVE IN AREA?: N DO THEY OWN PROPERTY? NO DO YOU HAVE SOMEONE IN GREELEY THAT WOULD BE WILLING TO CO-SIGN A BOND FOR YOU? NO MARITAL STATUS: SINGLE # OF DEPENDENTS: 1 HOW MANY TIMES HAVE YOU FAILED TO APPEAR IN COURT BEFORE?: 0 OCCUPATION: BARTNEDER CURRENT EMPLOYER: MICHAEL'S SALOON EMPLOYER ADDRESS: 911 CARBONDALE DACONO CO HOW LONG EMPLOYED: 6W SUBJECT'S CHARACTER/REPUTATION (if known): IS SUBJECT IDENTITY IN QUESTION?: NO EXPLAIN: SB KNOWN TO OFFICERS, AND HAS A VALID I.D. PERSONAL PROPERTY SEIZED BY ARRESTING AGENCY? Cash:$0.00 Silver:$0.00 Watch:0 Belt:0 Keys:0 Billfold:0 Shoes:BLACK TENNIS SHOES Other: Property Disposition:TURNED OVER TO WCSO Signature: - SUBJECT'S ACTION: NARRATIVE: SB TAKEN INTO CUSTODY FOR BURGLARY AFTER BEING FOUND BY OFFICERS IN A RESIDENCE THAT WAS FORCIBLY ENTERED, AND HAD BEEN RANSACKED. FURTHER INFORMATION DISCLOSED THAT THE SB HAD CONSPIRED TO COMMIT THE BURGLARY WITH A FRIEND. OFFENSE CRS/ MUNICIPAL CODE 18-04-203 18-02-201 M •o1-4/0 OFFENSE CODE CHARGES 3 F 2ND DEGREE BURGLARY 4:F CONSPIRACY TO COMMIT BURGLARY crA .4 e....e etury s.cr,r#- - It-c-ELrn rru.cin...L. 95 22 S2 CASE DESCRIPTION VICTIM: ADDRESS: DESCRIPTION OF INJURIES, LOSS, DAMAGE, etc.: MULTIPLE VICTIMS: NO EXPLAIN: ARREST INFORMATION ARREST LOCATION: 504 GLEN AYRE ST ARREST DATE: 08/08/1996 ARREST TIME: 22:22 OFFENSE LOCATION: 504 GLEN AYRE ST OFFENSE DATE: 08/08/1996 OFFENSE TIME: 22:22 FACTS INDICATING SUSPECT MAY CONTINUE TO VIOLATE LAWS, HARASS, OR INTIMIDATE WITNESS OR FLEE JURISDICTION IF RELEASED: SB TAKEN INTO CUSTODY AFTER AFTER OFFICERS FOUND HIM IN A RESIDENCE THAT HAD BEEN FORCIBLY ENTERED, AND RANSACKED. FURTHER INFORMATION REVEALED THAT THE SB. HAD CONSPIRED WITH A FRIEND TO ENTER THE HOUSE TO TRY AND RETRIEVE A STOLEN GUN THEY BELIEVED WAS IN THE RESIDENCE VEHICLE VEHICLE IMPOUNDED: LOCATION OF IMPOUND: ARRESTING OFFICER: AUTHORIZING DEPUTY SIGNATURE. BOND R,F�Ot ENDATION: CASH/SURETY 4( DATE: aS-G(4`Cr TIME: ems SAID THAT DEFENDANT AND MICHAEL LEFT BY THEMSELVES. JEFF SAID THAT HE THEN WALKED UP TO THE LOCATION WHERE THE CAR WAS BEFORE, AND THAT HE SAW DEFENDANT AND MICHAEL WALKING UP l!-. TO THE HOUSE. JEFF SAID THAT MICHAEL TOLD HIM TO WAIT IN THE CAR, AND NOT TO TOUCH THE L DRINKS BECAUSE THEY WERE GOING TO NEED THEM WHEN THEY WERE DONE. I THEREFORE BELIEVE THE DEFENDANT DID COMMIT CONSPIRACY TO COMMIT 2ND DEGREE BURGLARY, AND 2ND DEGREE BURGLARY, BY PROMOTING AND FACILITATING, AND DOING AN OVERT ACT IN THE PURSUANCE OF THE CRIME OF 2ND DEGREE BURGLARY, BY AGREEING WITH ONE OR MORE PERSONS THAT THEY WOULD ENGAGE IN CONDUCT CONSTITUTING A CRIME, AND BY AGREEING TO AID ANOTHER PERSON IN THE PLANNING, OR COMMISSION OF A CRIME, AND BY KNOWINGLY BREAKING AN ENTRANCE TO, AND ENTERING A DWELLING WITH THE INTENT TO COMMIT A CRIME THEREIN, AGAINST A PERSON, OR PROPERTY. HAVING ESTABLISHED PROBABLE CAUSE THAT THE DEFENDANT DID COMMIT THESE CRIMES, I RESPECTFULLY REQUEST THAT THE DEFENDANT BE INCARCERATED IN THE WELD COUNTY JAIL UNTIL SUCH TIME AS HE CAN POST BOND. Subscribed and sworn to before me this Expiration date: CT7- 3 /- IS — Address lnam- ≤)L C/✓ y i7 After reviewing the above Affidavit in support of Warrantless Arrest, I find: There is probable cause for the arrest. _ There is not probable cause for the arrest and the Defendant is released from custody. Date: Judge Page 2 of DEFENDANT: BONE JEFFERY R DOB: 05/11/1965 CASE NO. 96-1192 ARRESTING AGENCY: DACONO POLICE DEPARTMENT DATE OF ARREST: 08/08/1996 17- CHARGE(S): CHARGE STATUTE NO. CLASS 1. 2ND DEGREE BURGLARY 18-04-203(1)(2) 3 F 2. CONSPIRACY TO COMMIT 2ND DEGREE BURGLARY 18-02-201 L F 3. 4. AFFIDAVIT IN SUPPORT OF WARRANTLESS ARREST Officer SKAGGS, being duly sworn upon oath says that there is probable cause for the warrantless arrest of the above -named defendant for the charge(s) stated above, and that the following facts are true and correct to the best of his/her knowledge, information, and belief and support the arrest of the defendant: THAT ON 08/08/96, AT APPROX. 2222 HRS. THIS AFFIANT, AND SGT. JIM TORREZ RESPONDED TO A CALL AT 504 GLEN AYRE ST. CITY OF DACONO, COUNTY OF WELD, STATE OF COLORADO, ON A REPORT OF A BURGLARY IN PROGRESS. UPON OUR ARRIVAL IN THE AREA, I OBSERVED A RED CORVETTE THAT HAD BEEN DESCRIBED IN THE ORIGINAL CALL. UPON CONTACT WITH THE CORVETTE, THERE WAS A MALE IN THE FRONT PASSENGER SEAT KNOWN TO ME AS JEFFERY BONE, HEREAFTER REFERRED TO AS DEFENDANT. I ASKED THE DEFENDANT WHAT WAS HAPPENING, AND HE SAID THAT HE DID NOT WANT TO GET INTO TROUBLE, AND HE WAS ACTING VERY NERVOUS WHILE I WAS TALKING TO HIM. THE DEFENDANT TOLD ME THAT HE WAS THERE WITH TWO OTHER GUYS, AND THAT HE WAS WAITING FOR THEM. I ASKED HIM WHAT WAS GOING ON, AND HE SAID THAT THEY WERE THERE TO GET A STOLEN GUN. I ADVISED SGT. TORREZ WHAT THE DEFENDANT HAD TOLD ME, AND AS I DID HE TOLD ME THAT HE COULD HEAR NOISES IN THE HOUSE, AND THAT THE INSIDE WAS "BEING RANSACKED." HE THEN INSTRUCTED ME TO PLACE THE DEFENDANT INTO HANDCUFFS, UNTIL AT LEAST AT SUCH TIME WE COULD SECURE THE SCENE. WE APPROACHED THE RESIDENCE, AND AS WE DID OBSERVED A MALE IN THE DOORWAY AT 504 GLEN AYRE ST. ALL WAS DARK INSIDE, AND WE ORDERED THE MALE OUT AT GUNPOINT, AND THEN ORDERED A SECOND MALE OUT. WE THEN SECURED THE RESIDENCE, AND IDENTIFIED THE TWO MALES IN THE HOUSE AS MICHAEL JOHNSON, AND DANNY SARCHET. THE RESIDENCE HAD BEEN FORCIBLY ENTERED, AND FORCIBLY RANSACKED. THE DEFENDANT WAS TAKEN TO THE DACONO POLICE DEPARTMENT FOR AN INTERVIEW. THE DEFENDANT WAS READ HIS MIRANDA RIGHTS, AND UNDER ADVISEMENT MADE THE FOLLOWING STATEMENT: THAT DANNY HAD TOLD HIM TO COME INTO THE OFFICE, AND ASKED HIM IF HE KNEW A MALE NAME OF LEONARD MACY, AND ASKED HIM WHERE HE LIVED. DEFENDANT SAID THAT HE KNEW LEO MACY, AND ASKED WHY HE WANTED TO KNOW, AND DANNY SAID THAT HE BELIEVED THAT LEO HAD STOLEN A GUN FROM THE OFFICE AT THE BAR. DANNY THEN TOLD DEFENDANT "LET'S GO FOR A RIDE'" DEFENDANT THEN SAID HE AND DANNY DROVE TO THE HOUSE AT 504 GLEN AYRE ST. AND DANNY PARKED DOWN THE STREET FROM THE HOUSE. DEFENDANT THEN SAID DANNY TOLD HIM THAT HE WAS GOING TO "DO WHAT HE COULD TO GET THE GUN BACK." DEFENDANT SAID THAT DANNY TOLD HIM THAT HE WAS GOING TO GO UP TO THE HOUSE AND SEE IF ANYONE WAS THERE, AND IF THERE WAS NOT HE WAS GOING TO BREAK THE DOOR DOWN, AND THAT /gE WAS GOING TO GET THE GUN BACK. DEFENDANT SAID THAT HE WAITED IN THE CAR, AND DLIJIY,RE$URNED A SHORT TIME LATER, AND Subscribed and sworn to before me this Expiration date: C/ -,j/. ;i6 — Address: C//fn y S27 ifi Affiant'E/signature of gvo—UST , 199E, 2 Notary Public Jll /ic ...:O Co Moor After reviewing the above Affidavit in support of Warrantless Arrest, There is probable cause for the arrest. _ There is not probable cause for the arrest and the Defendant is rel custody. Date: Judge Page 1 of THEY BOTH WENT BACK TO THE BAR. DEFENDANT WENT ON TO SAY THAT WHILE BACK AT THE BAR, DANNY PULLED HIM ASIDE AGAIN AND SAID THAT HE AND MICHAEL WERE GOING FOR A RIDE. DEFENDANT SAID THAT DANNY AND MICHAEL LEFT BY THEMSELVES. DEFENDANT THEN SAID THAT HE ` WALKED UP TO THE LOCATION WHERE THE CAR WAS BEFORE, AND SAW DANNY AND MICHAEL GOING TO TO THE HOUSE. DEFENDANT SAID THAT MICHAEL TOLD HIM TO WAIT IN THE CAR, AND NOT TO TOUCH THE DRINKS BECAUSE THEY MIGHT NEED THEM WHEN THEY GOT DONE. DEFENDANT THEN WAITED IN THE CAR, AND THEN THE POLICE SHOWED UP. I THEREFORE BELIEVE THAT THE DEFENDANT DID COMMIT CONSPIRACY TO COMMIT 2ND DEGREE BURGLARY BY INTENDING TO PROMOTE OR FACILITATE THE COMMISSION OF A CRIME, HE AGREED WITH ANOTHER PERSON OR PERSONS THAT THEY WILL ENGAGE IN CONDUCT WHICH CONSTITUTES A CRIME, OR AN ATTEMPT TO COMMIT A CRIME, BY KNOWINGLY SHOWING THE OTHER TWO PARTICIPANTS WHERE THE SUBJECT OF THEIR CONCERNS LIVED, AND KNOWING THAT THEY INTENDED TO RETRIEVED THE STOLEN GUN BY BREAKING IN THE HOUSE. HAVING ESTABLISHED PROBABLE CAUSE, IT IS RESPECTFULLY REQUESTED THAT THE DEFENDANT BE INCARCERATED IN THE WELD COUNTY JAIL UNTIL SUCH TIME AS HE CAN POST BOND. Subscribed and sworn to before me this Expiration date: O/.3„/ - Address: -5-7Z C//LFl i yT' Notary Public dalta4-4) Co 7/7 Affiant'. signature of ,9d<-icr , 1 After reviewing the above Affidavit in support of Warrantless Arrest, I find: _ There is probable cause for the arrest. There is not probable cause for the arrest and the Defendant is released from custody. Date: Judge Page 2 of G Dacono Police Department `' Statement of Miranda Rights Date: me:_f l4Z Name: 'rt¢Pf1_,c ✓oi/.�So� Age: 5/6 DOB: S.S. Number: - DL t: State:___ Wti.2& Hair: L /_ Eyes: geee.,V Scars or Tattoos: 4k -SAM/ 61'ale fgrde t. POB:L.E-'f-�'T %SFr- -1-a- I) You have the right to remain silent. 2) Anything you say or do can and will be used against you in a court of law. 3) You have the right to talk to a lawyer and have him present with you while you are questioned. 4) If you cannot afford a lawyer one will be appointed to you before any questioning if you wish. 5) You can decide at any time to use these rights and stop answering questions or refuse to make a statement. I have read the above statement of my rights and I understand each of those rights, and having these rights in mind: I waive them will' sly , �� a st-. ment. (sign I refuse to make a state ' t at this time. (Sign) Parent signature if juvenile: Location:: prAtr /'e/e4 Case Report tt: 96-%/ Witnessed by: aaa Date: $ %% --- t. itnessed by: Date: End Time: 3A,2/.fliyy� Juvenile Adult (II juvenile, parent must sign also and rights must be read with parent present.) or THE ROOM, OPENED DRESSER DRAWERS AND POKED A HOLE IN THE WATERBED LINER. AFTER PROCESSING THE SCENE, YOUR AFFIANT RETURNED TO THE STATION. it) YOUR AFFIANT THEN INTERVIEWED THE SUSPECT, MICHAEL JOHNSON, ON VIDEOTAPE. THE SUSPECT WAS FORMALLY ADVISED OF HIS MIRANDA RIGHTS. MR. JOHNSON AGREED TO WAIVE HIS RIGHTS AND AGREED TO MAKE A STATEMENT. IR. JOHNSON SAID THAT HE HAD RECEIVED INFORMATION THAT HIS GUN WAS STOLEN FROM THE MICHAELS SALOON EARLIER IN THE WEEK AND THAT THE PEOPLE THAT LIVED AT 504 GLEN AYRE WERE THE SUSPECTS THAT HAD STOLEN HIS GUN. MR. JOHNSON AND MR. SARCHET AND MR. BONE DROVE TO THE ADDRESS AND THAT MR. BONE WAITED IN THE CAR. MR. JOHNSON SAID THAT HE WAITED AT THE CAR FOR AWHILE, BUT THAT LATER, HE WALKED UP TO THE DOOR TO FIND MR. SARCHET. AFTER POINTING OUT SOME INCONSISTENCIES, MR. JOHNSON ADMITTED TO GOING UP TO THE HOUSE WITH MR. SARCHET AND THAT MR. JOHNSON PULLED BACK ON THE SCREEN AND THAT DANNY WAS THE ONE THAT BROKE THE OTHER FRONT WINDOW. MR. JOHNSON ADMITTED TO HOLDING OPEN THE SCREEN SO THAT DANNY COULD ENTER THE HOUSE. ONCE INSIDE THE HOUSE, THE SUSPECTS WENT TO A BACK BEDROOM AND MR. JOHNSON USED A HAMMER TO FORCE OPEN THE BEDROOM DOOR. ONCE INSIDE, HE AND DANNY RANSACKED THE BEDROOM LOOKING FOR THE STOLEN GUN. MR. JOHNSON ALSO ADMITTED TO ACCIDENTALLY POKING A HOLE IN THE WATERBED WITH THE HAMMER. AFTER RANSACKING THE BEDROOM, HE AND DANNY WENT TO THE SECOND BEDROOM AND THAT DANNY KICKED OPEN THE DOOR. MR. JOHNSON ADMITTED TO RANSACKING THE DRESSER IN THAT ROOM BUT DENIED TO BREAKING THE GLASS JAR THAT HELD THE COINS THAT WAS SITTING UP ON THE STEREO CABINET. MR. JOHNSON ADMITTED THAT HE DID NOT HAVE PERMISSION TO ENTER THE RESIDENCE AND THAT IT WAS NOT HIS RESIDENCE, NOR THAT OF DANNY SARCHET OR THAT OF JEFFREY BONE. MR. JOHNSON SAID THAT HE WAS ONLY CONCERNED WITH GETTING HIS GUN BACK. THE SUSPECT ALSO ADMITTED TO NOT REPORTING THE THEFT OF THE GUN TO THE POLICE FROM THE BAR WHEN IT HAPPENED. HE SAID THAT THE REASON THAT HE DID NOT REPORT IT WAS BECAUSE DANNY HAD SAID THAT'HE COULD TAKE CARE OF IT BY HIMSELF. HAVING SHOWN THAT THERE IS PROBABLE CAUSE TO BELIEVE THAT THE SUSPECT COMMITTED THE OFFENSES LISTED ABOVE, IT IS REQUESTED THAT HE BE HELD TO ANSWER TO THE CHARGES IN DISTRICT COURT. Subscribed and sworn to before me this Expiration date: Address: -57-2l- G4`£ZZY sT, rh /ii9 c cA)ln Affiant's signatur Notary n� s'os#y After reviewing the above Affidavit in support of Warrantless Arrest, I find: _ There is probable cause for the arrest. There is not probable cause for the arrest and the Defendant is released from custody. Date: Judge Page 2 of eSZi'' 1a;56;52 PRINT REQUESTED BY TERMINAL DAC F DMV0000.0E/1e'9t, 13:55:21 T2T ATTN: CAR 623 NAME: JOHNSON MICHAEL S ADDRESS: 207 CUMBERLAND 6AP RD NEDERLAND Cu MAKE: CHE STYLE: 2D YEAR: l987. LICENSE: LICENSE STATE: CO LICENSE EP: 0792. VIN: 161YY31S1H5106174 TITLE: 07M946666 TAB: SS74Sa4. PASSENGER .REGULAR CCIC INFO MAY BE USED FOR CRIMINAL JUSTICE PURPOSES ONLY. ** ONLY COLORADO DMV FILES WERE SEARCHED AS A RESULT OF YOUR REQUEST ** @8/@9/9e 13:4@:2e PRINT RE@UESTEt' BY TERMINAL DAE �9Za6 15:99:a2 message received from NCIC *** ATTENTION: ?AE 62_ ELO1DAC 2622 CO@b2eee@ THIS INTERSTATE IDENTIFICATION INDEX RESPONSE IS THE RESULT OF YOUR RECORD RE@UEST FOR FBI/711026TA7. THE RECUR! MAY BE OBTAINED FRUm FILES WITHIN YOUR STATE. THE INTERSTATE IDENTIFICATION INDEX CONTAINS NO ADDITIONAL DATA. END @ SZ29z96 174:42■42 PRINT RE@VESTED eY TERMINAL DAC E X9/96 13:40:53 message received from NCIC 4-. ATTENTION: CAR 622 : LO1BAC 2622 COe620800 THIS NCIC INTERSTATE. IDENTIFICATION INDEX MULTIPLE RESPONSE IS THE RESULT OF YOUR IN@UIRY ON NAM/JOHNSON, MICHAEL SEX/M RAC/W DOB/ PUR/C NAME JOHNSON, MICHAEL STEVEN FBI NO. INQUIRY DATE 900715H 0S/09x96 •E. RACE BIRTH DATE HEIGHT WEIGHT EfEB HAIR BIRTH PLACE M W 511 125 BRO SRO ILLINOIS 'INiERRRINT CLASS DO PI 12 PM 05 AA 09 08 15 10 4LIA5 NAMES JOHNSON, MICHAEL )THER 3IRTH DATES SOCIAL SECURITY MISC NUMBERS AS-2S6447Caa :DtNTIFICATION DATA UPDATED 07/10/96 HE CRIMINAL HISTORY RECORD 15 MAINTAINED AND AVAILABLE FROM THE END 0E4/09,96 13:47:46 PRINT REQUESTED E'1'` TERMINAL DAL: TN: r.2: ATTENTION: SGT GREGG LCITSPEIC:H COLORADO BUREAU OF INVES TIGATI Jr F'AiE 4 1 CRIME INFORMATION CENTER 690 KIPLING STREET, #t'3000, DENVER, COLORADO 80215 3/23--42�: THIS IDENTIFICATION RECORI:D, FOR LAWFUL USE ONLY, SUMMARIZES INFORMATION SENT TO THE CBS BY FINGERPRINT CONTRIBUTORS IN COLORADO. WHERE DISPOSITION IS NOT SHOWN C tR FURTHER EXPLANATION OF A CHARGE OR DISPOSITION IS DESIRED, CONTACT THE AGENCY THAT FURNISHED THE FINGERPRINTS. ONLY THE COURT OR THE DISTRICT MTTORNEY IN WHI4RE OFFICE A FINAL 1:'ISF'OST T I? IAN C lf:CE_IRREI:' CAN PROVII:'E A CERTIFIED CCIF'Y OF THAT DISPOSITION. STATE LAW GOVERNS ACCESS TO SEALED RECORDS. UNLESS FIPILaERF'RINTS AC:C:OMPANIED YOUR INQUIRY, WE CANNOT GUARANTEE THIS RECORD RELATES TO THE PERSON IN WHOM YOU HAVE AN INTEREST. BECAUSE ADDITIONS AND DELETIONS MAY BE MADE AT ANY 1 _, A NEW COPY SHOULD BE REQUESTED WHEN NEEDED FOR SUBSEQUENT USE. COLORADO STATE ID R: 34192 NAME (S) USED: PHYSICAL: JOHNSON, MICHAEL. STEVEN W M 6Q0't 1 BF:O'BRO SKIN: DATE(R) OF BIRTH: PLACE (S) OF BIRTH: IL S`'ARS: MARI{::S: =C R CHk:: '3C. R EAR TAT L ARM SOCIAL SECURITY NO(S): _ ) . : COMKE9T5: AFIS CONTRIBUTOR NAME < DATE CHARGE / ARREST# / CASE# / MNU DISPOSITION C0003o100 100 JOHNSOt4, LARCENY PD ENwLEWUOD MICHAEL STEVEN UNDER $50 ARREST 4 79-12488 DATE - @5/26,79 MISIEMEANUR OFFENSE DATE: @5,28/79 DISPO: COURT DISMISSAL DISPO D§TE: 81318788 ITE% g@el»2)5 000030000 JOHNSON, .HOE COUNTY SHE MICHAEL STEVEN RIFF - LITTLETON DATE - 01/20/§@ ARREST 4 991436 ITEM 4002/025 FAILURE TO APPEAR -SEE MIS OFFENSE DATE; @1/3@/80 RAGE 4 ! --- Z N: 622 PAGE # 2 ATTENTION: SGT GREGb LOTSPEICH COLORADO STATE ID #: 34192 ORI z CONTRIBUTOR NAME Z DATE CHARGE / ARREST# / CASE# MNL ' DISPOSITION 000030000 JOHNSON, TRAFFIC OFFENSE ARAPAHOE COUNTY SHE MICHAEL STEVEN F - LITTLETON DATE - 01/30/S0 RRRES] # 3914. 000010000 JOHNSON, OFFENSE DATE: 01/0/&:0 ITEm #@@?zees FUGITIVE OTHER JURISDICTION ADAM; COUNTY SHERIF MICHAEL STEVEN FOJ SU ESCAMBIA FL FTA/BADCHECKS F - BRIGHTON DATE - 12/23/85 ARRE2u 4 59279 ITEM 4004/005 CODRD0000 JOHNSON, CARRYING CONCEALED WEAPON -PD DENVER MICHAEL STEVEN MISDEMEANOR ARREST # 910132 DATE - 27/26/95 MNU:OA-494857 ITEM #005/0@5 ADDITIONAL ADDRESES: @52879 218@ s BANNOCE DENVER @1'. 17140 E PROGRESS CR AURORA 122)85 8872 LOWELL BLVD 072695 566 PINE GLADE RD DENVER, CO OCCUPATION§: 072695 LABOR - END OF RAGE # 2 - Di N: 623 PAGE #i ATTENTION: N: SGT GREG LOTSFEICH COLORADO STATE IL, IT: 41"2 :4::,: :3: --- END OF PAGE # --- ---- END OF RECORD ---- ------- OS/09/96 i347MT THE ABOVE INFORMATION IS PROVIDED STRICTLY. FOR AND IS LIMITED :1: • THE OFFICIAL USE OF CRIMINAL JUSTICE AGENCIES :e:i * :4::, ALL ARRESTS AND CHARGES SUPPORTED RY FINGERPRINTS AT THE CBI ___ --- HAVE BEEN INCLUDED IN THIS RECORD --- 08/09/96 13:49:12 F'FIN I REQUESTED BY TERMINAL IDAC: i' 09/9i; 1:±: 47:I:4 M' -sag= received fr-corn NCIC. *** ATTENTION: CAR 622 FLIP 1 I,AI_: ::62ti: 1:n0620800 00 THIS INTERSTATE IDENTIFICATION INI:DE:. RESPONSE IS THE RESULT OF YOUR RECORD REQUEST FOR FEI/'900715H. THE FC'LLCIWINC: WILL RESF'CINI; TO YOUR AGENCY: FBI - FBI/900715H O:_;/09/fit. 13:49:46 46 PRINT REQUESTED BY TERMINAL 08/09/96 13:4-f:28 Message received fir =iris NLi _ *:'' ATTENTION: CAR 623 4L01i' C 26 I:00620800 ;TN, '_;63 GREGG LOTSPEIC:H EHIS F:EC:OR:L:' IS BASED ONLY ON THE FEI NUMBER IN YOUR REQUEST -900715H. I715H. EC_AUSE ADDITIONS OR DELETION:; MAY BE MADE AT i'NY TIME, A NEW COPY HOIILI:' BE REQUESTED WHEN NEEI:'EI_' FOR SUBSEQUENT USE. - FBI IDENTIFICATION RECORD - JHEN EXPLANATION OF A CHARGE OR DISPOSITION IS NEEDED, COMMUNICATE 'IREI=TL'i WITH THE AGENC} THAT FURNISHED THE I:'ATA TO THE FBI. IHME CIHNSCIN, MICHAEL STEVEN FBI NO. DATE REQUESTED 900715H OIL:/0' / r. SE% RACE BIRTH DATE HEIGHT WEIGHT EYES HAIR BIRTH PLACE M W 511 125 SRO 8RO ILLINOIS F IERRRINT CLASS DO PI 12 PM 05 AA e9 OS 15 to 1 -ARRESTED OR RECEIVE, 10/@6/67 AGENCY -POLICE DEPARTMENT WAUKEGAN (IL04921I! AGENCY CASE -E55 CHARGE 1-ATT I 2 -ARRESTED OR RECEIVED 05/22/71 AGENCY -POLICE DEPARTMENT LAKE BLUFF (IL0490900) AGENCY CASE -71:@99 CHARGE 1-11-502 IVC DRAM SHOP 3 -ARRESTED OR RECEIVED 12/27/72 AGENCY -POLICE DEPARTMENT ZION (IL0492300) AGENCY CASE -@121256§ CHARGE 1-T OVER $150 4 -ARRESTED OR RECEIVED 05/28/79 AGENCY -PO ICE DEPARTMENT ENGLEWOOD (C0000100) AGENCY: ASE -791248@ CHARGE 1-T UNDER $50-34 §-HpRESTED OR RECEIVED 05/20/86 AGENCY -SHERIFF'S OFFICE PENSACOLA (FL@170000) AGENCY CASE -66281D DR 8404 (02J94) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 80261 COLORADO LIQUOR OR 3.2 % FERMENTED MALT BEVERAGE LICENSE APPLICATION 1. Applicant is a Corporation (Attach DR 8177) Partnership (Attach DR 8441) ❑ . Individual (Attach DR 8404-1) Limited Liability Company (Attach DR 8405) Date filed with Local Authonty I m/ t0 F.E.I.N. ta. Name of Applicant(s) If partnership, list partners' names (at least two); if corporation, name of corporation M q InHNgnN CORP Social Security No. Establishment (DBA) , ^ A•S 2. Trade Name of .42-L1 r;ha L's Oo-4Don%n TI Terri GZ-C t �Q �d la.. State Sales T No. 23-7 Sri siness Telephone ee 8 : iteaee es 3. Address of Premises (specify exact location t premises c—�c—C--Bc11 La far ono#e City ❑ccono County WCL 0 —0$ State ZIP Code =�1^ 4. Mailing Address (Number and Street) City or Town State ZIP Code 5. If the premises currently have a liquor or beer license, you MUST answer the followin question: Pr se / �Traye /N��ypao 11/�( Establishment DBA ame' T,Q).'jJ�iJ& scat �odSsff Pr t S n e o. senlT ao71i0ED X - �' I - sent Expiration ate 5'9� 6. Is the applicant (including any of the partners, if a partnership; members or manager if a limited liabilitycompany; or officers, stockhold- Yes NQ' ers or directors if a corporation) or manager under the age of twenty-one years? - ❑ L✓J 7. Has the applicant (including any of the partners, it a partnership; members or manager if a limited liability company; or officers, stockhold- ers or directors if a corporation) or manager ever; (a) been denied an alcoholic beverage license? (b) had an alcoholic beverage license suspended or revoked? (c) had interest in another entity that had an alcoholic beverage license suspended or revoked? If you answered yes to 7a, b or c, explain in detail on a separate sheet. • • ❑ , ' L7 8. Has a liquor license for the premises to be licensed been refused within the preceding two years? If 'yes,' explain in detail. 8a. Has a 3.2 beer license for the premises to be licensed been refused within the preceding one year? If 'yes,' explain in detail. ❑ ■ Er 9. Are the premises to be licensed within 500 feet of any public or parochial school, or the principal campus of any college, university or seminary? • t 10. Has a liquor or beer license ever been issued to the applicant (including any of the partners, if a partnership; members or manager if a limited liability company; or officers, stockholders or directors if a corporation)? If yes, identity the name of the business and list any ■ fg' current financial interest in said business including any loans to or from a licensee. 11. Does the Applicant, as listed on this license will be issued by virtue E Ownership [ Lease line la of this application, have legal possession of the premises for at least 1 year from the date that of ownership or under a lease? (If yes, attach a signed copy of deed or lease.) ] ■ ■ Other (Explain in Detail) a. If leased, list name of landlord and tenant, and date of expiration, EXACTL as they appear n the lease: 'Landlord JLM Partnership Tenant M c Johnson Cnrp Expires pir/ 'C Attach a diagram of the area to be licensed (including dimensions) which shows the bars, walls, partitions, entrances, exits and what each room shall be utilized for in this business. This diagram should be no larger than 8 1/2' X 11'. (Doesn't have to be to scale) 12. Who has (including persons, firms, partnerships, corporations, limited liability companies) or will loan or give money, inventory, furniture or equipment to or for use in this business; or who will receive money from this business. Attach a separate sheet if necessary. NAME ADDRESS rNTEREST Mirth,el qt=can lolroon Nederland, Co 80466 207 Cumberland Gap Ad 100% Attach copies of all notes and security instruments, and any written agreement or details of any oral agreement, by which any person (including partnerships, corporations, limited liability companies, etc) will share in the profit or gross proceeds of this establishment, and any agreement relating to the business which is contingent or conditional in any way by volume, profit, sales, giving of advice or consultation. 13. Optional Premises or Hotel and Restaurant Licenses with Optional Premises All Optional Premises applicants must attach a copy of the local ordinance or resolution authorizing the issuance of Optional Premises licenses. Number of separate Optional Premises areas requested None DR 8404 (2/94) Page 2 ^ 14. Liquor Licensed Drug Store applicants, answer the following: Yes No (a) Does the applicant for a Liquor Licensed Drug Store have a license issued by the Colorado Board of Pharmacy? COPY MUST BE ATTACHED. ■ E 15. Club Liquor License applicants answer the following and attach DR 8177: (a) Is the applicant organization operated solely for a national, social, fraternal, patriotic, political or athletic purpose and not for pecuniary gain? E ❑ (b) Is the applicant organization a regularly chartered branch, lodge or chapter of a national organization which is operated solely for the object of a patriotic or fraternal organization or society, but not for pecuniary gain? ❑ E (c) How long has the club been incorporated? (d) How long has applicant occupied the premises (Three years required) to be licensed as a club? 16. Colorado Manufacturer, Wholesaler or Limited Winery applicants, answer the following: (a) Will the applicant store or sell alcoholic beverages at more than one location in Colorado? If "yes," provide the address of each location and explain the activity to be conducted at each location (e.g., warehouse, salesroom, etc.) (Attach DR 8438 for each location) ❑ ❑ (b) If applicant is a wholesaler, does or did any owner, partner, shareholder, director, officer, member or manager have any direct or indirect financial interest in a wholesaler, retailer, manufacturer or importer already licensed by the State of Colorado to sell malt, vinous or spirituous liquor? If yes, attach explanation in detail. ❑ • (c) Does the applicant have a valid Federal Basic Permit or Brewers Notice? If °yes," attach a copy; if 'no," explain whether one has been applied for. E • 17. Nonresident Manufacturer (3.2% beer or malt liquor) or Importer (3.2% beer, malt, vinous or spirituous liquor) applicants, answer the following: (a) To what Colorado licensed wholesaler do you intend to ship your merchandise? (b) Does or did any owner, partner, shareholder, director. officer, member or manager have any direct or indirect financial interest in a wholesaler. retailer, manufacturer or importer already licensed by the State of Colorado to sell malt, vinous or spirituous liquor? If yes, attach explanation in detail. ❑ E (c) Does the applicant have a valid Federal Basic Permit or Brewers Notice? If 'yes," attach a copy; if 'no," explain in detail. ❑ ❑ (d) Are you the primary source of supply in the U.S.? If "no," explain. ❑ ■ (e) Are all your products registered in Colorado? If 'no," attach DR 8440 and register said products. E ❑ 18. Name of Manager (If this is an application tor a Hotel and Restaurant License, the manager must also submit a Manager Registration Form (DR 8367) and Individual History Record (DR 840 -I lJCN4B.G r. Vi/We& Date of Birth OATH OF APPLICANT I declare under penalty of perjury complete to the to best kno in the second degree that this application and all attachments are true, correct, and ed e. Authorized Signs /% Title President Dale June 21, 1996 PORT AND APPROVAL OF LOCAL LICENSING AUTHORITY (Manufacturers, nonresidentmanufacturers, importers, wholesalers, limited wineries, and public transportation licensees disregard the section below) Is this application for a: ❑! New License X Transfer of Ownership ❑ Other (specify) Each person required to file DR 8404-I: Yes No Has been fingerprinted IE ❑ Background, NCIC and CCIC checked (k ❑ The liquor licensed premises is ready for occupancy and has been inspected by the Local Licensing Authority. Ik ❑ If "no," the building will be completed and ready for inspection by (dale) The foregoing application has been examined: and the premises, business to be conducted, and character of the applicant are satisfactory. We do report that such license, if granted, will meet the reasonable requirements of the neighborhood and the desires of the inhabitants, and will comply with the provisions of Title 12, Article 46 or 47, C.R.S. THEREFORE, THIS APPLICATION IS APPROVED. Local Licensing Author to 'L� � �y ■ TOWN, CITY COUNTY / Si azure Tit //'�' t Date 4:, / 6, 7% . Ac./,rJ�,/ %sty,, t/J,t.�/G// /A�J� °-/!L�'//l/ICi T! `VI�Catt T�in�e /r-/-� ��jjj �j //�� // ,� flX.t cute[ da 1L�i 1 sitic+ . Date �r v/// ��U / sF remises are located within a town or city, the above approval sh d be signed by he mayor and clerk. if in a county, then by the chairman of the board of county commissioners and the clerk to the board. If, by ordinance or otherwise, the local licensing authority is some other official, then such approval should be given by such official. 4- 4 eraFeAk.:1-4-Cr"- Zatio y 1< cLO4a Jobg -� .)13100 DR 8404-i (02/94) ._ COLORADO DEPARTMENT OF REVENUE, UOUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 80261 4 INDIVIDUAL HISTORY RECORD To be completed by each Individual applicant, all general partners of a partnership, all limited partners owning 10% (L partnership; all officers and directors of a corporation, all stockholders of a corporation owning 10% (or more) of the ato. corporation; all limited liability company MANAGING members, orother limited liability company members with a 10% t. ownership interest in such company and all managers of a Hotel and Restaurant license. NOTICE: This individual history record provides basic information which is necessaryforthe licensing authorities investigation. ALL que, must be answered in their entirety. EVERY answer you give will be checked for its truthfulness. A deliberate falsehood will jeopardi2 application assuch falsehood within Itself constitutes evidence regarding the character of the applicant 1.�1isms of Business ,• , Date YY;LhaaL`JGcLGcn C�r'✓IA5 6tGr.avvd� TOA-ga • ' - - - Tccaic•i-rr_'a•e'e .1tArs_21 2. Your Full Name (last, first, middle) Johnson Michael Steven 4. Mailing Address (if different from residence) 207 Cumberland Gan Rd. 5. Residence Address (street and number, city, state, ZIP) 207 Cumberland G Rd No de d Land r•n andGR 6. Date of Birth If Naturalized, state where Place of Birth Gre at Lakes T11 Social Seainty Numbers) - 3. Also Known As (maiden name/nicknam Home Telephone When 7. U.S. Citizen? 4 Yes N Name of U.S. District Court Naturalization Certificate Number Date of Certificate Ilan Alen, Give Mien's Registration Card Number. Permanent Resaenre Card Ni 8. Height 6'0" 10. Name of Present Employer Self employed 12. Address of Business Where Employed (street number. city, state, ZIP) Home Addre^s 13. Present Position Owner 14. Mantel Status Single 16. Spouse's Date of Birth Weight Hair Color 1 R r Eye Color Br. Sex Male Race Cawc 9. Do You Have a curent Drivers License? If yes. give number, & ste Yes No 11. Type of Business or Employment Contractor Business Telephone 2fl R 7c1A-71 1 15. Name of Spouse (include maiden name if applicable) Spouse's Place of Birth 17. Spouse's residence address, if different than yours (street and number, city, state, ZIP) 18. Spouse's Present Employer Occupation 19. Address of Spouse's Present Employer 20 List the name(s) of all relatives working in or having a financial interest in the liquor industry. NAME OF RELATIVE RELATIONSHIP TO YOU POSITION HELD NAME OF EMPLOYER LOCATION OF EMPLOYER None 21. Do you now, or have you ever held a State of Colorado Liquor or Beer License, or loaned money, furniture, fixtures, equipment or inventory, to any Colorado Liquor o Licensee? If yes, answer on detail . ❑ Yes nX No CONTINUED ON REVERSE SIDE R 8177 (03/95) COLORADO DEPARTMENT OF REVENUE LOUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET ROOM 600 DENVER CO 80261 (3O3) 866-3741 CORPORATE APPLICANT INFORMATION AND CORPORATE REPORT OF CHANGES Liquor and 3.2 Beer License Submit to Local Authority (Local Authority will submit to State) DO NOT USE THIS FORM TO REFLECT A CHANGE IN PARTNERSHIP. IF THERE IS A CHANGE IN PARTNERSHIP, USE THE DR 8404 AND FILE A CHANGE OF OWNERSHIP WITH YOUR LOCAL LICENSING AUTHORITY. Attach-thefollowing F1 ❑ ■ documentsto this applicant information: Date Stamped Artides of Incorporation if incorporated less than 2 years. - Certificate of Good Standing dated within the last two years if Corporation is at least two old. Certificate of Authority if a foreign corporation. NOTE: All Officers and Directors of the Applicant/Licensee must fill out a DR 8404-I (Individual History Record). All stockholders with a 10% (or more) ownership interest in the Applicant must also fill out a DR 8404-I (Individual History Record). Corporate Applicant Name "" S JOHNSCIM- COaa State Tax Accoj9 N�gbac.^� acs c_) O �/ State Liquor License Number Trade Narne , to `n 4:5 I Q G `, y - in u,tc�-I55A- Don 1.l el o Telephone Number �n� g ,n�� Address of Licensed Premises 409 S 911 Carbondale Or City O3eona State Co ZIP Code -SC-S-1.4 Mailing Address if different than above City State ZIP Code ALL APPLICANTS MUST LIST CURRENT OFFICERS AND DIRECTORS. If currently licensed and this is a change of corporate structure, also identify the Officers/Directors replaced and attach a certificate of good standing, dated within the last two years. Follow instructions in the shaded area above. Attach separate sheet if necessary. CURRENT CORPORATE OFRCERS Name Home Address DOB Replaces President 2O7 Cumberla^d Rd Micl,a-1 Ct0vr Jr h„son Vice -President Treasurer , „ Secretary CURRENT DIRECTORS Name Home Address DOB Replaces 207 Cu„rbcrland rid Mich.acl :Jac., f-.,. Jeh„sot, n Eces tamo Cut. 7°Y6b LIST ALL STOCKHOLDERS AND PERCENTAGE OF STOCK NOW OWNED Is this corporation sub ect to the reporting requirements of the Securities and Exchange Act of 1934? (Publicly traded) ❑ Yes ❑ No If yes, list only those stockholders owning 10% (or more) of the issued stock. If no, list all stockholders. CURRENT STOCKHOLDERS ' Name Home Address DOB to of Stock Now Owned X07 Cumaerlsns = 100% Registered Agent M;cIt, =A1 STe„een lokncen Address For Service Pog 5 oil rrt-nnrl=1a nr n—n.,nn rn F.n=1A OATH OF APPLICANT I declare under penalty of perjury in the seco d degree that this application and all attachments are true, correct, and complete to the best of my knowledge.. / Autho not%/,y \\ \//,// �/_ ./1 Mw. �OI�� Title Rr- iris It Date 6/'1 /9rr• The foregoing changes have been received and examined by the Local REPORT OF LOCAL CENSING. AUTHORITY Licensing Authority. Local Lcensin thorfy`F�o-r� i ! t' �1-C it d ❑ County Town(City Signatyre _ Titl / -�—rff�,� Date 7/© /?e /— tettist u ,(/L./[� CiCi /I Date -%//aV e 6 NOTE: Local authority, for all changes in Corporations, please submit all copies to the Liquor Enforbement Division. An acknowledgment will be returned to the local authority. DR 8417 (07/94) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 80261 '303)866-3741 REQUEST TO CHANGE CORPORATE OR TRADE NAME This application is to be completed by every Licensee requesting to change its corporate or trade name. Applications will not be considered unless •all applicable correspond exactly with the name of applicant, and IMPORTANT: This information must first be filed Town, County) where this business is located. system licenses should return this form directly to with the requisite attachments. The following documents must be attached to VIProcessing document 2/ Required fee ❑ Certificate of Amendment (required for a change of Date Filed with Local Authority (Corporation, Partnership, Individual, Limited questions are fully answered, all the proper fees are attached. with, and approved by, the Local Licensing Manufacturers, importers, wholesalers, and the Colorado Department of Revenue, Liquor this application: from Colorado Secretary of State corporate name only) % —/c --`7‘, Liability Company) supporting documents Authority (City, Public Transportation Enforcement Division, Old Corporate Name o 4 SC 077— FAITERMSES ime. New Corporate Name M S JOHNSON CORP State Liquor License Number Old Tr de Napier,New i /�11� Pliers 70T�� -140 Trade Name/ sy/Al4M tic z sLcpaatibrc/nova- Sales Tax Account Number 3- 7359- Address of Licensed Premis (Street, City, State, ZIP) 909 S 911 Carbondale Dr. Dacono, Co 80514 Phone 'an, a11_?Oc, Mailing Address (Street, City, State, ZIP) Oath of Applicant I declare under penalty of perjury in the second degree that this application and all attachments are true, correct and complete to the best of my knowledge. Authorized Signet Title (if corporation) M s InInnenn r.,r.r Date Jnrra 21, 1896 !!! Report of Local Licensing Authority The foregoing request has been examined by the Local Licensing Authority. Local Licensing Auttlomyv�Foc C / t(\�q_ .799—r e, h 0 ❑ C ty ptowntity natur �,/ Cl1%t T�t�Q! --/!R/,`1%l'Ll-if �/ L�/� Date / /O///� nest �,— �_ oL7i2ia A I. is City/County Clerk Phone No. SO- 3- ' S5-93/1 Date 7—/d-96. ORGANIZATIONAL MEETING M S JOHNSON CORPORATION On June 21, 1996 an orgainizational meeting of M S Johnson Corporation was held. An ititial election was held to elect ❑irectors. Elected was Michael Steven Johnson. Election of officers was then held and elected as President and as Treasurer was Michael Steven Johnson. A contract to purchase a certain business known as Della's Place and Tri-County Steakhouse located in Oacono, Colorado was then discussed. It was determined to purchase said business. To that end Michael Steven Johnson was authorized to sign any and all documents necessary to accomplish the transfer including accepting a leasehold upon the property. Michael Steven Johnson then agreed to capitalize the purchase by putting $25,000 into the company and agreeing to be reponsible for a $25,000 loan to the seller. In return a resolution was passed authorizing the issuing of 50,000 shares to Michael Steven Johnson. There being no further business the meeting was adjourned. Michael Steven Johns Li PURCHASE CONTRACT This Agreement entered into this 21st day of June, 1996 by and between 0 L Scott Enterprises, "seller" and M S Johnson Corporation, "buyer". WITNESSETH: WHEREAS seller is the owner of a business known as Della's Place and Tri-County Steakhouse located in Dacono, Colorado, along with certain furniture, fixtures, equipment and inventory, a list of which is attached hereto as Exhibit "A", and WHEREAS buyer is desirous of buying the same, NOW THEREFORE in consideration of their mutual promises and covenants as hereinafter set forth, the parties agree: I PURCHASE PRICE The purchase price shall be $50,000 payable as follows: $5,000 hereby receipted for. $15,000 at closing. $5,000 t❑ be held in escrow for thirty days for late billings owed by seller. $25,000 by a promisory note, amortised over 10 years with a 4 year baloon, payable at 10% per annum with normal late charge assessments. II Transfer of Business Purchaser agrees to purchase and seller agrees to sell Free and clear from all liabilities and encumbrances those items set Forth in Exhibit A along with the trade style, goodwill and all other items upon the premises as of the day of closing. IIZ Possession of the Premises Possession shall occur upon buyer being granted a liquor license by city and state officials and/or a temporary license, which shall be immediately applied for. Risk of loss shall occur as of the date and time of buyer taking possession. IV Prorations Prorations shall be made at closing including rent, utilities, phone, taxes, etc. V Representations This agreement contains the entire agreement between the parties and no representations are made as to working order of the equipment or otherwise. VI Conditions and Contingencies This agreement is contingent upon buyer being able t❑ obtain the transfer of the liquor license to its name and to the transfer of the lease to its name. VII Non compete Seller agrees not to compete with buyer for one year within a radius of five miles. VIII Time of Essence Time is of the essence and all parties agree to timely execute any and all documents necessary to complete this agreement. IX Agreements and Amendments This agreement may be altered or revised only in writing. X Attorneys While Andrew M. Lopez, attoreny at law is aiding in the transfer of the liquor license, both parties are advised to seek independent legal counsel and by their signatures aver that they have either secured independent counsel or have had ample opportunity to do so. XI Binding Effect Upon approval hereof by the parties, this agreement shall become a contract between them and shall inure to the benefit of their heirs successors assigns and personal reprosentatives and shall be enforceable in law or equity. IN WITNESS WHEREOF the parties hereto have this date executed this Agreement. 0 L Scott Enterprises Seller z. M S Johnson`'' #poration Buyer FEE $50.00 CORP OCR 001 SUBMIT ORIGINAL OCR AND ONE COPY JFIT CORPORATION NAME AND PRINCIPAL )RESS ARTICLES OF INCORPORATION NAME M S JOHNSON CORPORATION STREET 909 Carbondale Drive CITY , PTRrnnn STATE rr ZIP 88r 1 THIS DOCUMENT MUST BE TYPED IN BLACK SECRETARY OF STATE • 1560 BROADWAY $200. DENVER. CO 60202 (303) 894-2200 EXT 2 (.43."", - 0� 5n CD CUMULATIVE VOTING SHARES OF STOCK IS AUTHORIZED. YES El NO IF DURATION IS LESS THAN PERPETUAL ENTER N$yA9ER OF'YEA . THERE ARE PROVISIONS LIMITING OR DENYING TO SHAREHOLDERS THE PREEMPTIVE IF YESI stale a1e3ijons dry a separate RIGHT TO ACQUIRE ADDITIONAL OR TREASURY SHARES OF THE CORPORATION. YES NO 6'h x I I sheeti�er. 7. Ti STOCK INFORMATION: (il additional space is needed, continue and separate 81/2x 11 sheet of paper). STOCK CLASS _common STOCK CLASS AUTHORIZED SHARES TIlO rnnn PAR VALUE AUTHORIZED SHARES PAR VALUE NJPV T IIE NAME OF THE INITIAL REGISTERED AGENT AND THE ADDRESS OF THE REGISTERED OFFICE IS: (corporations use LAST NAME space) LAST NAME Johnson STREET 909 Carbondale Drive FIRST & MIDDLE NAME CITY Dacono Mirl-hRr1 ttavvn STATE Co ZIP $1l_ 1 DIRECTORS: MOW MANY DIRECTORS CONSTITUTE THE INITIAL BOARD OF DIRECTORS OF TI IE CORPORATION? 1 TI IE NAMES AND ADDRESSES OF THE PERSONS WHO ARE TO SERVE AS DIRECTORS UNTIL THE IST ANNUAL MEETING OF SHAREHOLDERS OR UNTIL THEIR SUCCESSORS ARE ELECTED AND QUALIFIED ARE: (If more than Ihree, continue on a e'/2 x I I sheet of paper) LAST NAME _ JohrLSOIL STREET 207 Cumberland Gap LAST NAME STREET LAST NAME _.. STREET _ FIRST & MIDDLE NAME _tact aag.tay.en—...____ __-- — CITY Nedej'j,nd __ STATE _Cct ZIP ROASE—__— FIRST & MIDDLE NAME CITY_..._ — FIRST 8 MIDDLE NAME CITY STATE ZIP INCORPORATORS: NAMES AND ADDRESSES: (II rty re than Iwo, continue on a separate 8'h x 11 sheet of paper) NAM x x ADDRESS / 07 cvniQ&?-O9VD L/9P PZfl £adfch/rofl COkO - 20064, IANE THE UNDERSIGNED PERSON(S) OF THE AGE OF 18 YEARS OR MORE, ACTING AS INCORPORATOR(S) OF A CORPORATION UNDER THE COLORADO COR- PORATION CODE, ADOPT THE ABOVE ARTICLES OF INCORPORATION. THE CORPORATION IS ORGANIZED FOR ANY LAWFUL PURPOSE. A MORE SPECIFIC PUR- POSE MAY BE STATED ON A SEPARJ'E 8' x IJ HE J.F PAPER. x RE nr r R rr nr n n nr_vrnrr crnr nrrn nit rnvnr r_rlrlr SIGNATURE .,,,,..,,, mu.im or which rs hereby❑ckouwledgcd, has bagaiucd and sold, and by the,e presents dues giant and convey unto 15 the said Buyer, his personal rcprescnlativcs, successors and assigns, the following ptopcpy, goods anda'hallels, to wit Any and all property on the premises located at 909 6 911 Carbondale Dr., ❑scano, Colorado including the trade names of Della's Place, Tri—Town Steakhouse, leasehold and right to the transfer of the liquor license thereon. located at 909 6 911 Carbondale Drive Dacono, Colorado '10 I LAVE AND l'0 I IOU) the same unto the said Royer, his personal icpitsentalives, successors and assigns, forever. The said Seller covenants and agrees to and with the Iiu)er, his personal Icptcscutatives, successors and assigns, to WARRANT AND DEI ENI) the sale of said property, goods and chattels, against all and every person or persons whomever. Wirer' used herein, the singular shall include the plural, the plural the singular, and the use of any gender shall be applicable to all genders. IN WITNESS WHEREOF, the Seller has executed this Bill of S, s 9 day of July 1996 STATE OF COLORADO, City and County of flenver 1 1 55. Scott Enterprises The frncgoing inshunrcul was acknowledged before me this a a40 tray of Ju 1 y 19 96 by nennis Scott, President, n I Scott Enterprises hiy Cummissh 'It in Uarva, hucrl No. :1SA. lint 9-al. PILL or SALT. Witness my hard and official seal. AT '4 id when due declined d. , ITat he ateof AGREED that if this nm. '- the t t ... _ e note perannuli', and thatfailureln teto en)V doe at poenyr t. Pt` iepl.' nne waive Prese� or � , �a,iti ,.�awnq. : at ttheaoetf_fthsecuring the eg the. eshall cause endor endorsers hereof o -Let dwai payments before, tow Inca mb ance or agreement pay ment and apartial r wa note. The makers and t time of the option of the holder of X''k Y. payment and of protest, and agree to any extension of —I'O reasonable or interest thereon is not paid when due, or suit is brought, acres to pay all reasonable costs of collection, including — attorney's fees, and if foreclosure is made by the Public Trustee _----- for attorney's fees to he added by the Public Trustee to the coat of foreclosure. / </�' /'` r/ Sr ,17,4 oration Due__ --WS—Johnson SPECIAL MEETING 0 L SCOTT ENTERPRISES INC A special meeting of 0 L Scott Enterprises Inc was held June 21, 1996 after proper notice. The meeting was to consider an offer of purchase From M L Johnson Corporation. After consideration of the offer a resolution was made to accept the offer of purchase and Dennis Scott was authorized to sign any and all documents necessary to complete the purchase. There being no further business the meeting was adjourned. 'awn le 1 acres i Dennis L Scott Dated: June 21, 1996 DR 8367 (07/94) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 80261 (303) 866-3741 MANAGER'S REGISTRATION/CHANGE FORM it Y This Applications spond all IMPORTANT: where Attach N. 01 ■ application is to be completed by all Hotel and Restaurant licensees employing a separate and distinct manager. will not be considered unless all applicable questions are fully answered, all supporting documents corre- exactly with the name of applicant, and the proper fees are attached. Beer and wine, tavern, club, arts, racetrack and 3.2 beer - except "Off Premises" need only answer questions 15 and 16. This information must first be filed with, and approved by, the Local Licensing Authority (city, town, county) this business is located. the following documents to this application: Processing document (DR 8411) and required fee. Individual History Record (DR 8404-I) Copies of any written management contracts or agreements. 1. Name of Current Licensee g/C//4e-1 S- ,TiniNsv'J 2. Class of License 9rw-4/ 7t' 3. State Liquor License Number oa r9ade Name of Establishment (DBA) /l/; n IC 5 iJ al'Qnd 4.5. Business Telephone ?33-3o S3 6. State Sales Tax No. 23-735-93- 7. Address of Licensed Establishment qa9- q// c*fBa/11 Oet City/Town 0/969A)0 State co.lo. ZIP ?or/ II _ 8. Name of Manager 71-j, /1-7/05419416 77( S. -j/�NSo Al 9. Date Employment Began Ai/6 10. Expiration Date 11. Compensation of Manager ( g©/ 0 0 0 / �' 12. Has Manager ever Managed a Liquor Establishment? ', No ❑ Yes If yes, give details 13. Does manager have a financial interest in any other liquor establishment? g No If yes, give name and location of establishment. ■ Yes 14. Does manager manage another liquor licensed establishment in Colorado?$ No ❑ Yes If yes, give name and location of establishment. CHANGE OF MANAGER (For Beer & Wine, Tavern, Club, Arts, Racetrack, and all 3.2 Beer - except "off Premises" Only). 15. Former aaer�plame �C o7 , Date of Birth 16. New M,yCg is 7 / S• 7A NSa I� �� hers /7 V Dat of Birth_ -- OATH OF APPLICANT I declare under penally of perjury in the second degre that I have read the foregoing registration and all attachments thereto, and that all information therein is true, correc and comp e t h st of knowledge. Signal ice ( Title Date —9 6 Signature age Date RE AND APPROVAL OF LOCAL LICENSING AUTHORITY The foregoing has been examined and the character of the registrant is satisfactory and complies with the provision of Title amended. THEREFORE THIS REGISTRATION IS HEREBY APPROVED. 12, Article 47, CRS, as L e s uthonry tty unty) 1 © City/County Clerk Phone No. 3°5-1333- 1d�3/1 Signs r Till /Yma 17 Date 7ioif6 EPORT OF STATE LICENSING AUTHORITY The foregoing has been examined and complies with the filing requirements of Title 12, Article 47, CRS, as amended. Signature Title Date R 100 iD595) 1375 Sherman Street /=-- _ _ = _ : - ,yr Denier CO 80261 - COLORADO BUSINESS REGISTRATION _ ' �- +1 - "- 510E A REGISTRATION ACCOUNT NUMBER- 3 - 2 -5 5-i < Cf CyC all reasons for submifting this form: REASON FOR FlUNG THIS APPLICATION agewltNtoldirlg slemsalesTaxUcense ❑OnceIk"�e1 pmangenParses ❑ Cane napdamero 3 RECEIVED Insurance ■ Other (Wain) Do you have another business in Colorado? ❑ yes ❑ no IF YES, Registration Account # Name Registration Do you want this number assigned to new beam? p yes ❑ n¢ JUN 2 81996 ‘137.Indicate "a76tN�N"f Type of Oi'rrdiwdual Q Limed Partnership Ownership ❑ General Peramo a ❑ Cots ❑ Aseamaon ❑ Trust venu Estate Nan-prm 501 (C)(3) (Please Government Omer Nm•Profit 9 enclose ropy of the IRS letter of exemption. Lun#etl Liability Company Joint Venture sa 'S' Corporation it Omer i INFORMATION Taxpayer Name (owner. partners or corporate name) ( est, first. middle) 1 ,1 S,.. � ',c .L c. — Trade Name/Doing Business As (if applicable) r 2 A 'Li-- :-•' AC Street Address of Principal Place of Business in Colorado City State ZIP County Uf = ^`Z—i If business is within limits of a city, what city? ✓/ 1 nc.:)o Telepnone P• &3 o ) O .15 3- i (.' - . . Mailing Address (if different from above, (inaude unit #) City c-- State ZIP 465 w 2 Fs County Telephone ( ) Federal Employer I.O. # Bank Name n i �''cw ! ,n/ 9 %�, •v _ Bank Address - ;1 �� x fr , _ is:2.-r- Bank Account Number ; Payroll Location (List Address ) Telephone ( ) First Day of Payroll (MO/DAY/YR) What do you sell and/or services provided?, r'2 • : ,; i r • - ,r iF Do you rem items for Do you sell woodstoves 30 days or less? ❑ Yes e. No or fireplace inserts? ❑ Yes NZ No i,(1) / If partner is a corporatlen, give corporation name and Federal Employer identification Number (FEIN). If there are other partners, list on separate sheet using the same format. Owne . OffcersIParipls_ i .- - Title r .. -- social Seamy 4 (Fed. Emp, # itloplicable4v Address yasldapce oc P,0. Box. street, city, state, ZIP) ,. 0 -1 --- Tel none — _ c us cc (2) Owner/Corp. Officers,Patners Title Social Secunty # (Fed. Emp. # if applicable) 2 C Address (residence or P.O. Box, street. city, state. ZIP) Telephone ( ) If you acquired the business in whole or in part, complete file following: Pnor Owners Name and Address Date of Acquisition Prior Owners UI Tax Account Number Street City State ZIP x FUnder w a el ❑ II Seasonal. mark ❑ JAN ❑ MAR ❑ MAY ❑ JULY rJ SEPT ❑ NOV each business month. ❑ FEB ❑ APR ❑ JUN ❑ AUG ❑ OCT ❑ DEC FlUNG FREQUENCY: If sales tax collected is I First Day of Business (MO/DAY/YR) $300/month. fileouaterly ' - S300/month or more. file monthly I / — (G ❑ Wholesale only, file annuallyFROM I PERIOD BE GO' 110YR TO ERED TO: won —�- 10200- •— Trade Name 750) Registration (999) ��_ $ Indicate which applies to you: ❑ Single Event - Penod Covered Wholesaler Charitable (MO/DAY/YR) (0020- Sales Tax 810) Deposit 13551 _ - ti, • ❑ ❑ x tit Retailer ❑ Multiple Event Location 1/ 12/ (0080- Sales Tax —, _J `s � a FILING METHOD: Cheek all taxes to be paid SCI V '� 750) License (999) $ i Quarterly - All New Amounts Elmagf-Opbmal 0 Wee*, -Owns (EFT only) ❑ State and Local Sales ❑ Retailers Use ❑ RTD/CD/BDemme D p Wage V7thoding ❑ County Lodging p Oil & Gas Wtholding 1'�°d'°°` w the m° id TOTAL - $ La `-� rIVKIN I declare under of penury,in ate staond degree that the statements made in this application am true and complete to the best of my knowledge. SIGNNA7yp5� Owner gfi,o,e, or Winter RE0.IIR TitleQ�% Date onrictusE ONLY AtFT Org LC La- _m- L4 Saw= IS-- ., TFPF -. . Oesae _- - , Tec sSiig b»nmv to on ravarsa cidw nt fats nano. voro -'sic `r\ov DR 8411 (03/94) COLORADO DEPARTMENT OF REVENUE LIQUOR ENFORCEMENT DIVISION 1375 SHERMAN STREET DENVER CO 8O261 LIQUOR LICENSING PROCESSING DOCUMENT RETAIL LIQUOR & 3.2% BEER LICENSE FEES 1. Name of Applicant(s) (exactly as it appears on state application) 1h.ch4 j S. 'SDhnson 2. Trade Name of Establishment (DBA) �� C. � Y1,'e.haeL'3 Saloon [ti,na'5 ` �5d `L' 3. Address of Premises (as it appears on the application) 909 - 411 CArbonda(.4_ -Dr State Sales Tax No City �1 a c-cfi n v state (i) 2320-750 (999) SECTION A Business Phone 303- 833 -$653 County a ZIP Code g05✓ti FEES If applicant has a Beer and Wine, or Malt, Vinous and Spirituous Liquor License, indicate your state Liquor • License Account No. ❑ Retail Warehouse Storage Permit $50.00 ❑ Request to Change, Alter or Modify Premises ....75.00 ❑ Addition of Optional Premises to Existing HoteVRestaurant $50.00 x _Total Fee ❑ Request to Change Corporate or Trade Name ...25.00 ❑ Request to Change Location 100.00 ❑ Duplicate License 25.00 ❑ Subpoena Testimony Fees 100.00 (use license no. 21-94214) '330-750 (999) SECTION B FEE If applicant has a 3.2% Beer Retail license, indicate your • state 3.2% License Account No. • Request to Change, Alter or Modify Premises 75.00 Request to Change Corporate or Trade Name 25.00 ❑ Request to Change Location 100.00 ❑ Duplicate License 25.00 1970-750(999) SECTION C FEES If applicant has a HoteVRestaurant liquor license and is registering a new manager, indicate your state Liquor • License Account No. ❑ Managers Registration $75.00 DO NOT WRITE IN THIS SPACE • ALL ANSWERS MUST BE PRINTED IN BLACK INK OR TYPE- WRITTEN • APPLICANT MUST CHECK THE APPROPRIATE BOX(ES) • LOCAL LICENSE FEE $ . i.4;54.AZ) LIAB' 2300 2310 1940 1940 1950 1950 1960 1960 1970 1980 1990 2010 2020 2030 2040 1905 2110 2308 2310 2121 2121 2122 2122 2123 2123 2170 SECTION LIQUOR LICENSE FEES 50 Application Fee for New License $450.00 ❑ Application Fee for Transfer of Ownership 450.00 ❑ Retail Liquor Store License (city) 202.50 ❑ Retail Liquor Store License (county) 287.50 ❑ Liquor Licensed Drugstore (city) 202.50 ❑ Liquor Licensed Drugstore (county) 287.50 ❑ Beer & Wine License (city) 177.50 DI Beer & Wine License (county) 262.50 ilt H & R License city ❑ county 326.25 ❑ H & R License w/opt Prem ❑ city ❑ county 326.25 ❑ Club License ❑ city ❑ county 135.00 ❑ Tavern License ❑ city ❑ county 326.25 ❑ Arts License ❑ city ❑ county 135.00 ❑ Racetrack License ❑ city ❑ county 326.25 ❑ Optional Premises License ❑ city ❑ county 326.25 ❑ Retail Gaming Tavern Lic ❑ city ❑county 326.25 ❑ BWS Special Event Permit each 25.00 ❑ Managers Registration (hotel & restaurant only) .... 75.00 co Extended Hours 170.00 SECTION E 3.2% BEER LICENSE FEES ❑ Application Fee for New License ❑ Application Fee for Transfer of Ownership ❑ Retail 3.2% Beer On Premises - (city) ❑ Retail 3.2% Beer On Premises • (county) ❑ Retail 3.2% Beer Off Premises - (city) ❑ Retail 3.2% Beer Off Premises - (county) ❑ Retail 3.2% Beer On./Off Premises - (city) ❑ Retail 3.2% Beer On/Off Premises - (county) ❑ 3.2% Beer Special Event Permit $450.00 450.00 71.25 92.50 71.25 92.50 71.25 92.50 each 10.00 DO NOT WRITE IN THIS SPACE - FOR DEPARTMENT OF REVENUE USE ONLY LIABILITY INFORMATION County City; Industry Type. UafNatyDat•.. amass issued Through•. (@Pkanon:Dtdoy Ucsn.. Account Number Fee paid for 3.2% Beer state -750 (999) City 2180-100(999) County 2190-100 (999)' Stan 750 (999) Fee paid for Beer, Wine; and Spirituous Liquor City 2180A00 (999) County 2190100'(999) Managers. Reg,. 1970-755(999) Si Rine Now Unmet, 2300-100 (999) Cosh fund lan..ue••. 2310-100 (999) TOTAL. Coati fuse tieetellosest 2300100 (999) aliforr..rr.. 2310100 (999)'= ExtHowe Coy:. 2.180-100 (999) Ext Howe County 2190-100 (999) TOTAL. White Copy - Department of Revenue Canary Copy - Liquor Enforcement Division Pink Copy - Local Authority Goldenrod Copy - Applicant IG MICHAEL JOHNSON 207 CUMBERLAND GAP ROAD NEDERLAND CO 80466 PAY TD THE ORDER OF —Risked"'za LAKEVIEW DANE. Box 98 Ilk NEDERLAND, COLORADO 80198 FOR _4/r ≥- ry 82417/1070 475 $ �Le Too crou,Rsas....." 5 7 lC x 01 o I L'_o's, 43 Ca, Rd. 4'to5.eG.CAt/ Co 8'o y6G 7o C,vrjo,✓ 4414 a .04,reor-o e a tor/7 L.4 vote rear., 0006208O0" A PD i✓//-4- D'AC0N0, CO 0/ Zo ,fL yesfit W 6.0 /45- ago' en, rec., 33 6 - 5'Y - 7033 C.r . AS -7 4517/ NcOFR!_.A'"'L a ci QOr6L /ylc.docc STEv6..J ✓C00620800 A PD DACONO, CO ?r4 /99� ,i e s, tie t -e r oc. ZceaatO /24 /fl‘ 24C l• EXHIBIT 1 NAME : MICHAEL STEVEN JOHNSON DDRESS: 566 PINE GLADE RD NEDERLAND CO 80466 ALIAS: COLORADO PIN : 92-115-1305 DOCUMENT TYPE : REGULAR ADULT DOCUMENT NUMBER: U350447 HEIGHT: 6 00 WEIGHT: HAIR : BROWN EYES . DONOR : SEX . ENDORSEMENTS: **NONE** RESTRICTIONS: **NONE** PREVIOUS STATE AND LICENSE REGULAR LICENSE STATUS COMMERCIAL LICENSE STATUS STATE OF COLORADO MOTOR VEHICLE RECORD LICENSE 165 BROWN MALE : NOT APPLICABLE : VALID : NOT APPLICABLE RECORD DATE: 08/21/96 TIME: 11:27:27 PAGE: 01 CDL CLASS : ISSUE DATE: 03/26/1993 EXPIRATION: 01/20/1998 BIRTH -DATE: 01/20/1950 001 OUTSTANDING VIOLATION DT: 12/10/1994 CONVICTION DT: JUDGEMENT CITATION NO: U844900 COURT: DENVER CO ACCIDENT: NO ISSUING AGY: DENVER PD DESCRIPTION: EXPIRED LICENSE PLATES POINTS: 00 **** END OF MOTOR VEHICLE RECORD **** "ACCIDENT" REFLECTS INVOLVEMENT ONLY AND DOES NOT IMPLY FAULT ***************************************** AS OF THE PRINTED DATE OF THIS MOTOR VEHICLE RECORD, THIS REPORT SERVES AS A CLEARANCE LETTER. THE ABOVE NAMED PERSON IS ELIGIBLE TO APPLY FOR A DRIVER LICENSE IN THE STATE OF COLORADO OR ANY OTHER JURISDICTION. ***************************************** ANY UNPAID TICKETS MUST BE PAID TO THE COURT SHOWN i hereby certify that this document is a true ano accurate record at the of eial ehicle Division, Dept. on of Revenue, • v, CO. BY oh ''rOgram Administrator III AU 211996 Hello