Local: Abrupt restaurant closure (UPDATED 6x, with new conspiracy theory info)

I hear HOINews will have the story at its 10 p.m. newscast.

UPDATE: It’s the River Station on the riverfront. Apparently, there are a bunch of folks who paid in advance for tickets to be there during the July 4 fireworks celebration.

And the owners previously got a $150,000 grant [a loan, not a grant] from the City of Peoria to reopen its doors, HOINews said.

Can you imagine? Giving a business as risky as a restaurant a grant? Because, as you know, no one EVER opens a restaurant using private financing. But, hey, that’s a risk you take when you go after all those high-paying food-service jobs.

I’ll post a link when one is available.

UPDATE 2: Here’s the link.

The new RiverStation opened in March 2007 with a lot of help from Peoria taxpayers. According to this site, most of the money to open came from a grant the Central Business District TIF:

This restaurant brought about $80,000 in private investment, with $150,000 in public investment.

Seems a little out of balance, doesn’t it? I’m wondering exactly what opportunity we taxpayers will have to get our money back.

UPDATE 3: HOINews is now saying owner Terry Nichols lost his liquor license. They will be open on the Fourth, but won’t sell booze. What happened?

UPDATE 4: Turns out PeoriaIllinoisan was discussing the closure earlier tonight. A commenter says it was discussed on Markley & Luciano this afternoon.

UPDATE 5: From Eric Turner:

Tracy had been offered an extension in order to pay his HRA taxes he missed that date we again offered a 2nd extension and that was missed. The taxpayers were owed in excess of $50,000 in BDF Loans and HRA Taxes there was no line of site for paying this debt. The rules are the same for all business establishments selling alcohol.

These decisions are not made by the liquor commission but by the Mayor or Deputy Liquor Commissioner.

And John Sharp’s PJS article is here.

UPDATE 6: HOINews has a follow-up:

HOI 19 News has learned he lost his liquor license because of the some $40,000 he owes Peoria in HRA taxes, loans and interest.

The Peoria County Recorder’s Office says he also has 3 liens totaling over $217,000 in delinquent federal income taxes.

City liquor commissioners say time’s up for those behind on the HRA taxes. City leaders say they tried working with the River Station, but to no avail. The consequence for businesses who are behind is taking licenses.

“There was just a conscience decision that we can longer have a certain percentage of our establishments out there running behind on taxes. They have to stay current the city requires them to operate,” said Peoria liquor commissioner Drew Cassidy.

And according to this document (.pdf file) , RiverStation bounced three checks to the county that were supposed to go toward paying off its loan from them. The bad checks were blamed on “several forms of embezzlement.”

You know, there’s a conspiracy theory making the rounds that somehow JMP Radio Group (which is sponsoring the downtown fireworks celebration) threatened to not sponsor the celebration next year if the city didn’t put the kibosh on the RiverStation party tonight, which is being promoted by Hippie 101, owned by rival Independence Media. The fact that the liquor license was yanked two days before the fireworks celebration suggests to some that somehow the fix was in.

A source says absolutely denies there was any such attempt.

My two cents: I’ve been observing city government long enough to know what sometimes there are less than honorable agendas driving official actions.

But I’m certain that RiverStation was fated to lose its liquor license sometimes soon anyway.