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The Spinoff
5 days ago
- Business
- The Spinoff
Which is worse: advertising two-for-one drinks or selling Class A drugs on Facebook?
Or more pragmatically, which will land you in more trouble? Emma Gleason finds out. For The Golden Mile's bars battling through decline, revitalisation and those fearsome Courtenay Place gulls, getting punters in the door in the first place can be a hurdle. You're competing with every other watering hole in the neighbourhood, trendy green beverages, pigeon poo, and the grim fact that some people would rather stay home and watch TikToks. What's a proprietor to do? In the case of The Residence Bar, a blackboard chalked up with jaunty martini glasses and a two-for-one happy hour offer seemed to be a good idea – until it wasn't. Owner Jose Ubiaga scrubbed it off after an email from the Wellington City Council, but six months later, it landed him in front of the Alcohol Regulatory and Licensing Authority for the 'irresponsible promotion of alcohol'. The offer had breached the Sale and Supply of Alcohol Act 2012, which deems it an offence to promote a discount that 'leads people, or is likely to lead people, to believe that the price is 25% or more below the price at which the alcohol is ordinarily sold'. And because the sign could be seen outside the premises – also deemed 'irresponsible' by law – that was another no-no. The Authority decided on a 48-hour suspension and a negative holding for The Residence, while dismissing the complaint against Ubaiga's other business, The Dakota Bar, which promoted a similar deal on social media. These online platforms have their own codes of conduct, and if you were to advertise the sale of alcohol or, better yet, magic mushrooms on Facebook, you'd risk having your listing removed. Offline, the consequences of breaking the rules are a bit harsher. Ubiaga closed the bar for two days and reckons he lost thousands of dollars in potential earnings. While he accepted the mistake, he's been critical about the council's licensing policies in the past, calling them a contributing factor in the liquidation of his other bars, Rubix and SugarWoods, last year. He's not the only one; another Courtenay Place bar owner accused the council of 'ganging up' on the party precinct. Licensing standoffs in the country's cities and regions make regular headlines (news reports explain grievances and rebuttals, while dutifully pointing out the harm caused by alcohol in communities) as communities and agencies try to curtail the social impacts of getting on the piss. Selling booze is more complicated than a moustachioed mixologist's most inventive concoction. Bars, pubs and restaurants need an 'on-licence' licence. Getting one requires supporting documentation (including scale plans of the venue, menus, and host responsibility policies) and a fee, which ranges from three to four figures, depending on the business risk category and region. A sprawling Amohia Te Waiora flowchart outlines the complex process, including public notifications, consideration by District Licensing Committees and the Alcohol Regulatory and Licensing Authority, judgements and appeals and hearings. Some businesses have to wait months for approval. Others are flat-out declined. The Sale and Supply of Alcohol (Community Participation) Amendment Act 2023 now allows anyone, excluding trade competitors, to object to an application, and is geared at giving communities a voice and minimising harm. In Gisborne, a kura principal appealed the licence granted to a new tavern located 30 metres away from the school. Once a business gets a licence they have to keep it, a process that includes renewals. Rules are strict (don't serve anyone wasted or under 18) and someone with a manager's certificate has to be on duty whenever alcohol is being sold or consumed. A pub in Tauranga lost its liquor licence after repeated breaches, including serving someone underage. Some, like the infamous Edinburgh Castle, appear to have given up altogether. Those that secure a licence are faced with promoting a relatively pricey, non-essential category of beverages with highly publicised health risks (and out-of-date guidelines) amidst shifting public perception and habits. Happy hour deals are a common format with a long history, offering cheap drinks and food, appealing to anyone who wants a bargain or had a bad day. It's winter, everything feels awful, and people are looking to ingest mood-altering substances of one kind or another to take the edge off. But rather than visit the staunchly regulated neighbourhood bar, many are turning to the wild west of Facebook Marketplace. A recent investigation by the Herald's Michael Morrah found 56 different listings for illegal drugs advertised on the platform (which requires only slightly more effort than chucking sneakers on the power lines). Want mushrooms? Go on Facebook Marketplace. Weed? Same answer. There's even apparently cocaine and ketamine to be found amidst the secondhand beds, dehumidifiers and pre-owned engagement rings. Slinging controlled substances on there isn't without its risks. Meta may take your post down if someone complains or their moderators find it. If your side hustle is heroin, fentanyl or cocaine and they sniff it out, you're looking at the grim outcome of a disabled account. (Get caught selling Class-A drugs on the street and, according to sentencing guidelines, you'll likely be facing imprisonment if convicted.) The ads the Herald investigated remained up until it flagged them with Meta, which removed them for violating its community standards. But, like blue meanies in an optimal growing environment, more had reportedly sprung up by the next day. Entrepreneurial Kiwis who hate admin will find no complicated forms, flowcharts or even fees (unlike Trademe) when listing on Facebook Marketplace. Anyone with a Facebook account can simply click on Marketplace, hit 'sell' and 'create listing', chuck up a picture of that air fryer your mum gave you, decide on price, category and condition (description is optional) and hit publish. The process would be the same for the mushrooms, gummies 'and more!' unearthed by the Herald. A not-stoked justice minister Paul Goldsmith declared the whole thing 'outrageous' and told Morrah he'd be asking the tech giant some 'tough questions', but acknowledged the 'global context' of regulating the platform, which isn't liable for third-party content. Buying drugs online has seen a 'surge' in Aotearoa; the 2024 New Zealand Drug Trends Survey showed an increasing number of transactions were taking place on digital platforms like Facebook/Messenger and Snapchat. The marketing and commerce of controlled substances has been reshaped by digital convenience, much like entertainment, retail and hospitality. How easy is it? I stumbled through the tumbleweed and cowboys of Facebook Marketplace and found plastic sandwich bags stuffed with dried mushrooms and carefully labelled as golden teachers (aka psilocybe cubensis) being sold in New Plymouth, with similar listings for Auckland. Booze is harder to find, but if it's 13 litres of ethyl alcohol you're after, there's some in Mt Eden. You might have to drive past some plaintive happy hour signs to get it though.
Otago Daily Times
6 days ago
- Otago Daily Times
Tavern's liquor licence suspended
The Kensington Sports Bar & Tavern, at 4 King Edward St, has had its liquor licence suspended for 48 hours, from 10am on September 5 to 10am on September 7. PHOTO: GREGOR RICHARDSON A Dunedin tavern has been banned from selling alcohol for two days after running giveaways involving a "premium ham" and a lawnmower. The Kensington Sports Bar & Tavern was issued a liquor licence suspension by the Alcohol Regulatory and Licensing Authority last month following an application by police. Police alleged the tavern irresponsibly promoted the sale of alcohol in two separate social media posts, one in November and another in December last year. The posts contained promotions to be in to win a LawnMaster Pulse lawnmower, retailing for $599, and a "premium ham" with the purchase of select alcoholic products, a decision issued by the authority said. The Sale and Supply of Alcohol Act 2012 states it is an offence to offer any goods or services, the opportunity to obtain any goods or services, or the opportunity to win a prize "on the condition that alcohol is bought". Judge Robert Spear ordered the tavern's on-licence to be suspended for 48 hours, from 10am on September 5 until 10am on September 7. The grounds of the application were undisputed, and the suspension was not opposed. Thirsty Liquor Dunedin, a George St bottle store at the former Fine Wine & Spirits premises, was also brought to the authority's attention by police last month. In December last year, police were monitoring the behaviour of a man verbally abusing people in the city centre, Judge Spear said. Officers saw the man enter the bottle store and leave moments later carrying a bottle of alcohol. "He then dropped the bottle of alcohol as he attempted to use an ATM across the street. "He was assessed by the police officers as being grossly intoxicated." Judge Spear ordered the off-licence to be suspended for 96 hours, from 10am on July 27 until 10am on July 31, and a manager's certificate issued to Nagaraju Racharla — listed as a former director of the store's holding company, Sri Sai Liquor Ltd, in its records — to be suspended for 28 days, from July 27 until August 23. Neither respondent disputed the grounds of the applications. Each suspension constituted one "negative holding". A total of three incurred within three years would result in an application for the cancellation of the respective liquor licence or manager's certificate in each case.
Otago Daily Times
10-06-2025
- Otago Daily Times
Nightclub's licence suspended after patrons filmed drinking champagne out of ice sculpture
A Dunedin nightclub has had its liquor licence temporarily suspended after patrons were filmed drinking champagne excessively from an ice sculpture in the street. One video, which showed a woman at Vault 21 drinking until she could not anymore, was labelled an act "at a high level of irresponsibility" by the Alcohol Regulatory and Licensing Authority. The suspension of the Octagon bar and restaurant's on-licence was called for by the Dunedin City Council, a decision issued by the authority said. Judge Robert Spear said it was alleged the bar and restaurant promoted alcohol irresponsibly through acts which likely encouraged people to consume alcohol to an excessive extent. Those acts took place in November last year when, as part of a sponsored Moët et Chandon event, a large ice sculpture of a "hollow oversized champagne wine bottle" was set up on the footpath outside Vault 21. Staff allowed alcohol to be poured freely through one end of the vessel and was drunk by people "crouched below the mouth of the ice sculpture", Judge Spear said. "Three videos extracted from Facebook show that this large ice sculpture was in full view of the passing public which, of course, this being the Octagon is at the very centre of Dunedin city." One video retrieved showed a woman "drinking directly from the ice sculpture until she could obviously drink no more". "This was, without question, an act at a high level of irresponsibility in relation to the promotion of alcohol." It appeared the people shown in the videos were not young people or students, and in two of the cases involved "people of more mature years", he said. Vault 21 owner Andre Shi had accepted the promotion of alcohol was irresponsible. The initial explanation was the promotion only involved champagne being poured down the ice sculpture into a glass, limiting the amount available for consumption, Judge Spear said. "However, the Facebook video posts were subsequently found that showed that the promotion was far more extreme." Mr Shi had been willing to accept a 48-hour suspension, but the authority considered this would be an insufficient response to the offence. "Particularly because this promotion happened out on the footpath in accordingly in full view of the public. "We could have accepted a 48-hour suspension if this had happened inside the premises and away from the eyes of the passing public, but that was not the case." The authority was aware Vault 21 was a popular venue in the middle of the city, but other outlets needed to understand what standards were acceptable and what were not. A 72-hour suspension was reluctantly accepted by Mr Shi, Judge Spear said. Vault 21 would not be allowed to sell alcohol from 8am tomorrow until 8am Saturday. Judge Spear said the authority's finding constituted a "negative holding" against the licensee company, AND Hospitality Group Ltd. If the company received a total of three negative holdings within three years, an application would be made for the cancellation of its on-licence. Vault 21 has been approached for comment.
Otago Daily Times
10-06-2025
- Otago Daily Times
Ban fair enough: bar owner
A Dunedin bar owner has admitted helping patrons glug "excessive" amounts of Champagne from an ice sculpture. Vault 21 owner Andre Shi said he could not argue with the Alcohol Regulatory and Licensing Authority's decision to temporarily suspend the bar's licence, but the skulling caught on video at a sponsored event was unplanned. The suspension of the Octagon bar and restaurant's on-licence was called for by the Dunedin City Council, a decision issued by the authority said. Judge Robert Spear said it was alleged alcohol was promoted irresponsibly which probably encouraged people to consume it "to an excessive extent". In November last year, as part of a sponsored Moet et Chandon event, a large ice sculpture of a "hollow oversized Champagne wine bottle" was set up on the footpath outside Vault 21. Staff allowed alcohol to be poured freely through the vessel and was drunk by people "crouched down below the mouth of the ice sculpture", Judge Spear said. "Three videos extracted from Facebook show that this large ice sculpture was in full view of the passing public which, of course, this being the Octagon is at the very centre of Dunedin city." One video showed a woman "drinking directly from the ice sculpture until she could obviously drink no more". "This was, without question, an act at a high level of irresponsibility in relation to the promotion of alcohol." Vault 21's liquor licence was suspended for 72 hours, from 8am today until 8am Saturday, and a negative holding recorded against the licensee company, AND Hospitality Group Ltd. If the company received a total of three negative holdings within three years, an application would be made for the cancellation of its on-licence. Mr Shi told the Otago Daily Times yesterday, while the 72-hour suspension was "a little bit heavy", he respected the authority's decision and was "taking it on the chin". The ice sculpture was planned for only the beginning of the event to chill drinks as they were poured into Champagne flutes. But "some punters" had attempted to drink from the sculpture directly, after it was moved outside to be a decoration while patrons had lunch. Mr Shi confirmed he had poured the Champagne down the sculpture and said he wanted to make sure it was controlled. It "wasn't planned", he said. "I helped them to do it. The punter was trying to do it themselves." But the authority deemed the amount he had poured, as captured on video, was "excessive", Mr Shi said. "That's a decision that I can't argue with." Two videos posted by media personality William Waiirua depicting women drinking from the sculpture had since racked up 49.3 million and 53.1 million views on social media. People attending the event included Dunedin Mayor Jules Radich and city councillors. A "third party" had laid a complaint after footage of the event circulated online, Mr Shi said. Judge Spear said the initial explanation was the promotion only involved Champagne being poured down the ice sculpture into a glass, limiting the amount available for consumption. "However, the Facebook video posts were subsequently found that showed that the promotion was far more extreme."
Otago Daily Times
09-06-2025
- Otago Daily Times
Vault 21 licence suspended after 'extreme' ice sculpture stunt
A Dunedin nightclub has had its liquor licence temporarily suspended after patrons were filmed drinking champagne excessively from an ice sculpture in the street. One video, which showed a woman at Vault 21 drinking until she could not anymore, was labelled an act "at a high level of irresponsibility" by the Alcohol Regulatory and Licensing Authority. The suspension of the Octagon bar and restaurant's on-licence was called for by the Dunedin City Council, a decision issued by the authority said. Judge Robert Spear said it was alleged the bar and restaurant promoted alcohol irresponsibly through acts which likely encouraged people to consume alcohol to an excessive extent. Those acts took place in November last year when, as part of a sponsored Moët et Chandon event, a large ice sculpture of a "hollow oversized champagne wine bottle" was set up on the footpath outside Vault 21. Staff allowed alcohol to be poured freely through one end of the vessel and was drunk by people "crouched below the mouth of the ice sculpture", Judge Spear said. "Three videos extracted from Facebook show that this large ice sculpture was in full view of the passing public which, of course, this being the Octagon is at the very centre of Dunedin city." One video retrieved showed a woman "drinking directly from the ice sculpture until she could obviously drink no more". "This was, without question, an act at a high level of irresponsibility in relation to the promotion of alcohol." It appeared the people shown in the videos were not young people or students, and in two of the cases involved "people of more mature years", he said. Vault 21 owner Andre Shi had accepted the promotion of alcohol was irresponsible. The initial explanation was the promotion only involved champagne being poured down the ice sculpture into a glass, limiting the amount available for consumption, Judge Spear said. "However, the Facebook video posts were subsequently found that showed that the promotion was far more extreme." Mr Shi had been willing to accept a 48-hour suspension, but the authority considered this would be an insufficient response to the offence. "Particularly because this promotion happened out on the footpath in accordingly in full view of the public. "We could have accepted a 48-hour suspension if this had happened inside the premises and away from the eyes of the passing public, but that was not the case." The authority was aware Vault 21 was a popular venue in the middle of the city, but other outlets needed to understand what standards were acceptable and what were not. A 72-hour suspension was reluctantly accepted by Mr Shi, Judge Spear said. Vault 21 would not be allowed to sell alcohol from 8am tomorrow until 8am Saturday. Judge Spear said the authority's finding constituted a "negative holding" against the licensee company, AND Hospitality Group Ltd. If the company received a total of three negative holdings within three years, an application would be made for the cancellation of its on-licence. Vault 21 has been approached for comment.
