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HomeMy WebLinkAboutMIN JAN 04 2000 M I N U T E S - CITY OF BEAUMONT Lulu L. Smith DAVID W. MOORE, MAYOR Andrew P. Cokinos Guy N. Goodson CITY COUNCIL MEETING Becky Ames Bobbie J. Patterson January 4,2000 Audwin Samuel Lane Nichols, City Attorney Stephen J. Bonczek, City Manager Barbara Liming,City Clerk The City Council of the City of Beaumont, Texas, met in a regular session on January 4, 2000, at the City Hall Council Chambers, 801 Main Street, Beaumont, Texas, at 1:30 p.m. to consider the following: OPENING * Invocation Pledge of Allegiance Roll Call * Presentations and Recognition - * Public Comment: Persons may speak on scheduled agenda items 3-9 * Consent Agenda Mayor Moore called the meeting to order at 1:34 p.m. Associate Minister Bonnie Semien, Trinity Church, gave the invocation. Mayor Moore led the pledge of allegiance. Present at the meeting were: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson. Also present were: Stephen J. Bonczek, City Manager; Lane Nichols, City Attorney; and Barbara Liming, City Clerk. Mayor Moore announced that former Beaumont Mayor Cole passed away at the age of 100 years, and Mr. Paul Grady, a former mayor of another city and proprietor of the Bicycle Shop on Highland Avenue, also passed away during December, 1999. *Presentations and Recognitions The City Manager announced that the City has received its 13th consecutive Certificate of Achievement of Financial Reporting for the Comprehensive Annual Financial Report, outlined the procedures for being selected for this award and asked Finance Officer Beverly Hodges to come forward. Ms. Hodges commended Paula Labrie, Controller, and accountants, Robin Butler and Peggy Rhame for their work on the report and contribution toward receipt of the award. *Public Comment: Persons may speak on scheduled agenda items. Citizen comment was invited on the Consent Agenda and Regular Agenda items. * Consent Agenda * Approval of the minutes of the regular meeting held December 21, 1999. * Confirmation of committee appointments - Eddie Williams, Transit Advisory Committee, for a term expiring on January 3, 2002. Resolution 00-01 A) Approve a resolution authorizing the City manager to execute all documents necessary to continue the Texas Narcotics Control Program Grant (75% of approximately $210,000 funding for four officers). - Resolution 00-02 B) Authorize acceptance of a water line easement (ten-foot wide water line easement out of Madison on the Lake, Daniel Easley League, Abstract 20, from Beaumont Multifamily Housing Development Corporation) - Resolution 00-03 Councilmember Cokinos moved to approve the Consent Agenda. Councilmember Ames seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None GENERAL BUSINESS 1. Consider a request for a specific use permit to allow a new church in an RS (Residential Single Family dwelling) District at 7830 State Highway 105 Councilmember Smith moved to approve Ordinance No. 00-01 ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW A CHURCH IN AN RS (RESIDENTIAL SINGLE FAMILY DWELLING) DISTRICT LOCATED AT 7830 STATE HIGHWAY 105, IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. Councilmember Ames seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 2. Consider a request for a specific use permit to allow a massage therapist and full service hair and nail salon with tanning booths in an RCR (Residential Conservation and Revitalization) District at 2680 McFaddin Avenue Councilmember Cokinos moved to approve Ordinance No. 00-02 ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW A MASSAGE THERAPIST ALONG WITH A FULL SERVICE SALON TO INCLUDE HAIR STYLING,TANNING BOOTHS, NAIL CARE AND SALE OF HEALTH CARE PRODUCTS LOCATED AT 2680 MCFADDIN AVENUE, IN THE CITY OF BEAUMONT,JEFFERSON COUNTY, TEXAS. Councilmember Ames seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 3. Consider a request to abandon the east 3 feet of a 12-foot wide utility and drainage easement at the rear of Lots 1-4, Block 4, Sheridan Park Addition Councilmember Cokinos moved to approve Ordinance No. 00-03 ENTITLED AN ORDINANCE ABANDONING THE EAST THREE(3) FEET OF A 12-FOOT WIDE DEDICATED UTILITY AND DRAINAGE EASEMENT LYING ALONG THE REAR OF LOTS 1-4, BLOCK 4,SHERIDAN PARK ADDITION, BEAUMONT, Minutes;January 4,2000;Page 2 JEFFERSON COUNTY, TEXAS. Councilmember Goodson seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 4. Consider an amendment to Section 26-23 of the Code of Ordinances modifying speed limits on College Street Councilmember Cokinos moved to approve Ordinance 00-04 ENTITLED AN ORDINANCE AMENDING CHAPTER 26, SECTION 26-23 OF THE CODE OF ORDINANCES OF THE CITY OF BEAUMONT TO ESTABLISH MAXIMUM AND MINIMUM SPEEDS IN CERTAIN ZONES; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL AND PROVIDING A PENALTY. Councilmember Samuel seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 5. Consider funding for the Chamber of Commerce relating to economic development activities. City Manager Bonczek reviewed the relationship of the Chamber of Commerce with the City of Beaumont and explained that the request today is for $57,750 with consideration of an additional in the amount of$7,500 for Small and Minority Business Development expansion in the third quarter of 2000. Councilmember Samuel commended past experiences with the Chamber of Commerce and expressed to representatives from the Chamber of Commerce that he would like to meet with them to discuss Small and Minority Business Development expansion. Mayor Moore stated this item should receive continued review, and said he would like to see the data and statistics that support current activities of the program before funding of an additional $7,500 to the program is considered for approval. Chamber of Commerce President John Breier said an invitation will be sent to Council to attend a meeting when discussion of this topic is planned. Councilmember Cokinos moved to approve Resolution 00-04 authorizing funding for the Chamber of Commerce in the amount of $57,500 for Economic Development Purposes. Councilmember Goodson seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None Minutes;January 4,2000;Page 3 6. Consider amendments to existing health fees as specified in Chapter 11, Section 11-4(b) and Chapter 13, Section 13-16 of the Code of Ordinances Councilmember Smith moved to approve Ordinance 00-05 ENTITLED AN ORDINANCE AMENDING CHAPTER 11, SECTION 11-4(b) AND CHAPTER 13, SECTION 13-16, OF THE CODE OF ORDINANCES; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL; AND PROVIDING A PENALTY. Councilmember Ames seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 7. Consider approval of a resolution supporting the Texas Department of Transportation's proposed modified funding for the IH-10 Frontage Roads project, and to certify that the City of Beaumont has $1,000,000 allocated for the project Councilmember Smith moved to approve Resolution 00-05 Authorizing the supporting of the Texas Department of Transportation (TXDOT) proposed modified funding for the IH-10 Frontage Roads Project, and to certify that the City of Beaumont has $1,000,000 allocated for the project. Councilmember Goodson seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 8. Consider a resolution to write-off uncollectible delinquent accounts totaling $833,312.14 for which each individual account exceeds $1,000 In response to Councilmember Goodson's query regarding the City's right to pursuit a lien in order to collect these debts, City Attorney Lane Nichols stated that the current statute allows this procedure, if certain criteria are met. He addressed the time frame, cost versus amount collected and said many accounts are older than the legislation that provides for a lien to be placed on property. Councilmember Goodson moved to approve Resolution 00-06 Authorizing the write-off of uncollectible delinquent accounts totaling $833,312.14 for which each individual account exceeds $1,000. Councilmember Smith seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None 9. Conduct a hearing to consider revocation of the sexually oriented business (SOB) license previously issued to DPD Investments dba Peepers Adult Book Stop Minutes;January 4,2000;Page 4 At 2:00 p.m. City Attorney Lane Nichols outlined the process for the hearing, wherein the City will present information supporting revocation of the SOB license issued to DPD Investments dba Peepers Adult Book Stop. Representation for Peepers Adult Book Stop will have an opportunity to present information opposing revocation of the SOB License. Mr. Nichols asked Police Legal Advisor, Dean Johnson to present the City's findings. Mr. Johnson directed Council's attention to a notice letter in Tab 9 of information submitted to Council that was hand delivered to DPD Investments last Monday, faxed and delivered to counsel for the business, John DeYoung and Frankie DeYoung notifying them of today's hearing, and the grounds for revocation of their SOB license. Mr. Johnson explained that Tab 1 was sections from the City's SOB Ordinance, and Mayor Moore accepted the exhibits on behalf of Council that were submitted to the City Clerk for record shown in "Exhibit A." Mr. Johnson reviewed each section of the exhibit substantiating grounds for revocation that included omission of the original affidavit and not reporting all taxable income that would result in withholding taxes due entities. After completion of outlining the allegations and supporting evidence, Mr. Johnson requested that the Sexually Oriented Business License for DPD Investments dba Peeper's Adult Book Stop be revoked. City Attorney Lane Nichols advised Council that it would be appropriate for Mr. DeYoung or a representative of Mr. DeYoung to make a presentation. Mr. Rokkie Roberts, counsel for John DeYoung, addressed Council in opposition to revoking the SOB License. Mr. Roberts claimed this is not the appropriate forum for the issues at hand, according to information received during an administrative hearing with the Police Chief Tom Scofield and Mr. Dean Johnson. The City Attorney explained that the ordinance does not require the City to approve revocation, the City Council approves revocation of a Sexually Oriented Business License. Mr. Nichols said there is no doubt that this is the proper method, the proper procedure, and the proper forum for revocation, particularly when there is fraud and inducement as there is in this case. Mr. Roberts continued to direct attention to the Notice of Hearing given to him by the City and quoted it as stating that the City shall revoke, subject to City Council approval, and claimed he was told by the City Attorney's office that the City is the Chief of Police. He said a hearing was held on this issue last year, and no further action was taken. In response to Guy Goodson's query regarding preparation of the documents presented to Council, City Attorney Nichols stated that this document was prepared in conjunction with the Police Department and Chief Scofield, and constitutes findings of fact and conclusions of law in his opinion. Mr. Nichols stated that Ms. Debra Parish, apparent third interest, didn't receive a notice in this case because she was not issued a license, and stated that the hearing referred to by Mr. Roberts was a suspension hearing, and he is drawing information from one part of the ordinance where City is used and trying to apply it to a part of the ordinance governing revocations. Suspensions can be for any period of time, and revocation lasts for a year. Minutes;January 4,2000;Page 5 Chief Scofield commented that the hearing referred to by Mr. Roberts was a suspension hearing, a recommendation was made to the City Manager as a result of the hearing, and his understanding is that a suspension hearing is not a precursor for a revocation hearing. Further discussion included a due process hearing, explanation of the differences between a suspension hearing and a revocation hearing and implications of both, Council being the body to approve any revocation by a majority vote, proper notice, characteristics of a resolution allowing for an orderly shutdown, recourse if litigation occurs, and recommendation that the revocation become effective Thursday morning at 8:00 a.m. If Peepers feels this is improper action, they could seek a restraining order or an injunction. Mr. Roberts reiterated his interpretation of the definition received from the City Attorney's office meaning the word City in the ordinance being the Chief of Police, and his understanding of the proper procedures for revocation. The hearing closed at 2:42 p.m. Consider a resolution revoking the sexually oriented business license of DBD Investments dba Peeper's Adult Book Stop. Councilmember Cokinos moved to approve Resolution 00-07 Revoking the Sexually Oriented Business License of DPD Investments dba Peeper's Adult Book Stop. Councilmember Patterson seconded the motion. MOTION PASSED. Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Ames, Samuel, and Patterson Noes: None COMMENTS * Councilmembers comment on various subjects Councilmember Samuel commended two EMS representatives for their response to a call from Ozen High School during the week before Christmas, stated a concern about disparaging EMS response times in various areas of the City, asked for response time data for calls to the Northend to consider feasibility of an additional Unit, and questioned zoning in the Dick Dowling area. Mayor Moore commented about public safety readiness demonstrated during the different activities that took place in the City during the holiday season, congratulated the Lamar University Basketball Team, and urged citizens to support them. City Manager's Report-Y2K Update, City Manager Performance Evaluation, Beaumont Recycling Task Force, Downtown Housing Development, Epidemiologist, and Revolving Loan Program Mr. Bonczek corrected the date he is requesting his Performance Evaluation as January 11, 2000, outlined suggestions received from Beaumont Beautiful Commission regarding recycling, said the City is in the process of finalizing a survey in conjunction with Beaumont Main Street, that would be sent to downtown businesses to determine interest in downtown housing, explained the Minutes;January 4,2000;Page 6 dynamics of the revolving loan program and the different types of loans available. He stated that starting in 1996 monitoring of these loans has increased thru the preparation of monthly reports, and explained the follow-up process on the loans. He reported receiving a letter from the Texas Land Office stating they are restricting federal funding to the State of Texas until current projects are completed, which would prevent the City continuing with its January 5, 2000 competitive bid for the proposed Veterans Home. Mr. Bonczek said the Department of Health is collaborating with Lamar on obtaining funds for an asthma education program and is hiring an Epidemiologist. He stated he received a call after 6:00 p.m. Monday from the Beaumont Enterprise stating they did not see the Public Information Act sign posted in City Hall and he replied that if it is not posted, we will get it up. He added further comments about the need to increase visibility of the sign, commented on the diligence of the City Clerk in providing and informing the appropriate people of the requirement to post the sign and said it was displayed in various offices of the City of Beaumont. Councilmember Goodson stated that City does take risky ventures regarding the Small Business Revolving Loans, said that most banks require fairly rigorous financial reporting by these businesses, and suggested that the City have the same requirement. In response to Councilmember Smith's query, Finance Officer Beverly Hodges stated that financial reporting is a good idea, however, most of the micro loans don't have the ability to generate a detailed balance sheet on a regular basis. Further discussion included avenues to identify the state of a business during the loan process, and ways that the City can assist these individuals better understand how to manage their financial affairs. Councilmember Samuel requested information from the City Manager on the status of the purchase of property in the Charlton Pollard area. * Public Comment (Persons are limited to 3 minutes) Ms. Georgine Guillory, 3690 South 11th, addressed Council in favor of requiring individuals participating in the Small Business Revolving Loan Program to obtain financial training before they are allowed to take out a loan, and to announce that next Monday Mayor Moore will be on the floor of the stock market in New York. Mr. Mark Williford, 6395 Westgate, addressed Council in opposition to the City's current SOB ordinance, suggested items to be added to a new SOB ordinance and that the new ordinance be reviewed by a Public Review Committee. Mr. Donnie Flippo, 5915 Marcus, addressed Council to present statistics regarding the negative effects of sexually oriented businesses on society. Mr. Ralph McBride, 27 Sawyer Street, addressed Council in favor of changing the City's current SOB ordinance, stated that the current SOB ordinance reflects poorly on the image of Beaumont, spoke of Beaumont being a community of families, young women feeling trapped in this type of employment, and asked that the City make opportunities available to help individuals involved to escape this negative lifestyle. Mayor Moore commented on the challenges of Council trying to please everyone and making an effort to do what is in the best interest of the City, stated that the City had no ordinance before adoption of the current one, said the ordinance will be reviewed and brought back for discussion in a workshop session next week, and thanked citizens for their input. He further commented that Minutes;January 4,2000;Page 7 it is up to everyone to help individuals involved in this business outside of the ordinance, said state laws existed before the ordinance was passed and prevail today, said a lot of time was put into the current ordinance, and commented about the spirit of cooperation being a key factor between the City, County, and surrounding areas. There being no other business, the meeting adjourned at 3:30 p.m. David Moore, Mayor Barbara Liming, City Clerk Minutes;January 4,2000;Page 8 Piinted from Chapter 7 BUSINESS DEALINGS ESPECIALLY AFFECTING THE PUBLIC INTEREST* (15-Apr-9 ---------------------------------------- - ------------------------------------------------------------------------------- b. Ycf Yv� .,.�s•. Sec. 7-84. Issuance of license. ,F� r (a) Upon the filing of an application for a sexually oriented business employee license, the city shall issue a temporary license to the applicant. The application shall then be referred to the appropriate city departments for an investigation to be made on such information as is contained on the application. The application process shall be completed within thirty (30) days from the date the completed application is filed. After the investigation, the city shall issue a license, unless it is determined by a preponderance of the evidence that one (1) or more of the following findings is true; (1) The applicant has failed to provide information reasonably necessary for issuance of the license or has falsely answered a question or request for information on the application form; (2) The applicant is under the age of eighteen (18) years; (3) The applicant has been convicted of a specified criminal activity as defined in this article; (4) The sexually oriented business employee license is to be used for employment in a business prohibited by local or state law, statute, rule or regulation, or prohibited by a particular provision of this article; or (5) The applicant has had a sexually oriented business employee license or sexually oriented business license revoked by the city within two (2) years of the current application. If the sexually oriented business employee license is denied, the temporary license previously issued is immediately deemed null and void. Denial, suspension, or revocation of a license issued pursuant to this subsection shall be subject to appeal as set forth in section 7-89. (b) A license granted pursuant to this section shall be subject to annual renewal upon the written application of the applicant and a finding by the city that the applicant has not been convicted of any specified criminal activity as defined in this article or committed any act during the existence of the previous license, which would be grounds to deny the initial license application. The renewal of the license shall be subject to the payment of the fee as set forth in section 7-85. (c) Upon filing of a completed application for a sexually oriented business license, the city shall issue a temporary license to the applicant. Within thirty (30) days after receipt of a completed sexually oriented business license application, the city shall approve or deny the issuance of a license to an applicant. The city shall approve the issuance of a license to an applicant unless it is determined by a preponderance of the evidence that one (1) or more of the following findings is true: EXHIBIT "All (1) An applicant is under eighteen (18) years of age. (2) An applicant or a person with whom applicant is residing is overdue in payment to the city of taxes, fees, fines, or penalties assessed against or imposed upon him/her in relation to any business. (3) An applicant has failed to provide information required for this article for issuance of the license or has falsely answered a question or request for information on the application form. (4) An applicant or a person with whom the applicant is residing has been denied a license by the city to operate a sexually oriented business within the preceding twelve (12) months or whose license to operate a sexually oriented business has been revoked within the preceding twelve (12) months. (5) An applicant or a person with whom the applicant is residing has been convicted of a specified criminal activity defined in this article. (6) The premises to be used for the sexually oriented business have not been approved by the health department, fire department, and the building official as being in compliance with applicable laws and ordinances. (7) The license fee required by this article has not been paid. (8) An applicant for the proposed sexually oriented business license is in violation of or is not in compliance with any of the provisions of this article. (d) The license, if granted shall state on its face the name of the person or persons to whom it is granted, the expiration date, the address of the sexually oriented business and the classification for which the license is issued pursuant to section 7-83. The license issued to the licensed premises shall be posted in a conspicuous place at or near the entrance to the sexually oriented business so that it may be easily read at any time. The license issued to the employee shall be posted in a conspicuous place by the employer any time the employee is performing a service on the premises of a sexually oriented business. (e) The health department, fire department, and the building official shall complete their certification that the premises is in compliance or not in compliance within twenty (20) days after receipt of the application by the city. (f) A sexually oriented business license shall issue for only one (1) classification as found in section 7-83. (Ord. No. 98-8, ° 4, 2-3-98) Sec. 7-85. Fees. (a) Every application for a sexually oriented business license whether for a new license or for renewal of an existing license) shall be accompanied by a two hundred fifty dollar ($250.00) non-refundable application and investigation fee. (b) In addition to the application and investigation fee required above, every sexually oriented business that is granted a license (new or renewal) shall pay to the city an annual nonrefundable license fee of one hundred fifty dollars ($150.00) within thirty (30) days of license issuance or renewal. (c) Every original application for a sexually oriented business employee license (whether for a new license or for renewal of an existing license) shall be accompanied by a twenty-five dollar ($25.00) nonrefundable application, investigation, and license fee. Thereafter the renewal fee shall be fifteen dollars ($15.00) per year. (d) All license applications and fees shall be submitted to the central collections division of the city. (Ord. No. 98-8, ° 5, 2-3-98) Sec. 7-86. Inspection. (a) An applicant or licensee shall permit representatives of the police department, health department, fire department, zoning department, or other city departments or agencies to inspect the premises of a sexually oriented business for the purpose of insuring compliance with the law, at any time it is occupied by the person managing the premises or open for business, and shall provide the address and phone number of any employee of the business to such city representative. (b) A person who operates a sexually oriented business or his agent or employee commits a misdemeanor if he refuses to permit such lawful inspection of the premises at any time it is open for business. (Ord. No. 98-8, ° 6, 2-3-98) Sec. 7-87. Expiration of license. (a) Each license shall expire one year from the date of issuance and may be renewed only by making application as provided in section 7-83. Application for renewal shall be made at least thirty (30) days before the expiration date, and when made less than thirty (30) days before the expiration date, the expiration of the license will not be affected. (b) When the city denies renewal of a license, the applicant shall not be issued a license for one (1) year from the date of denial. If subsequent to denial, the city finds that the basis for denial of the renewal license has been corrected or abated, the applicant may be granted a license if at least forty-five (45) days have elapsed since the date denial became final. (Ord. No. 98-8, ° 7, 2-3-98) Sec. 7-88. Suspension. (a) The city shall suspend a license for a period not to exceed thirty (30) days if it determines that a license or an employee of a licensee has: (1) Violated or is not in compliance with any section of this article; or (2) Refused to allow an inspection of the sexually oriented business premises as authorized by this chapter; no suspension of a license shall occur unless such suspension is approved by. the city council. (Ord. No. 98-8, ° 8, 2-3-98) Sec. 7-89. Revocation. (a) The city shall revoke a license if a cause of suspension in section 7-88 occurs and the license has been suspended within the preceding twelve (12) months, and the city council has agreed to the revocation. (b) Subject to city council approval as set out in (b) (7) hereof, the city shall revoke a license if it determines that: (1) A licensee gave false or misleading information in the material submitted during the application process; (2) A licensee or the employee managing the sexually oriented business has knowingly allowed possession, use, or sale of controlled substances on the premises; (3) A licensee or the employee managing the sexually oriented business has knowingly allowed prostitution on the premises; (4) A licensee or the employee managing the sexually oriented business has knowingly operated the sexually oriented business during a period of time when the licensee's license was suspended; (5) Except in the case of an adult motel, a licensee or the employee managing the sexually oriented business has knowingly allowed any act of sexual intercourse, sodomy, oral copulation, masturbation, or other sex act to occur in or on the licensed premises; or (6) A licensee or the employee managing the sexually oriented business is delinquent in payment to the city, county, or state of any taxes or fees; (7) No revocation of a license shall occur unless city council approves of the revocation. (c) When the city revokes a license, the revocation shall continue for one (1) year, and the licensee and anyone residing with them shall not be issued a sexually oriented business license for one (1) year from the date the revocation became effective. If, subsequent to revocation, the city finds that the basis for the revocation has been corrected or abated, the applicant may be granted a license if at least forty-five (45) days have elapsed since the date the revocation became effective. (d) After denial of an application, or denial of a renewal of an application, or suspension or revocation of any license, the applicant or licensee may seek prompt judicial review of such administrative action in any court of competent jurisdiction. The administrative action shall be promptly reviewed by the court. (Ord. No. 98-8, ° 9, 2-3-98) Sec. 7-90. Transfer of license. A licensee shall not transfer his/her license to another, nor shall a licensee operate a sexually oriented business under the authority of a license at any place other than the address designated in the application. (Ord. No. 98-8, ° 10, 2-3-98) Sec. 7-91. Additional regulations for adult motels. w...+v.uu Non-Kerunaaate Application andjnvesti,gation Fee Application for S.O.B.License $150.00 Annual Non-Refundable License Gj � of license issuance or renewal ' 1. State the name of the business, both legal and any DBA or other name to be used, if any. xw Lecta 1 DBA/Other D.P.D.Investments Peeper's adult book stop 2. Provide the names,aliases(if any),addresses and signatures of each person who is an owner of the business. Include every owner with a 20%or greater interest in the business. Attach proof that each owner is at least 18 years of age. NAME s ALIAS (es) ADDRESS IGNATURE John DeYoun? > ? `'':<3448 30th Z Franki P T1PVrnmo 'tl.... . 'tFtrrh 3. As to each person listed Jn number"Z"above,*provide the following i formateow a. If a artnershi a co afthe artnershi a reemenfi if an P R«..: PY P P 9 .w.. Y b. If a corporation,the corporation shall submit: Complete name: :'..;. ........: ..:..: .>.. ::..... . ..:.::.... ::.:..... ......:: Date of inco oration ' • Evidence that they porporaftn is in good standing;.under,the taws of its hate of incorporation. Officers,Directors;Stockholdersmames whQown stack equafto 20%armore of the outstanding stock of the c oration:::>; ;: ... �., :.r;.> Name: c' .::;:.:::.:::.:. .P .:::::... ... ..,; :....:..::. Name: Capacityr><::: Name: JltNtocesDace�s;needed olesaseaitach:a senarafesheeti - _ — T T Y F BEAUM N T . TEnAc r-�_�-+'!-1PA.T?-,DN TA.X •JR LICEfJ;E• RF.•:EIPT 801 MAIN STREET . ROOM 110 t;(:•c4T . TX ; 770 ; *.•u_ i r s n a rn_ 1?F1) 1NVESiMCNT5% 0 8 A PEE P EP ' >cation _,c'dr 6035 14 1. K11411 JF: PkY 90 i 171 SEX 3FIcfJT BU'_ -TE1•i�' L ��:EN E 4 22 99 c ;pi cation <jate 5 2::, 99 1• :tj, i . . . . . . z5r, . :ici f;rtr�'_•1 :_ �=t_C BY 10HM '"�I���ii FR�.f1KI CEY ;JiIG �'.E�i• ail _ � !' . :1Y c. If such person or persons have had a license under this ordinance or any other similar sexually oriented business ordinance(or law) denied,suspended or revoked, provide: Location of Sexually Oriented Business: Date: Was applicant or any person residing with applicant: A partner in a partnership? 0 Yes XS$No 0 An officer, director of principal stockholder of a corporation that is licensed under this ordinance whose license has previously been denied,suspended or revoked: 0 Yes Jk No If'yes' include: Name: Location: d. Does such person presently:,hold a license fromthe:City with this ordinance? 0 Yes X9k.No:.:......:.;. .. Does such person presently hold a hcease from any other city or county under a S�mElar ordinance? 7CYes ;Q No If yes...state :s Name: Schssattz Iiyestmehtsµ :Location R.-C9' .- g::Box:1377 U.S,Hwv90 7 7 713 l3 auiu.. ,Tx:: e. What classificatiort of license s being applied for? Adult Bookstore ..:..: f. Provide the following for the proposed S�O B, ❑� Legal Descnptton Humph revs:Abstract32: Tract 53.55 an n�f tract 49-51 > 603 . I P Bit 7.`x,..: Address: .: f: :: > ::: ... Telephone#(s) 4�oT838 ��788 g. Provide he mailmg and residential address of every applicant. : Amucant Mailing Address Residential Address 3ohn::06ybiung 6035 S.MLK Pkwy 3448 30th .... Beaumont,Tx. 77705 Port Arthur,Tx 77642 2 h. Provide a recent photograph of every applicant. [Passport type,in color] I. Provide applicants: []► Driver's License Number: 13623899 E Social Security Number: 464-27-8992 [) State or Federally Issued Tax Identification Number: 76-0496496 j. Provide a sketch or diagram showing the configuration of the premises, including a statement of total floor space occupied by the business. The sketch or diagram need not be professionally prepared, but it must be drawn to a designated scale or drawn with marked dimensions of the interior of the premises to an accuracy of plus or minus six(6)inches. If applicant wishes to:operate:asexual�yonenfed business, other tharr an adultmotel, which shall exhibit on the premises,to a triewtng raorrr ax booth ofless tlian one-hundred tifty(1 S 0)square feet :... : ;. of IIoor space,;flims view cassettes, Qtliervideo reproductions, or live entertalnriient which depict specified sexual actltrlrtes or~sp.gq led anatomica/areas, the applicant must complete the remainder : <: of this form. 1. Provide a diagram of the premises showing: ;,. a. Location of all overhead lighting fixtures and designating any portion of the premises in which .. .. patrons will not be-*permitted, ;. .... b. Location at which the permitw�ll 6e conspicuously.posted, tf granted. ::.:.. :::::.:.:.:.:.. C. Orientation to the north or some designated street oroblect: d. Designated scale:orwith marl ed.dimensions sufficientto.show the:wanous internal dimensions of all areas of the intenor of the premises to an accuracy.of:plus or minus Mx(6) inches X. ...:. :::;:....:.:...::.;. f Dated this / � day of / pent 3 OFFICE OF SANDY WILSON,COUNTY CLERK JEFFERSON COUNTY,TEXAS P.O. BOX 1151 BEAUMONT,TEXAS 77704 ASSUMED NAME RECORDS CERTIFICATE OF OWNERSHIP FOR UNINCORPORATED BUSINESS OR PROFESSION NOTICE:CERTIFICATES OF OWNERSHIP ARE VALID ONLY FOR A PERIOD NOT TO EXCEED 10 YEARS FROM THE DATE FILED IN THE COUNTY CLERK'S OFFICE (Chapter 38.Section 1.Title 4.Busirrem and Commerce Code) (This certificate pcopery executed is to be tiled immediately with the County Clerk) FILING FEE:$8.00 with one owner(add 50¢for each additional owner) NAME IN WHICH BUSINESS IS OR WILL BE CONDUCTED DPD Investments d/b/a Peepers Adult Book Stop (print or type name of business) BUSINESS ADDRESS: i;n'A q Gnn h MTY Pk-w3t 29706 CITY. Beaumont STATE:Tx. ZIP CODE: PERIOD(not to exceed 10 years)DURING WHICH ASSUMED NAME WILL BE USED: in v rs BUSINESS IS TO BE CONDUCTED AS(Check Which One): [I Proprietorship ❑ Sole Practitioner J:] Joint Venture ❑ General Partnership ❑ Limited Partnership ❑ Real Estate Investment Trust ❑ Joint Stock Company ❑ Other(name type) CERTIFICATE OF OWNERSHIP i/We, the undersigned, are the owners of the above business and my/our named and address_given is/are true and correct,and there is/are no ownership(s)in said business other than those listed herein below. NAMES OF OWNERS NAME nebra Parish SIGNATURE f (print or type) Residence Address 1302 Fancher Vinton La . Zip Code rtovntlnQ SIGNATURE y � . �6WTAMIFNr W TEXAS IFtst.tcu. t n DRIV Kit IACL% .r CLA88X OL Osmm 006*07-2140 HTt 5.0 EXPOM:074141 EYES:HIM :NO SEX:f RMT: Imi ■TCHB.L PORT ARIM M U 77M �� ^7 TEAS 6ftPAWMLNT OF MLIC SAFM DRIVEN MCBNSE CL.ASS:C DL: 136295 D08:01-24. 0 HT:5-06 EXPIMS:01-2400 EYES:MM DONM YES SEX:Y REST:A END: DEYOlM1Go01M1 MAYNE 3440 301H ST PORT ARTHUR TX 77x43 S . j •■•.• P.O.Box 3707 JOHN S. APPLEMAN JEFFERSON COUNTY Beaumont.Teas 77704 District Clerk District Clerk 409-835.8580 STS 872.8580 FAX 409.835.8527 ELAINE GRINER Fiat Assistant CHILD SUPPORT P.O.Boot 3586 Beaumont.Teas 77704 DATE O / Z900 . TO WHOM IT MAY CONCERN: FELONY RECORD SEARCHES ARE FROK 1936 TO PRESENT ACCORDING TO OUR FELONY.IMRDS IN JEFFERSON COUNTY DISTRICT C[IMIS OFFICE THERE ARE NO FELONY II®ICaIF.M FILED AGAINST THE II®IVIDUAL LISTED BELOW UNDER THE SPELLING AS LISTED ON THE DRIVERS LICENSE AND SOCIAL SECURITY CARD. A(ada� v 0 DATE OF BIB 0/. " !Z0 SSf �{p ' Z-- IF WE MAY BE OF FURTHER SERVICE TO YOU, PLEASE LET DS KNOW. SINCERELY, JOHN S. APPLEIAN DISTRICT CLE[ BY n A/�rN AAA , CREAL CLERK N COUBTY, TEXAS v V l� 4 Res+ x A oo m'5 J� a� r� V r3 r 0 Roorn5j 0 ell C�eala n� Sy�Q�irbS DOOR 5 L)v e � L15 k4.s �edZYh ►t �-acA���GN S � 0 � 1l 1 \l � l EXHIBIT SUPPLEMENTAL INFORMATION APPLICANTS FOR SEXUALLY ORIENTED BUSINESS OR SEXUALLY ORIENTED BUSINESS EMPLOYEES' LICENSES IT TS THE RESPONSEBM=OF EACH APPLICANT TO'ENSURE THAT ANY APPLICATION SUBMITTED IS TRUE,ACCURATE,AND COMPLETE. APPLICATION FORMS ARE TO BE COMPLETED BY HAND PRINTING IN A LEGIBLE FASHION OR TYPING THE INFORMATION REQUIRED ON THE FORM OR SUPPLEMENTAL INFORMATION SHEETS. THE F TLURE OF AN APPLICANT TO COMPLETELY AND ACCURATELY COMPL 1 `oBM AND h%mMPT ALL L REQUIRED SUPPLEMENTAL DATA MAY RESULT IN DENIAL OF THE NSE, THE SUBMISSION OF FALSE DOCUMENTS OR FALSE INFORMATION WILL RESULT IN DENIAL OF THE LICENSE. NAMES: On the application where names are required,the applicant will submit the name as last name, first name,middle name. ADDRESSES: Where addresses are required,the applicant shall list the street name,apartment number(if applicable),city,state,and zip code. A post office box is=a sufficient and proper address but may be used as a mailing address addition to a physical address. PROOF OF AGE: Proof that the applicant is 18 years of age or older may be submitted in the form of a copy of a birth certificate, passport or immigration/naturalization documents. PHOTO: The photo(s)required shall be a color front face photo of at least"passport size"and not larger than 3"x 5". The applicant must sign and date the rear of the photo. The photo shall accurately depict the applicant as they appear at the time of the application. The photo(s)shall be stapled to the top of the front right of the application(first page of application for S.O.B. license). WORK HISTORY: A statement detailing the applicant(s)work history for the five(5)years immediately proceeding the date of filing of the application shall be attached to the application. This statement shall include,but is not limited to,information detailing the place of employment(name of business and address), dates the employment started and ended, name of supervisor, position or class of employment, and explanation of nature of employment. PREVIOUS LICENSE HISTORY: The applicant shall attach a statement stating whether or not the applicant has previously operated or is seeking to operate in any location,any sexually oriented business; or whether the.applicant has ever had a license, permit, or authorization to operate any business denied, revoked,or suspended The applicant shall also state whether or not they have ever had any professional or vocational license or permit denied,revoked,or suspended. If the applicant has ever had any such license,permit,or authorization to do business denied, revoked,or suspended,the applicant shall state the name of the issuing or denying jurisdiction and describe, in full,the reason for the denial, revocation, or suspension. A copy of any order,judgement or finding of denial, revocation,or suspension shall be attached to the application. CLASSIFICATION OF LICENSE: In the S.O.B.Application Form the classification for license being applied for shall be one of the following: Adult Arcade,Adult Bookstore,Adult Novelty Store,Adult Video Store, Adult Cabaret, Adult Motel, Adult Motion Picture Theater, Adult Theater, Escort Agency, Nude Model Studio, or Sexual Encounter Center. If the business involves more than one (1) of the listed categories,all applicable categories shall be listed. SPECIFIED CRE ANAL ACTIVITY. Specified criminal activity as set forth in the S.O.B. ordinance means any of the following offenses: A. Prostitution, promotion of prostitution, aggravated promotion of prostitution, compelling prostitution, obscenity, sale, distribution or display of harmful material to a minor, sexual performance by a child,or possession of child pornography as described in Chapter 43 of the Texas Penal Code; B. Public lewdness, indecent exposure, or indecency with a child as described in Chapter 21 of the Texas Penal Code; C. Sexual assault or aggravated sexual assault as described in Chapter 22 of the Texas Penal Code; D. Incest,solicitation of a child or harboring a run-a-way child as described in Chapter 25 of the Texas Penal Code; E. Gambling,gambling promotion,keeping a gambling place,communicating gambling information, possession of gambling devices or equipment,or possession of gambling paraphernalia as described in Chapter 47 of the Texas Penal Code; F. Forgery, credit card abuse or commercial bribery as described in Chapter 32 of the Texas Penal Code; G. A criminal offense as described in Chapter 481, subchapter D of the Health and Safety Code (manufacture, delivery, or possession of any controlled substances including, but not limited to, marijuana,cocaine,hereon,LSD,barbiturates,amphetamines,etc. or the possession or delivery of any drug parapharnelia); H. A criminal offense as described in Chapter 34 of the Texas Penal Code(money laundering); I. A criminal offense defined in the Texas Alcohol Beverage Code (including but not limited to unlawful sale of alcohol,purchase or consumption of alcohol by a minor, furnishing alcohol to a minor, etc.) which occurred at any time or any offense involving the use of alcohol ( public intoxication,D.W.I.,etc.)which occurred in the three(3)years preceding the date of the application herein; J. Criminal attempt, conspiracy or solicitation to commit any of the foregoing offense; or any other offense in another state that,if committed in this state,would have been punishable as one or more of the aforementioned offenses;or K. A violation of any of the provisions of this ordinance. ............................................................................................................................................................ If the applicant has any questions in regard to completing this application, the applicant should contact the Beaumont Police Vice and Narcotics Unit at(409) 842-2728,Attention: Sgt. Ellison. After the application has been reviewed by the City,the applicant will be contacted by the City and notified whether their application has been approved and a license issued. Thgapnlicant should not contact the City to determine the status of their application. LEXHIBIT ROKKI F. ROBERTS, P.C. Arramoff AT LAw 6001 SAV=Dom.Suns 202 Houston.TsxAs 77036-3322 (713)975-0172 FAc namm.(713)975.8435 November 2, 1999 Mr. Dean Johnson r Police Legal Advisor �t-----=-�---- "' ' Beaumont Police Department P. O. Box 3827 Beaumont Texas 77704-3827 �-- -- ---1� Mr. Tyrone E. Cooper First Assistant City Attorney P. O. Box 3827 Beaumont, Texas 77703-3827 RE: Cause No. 99CV-534; D.P.D. Investments d/b/a Peepers Adult Bookstop vs. The City of Beaumont, et al; In the United States District Court, Eastern Division Gentlemen: Pursuant to Local Rule CV-26, Duty of Disclosure, Plaintiff, D.P.D. Investments d/b/a Peepers Adult Bookstop is providing to you, as counsel for Defendant, the following attached discovery disclosure: Attachment "A": Computation of estimated damages to D.P.D. Investments from the seizure of the videotapes and Digital Video Disks. Attachment "B": Journal and Ledger Reports of D.P.D. Investments showing all deposits and disbursements of D.P.D. Investments by Check Number for the period covering July 1, 1998 to December 31, 1998. Attachment "C": Journal and Ledger Reprots of D.P.D. Investments showing all deposits and disbursements of D.P.D. Investments by check number for the period covering January 1, 1999 to August 31, 1999. Attachment "D": Payroll and Sales Tax Reports of D.P.D. Investments for 1998 and 1999. Mr. Dean Johnson Mr. Tyrone E. Cooper November 2, 1999 Page Two Attachment "E": Income Tax Records of D.P.D. Investments for 1998. Attachment "F": Bank Statements of D.P.D. Investments for 1998 and 1999. Attachment "G": Copy of Abstract of Judgment against John DeYoung, et al. Attachment "H": Copy of Assumed Name Certificate issued to D.P.D. Investments. 7tru urs, ROKKI FO , ERTS RFR:kag ROKKI F. ROBERTS, P.C. ArrOMMr AT LAW OW 1 SAVar OAML Sums 202 HousroN.Tcx"77036.3322 (713)9750172 FAexanuu 713)975-6435 November 2, 1999 r7m� n F !�� u f� Nall 0 4 1999 Mr. David J. Maland u District Clerk U.S. District Court P. 0. Box 3507 Beaumont, Texas 77704 RE: Case No. 1-99CV-534; O.P.D. Investments d!b/a Peepers Adult Bookstop vs. The City of Beaumont, et al., In the U.S. District Court, Eastern District Dear Sir. Please file the enclosed Plaintiffs Notice of Initial Disclosure at your earliest convenience, returning a file-stamped copy to this office in the enclosed, self-addressed and stamped envelope. Thank you for your courtesy and cooperation. yours, ROKKI FO D ERTS RFR:kag Enclosures ATTACHMENT "D" PAYROLL AND SALES TAX REPORTS OF D.P.D. INVESTMENTS FOR 1998 AND 1999 EMPLOYER 'S COPY TEXAS WORKFORCE COMMISSION 11111 AUSTIN. TEXAS 76714-9037 (512)-463-2222 EMPLOYER' S QUARTERLY REPORT t.A=Wf MUM 2,f.0U1tTY CODE 3.TAX AREA 4.TAX RATE B.SIC.CDOE.•, B.FEDEMI I.O. NUMBER ?.OTR. TR. '12-256013-1 245 80 1 . 07 5943 76-0496496 3-98 Y ,.EMPLOYER NAME AND ADDRESS (SEE ITEM 25 FOR CHANGES TO NAME. ADDRESS, ETC.) a.TELEPNONE NUMBER .._ .... •:� ( 409) 838-3723 .' DEBRA M PARISH ET AL 179779/ 359558/F PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY 04 BEAUMONT TX 77705-9521 4d.Ul TAX RATE 4e.SMART JOBS ASSESSMENT fills 1111811118611111111141111111111111111111111111111111 11,111I,IIl1Il 0. 9'j� 0.1q� ®AU"TENT WOUARTER ENDING S E P 3 0, 19 9&.PENALTIES WILL BE ASSESSED If REPORT IS NOT POSTMARKED BY OCT 31, 19 9 8 I t me** 280 Month 3re Menlh II.SNOW. THE COUNTY CODE 11-IF y- he** eopevedd b see list as the back al this ears tills ace ti V I. 8 _ 10 1wel in which ym tied tits 245 TEXAS. hew many 06 apolde r. — I I . . = greatest neo w al employees. the corny slew* in Iteo 1,18? ID.Eater IN the baps seers the **mew 01 *Malay**$ both I*II-time u1 Pan-ties• is any peried(EMTERi N111110 Al th adety Of the calendar Moore. ARS CENTS 13. Total (Gross) Wages Paid During this -� Ym fte FILE ,1111 ntu. erne astyl ym Q g had ee payroll this aeRw. {t yes hsd tie Quarter to Texas Employees t--11-_,......__. ,.. ;.i�fwaue.'we. In law uli Ier.MN w 14. Taxable Wages pfd less aeener to each moisves a Is I4s.a Ildwk bell with a W if rpwtles wages SBDoo. :tie easel wslMee soma, (If norm, enter "�") ^1' 14763- to *nether uele-dwfa tN ew far employees limit Is {,fern ZL 15. Tax Due (Multiply Taxable Wages 1. 07' 157` FOR TWC USE ONLY B Tax Rate. Item 4 Above) MOIT" 0011 "AR 6a.U I TAX "r ? �+.� : - .x ref POSTMARK b.Smart Jobs Assessment 14 ' 76 ? ,::.•j 'r'`- �`" DATE q = 17. Interest, If Tax is Past Due POSTMARK 18. Penalty, If Report Is Past Due DATE $ 19. Balance Due From Prior Periods ' (Subtract Credit Or Add Debit) Ex DATE _ 20. Total Due - Make Remittance Payable To js'j 96 EX GATE TEXAS WORKFORCE COMMISSION l s 21.SOCIAL SECURITY 1ST 2ND 22.ENX+LOTEE NAME �' 23.70TAL WAGES PAID In NUMBER 4 INIT INtT LAST NAME THIS QUARTER _ DOLLARS CENTS INITIALS 438-30-5337_ 4&77--C &loci 1512i o ED 461-31-8682 ,^-R- •k Re=- 1976 AMOUNT RECEIVED -_ �►- , 26. I DECLARE that the information herein 463'27-7558 "`' D 0 Bradford 4724='. 75 is true and correct to the best of Illy _.. - _ know) ..._ .. ._.. . ._ ....- t edge and belief. !«449-33-5429 W J Bailey 15421 00 SIGNATUR�! 463-66-7001 `'� .9 p Patalie'ld ._ _, . .L•« .- . _- :.... 4114 63 '" TITLE X DATE X 464-71-3 J Doc>lo m ' 3603 ? 25 PREPARERS jam» RDIW NAME 348-68-0790 B A McFall 1309 : 76 PREPARERS 409-883-0367 PHONE' P H N NUMBER 146-52-5012 �., T E Raffhtayer 3960 : 25 For assistance in completing form call, 516-66-2380 M L _ EDWARD T H 0 M P S O N rf 4 (409) 833-7421 EXT 2220 467-67-8654 "'• R $ Nelson !' 147 00 MAIL REPORT AND REMITTANCE TO. f� CASHIER 24338 : 89 TEXAS WORKFORCE COMMISSION 24. PAGE TOTAL P.O.BOX 149037 e114Z"kj 'TV-'.. TEXAS WORKFORCE COMMISSION E M P L O Y E R 'S COPY 11111 AUSTIN, TEXAS 78714-9037 16121-463-2222 EMPLOYER' S QUARTERLY REPORT �LCOtBIi.I ASM -w. : 2.CMIMTT CODE 3.TAX AREA I 14.TAX RATE LSIC CODE B-FEDERAL I.e. NUMBER YAM YR. 1-256013-1 245 80 1 . 07 5943 76-0496-496 4-98 $.EMPLOYER NAME AND ADDRESS (SEE ITEM ZS FOR CHANCES TO NAME, ADDRESS, ETC.) l.TELEPIMM NUMBER ( 409 ) 838-3723 DEBRA M PARISH ET AL 272108/ 544216/F PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY 04 BEAUMONT TX 77705-9521 ♦G.ul TAY RATE Ih.SMART JOBS ASSESSMENT fill 111811111 111111111111111 fill 1 1111111111/111111111111111111 (1- 97 % 0. 10 % ®ALIGNMENT maUARTER ENDING DEC 31-1 19 9 8 2B.PENALTIES WILL BE ASSESSED IF REPORT IS NOT POSTMARKED BY JAN 31, 1999 III Me d Month Ird Month E ILSHOW THE COUNTY COOS t2.41 you Lore .aslewes b -. (see list an the ball 01 ILif �f a0f[ reM On1 loran U 10 14 12 (oral in woieh you eat Ise 245 TEXAS. new mGev are ortsile 9reateu nrmaer el emptoyees. the corny saowe iG lieu I1T IO.Ester IN tee hares above the ember el employ..$ both loll-time said pen-time, is pay pened" that RI ctude?IA Sh day of the colonial mento. DOLLARS aNTS . � Yam men FILE this rMne ors thNgh yoe , 13. Total (Gross) Wages Paid During this hod no pa roll this greaser. It yes had of Quarter to Texas Employees 28885 92 a�<<l;t�e YMt„ IN items tii rewr..'I'' "a 14. Taxable Wages paid this oven[► IN loco eeroleveo up is i1..a Mart ee: with Ge 'X' II repMlva shoes $2000, toe annul maximum Goes" (If none, enter "O") 22090 ' 85 to smeller note laffs� the sor for employees limed Is IL IL 15. Tax Due (Multiply Taxable Wages 1- 07% B Tax Rate. Item 4 Above) 236 137 FOR TWC USE ONLY VON" Big "All 16a.UI TAX 214 28 POSTMARK = b.Smart Jobs Assessment =Y ` DATE C3 17. Interest, If Tax is Past Due POSTMARK 18. Penalty, If Report Is Past Due DATE s = 19. Balance Due From Prior Periods ;. r EX DATE (Subtract Credit Or Add Debit) C3 20. Total Due. - Make Remittance Payable To 6 ? 37 23 EX DATE TEXAS WORKFORCE COMMISSION , f ZI.SOCIAL SECURITY IST ZNO ZZ.EMPLOYEE NAME 3.TOTAL WAGES PAID ffl NUMBER INIT INIT LAST NAME THIS QUARTER .. .. . � DOLLARS CENTS INITIALS .EV AMOUNT RECEIVE •r' 26. 1 DECLARE that the information herein is true and correct to the best of my knowledge and belief. SIGNATURE X TITLEX DATEX PREPARERS T.00n a ROlax -•"-.... ` NAME 1 PREPARERS ` 409-883-0367 _ ._.. _. _..._._..".. _.. PHONE NUMBER For assistance in completing form call, EDWARD THOMPSON ` ( 409) 833-7421 EXT 2220 MAIL REPORT AND REMITTANCE TO. CASHIER TEXAS WORKFORCE COMMISSION 24. PAGE TnTnl 22222 ,j2-256013-1 245 80 1.07 I r4-9 41A7Ep Debra M Parish 2 2 Peepers Adult Book Stop :-.. '438-50-5337 J C Reon 2096 75 1;461-31-8682- R A Reon 2314 ' 65 465-27-7558 D G Bradford 3773 32! : ,449-33-5429 W J Bailey 2808 80: 1463-66-7001 S F Patsfield 3021 : 75; . .1464-71-3896 S J Dockens, 3372 97; RETURN -- — ---- -- - - _ - THIS PAGE 340-68-0790 B A Mcfall 1439 . 13 IF NEEDED TO COMPLETE REPORT 146-52-5012 T E Hoffineyer 978 . 25' - -6036 — + R R V ke 1339 :: 351 460 11 anDy 450-76-3588 ;M G Freemen 164 : 80 1462-71-1838 C C Owens 2122 : 881 1[443-54-0387— T J White — 1036 :: 39: 1463-53-0237 J M Patsfield ; 245 : 50• 1466-57-2347 iK M Rogers — 991 : 381 430-81-7470_ _-'M S Pouland _ i 3180 :: 001 i I f ' TEXAS WORKFORCE COMMISSION ]I]I]l]l]l AUSTIN. TEXAS 79714-9037 15121-463-2221 EMPLOYER' S QUARTERLY REPORT WNT NUMBER 2.CDUNTT CODE 3.TAX AREA 4.TAX RATE @.SIC COOS S.FEDERAt I.O. NUMBER 1.OTR. TR. 11-256013-1 245 80 1.07 % 5943 76-0496496 1-99 W►LOTER NAME 490 ADDRESS (SEE ITEM ZS FOR CHANCES TO NAME. ADDRESS. ETC.) !.TELEPHONE NUMBER zebra Parish 409-838-3723 weepers Adult Hook Stop i035 S M L King Jr. Pkwy. leaLu=nt, Tx- 77705-9521 .a,Ul TAX RATE ♦►.SMART JOBS ASSESSMFNT .97 % 0.10 % M ALIGNMENT WQUARTER ENDING $@.PENALTIES WILL Of ASSESSED IF REPORT IS 40T POSTMARKED BY In Mear• a1 Monts 3r/ MORIN • 11 1 11 11 I I.SNOw THE COUNTY CODE a 12.If vb have sa$fleM. IN !sea list as Ike both al this 245 Sete then a" cerrav rot F eraN is which yea Lae the TEXAS. sew Saoy $rot aatsile I froalest "Stet of eaglevess. like ceomy shows Is flam 117 ..Enter is the be$e$ $bra INa member al eS wyees befit lull-titae wad oart•IiSe, is rev oetioe J11111 ixelyd R 1211.ONIr)sl the calMaat Mats. 0 ARS CENTS 3. Total (Gross) Wages Paid During this • ITiad ee o.y�liit this geattef. mean y:i'�: as Quarter to Texas Emolo ees 24411 `03 f,yte,1 ,New D is item 13 add si,e Ilse bcluafia (Item 261 as this late. 4. Taxable Wages paid this erariet Is each eNlevea rp to IIs. Marl bus with as 'r it reftenia cages SgOoo. the asaral Sas'— aseeaot (If norm, enter "O"? 24411 03 � to soother state erns too Year for sal►leyeas it"" is I9e0 22. 5. Tax Due (Multiply Taxable Wages 261 19 FOR TWC USE ONLY B Tax Rate. Item 4 Above) Ay "An 3a.Ul TAX 236 78 POSTMARK b.Smart Jobs Assessment 24 ' 411 DATE c3 1, Interest. If Tax is Past Due POSTMARK 3. Penalty, If Report Is Past Due DATE s 3. Balance Due From Prior Periods Ex DATE _ (Subtract Credit Or Add Debit) C3 3. Total Due - Make Remittance Payable To 261 19 EX DATE TEXAS WORKFORCE COMMISSION a - E1.SOCIAL SECURITY IST 21110 22.EMPtOTH NAME 23.TOTAL WAGES PAID Eal NUMBER INIT INIT LAST NAME THIS QUARTER DOLLARS CENTS INLTIALS IF AMOUNT RECEIVED Z6. I DECLARE that the information herein is true and correct to the best of mfr knowledge and belief. SIGNATURE X TITLE Partner OATEX PREPARERS NAME Leona Kolar PREPARERS ,409-883-0367 PHONE NUMBER For assistance in completing form call. MAIL REPORT ANO REMITTANCE TO: CASHIER TEXAS W0RXF:'t0rc '1A M w n r- 22222 256013-1 245 80 1.07- 5943 76-0496496 1-99 i )ebra Parish )eepers Adult Book Stop ? . 2. 449-33-5429 W J Bailey 2354 79 465-27-7558 D G Bradford ; i 1739 01 464-71-3896 S J Dockens 2239 : 82 462-71-1838 C C Owens i 1234 88 463-53-0237 J M Patsfield 2095 25 463-66-7001 S F Patsfield 1071. 00 430-81-7470 M S Pouland 4800 00 IF NEE�: r: TO E-0-7 1 438-50-5337 J C Reon 1627 50 461-31-8682 R A Reon 1736 89 ' 466-57-2347 R M Rogers 2116 25 443-54-0387 T J White 2731 39 452-19-0073 J R Weaver 664 25 i j i TEXAS v:0R'X=0ACL AUSTIN. T-YA;- ..,"xitlNTtt NUTAa':: f—( ��. . .... •A.tn=w � — '. . . .... . . ...:. :�k 1� t _ 25b013-1 245 80 - 6. 14 5943 X76-0496496 f 2-99 - ( 409 ) 838-3723 DEBRA M PARISH ET AL 49760/ 99519/M PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY 04 BEAUMONT TX 77705-9521 - - Ilrrrllr rrllrrrlltirrrlrlrlrlrrrlrlrrrlrlrrrllrrllrrlrtrlrlrrt 6 . 04 - ; • • 0 - 10 JUN 30, 1999 :t:r; °T fJUL 31, 1999 1 13 12 t I1 t,�K tr: ar-. art(.. t L :artrr ,r,• .._:_..: r+ .. �_24S Tt�,..,. a... •t.•~;:..t.< 10. Enter to(ne .1q.1 iSMY$"I n, 'M — nlb • _ 41tlaH a ... :.r,r'•:b•,. -�J a,t' "i::'"I; IIlm '7 Dut•ume. :art ::. •a•, ..�. 13. Total (Gross)b''laces Pam !?'-',.. •; ,his +t:.r:: _. . 0u p rh,_ rt it.., �.:r.It*. ,ro Quarter to Texas Enlplzi oc- i 26288 11 p:,'/.rn. ;l' ,::.tam 13 '.rnrou,dru,ic:On u,::r:rr.. 14. Taxable Wages Paid this quart•..r to each citiriow;v uI: ( ( ;".�'�0:u.roa ..,th all.X :1 r!:?a rr�wipes S9000. ;rte annual maximum am^unt.(if none.enter "'t') 1 22744 ? 96 i U to a,wtnrr Suie aw.,hj u-t r.2: 101' --• °- .. ___.. ---. +mp,o•aeA listed A Item:1 15. Tax Due (Multip:y axab*t:`:rtgc- 6 - 14% :' _- _- -_ - r_ 1396 54 F���t 'I'tiVC USE ONLY By Tax Rate. Ita:rr �: ^.bov:.. !•t•rH r•.. WAR i 6a.UI TAX 1 ' _X373 80•I _ P^r'ST.: �> = b.Smart Jobs Assessillefl; _-' 22 .74 -' ,V f s 17. Interest. If Tax is Past Due - -. � 1 — 18. Penalty, It Recort Is Past 19. Balance Due From Prior Periods DEBIT - t —_ - (Subtract Credit Or Add 1312 20. Total Out; - Ma4?R:tnittun.,;_ "nyable T.-, - ,--- -- 2708 91 TEXAS WORKFORCE CO!ttPtiI�SION -- -�_-^_--- -_ — _- — ''S"'L `s 21.SOCIAL SECURITY j I I St 2t:t' 22.Ets/r1j1:i:E!:. —�j,fSTAL'•t'at.l C PAID NUMBER f )NIT 1:tr LAST NAME ! *Ht$ftr..!rlf R Eu —•- _.-_— _ 701 LABS ^et:r5 INITIALS 26. 1 DECLARE!'sat Era tnlarm:.iwn heti.i {! is true .111(1 correct w I"LZW 0 ne. Partner TITLE .._— DATtX PREPARERS Leona Kolar NAME PREPARERS 409_883-0367 ' PHONE kU67tsCi; For assistance in completing form call, 1 t , EDWARD THOMPSON �-- -- -- --.---= —:---� ( 409) 833-7421 EXT 2220 MAIL REPORT AND REMITTANCE TO: °.• —T---- -- — CASHIER n MAr'r' 'rr�.� � TEXAS 'v1/ORKFORCF C,'1MIUtcCtnN 22222 .'.j'�.. • .. .`Tit. i�l�':!. . _ _ _ ""�UNf!iUA1tl� -..�' .. �� •• . J!• r Ni,41dC11 l O'F1:,h.� , • 14 5943 76-0496496 � 256Q13-1 245 8 0 6 112-99 E DEBRA M PARISH ET AL 2 2 49760/ 131841/S 449-33-5429 W J Bailey 2102 : 90 465-27-7558 D G Bradford 851 00 164-71-3896 S J Dockens 2985 35 163-53-0237 J M Patsfield 229 : 50 ,63-66-7001 S F Patsfield 1096 . 50i =30-81-7470 -M S Pouland 5300 : 00. RETURN THIS PAGE •38-50-5337 J C Reon 1841 50! �F NEF0ED TO FE REPORT r,1-31-8682 R A Reon 1747 . 31 56-57-2347 K M Rogers 2714 61 . 43-54-0387 T J White 3586 1 94 52-19-0073 J R Weaver 1803 : 00 51-35-1785 J Patsfield 1861 : 50; ` U-75-7694 I L Thomas 126 . 00' )3-17-2718 M A Chappell 42 00! i -- --------•- ------ 23, ;,- ` -���_,•�T_.._.____ 26288 11 i TEXAS WORKFORCE COMMISSION 11111 AUSTIN, TEXAS 76714-9037 (512)-463-2221 EMPLOYER' S QUARTERLY REPORT (.ACCOUNT NUAIiEA 2.000NTT CODE`ETA 1 2-256013-1 , 245 X80 1 . 07 g6 5943 6-0496496 —98 I.EM/LOTEA NAME AND ADDRESS (SEE ITEM 26 FOR CNANGES TO NAME, ADOAESS; ETC.) Peepers Adult Book Stop 409-838-4788 Debra M. Parrish 6035 South M.L.K. JR. Pkwy Beaumont, TX 77705-9521 4s.U1 TAX RATE 4h.SMAAT JOBS ASSESSMENT 0. 97 0. 10 ®AlIG11MfNT lA.OUARTER'ENDING JUN 30, 1998 !{./ENALTIES WILL At ASSESSED if REPORT IS NOT /DSTMAR[EO ST JUL 31 , 1998 I" Menlo 241 Me41h Ird Month II.iSNOW THE COMM CODE 12.11 you fare employees Is 1 1 Ne IIst w I" be" at I Mr• laee eN coomy to 8 Iaall le which yw hod If° 245 TEARS. how Many are esside 0 u Vegas" r°hwer W eyloyeea the cowl skews a ties 112 —� 10.E44e1 is lea foes allows the sweet of •97isys s fah fell-11010 sea no-use. $a pay pausal Elast Ieeleds 12th •le) the C11114481 seat!. IMTEA NUMERALS am 11 ARS CENTS a Yes sop FILE this mead ern though you 13. Total (Gross) Wages Paid During this 22 159 01 _ bed as pay► tybis ?tames. an yrs mass in Quarter to Texas Emolo ees fw°" a w ' Seclantin lit°■ tel to till two. 14. Taxable Wages paid lots gannea to earl as/leye• r la 14L Mart Got with ak 'X' It tdaAnla• waves 3!000. Is• asseai sulsws a— (if none. enter r�s) 20 9371,2 6 b eaetiar ""s deal Ile ear ffa sapsyses listed Is 7as 22Y 15. Tax Due (Multiply Taxable Wages By Tax Rate, Item 4 Above) 224103 FOR TWC USE ONLY M rw pay sk '6a.UI TAX :' rosTMAet b.Smart Jobs Assessment I DAtt n 17. Interest. It Tax is Past Due roSTtAARtI 18. Penalty, It Report Is Past Due DATE s 19. Balance Due From Prior Periods EX DATE (Subtract Credit Or Add Debit) 181 30 Cs - j20. Total Due - Make Remittance Payable To EX DATE TEXAS WORKFORCE COMMISSION 242,133 1 2 Lsotut sECUA1TT PUR4 1sT' 2N0 22.EMILOTEE NAME 23.TOTAL WAGES /AID Ep Paul INIT INIT LAST NAME THIS ODAATER - jj DOLLARS CENTS INITIALS AMOUNT RECINEO t 26. 1 DECLARE that the information herein is true and correct to the best of my .,,.. knowledge and belief. ,a _ SIGNATURE TITLE QATEK 'K PREPAREAS NAME 1PREPARERS w PHONE NUMBER s For assistance in completing form call, MAIL REPORT AND REMITTANCE TO: CASHIER TEXAS WORKFORCE COMMISSION 24. PAGE TOTAL P.O.sox 149037 AUSTIN,TEXAS 78714-9037 TEXAS EMPLOYMENT COMMISSION 12111 AUSTIN, TEXAS 73714-9037 (512)-463-2222 EMPLOYER' S QUARTERLY REPORT I.A000UNT NUMBER !.COUNTY CODE 7.TAX AREA /.TAY RATE' S.SIC CODE• 6JE0ERAL 1.0. NUMBER T.DTR.:YB.. -256013-1 245 80 . 1 .07 % 5943 6-0496496 1-98 g.EMPLOtER NAME AND ADDRESS 9.TELEPHONE NUMBER .: .: ?eepers Adult Book Stop 409-838-4788 )ebra M. Parrish 5035 South M.L.K. JR. Pkwy 3eaumont, TX 77705-9521 4a.Ul TAX RATE 40.SMART JOBS AffESSMfNT 0.97 0. 10 96 96 ®ALIGNMENT fA.DUARTER ENDING MAR 31 , 1998 fe.►ENAETIES WILL BE ASSESSED If REPORT IS NOT POSTMARrEO BY APR 30, 1998 1st Memtm m Month f Mealm II.SHOW THE DUN 12.1f yet keys ste/leyemt 1s hoe limo or .IN but of .Iris were thes oho sorely to 11 10 10 �el■I .a withh yw bat the 245 TEXAS• bow Stay plm Outside 0 greatest amber sl drum yet em comply shows Is Merl IIT 10.E11ter in hoe deeds •bey the member a1 •Nleye/6 bee Irll-lisle 841 Put-row•. #a may 1.1141 sar tM1116'r 121 O+Itll•1 Ids nbuw weso. aVS CENTS ter #memo FILE two raises ores though yes 13. Total (Gross) Wages Paid During this bat as paylell this social. it you list as Quarter to Texas Employees 20, 471 'a!6 iii oil Meew'0 t's11ei 113 sod logo w 14. Taxable Wages paid this quarter is loth om Idyls r re i I44. Mark boa with as 'X' 11 floor.iae wales Sf000, too Samuel masim#mm Samuel (If none. enter Maw) 20, 471 76 a eselhes listed swim It* am Ear , employees liplat fe Itim 22r 15. Tax Due (Multiply Taxable Wages FOR TEC USE ONLY By Tax Rate, Item 4 Above) 219 b5 MnNTN AT AR 6 a.U I TAX 196 od =. PosTMARk b.Smart Jobs Assessment DATE C3 17. interest. If Tax is Past Due FOSTMARX 18. Penalty, If Report Is Past Due V M U DATE s __�_ _ 19. Balance Due From Prior Periods (Subtract Credit Or Add Debit) —5 '•92 Ez DATE 20. Total Due - Make Remittance Payable To 213 13 EX DATE TEXAS EMPLOYMENT COMMISSION 21.SOCtaI SECURITY !;>' IST' 2N0 22 EMItOYEE NAME 27.TDTAI WAGES PAID a Epl NUMBER INIT INIT LAST NAME THIS QUARTER OOIIARf CENTS INITIALS AMOUNT RECEIVED 15. I DECLARE that the information herein is true and correct to the best of my t knowledge and belief. SIGNATURF A TITLE /`-(j''`J DATEC.� PREPARERS ' NAME r I PREPARERS ._ PHONE NUMBER I For assistance in completing form call, i MAIL REPORT AND REMITTANCE TO. CASHIER—T.E.C. P.O. sox 149037 24. PAGE TOTAL AUSTIN, TEXAS 78714-9037 22222 TEXAS WORKFORCE COMMISSION EMPLOYER'S QUAMMLY REPORT AUSTIN,TEXAS 78716-a03T (512)-463-2222 CONTINUATION SHEET 02-256013-1 245 80 L 1 . 07%v 5943 76-0496496 2-98 Peepers Adult Book Stop ' Debra M. Parrish 1 1 a m An 2°SOOAI SEGyYTr tST 7ND 21�1l�DrEE NAIL !!]OiAL UaBfi Nub Numm Iff M1 . LW NAVE low am= ' 438-50-5331 J C Reon 1 488: 00 ' 461-31-8682 R A Reon 1P532` 00 ' 465-27-7558 D G Bradford 4 812' 75 ' 449-33-5429b, .W J Bailey 1 395' 00 s 463-66-'00l . S F Patsfield 3 662: 751 ' 464-71-3896 S J Dockens 3 514: 00 RETURN THIS PAGE ' 453-87-8786 .. ' K M Byrd 7831` 75 IF NEEDED TO ` COMPLETE REPORT ' 459-39-2302..511., D Castillo 1 , 802: 01 ' 461 -13-9573x' S K Heartfield ^ 81 1 : 75 10 340-68-0790:.-. B McFall 78100 146-52-5012,', T E Hoffine^yer 1 , 883: 00 12 516-66-2380 .` M L Hoffineer _ 3961001 u �r 1. s 9 'f tr: i IT 23. PAGE TOTAL Mam 22222 TEXAS WORKFORCE COMbUSSION EMPLOYER'S QUARTERLY REPORT AUSTIK TEXAS TBT 14-9037 (5 121-463-2222 CONTINUATION SHEET -256013-1 245 80 1 .07 % 5943i. 1-98 EWLM • �t� �+..may.•: i?{�f'+5.: ���a►i�i Y. .�'t !i[iS.• �l•7. Peepers Adult Book Stop Debra M. Parrish 1 OF 1 msoaAL SMMY i iv am uI MKM UK n" vow►quo _. ' 438-50-5337 C Reon 11097 00 461 -31-8682 R A Reon 2r220 300 459-29-2021 M R Thibodeaux 900 00 ' 465-27-7558 . -D G Bradford 51 409 300 1449-33-5429 p, W J Bailey y 31105 00 RETURN 5463-66-7001' 463-66-7001 S F Patsfield 2, 8270 _ _. . .... ._ .. THIS PAGE ' 461-87-2837 M Grant 46 .00 IF NEEDED TO COMPLETE REPORT 988 53 Thomas 452-33-5924 ; .: f51-92-1149 "' B H Riley 177 :63 464-71-3896 S J Dockens 1 " 911 50 451-92-1149 G B West 202 -j3 453-87-8786 :s K M Byrd 332 75 1459-39-2302 'iz D Castillo 11254 50 A- • 1 tj 23. PAGE TOTAL 20, 471 „ 76 L our OF BUSINESS DATE ,: :, ..:..;-•�.a:�.>. :..� .,<�•: lAw.�a�zftTEXAS SALES AND USE 'X RETURN no longer u&kwa "7 tw longer In twalrtea < � 11j�•:.L7:1 • -�,,,.. ■ 26140 •Do am IoW•t•pf•o/paper oup. .wfl%-dy In WMt•ana& 0.11;<c..3• ^{X+ S, G III Tamayar rar,eo d.FinO p•noa ..■ <: ..c.E-3!�: :<•y[k�� i ' •'' ± `i z-433-35-0223— MONTH ENO 07-31-1998 9807 _.;..___._.---- —. r;..,� ,. :: '. �.:. 4 nol m ;; 1 TOTAL SALES pp III dorms only...` _ 100 )1 ��08 20-98 0825000 -.._. _ +.Iwtananra.addroaaan&iWbelm) 'Z TAXABLE SALES ■ Nvnota dog"cmyl_ 00 6035 S M L KING JR PKWY -•- --•- BEAUMONT TX 77705 &TAXABLEPURCHASES + r 00 ■ III doaua*my)- - - 100 4.Total amount 26140243335022358 98070000108250001 subject to tax = , : - p 212:/ oo ■ pw„ia,.a«na)- _ _ �0 too 14 ' IL Tax duo ••X STATE X LOCAL altrrpyan,o e DEBRA M PARISH y.082500- BA PEEPERS ADULT BOOK STOP •:, e,=FLYDISCOut*a(W-00 :- _.. •..33 6035 S M L KING JR PKWY T.Pfior psyments_ BEAUMONT TX 77705 i.Not ubm"mom aand7lorn mom A) _ `fG� =�0•L_,:. d•ww met,M fnfor—boa in V"doowoont and any anaahmenta Is hu•and 61aaY•a L Penalty&Interest .�. on••t b m•bo•t of env t •awl b•ff•f. 11da box` moo kmounisnr)., - `gn�'�' aaa mamba • u out of '10.TOTAL AMOUNT OUR Q `"'fn•" AND PAYABLE _ Q u •�•+n•tma» wed"" ■ (ate 1 pMa aawr aJ— - - - � � • Q AraatVOa 6 no has•hano•i - �:.-�,W�:yam,`.y1 ./•ti I\ ✓•-F, i^`' '/` r/.�` �..` :.�..�. I��.. Jam` I,�ti ��!►,...I��•... •. II a.B�u1dLK-P V..�•I��cFI.408.E38 .r��.. ,. ��. -� �► .�. •��.1e• , °. �,,� _ ?" �� •-+•.;"1 �..� h~ �` ��.. �.,:.���^ :I` Imo•.. '•tic PAY. TO THE" -I- -PI asoo 1.3 -M2 •� -` � ter` '-�+ � �+ _+ '� �, w L�$ -..7 �ter" ��.�\/ Y• �/" V V Y �• �..r Y �r� v� Y' � w I. OUT OF BUSINESS 0. 007902 ®� (Rev.7-0 V 7m;TEXAS SALES AND US. AX RETURN NOT ENTER ino no longer in buarnasa.7 ■ 26140 •Do not tdla supl•«pow cup. •Wilb owy in,•Wb smog. *RETURN MUST BE FILED :.■ Taxpayer rumor PTH g period a ■ 433-35-0223-5 END 08-31-199819808 1.TOTAL SALES /1 !• 00-77_■ noJ g.Due da,e n.■ ,. ■ rwhole dates awy)— _ - I ! . 100 _ 1 09-21-98 P8250001 . 2 TAXABLE SALES 00 rMake nprre«edam.;chrwaa below.) ' Q 8 ■ Nhae datars orvyr_ _ - 100 6035 S M L KING JR PKWY l• U C� BEAUMONT TX 77705 ■ 3.TAXABLE PURCHASES + 00 ■ f ft"dinars Ray)- - - • 100 4.Total amount o DEBRA M PARISH subject to tax 7 ,0XI DBA PEEPERS ADULT BOOK STOP ■ ptanzprusllao9)_ _ — 100 6035 S M L KING JR PKWY &Tax due . XSTATE X LOCAL BEAUMONT TX 77705-9521 twardy'4'y .082500— 6.TIMELY DISCOUNT(x.005)— 7. TAXPAYER COPY il11ORK SHEET &Not axdu eat.— _ 8 (Sud!Iran MAIL ORIGINAL ONLY. '°°"°"'°"'"ar"1' 9.Penalty&interest (See Insbualons),. _ _ _ _ _ 10.TOTAL AMOUNT DUE Use this work sheet for figuring your tax due, ■ AND PAYABLE _ �• 3 g 18 Orem a olus Iran flu_ _ then enter the figures on the original return. INSTRUCTIONS FOR COMPLETING TEXAS SALES AND USE TAX RETURN -SHORT FORM MHO MAY FILE THE SHORT FORM•If you meet ALL INSTRUCTIONS -.LES TAY.►'� .1-Qua-A-C« ING I the foAovrx,g criteria you may to the , your business has a Single location ( ai + 1 I * •1• I I it X 1 X I1 t• I + �E you report applicable local taxes or C` 0` C:) M 0 O O C:) AX DUE? (city. transit authority. county. or Sr O N t` O - N an file your short "•6 IS located: • • . • to • N tf\ • • '.t\ • • • • .off ciandly by . of ship or dei ver taxable N 'r N N N N 00 :v O O O N N O co 'days a weak.To tra.,s. .d1«,ty in which your Iwsines z -0' co N n n-) CV N O M M N 00 $88'434'5464. you do not prepay your state and loco c? N N O 00 i O _ s • - in numbers vwtF,ir, tflm w must file the long form(Form 01.1 • ob p • �' � • a p O • w atements do not appty to your twsins: s N O `a W `0 `O �.,� • ig form if you are responsible for co 00 00 1- i Y d have no in-state locations. + HEN TO FILE•Returns must be fib k�� bacubvofy before the 20th day of the month , 9 1 ich reporting period.If the due date M N nday or legal holiday.the next buss CD ' O O e date. O O O orrtkased an back j• G: a.!.;;.>PI FAgF:nFTACH..;Amni:p 1QN>.0PIC•1NOl QNPV" • O1 17 I. OUT OF BUSINESS.—TE 0050535 lRae.,t earmTEXAS SALES AND U. TAX RETURN DO NOT ENTER U :s ♦ no longer in bust. ..T is 2 6 1 4 o •oe not row,simple or paper clip. •write only In white area&. *RETURN MUST BE FILED * t Taxpayer number i d.F&V prod . ■ 1 ' 33-35-0223-5 MONTH END o8-31-1999 9908 OOLLAF7 nod 1.TOTAL SALES – r✓I i 00 g.Du.oaie h.a i. ■ !tuna.dollars onryl_ _ , , t o0 uaP 1 09-20-99 825000 ■ 2.TAXABLE SALES !1 00 take na"r a aoorsss chrves below.I Q 8 ■ (Whole dollars only)— — — `VV 100 6035 S M L KING JR PKWY CJ U BEAUMONT TX 77705 ■ 3 TAXABLE PURCHASES + 00 ■ (W►so/e dollars only)_ _ _ . t100 D 4.Total amount DEBRA M PARISH _ 577o7,2 subject to tax . � 3A PEEPERS ADULT BOOK STOP ill (Item 2 plus Item 3)_ _ _ too 6035 S M L KING JR PKWY &Tax due - X STATE X LOCAL BEAUMONT TX 77705-9521 M""idy1e'"`°y .082500 - 6.TIMELY DISCOUNT(x.005)_ 7.Prior payments– _ _ _ — - � TAXPAYER<COPY/WORK SHEET s Net tax due _ 3 / , / 3 MAIL ORIGINAL ONLY �u"'"" "'°a""'"°'""eons! — 9.Penalty 3 interest (See instruatsonsi- — — — _ — 10.TOTAL AMOUNT DUE Use this work sheet for figuring your tax due, AND PAYABLE _ J J then enter the figures on the original return. ■ /llam a dui item fl)_ INSTRUCTIONS FOR COMPLETING TEXAS SALES AND USE TAX RETURN - SHORT FORM 0 MAY FILE THE SHORT FORM•If you meet ALL INSTRUCTIONS p�7XQ DO YOU HAVE $0 TAX DUE? Ie followin g crderia.you may file the short form: FOR FILING �j wr busasess has a single location (just one outlet) in AMENDED TeleFle I WebFlle )xas; TEXAS SALES a 1- 88-434-5484,toll furs www.wirdowatatslx.ua w report applicable local taxes only to the entities AND USE sty. transit authority, county, or SPD) in which your TAX RETURN• 78 If you have SO tax due.you can file your short form �s is located; To request blank forms tax return easily and efficiently by telephone or not ship or delivr taxable items outside the to file an amended return,call internet.24 hours a day,7 days a week. authority in which your business is located:and 1-800.252.5555 top free. nationwide. The Austin number ;u do not prepay your state and local taxes. is 512.483.4600. Forms are also available at the Comp- If land printing, please enter all numbers within the rrlust fde the long fum(Form 01-114)it any of thane troller Feld Office nearest you.OR you may photocopy boxes,as shown. )merits do not apply to your business.You must file a the original return,write'AMENDED RETURN'at the top, L��" =SH form it you are responsible for out of state use tax strike through Item a, strike through those figures which 3 I 1 j5 1(j have no sn-state bcabons. have changed, and write the now figures on the return. Remember to sign and date the amendment If typing,numbers may be typed consecutively. =N TO FILE-Returns must be filed or postmarked on afore the 20th day of the month following the end of BUSINESS CHANGES- Blacken the box to the right of 0123456789 I reporting period. If the due date falls on a Saturday, the signature line If you are out of business or if your mail- day or legal holiday, the next business day wig be the ing or cotiet auuselss has changed. These changes may date. also be made via voice mail by calling 1.800-224-1844. Iratructions continued on back 1 PLEASE`DETACH AND`RETURN. ORIGINAL'ONLY Yom_ .41 4�- o a � C40 � • o � w . � a z Schedule K-1 partner's Share of Income, Credits, Deductions, Etc OMB No.1545-0099 (Form 1065) 1 998 OQ For calendar year 1998 or tax year Department of e,e Treasury ntemal Revenuo Senate beginning 1998,and ending '19 Partner's identifying number► 455-58-2523 Partnership's identi in number ► 76-0496496 Partner z Name,Address,and ZiP Code Partterstup's Name,Address.and ZIP Code FRANCE D DEYOUNG PEEPERS ADULT BOOK STOP 3448 30TH STREET 6035 S M L KING IR PKWY PORT ARTHUR, TX 77642 BEAUMONT, TX 77705-9521 A This partner Is a U general partner limited partner F Partner's share of liabilities: 7 limited liability company member Nonrecourse............................ $ ----------- B What type of entity is this partner? ... ►_I_ND_I_V_ID_U_A_L__——— Qualified nonrecourse financing.......... $___________ C Is this partner a Xa domestic or a U foreign partner? Other................................... $_—_—_____—— D Enter partner's%of (0 Sef=wiaa$n - 60 End ar} G Tax shelter registration number ---------------- Profit snaring.... __________ % ____% 20.00000% H Check here if this partnership is a publicly traded partnership Loss sharing .... __________ % ____20_.000_0_0% as defined In section 469(k)(2) ............................... L Ownersnip of capital .._______ __ % __ _20.000007o ____ E IRS Center where partnership filed return AUSTIN, TX I I Check applicable boxes: (1) 7Final K-1 (2) F7 Amended K•1 Analysis of partner's capital account: (a)Caortal account at (b)Capital contributed (c Partner's share of (d)Withdrawals and (*)Capital account at end of es 3,4, and 7,�in beginning of year during year Form an distributions year(combine columns(a) Schedule M-2 through (d)) 40, 379. 43, 918.1 34, 969.1 49.328 . (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: 1 Ordinary income (loss) from trade or business activities ........... 1 37, 470. 2 Net income loss from rental real estate activities ................ 2 See Partner's(Form 1065 for (loss) Schedule K-I(Form 1065). 3 Net Income (loss) from other rental activities.................. .... 3 4 Portfolio income(loss): Income a Interest ......................................................... 4a 36 . Schedule 6, Part I, line 1 (Loss) b Crdinary dividends .............................................. 4b I Schedule 9, Part 11, line 5 c Royalties:....................................................... 4c Schedule E. Part I, tine 4 d Net short-term capital gain (loss) . ............................... 4d Schedule 0, line 5,column(f) a Net long-term capital gain (loss): (1) 28%rate gain (loss) . ........................................ e(1) Schedule 0, line IZ column(g) (2) Total for year .............................................,.. a(Z) Schedule 0,line 1Z column(f) I Other portfolio Income (loss) (attach schedule)...I................ 4f Enter on applicable In of your return 5 Guaranteed payments to partner ................................. 5 18, 502 . See Partner's Instructions for 6 Net section 1231 gain (loss) (other than due to casualty Schedule K-I (Form 1065), ortheft) ........................................................ 6 7 Other Income (loss) (attach schedule) ............................ 7 Enter on applicable In of your return 8 Charitable contributions(attach schedule) ........................ 8 Schedule A, line 15 or 16 Deduc- 9 Section 179 expense deduction .................................. 9 3. 600.1 tions See Partner's Instructions for 10 Deductions related to portfolio income(attach schedule) ...................... 10 Schedule K•1(Form 1065). 11 Other deductions(attach schedule) . .......................... ......... 11 12a Low-income housing credit: (1) From section 420XS)p'ships for property placed in service before 19%....... all (2) Other than on line 1Za(1)for property placed In service before 19W .......... a_ line 5 :redits (3) From section 42(iX5)partnerships for property placed in service after 1989 .... a (4) Other than on fine 12a(3)for property placed in service after 1989 ........... a(4) b Qualified rehabilitation expenditures related to rental real estate activities.......................................:.......... 12b c Credits(other than credits shown on lines 12a and 12b) See Partner's Instructions for related to rental real estate activities ......................... .. 12c Schedule K-1 (Form i065). d Credits related to other rental activities ........................... 12d 13 Other credits ................................. ............. ..... 13 ,A For Paperwork Reduction Act Notice,see instructions for Form 1065. Schedule K-1 (Form 1065) 1998 PTPA0312 11/17198 Schedule K-1 (Form 1065) 1998 JOHN W DEYOUNG 464-27-8992 Paae 2 (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: Invest- 14a Interest expense on investment debts ............................ 14a Form 4952. line 1 mew b(1)Investment income included on lines 4a,4b,4c, and 4f......... b(1) 7I . See Partner's Instructions for Interest (2)Investment expenses included on line 10 ...................... b Schedule K-1(Form 1065). Self- 15a Net earnings(loss) from self-employment......................... 15a 117. 949.I Schedule SE,Section A or 8 employ- b Gross farming or fishing income.................................. 15b See Partner's Instructions for meet c Gross nonfarm income.....................I..................... 15c 225, 183. Schedule K-1(Form 1065). 16a Depreciation adjustment on property placed in service after 1986 ................$1691 2. 533.7 Adjust- .................................... -9. See Partner's ments b Adjusted gain or loss ........ and Instructions for Tax c Depletion (other than oil and gas) ................................ Schedule K•1 (Form Pref- d(1)Gross income from oil, gas, and geothermal properties ... 1065) and instructions ercnce (�Deductions allocable to oil, gas, and geothermal properties..... for Form 6251. Items a Other adjustments&tax preference items (attach schedule ....... 17 a Type of income -------- ------------- orm1116, check boxes b Name of foreign country or possession ... c Total gross income from sources outside the United States Form 1116, Part I Foreign (attach schedule)............................................... 17c Taxes d Total applicable deductions and losses(attach schedule)...................... 17d e Total foreign taxes(check one): o- 11 Paid 11 Accrued .. 17e Form 1116, Part 11 f Reduction in taxes available for credit(attach schedule) ........... 17f Form 1116, Part III Other foreign tax information (attach schedule) ................... 17 C1 See instructions for Form 1 116. 18a Section 59(e)(2)eAmaitures: a Type ► See Partner's b Amount ......................... ——— . ———————————1 18b Instructions for Schedule K-1 Other Iq (Form 1065). 19 Tax-exempt interest income ...................................... 19 Form 1040, line 8b 120 Other tax-exempt income ........................................ 20 21 Nondeductible expenses ......................................... 21 89 See Partner's Instructions far 22 Oistrlbutions of money ash and marketable securities Schedule K-1(Form 1065). y( ) ........... 22 74. SOZ. 23 Distributions of property other than money ........................ 23 24 Recapture of low-income housing credit: a From section 420)(5) partnerships................................ 24a Form 8611, line 8 bOther than on line 24a . ....................... ... .... 25 Supplemental information required to be reported separately to each partner(attach additional schedules if more space is needed): Supple- mental Inform- ation PTPAM12 11117198 Scheauie K-1 (Form 1065) 1998 Schedule K-1 partner's Share of Income, Credits, Deductions, Etc OMSt4o.1545-00% (Form 1065) For For calendar year 1998 or tax year Department of the Treasury ntemat Revenue service beginning ,1998,and ending .19 Partner's identifying number► 464-27-8992 Partnership's identi in number► 76-0496496 Partner's Name,Address.and ZIP Code Partnership's Name,Address,and ZIP Code JOHN W DEYOUNG PEEPERS ADULT BOOK STOP 3448 30TH STREET 6035 S M L KING JR PKWY PORT ARTHUR, TX 77642 BEAUMONT, TX 77705-9521 A This partner is a U general partner U limited partner F Partner's share of liabilities: limited liability company member Nonrecourse............................ $ ----------- B What type of entity is this partner? ... ► INDIVIDUAL_ _____ ___ Qualified nonrecourse financing.......... $___________ C Is this partner a Q domestic or a foreign par n_er? — Other................................... $___________ D Enter partner's%of �) 0fo.°man' re or 00 End of G Tax shelter registration number --—————————————- Profit sharing....._—_——____— % ____40.00000% H Check here if this partnership is a publicly traded partnership Loss sharing .... _____—____ q ____4_0_._000_00% as defined in section 469(k)(2) ............................... _ Ownership of capital ..__________ % _ _40.00000%___ E IRS Center where partnership filed return AUSTIN F TX I Check applicable boxes: (1) nFinal K-1 (2) n Amended K•1 J Analysis of partner's capital account: a Capital account at Capital contributed (c)Partner's snare of ( ) (b) (d)Withdrawals and (e)Capital account at end of beginning of year during year lines 3, 4, and 7, distributions year(combine columns(a) Form 1065, through (d)) Schedule M-2 9, 416. 87, 835. 74, 502 .1 22, 749. (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: 1 Ordinary income (loss) from trade or business activities ........... 1 74, 939. 2 Net income(loss) from rental real estate activities ......,••••••••• 2 See Partners Instructions for Schedule K•I(Form 1065). 3 Net income (loss) from other rental activities...................... 3 4 Portfolio income (loss): Income a Interest ................................................ ........ 4a 71 . Schedule B,Part I, line 1 (Loss) b Ordinary dividends .............................................. 4b Schedule B, Part II, line 5 c Royalties:....................................................... 4c Schedule E, Part I, line 4 d Net short-term capital gain (loss) ................................. 4d Schedule D, line 5,column(f) e Net long-term capital gain (loss): (1) 28%rate gain (loss) ......................................... e(l) Schedule D, line 12,column(g) (2) Total for year ................................................ e(Z) Schedule D,line 12,column(0 f Other portfolio income(loss) (attach schedule).................... 4f Enter on applicable In of your return 5 Guaranteed payments to partner ................................. 5 37, 003. 6 Net section 1231 gain (loss) (other than due to casual See Partner's Instructions far 9...(..... ............................... Schedule K•I(Form 1065). or theft) .......... ..... 6 7 Other income(loss) (attach schedule) ............................ 7 Enter on applicable In of your return 8 Charitable contributions (attach schedule) ........................ 8 Schedule A, line 15 or 16 Deduc- 9 Section 179 expense deduction .................................. 9 7, 200.. lions 10 Deductions related to portfolio income attach schedule See Partner's Instructions for Do ( ) .......... ............ 10 Schedule K-1(Form 1065). 11 Other deductions(attach schedule) ...................................... 11 12a Low-income housing credit: (1) From section 42(j)(5)p'ships for property placed in service before 1990 ....... a(1) (2) Other than on line 12a(I)for property placed in service before I 9 .......... a(2) Form 8586, line 5 Credits (3) From section 42(jX5)partnerships for property placed in service after 1989 .... a(3)1 (4) Other than on line 12a(3)for property placed in service after 1989 ........... a(4) b Qualified rehabilitation expenditures related to rental real estate activities.................................................. 12b c Credits(other than credits shown on lines {2a and 12b) See Partner's Instructions for related to rental real estate activities ............................. 12c Schedule K-1(Form 1065). d Credits related to other rental activities .............. .............1113d 13 Other credits . ...................................... ............ AA For Paperwork Reduction Act Notice,see instructions for Form 1065. Schedule K-1 (Form 1065) 1998 PTPA0312 11/17198 Schedule K-1 (Form 1065) 1998 FRANCE 0 OEYOUNG 455-58-2523 Page (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: Invest- 14a Interest expense on investment debts ............................ 142 Form 4952, tine 1 ment b(1)Investment income included on lines 4a, 4b, 4c, and 4f......... b ) 36, See Partner's Instructions for Interest Schedule K-1(Form 1065). Investment expenses included online 10 ...................... b(2) Self- 15a Net earnings (loss) from self-employment......................... 15a 58. 976.I Schedule SE,Section A or 8 employ- b Gross farming or fishing Income.................................. 15b See Partner's Instructions for ment c Gross nonfarm income........................................... 15c 112, 5 9 2j Schedule K-1(Form 1065). 16a Depreciation adjustment on property placed In service after 1986 ................od(2) 1 Adjust- b Adjusted ments I gain or loss ............................................ See Partner's and Instructions for c Depletion(other than oil and gas) ................................ Tax Schedule K-1 (Form Pref- d(1)Gross income from oil, gas, and geothermal properties ........ 1065) and instructions erence (Z)Deductions allocable to oil, gas, and geothermal properties..... for Form 6251. items a Other adjustments&tax reference items (attach schedule) ....... 17a Type of income ► Form 1116, check boxes b Name of foreign country or possession ..... c Total gross income from sources outside the United States Form 1116,Part I Foreign (attach schedule)................................................ 17c Taxes d Total applicable deductions and losses(attachschedu le)...................... 17d e Total foreign taxes(check one): 1* 11 Paid F Accrued .. 17e Form 1116, Part 11 f Reduction in taxes available for credit(attach schedule) ........... 17f Form 1116, Part III Other foreign tax information attach schedule) ..........0........ 17q See instructions for Form 1116. 18a Section 59(e)(2)expenditures: a Type ► See Partner's b Amount ......................... ___——————_——_—— 18b Instructions for Schedule K-I Other (Form 1065). 19 Tax-exempt interest income...................................... 19 Form 1040, line 8b 20 Other tax-exempt income ........................................ 20 21 Nondeductible expenses ......................................... 21 44. Schedule K•1(Form 1065).See Partner's Instructions for 22 Distributions of money(cash and marketable securities) ........... 22 34, 969.i_ 23 Distributions of property other than money ........................ 23 24 Recapture of low-income housing credit: a From section 420)(5)partnerships ................................ 24a Form 8611, line 8 b Other than on line 24a ................................. .......... 24b 25 Supplemental information required to be reported separately to each partner(attach additional schedules if more space Is needed): Supple- mental Inform- ation PTPA0312 !1/17148 Screaule K-1 (Form 1065) 1998 Schedule K-1 partner's Share of Income, Credits, Deductions, Etc ' ixsoo99 (Form 1065) 1 998 For calendar year 1998 or tax year 7epartment of the Trans" ntemal Revenue Sannce beginning ,1998,and ending ,19 Partner's identifying number► 433-35-0223 Partnership's identi in number 76-0496496 Partner s Name.Address.and ZIP Code Partnership's Name.Address,and ZIP Code DEBRA M PARRISH PEEPERS ADULT BOOK STOP 1302 FANCHER 6035 S M L KING 7R PKWY VINTON, LA 70668 BEAUMONT, TX 77705-9521 A This partner is a E general partner LJ limited partner F Partner's share of liabilities: limited liability company member Nonrecourse............................ $ __________ 8 What type of entity is this partner? . 01, I ND IVI D_U_A_L __ _ Qualified nonrecourse financing.......... $_——_—___——_ C Is this partner a 7X domestic or a J foreign partner? — — Other................................... $_——_—______ D Enter partner's%of (0 8i1°rpsre,,,,n, °r (70 End ear f G Tax shelter registration number ---------------- Profit sharing.... _______--— % ____40.00000% H Check here if this partnership is a publicly traded partnership Loss sharing .... __________ % 40.00000%___ ____ as defined in section 469(k)(2) ............................... G' Ownership of capital .. 90 40.00000 E IRS Center where partnership filed return: AUSTIN, TX I Check applicable boxes: (1) Final K•1 7Amended K-1 J Analysis of partner's capital account: (a)Capital account at (b)Capital contributed (c)Partner's share of (d)Withdrawals and (e)Capital account at end of beginning of year during year lines 3,4, and 7, distributions year(combine columns(a) Form 1065, through(d)) Schedule M-2 74, 328. 87. 836. 22. 124. 140. 040. (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: 1 Ordinary income (loss) from trade or business activities ........... 1 74. 940. See Partner's Instructions for 2 Net income (loss) from rental real estate activities 2 Schedule K-1(Form 1065). 3 Net income (toss) from other rental activities...................... 3 4 Portfolio income(loss): Income a Interest ......................................................... 4a 71 . Schedule 8, Part I, line 1 (Loss) bOrdinary dividends .............................................. 4b Schedule 8, Part II, line 5 c Royalties,....................................................... 4c Schedule E, Part I, line 4 d Net short-term capital gain (toss) ................................. 4d Schedule D,line 5,column(f) e Net long-term capital gain (loss): (1) 28%rate gain(loss) ............I............................ e(1) Schedule D,line I column(g) (2) Total for year ................................................ e(2) Schedule 0,line IZ,column(f) f Other portfolio income (loss) (attach schedule).................... 4f Enter on applicable In of your return 5 Guaranteed payments to partner ........................... 37,004. See Partner's Instructions for 6 Net section 1231 gain (loss) (other than due to casualty Schedule K•1(Form 1065). ortheft) ..............................:.......................... 6 7 Other income(loss) attach schedule .............. 7 Enter on applicable In of your return 8 Charitable contributions (attach schedule) ........................ 8 Schedule A, line 15 or 16 Deduc- 9 Section 179 expense deduction ........ 9 7,200. tions See Partner's Instructions for 10 Deductions related to portfolio income(attach schedule) ...................... 10 Schedule K-I(Form 1065). 11 Other deductions(attach schedule) ...................................... 11 12a Low-income housing credit: (1) From section 426)(5)p'ships for property placed in service before 1990 ....... a(l) (2) Other than on line 12a(1)for property placed in service before 19% .......... a Form 8586, line 5 Credits (3) From section 42{X5)partnerships for property placed in service after 1989 .... (4) Other than on line 12a(3)for property placed in service after 1989 ........... a(4) b Qualified rehabilitation expenditures related to rental real estate activities.................................................. 12b c Credits (other than credits shown on lines 12a and 12b) See Partner's Instructions for related to rental real estate activities ............................. 12c Schedule K-1(Form 1065). d Credits related to other rental activities ........................... 12d 13 Other credits ............................................. ..... 13 AA For Paperwork Reduction Act Notice,see instructions for Form 1065. Schedule K-1 (Form 1065) 1998 PTPA0312 !1/17198 Schedule K-1 (Form 1065) 1998 DEBRA M PARRISH 433-35-0223 Paoe2 (a)Distributive share item (b)Amount (c)1040 filers enter the amount in column(b)on: Invest- 14a Interest expense on Investment debts ...................I........ 14a Form 4952, line 1 ment b(1)investment income included on lines 4a, 4b, 4c, and 4f........, b 1 71 . See Partner's instructions for Interest Schedule K-1(Form 1065). Investment expenses included online 10 .......... ............ b(Z) Self- 15a Net earnings(loss) from self-employment......................... 15a 117. 952. Schedule SE Section A or 8 employ- b Gross farming or Fishing income.................................. 15b See Partner's Instructions for ment c Gross nonfarm income........................................... 15c 225. 184. Schedule K 1(Farm 1065), 16a Depreciation adjustment on property placed in service after 1986 ................ 16a a53 Adjust- ...,.. 16b See Partner's ments b Adjusted gain or loss ...................................... and c Depletion other than oil and as 16c Instructions for Tax ( gas) Schedule K-1 (Form Pref- d(1)Gross income from oil, gas, and geothermal properties ........ d 1065) and instructions erence m Deductions allocable to oil, gas, and geothermal properties..... d(Z) for Form 6251. Items a Other adjustments&tax preference items(attach schedule ....... 16e 17a Type of income ► Form 1116, check boxes b Name of foreign country or possession ... c Total gross income from sources outside the United States Form 1116, Part I Foreign (attach schedule)....................................1........... 17c Taxes d Total applicable deductions and losses(attach schedule)...................... 17d a Total foreign taxes(check one): ► [] Paid f�Accrued .. 17e Form 1116, Part II f Reduction In taxes available for credit(attach schedule) ........... 17f Form 1116, Part III Other foreign tax information attach schedule) ................... 17g See instructions for Form 1116. 18a Section 59(eX2)expenditures: a Type► See Partner's b Amount .........................——————————————— 18b Instructions for Schedule K•1 Other (Form 1065). 19 Tax-exempt interest income...................................... 19 Form 1040, line 8b 20 Other tax-exempt income ........................................ 20 21 Nondeductible expenses ......................................... 21 88. See Partner's instructions for Schedule K•1(Form 1065). 22 Distributions of money(cash and marketable securities) . .......... 22 22, 124. 23 Distributions of property other than money ........................ 23 24 Recapture of low-income housing credit: a From section 420)(5) partnerships ................................ 24a Form 8611, line 8 b Other than on line 24a ............................... ...__1 24b Z5 Supplemental information required to be reported separately to each partner(attach additional schedules if more space n needed): Supple-i mental Inform- ation j 1 PTPA0312 II/i7/98 Schedule K-1 (Form 1065) 1998 October 19, 1999 JOHN W DEYOUNG 344830TH STREET PORT ARTHUR, TX 77642 Dear JOHN W DEYOUNG, Enclosed is your 1998 Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., which has been filed with the 1998 Form 1065 U.S. Partnership Return of Income of PEEPERS ADULT BOOK STOP. The amounts reported to you on lines 1-25 of the Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., represent your share of income, credits, deductions, and other information to be reported on the appropriate lines of your tax return. Should you have any questions regarding this information, please do not hesitate to call. Sincerely, PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY BEAUMONT, TX 77705-9521 F t October 19, 1999 FRANKIE D DEYOUNG 3448 30TH STREET PORT ARTHUR, TX 77642 Dear FRANKIE D DEYOUNG, Enclosed is your 1998 Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., which has been filed with the 1998 Form 1065 U.S. Partnership Return of Income of PEEPERS ADULT BOOK STOP. The amounts reported to you on lines 1-25 of the Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., represent your share of income, credits, deductions, and other information to be reported on the appropriate lines of your tax return. Should you have any questions regarding this information, please do not hesitate to call. Sincerely, PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY BEAUMONT, TX 77705-9521 s r . t a i 1 October 19, 1999 DEBRA M PARRISH 1302 FANCHER VINTON, LA 70668 Dear DEBRA M PARRISH, Enclosed is your 1998 Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., which has been filed with the 1998 Form 1065 U.S. Partnership Return of Income of PEEPERS ADULT BOOK STOP. The amounts reported to you on lines 1-25 of the Schedule K-1 (Form 1065), Partner's Share of Income, Credits, Deductions, etc., represent your share of income, credits, deductions, and other information to be reported on the appropriate lines of your tax return. Should you have any questions regarding this information, please do not hesitate to call. Sincerely, i I PEEPERS ADULT BOOK STOP 6035 S M L KING JR PKWY BEAUMONT, TX 77705-9521 l E } ;EXHIBIT IN THE UNITED STAM rMTRICT COURT if S 99 DEC 17 AM 9: 52 FOR THE EASTERN DISTRICT OF TEXAS L , BEAUMONT DIVISION B UNITED STATES OF AMERICA VS. * CRIMINAL NO. 1:99-CR-173(1) JOHN W. DEYOUNG * (HON. THAD HEARTFIELD) INFORMATION THE UNITED STATES ATTORNEY CHARGES: COUNT I 1. At all times material to this Information: A. The City of Beaumont was a local government entity that received federal assistance in excess of$10,000.00 during the one year period beginning October 1, 1998, and ending September 30, 1999. B. JOHN K. DAVIS, Defendant herein,was an agent of the City of Beaumont, in that Defendant was an elected City Council member representing the people of Beaumont, Texas. 2. From on or about January, 1998, to on or about July, 1999, in the Eastern District of Texas, JOHN W. DEYOUNG, Defendant herein, did knowingly and corruptly give, offer, and agree to give cash money to John K. Davis, intending to influence and reward John K. Davis in connection with Beaumont City Council business involving something of value of $5,000.00 or more, namely, the regulating of sexually oriented businesses in the City of Beaumont, all in violation of Title 18, United States Code, Section 666(a)(2). A TRUE COPY I CERTIFY MAD J. MALAND, CLERK U. OISTRJ T CnT N I RI 8 COUNT H From on or about January, 1998, to on or about November, 1999, in the Eastern District of Texas, JOHN W. DEYOUNG, Defendant herein, having devised a scheme and artifice to defraud sales taxing entities by concealing and withholding information and income relating to sales taxes for Defendant's businesses known as "Peeper's" and "The Oasis," and for the purpose of executing and in order to effect the said scheme and artifice to defraud, Defendant did knowingly cause mail to be sent, delivered, and moved by the United States Postal Service, which included sales tax items to the Texas Comptroller of Public Accounts related to the operation of Defendant's businesses known as "Peeper's" and "The Oasis," all in violation of Title 18, United States Code, Section 1341. MIKE BRADFORD ,*TA��S ATT Y S,. S. Attor ne EXHIBIT REPORTER' S TRANSCRIPT OF PLEA HEARING 0� 1 UNITED STATES DISTRICT COURT 2 EASTERN DISTRICT OF TEXAS 3 BEAUMONT DIVISION 4 ---------------------------------------------------------- 5 THE UNITED STATES OF AMERICA] Docket No. 1 : 99CR173-1 6 v. ] 10 : 15 AM, December 17, 1999 7 JOHN WAYNE DEYOUNG ] Beaumont, Texas 8 ---------------------------------------------------------- 9 VOLUME 1 OF 1, PAGES 1 THROUGH 29 10 TABLE OF CONTENTS - SEE PAGE 29 11 REPORTER' S TRANSCRIPT OF PLEA HEARING 12 BEFORE THE HONORABLE THAD HEARTFIELD, U.S . DISTRICT JUDGE 13 For the Government : Mike Bradford, U.S . Attorney 14 John B. Stevens, Jr. 15 Assistant U. S . Attorney 16 U. S . Attorney' s Office J17 350 Magnolia, Suite 150 1 18 Beaumont, Texas 77701 19 For the Defendant : Rokki Ford Roberts 20 Kevin Garner 21 Attorneys at Law 22 6001 Savoy Drive 23 Houston, Texas 77036 24 Proceedings reported using computerized stenotype, 25 transcript produced via computer-aided transcription. JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 -409-'654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 2 1 [Court reporter' s notes 121799, 10 : 15 AM, 2 Friday, December 17, 1999, Beaumont, Texas, Judge 3 Heartfield presiding] 0:22 AM 4 THE COURT: Be seated, please. 0:22AM 5 The court calls the case of The United States of 0:22 AM 6 America v. John W. DeYoung. Is the government ready to .o:22 AM 7 proceed? 0:22 AM 8 MR. STEVENS : The United States is ready to 0:22 AM 9 proceed, sir. 0:22 AM 10 THE COURT: Speaking for the government is John 0:22 AM 11 Stevens. 0:22 AM 12 And for the defense? 0:22 AM 13 MR. ROBERTS : Rokki Roberts, Your Honor. We 're o:22 AM 14 prepared to go forward. 0:22 AM 15 THE COURT: All right . Your client is present. 0:22 AM 16 We will place Mr. DeYoung under oath. 0:22 AM 17 [The oath was administered] 10:23 AM 18 THE COURT: Counsel and Mr. DeYoung, you may 0:23 AM 19 remain seated there. Pull the microphone close to you, if 0:23AM 20 you would, please . We will begin the plea hearing. o:23 AM 21 Q. First, let me have your full name. 0:23 AM 22 A. John W. DeYoung. John Wayne DeYoung. o:23 AM 23 Q. All right . And your age? 0:23 Arc 24 A. 29 . 0:23 AM 25 Q. .Your educational background? JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008,' 409_=654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 3 :23 AM 1 A. GED. :23 AM 2 Q. Mr. DeYoung, I understand that you wish to enter a :23 AM 3 plea of guilty to count one of the information and count 23 AM 4 two of the information, is that correct? 23 AM 5 A. Yes, sir. 0:23 AM 6 THE COURT: May I see the waiver, please . 24 AM 7 Q. I also understand that you have executed a waiver of 0:24 AM 8 indictment dated this date and you represent to the court 0:24 AM 9 that you acknowledge your right to have your case 0:24 AM 10 considered by a grand jury and indicted within 30 days of 0:24 AM 11 your arrest, you waive the right to be indicted within 30 0:24 AM 12 days of arrest in order that your attorney and the 0:24 AM 13 attorney for the government may have adequate opportunity 0:24 AM 14 to discuss your case; not only do you waive the right to 0:24 AM 15 be indicted within 30 days of your arrest, but you waive 0:24 AM 16 your right to an indictment altogether and choose to 0:24 AM 17 permit the government to proceed by information. You 0:24 AM 18 represent to the court that you in fact, on the record, 0:24 AM 19 waive indictment? 0:24 AM 20 A. Yes, sir. 0:24 AM 21 Q. All right . Before accepting your plea of guilty, 0:24 AM 22 the court will inform you of certain rights that you have 0:25 AM 23 under the Constitution. I do this to determine that you 0:25 AM 24 understand the consequences of entering a plea of guilty. 0:25 AM 25 Your answers to this court will be under oath, on the JERRY KELLEY, OFFICIAL COURT REPORTER, U. S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 4 :25AM 1 record, in the presence of your attorney. Questions will :25AM 2 concern the charges against you and your basic understand- :25AM 3 ing of these proceedings . I say all this so that if at :25 AM 4 any time during these proceedings you feel that you do not :25 AM 5 understand a question I may have asked or any aspect of 0:25AM 6 these proceedings, then I will attempt to clarify or 0:25 AM 7 explain that which you may not understand. Also, I ' ll 0:25AM 8 give you time to visit with your attorney if you want to 0:25AM 9 take a break to do that . Do you understand that? 0:25 AM 10 A. Yes, sir. 0:25AM 11 Q. All right . You are now under oath. If you answer 0:26 AM 12 any of my questions falsely, your answers could later be 0:26 AM 13 used against you in a prosecution for perjury or making a 0:26 AM 14 false statement . Do you understand that? 0:26 AM 15 A. Yes, sir. 0:26 AM 16 Q. Have you discussed the facts of the case and the 0:26 AM 17 charges pending against you with your attorney? 0:26 AM 18 A. Yes, sir. 0:26 AM 19 Q. Have you discussed with your attorney any possible .0:26 Am 20 defenses that you might have to these charges? 4 10:26 AM 21 A. Yes, sir. -10:26 AM 22 Q. And are you satisfied that your attorney has fully 0:26 AM 23 considered your case? 0:26 AM 24 A. Yes, sir. 0:26 Am 25 Q. Fully considered any defenses that you might have? JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 5 :26 AM 1 A. Yes, sir. :26 Art 2 Q. And are you satisfied with the representation and :26 Art 3 advice that has been given to you by your attorney? 26 AM 4 A. Yes, sir. 26 AM 5 Q. Understand, Mr. DeYoung, that if you desire to :26AM 6 change your plea of guilty to a plea of not guilty at any 0:26 AM 7 time during these proceedings, I ' ll allow you to do that, 0:26 AM 8 but you' ll have to let me know and that would have to be 0:26 AM 9 done during these proceedings . 0:27 AM 10 A. Yes, sir. 0:27AM 11 Q. Because as I move along, you' ll understand that once 0:27 AM 12 you've entered a plea of guilty you will not be allowed to 0:27 AM 13 withdraw it . 0:27 AM 14 Have you received a copy of the information 0:27 AM 15 that ' s pending against you? 0:27 AM 16 A. Yes, sir. 0:27 AM 17 Q. Have you read it and discussed it with your 0:27 AM 18 attorney? 0:27 AM 19 A. Yes, sir. 0:27 AM 20 Q. So that you fully understand the nature of those 0:27 AM 21 charges, I will go over them with you once again on the o:27 AM 22 record. As to count one of the information and at all 0:27 AM 23 times material to the information, it provides that the 0:27 AM 24 City of Beaumont was a local government entity that 0:27 AM 25 received federal assistance in excess of $10, 000 during JERRY KELLEY, OFFICIAL COURT REPORTER, U. S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654=_2852 REPORTER'S TRANSCRIPT OF PLEA HEARING 6 :27AM 1 the one-year period beginning October 1, 1998, and ending :27 AM 2 September 30, 1999, and that John K. Davis was an agent of :28AM 3 the City of Beaumont in that Davis was an elected city ,:28A,m 4 council member representing the people of Beaumont, Texas, :28AM 5 and from on or about January 1998 to on or about July :28AM 6 1999, in the Eastern District of Texas, John W. DeYoung 0:28AM 7 did knowingly and corruptly give, 'offer and agree to give :28AM 8 cash money to John K. Davis, intending to influence and :28AM 9 reward John K. Davis in connection with Beaumont City :28AM 10 Council business involving something of a value of $5, 000 0:28 AM 11 or more, namely the regulating of sexually-oriented 0:28 AM 12 business in the city of Beaumont, all in violation of 0:28 AM 13 Title 18, United States Code, section 666A(2) . That ' s 0:28 AM 14 count one of the information. 0:28 AM 15 Count two provides that on or about January 1998 0:29 AM 16 to on or about November 1999, in the Eastern District of 0:29 AM 17 Texas, John W. DeYoung, having devised a scheme and 0:29AM 18 artifice to defraud sales-taxing entities by concealing 0:29 AM 19 information and income relating to sales taxes for 0:29 AM 20 defendant ' s businesses known as Peepers and The Oasis, and 0:29A.M 21 for the purpose of executing and in order to effect the 0:29 AM 22 said scheme and artifice to defraud, defendant did 0:29 AM 23 knowingly cause mail to be sent, delivered and moved by 0:29 AM 24 the United States Postal Service, which included sales-tax 0:29 AM 25 items, to the Texas Comptroller of Public Accounts related JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 .409-f:654-,2862 REPORTER'S TRANSCRIPT OF PLEA HEARING 7 :29AM 1 to the operation of defendant ' s businesses known as :29 AM 2 Peepers and The Oasis, all in violation of Title 18, :30 AM 3 United States Code, 1341 . :3o Arc 4 I have summarily reviewed the charges against :3o Arc 5 you and the elements contained within those charges . Do :3o AM 6 you understand the nature of these charges and these :3o AM 7 elements? 30 AM 8 A. Yes, sir. :3o AM 9 Q. Do you understand that these are matters that the :3o AM 10 government is required to prove beyond a reasonable doubt :30AM 11 in order to convict you of the offenses charged in the 30 AM 12 information? :3o AM 13 A. Yes, sir. :3o AM 14 Q. Do you need any further explanation by the court or 1:3o AM 15 your attorney about the charges? :3o AM 16 A. No, sir. :30 AM 17 Q. I 'm required to advise you of the maximum penalty :3o AM 18 provided by law, if any, and the minimum penalty that :3o AM 19 would be provided if I accept your plea of guilty and if 30 AM 20 you are sentenced. Do you understand that as to count one :31 AM 21 that you may receive a sentence of imprisonment of not :31 AM 22 more than 10 years, a fine not to exceed $250, 000, or :31 AM 23 both, a term of supervised release of up to three years :31 AM 24 may be imposed? And as to count two of the information -- :31 AM 25 first, do you understand the possible range"of sentence -- JERRY KELLEY, OFFICIAL COURT REPORTER, U. S . DISTRICTCOURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704 000+846"9', 6�j54 22862 c r 1p REPORTER' S TRANSCRIPT OF PLEA HEARING 8 31AM 1 that could occur with regard to count one of the 31 AM 2 information? 31 AM 3 A. Yes, sir. :31 AM 4 Q. Do you need any further explanation about that? :31 AM 5 A. No, sir. :31 AM 6 Q. As to count two of the information, you understand :31AM 7 that you may receive a sentence of imprisonment of not :31AM 8 more than five years, a fine not to exceed $250, 000, or :31AM 9 both, a term of supervised release of up to three years :31 AM 10 may be imposed, and you'll be required to pay a :31AM 11 hundred-dollar special assessment for each count by :31 AM 12 cashier' s check or money order payable to the United :32 AM 13 States District Clerk' s Office in Tyler, Texas, on or • :32 AM 14 before the sentencing date. :32AM 15 "Supervised release" means that the court will :32 AM 16 direct that after you are released from prison you'll be f :32 AM 17 supervised by the probation department under conditions :32AM 18 that will be set by the court . If you violate any of the :32 AM 19 conditions of release, you would be brought back to court :32 AM 20 and resentenced to an additional term of years based on :32 AM 21 the sentencing guidelines . c32A,M 22 Do you understand, first of all, the range of :32 AM 23 punishment that could be applied in count two? 32 AM 24 A. Yes, sir. :32 AM 25 Q. And you understand what is meant by supervised F JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8 , BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER ' S TRANSCRIPT OF PLEA HEARING 9 32 AM 1 release? 32 AM 2 A. Yes, sir. 33 AM 3 THE COURT: All right . Do you also understand, 33 AM 4 as is also set forth in the plea agreement, that under 33AM 5 certain circumstances you may have to make restitution in 33 AM 6 certain cases? 33 AM 7 Is that an issue here, Mr. Stevens? 33 AM 8 MR. STEVENS : Yes, sir, it is . -33 AM 9 THE COURT: All right . 33 AM 10 Q. Do you understand that? :33 AM 11 A. Yes, sir. 33AM 12 THE COURT: And we have other issues, such as :33 Art 13 fraud, restitution, issues which are already covered by :33 AM 14 the information, I believe . :33 AM 15 MR. STEVENS : That ' s correct, Your Honor. 33 AM 16 THE COURT: And there are issues of forfeiture :33 AM 17 that will also be addressed, is that correct? :33 AM 18 MR. STEVENS : Yes, sir. And that will have to :33 AM 19 be determined at a later date, but that is a potential in :33 AM 20 this case, yes, sir. :33 ArI 21 THE COURT: And it ' s also provided for in the :33 Am 22 plea agreement, which we will get to. :33 Art 23 MR. STEVENS : Yes, sir. :33 AM 24 THE COURT: All right . :33 AM 25 Q. Mr. DeYoung, : the United States Sentencing Commission JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, ;TEXAS 77704-0008 409-654-2862 xr REPORTER' S TRANSCRIPT OF PLEA HEARING 10 33 Ara 1 has issued guidelines for courts to follow in determining 33 Ara 2 the sentence in a criminal case. The court must consider .34 AM 3 and may depart from those guidelines under certain :34AM 4 circumstances . Have you and your attorney talked about :34AM 5 how the sentencing commission guidelines might apply to 34 AM 6 your case? 34 AM 7 A. Yes, sir. :34AM 8 Q. Do you understand that the court will not be able to ` 34AM 9 determine what sentence will be provided by the guidelines :34AM 10 until after a presentence report has been prepared and you :34 AM 11 and the government have had an opportunity to review the ' :34AM 12 report and to make any objections to it that you deem ; :34AM 13 necessary? Do you understand that must occur first? :34 AM 14 A. Yes, sir. :34 AM 15 Q. Do you understand that the sentence imposed may be :34 Ara 16 different from any estimate your attorney may have given :34 AM 17 you? :34 Ara 18 A. Yes, sir. :34AM 19 Q. Do you understand that after it 's been determined 34 AM 20 what guideline applies to a case the judge has the 34 AM 21 authority under some circumstances to impose a sentence 34 AM 22 that is more severe or less severe than called for by the :3s AM 23 guidelines? :3s AM 24 A. Yes, sir. :35 AM 25 Q. Do you understand that under some circumstances you JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 11 35AM 1 or the government may have the right to appeal any 35 AM 2 sentence I impose? 35 AM 3 A. Yes, sir. 35 AM 4 Q. Do you understand that parole has been abolished and 35 AM 5 if you are sent to prison you' ll not be released on 35 AM 6 parole? 35 AM 7 A. Yes, sir. .35 AM 8 Q. Do you understand that if the sentence is more .35 AM 9 severe than you expected you will be bound by your plea 35AM 10 agreement, your plea of guilty, and you will not have a 35 AM 11 right to withdraw it? Do you understand that? 35 AM 12 A. Yes, sir. t :35 AM 13 Q. Finally, do you understand that the offense to which :35 AM 14 you are pleading guilty is a felony offense and if the 35 AM 15 plea is accepted you ' ll be adjudged guilty of that offense t ::35 AM 16 and that adjudication may deprive you of certain valuable ! :35AM 17 civil rights, such as the right to vote, to sit on a jury, :35 AM 18 to hold public office, to possess any kind of a firearm :36 AM 19 and to receive certain federal benefits? You' ll lose i� :36 AM 20 those rights . Do you understand that? 36 AM 21 A. Yes, sir. 36 AM 22 Q Having said what I 've said, do you represent to this :36 AM 23 court that you understand the sentence that could be :36 AM 24 imposed upon you if you plead guilty? :36 AM 25 A. Yes, sir. JERRY KELLEY, OFFICIAL COURT REPORTER, U. S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 12 36 AM 1 Q• Do you need any further explanation from the court 36 AM 2 or your attorney at this time? 36 AM 3 A. No, sir. 36 AM 4 Q. Is your plea voluntary? 36 AM 5 A. Yes, sir. 36 AM 6 Q. It 's not the result of force or threats by anyone? 36 AM 7 A. No, sir. 36 AM 8 Q. Is your plea a result of discussions between the 36AM 9 government ' s attorney and your attorney and you? c36 AM 10 A. Yes, sir. 36 AM 11 Q. Has anyone made any promises to you aside or 36 AM 12 different than those contained in the plea agreement? r i36 AM 13 A. No, sir. 36 AM 14 Q. Have you ever been treated for mental illness or 36 AM 15 addiction to narcotic drugs of any kind? •36 AM 16 A. No, sir. 37 AM 17 Q. Are you currently under the influence of any drug, :37 AM 18 medication or alcoholic beverage of any kind? :37 AM 19 A. No, sir. :37 AM 20 Q. All right . Again, as to your constitutional rights, 37 AM 21 Mr. DeYoung, do you understand, again, that you have the r -37 AM 22 right to plead not guilty to any offense charged and to :37 AM 23 persist in that plea? 37 AM 24 A. Yes, sir. .37 AM 25 Q. If you pled not guilty, you would have the right to JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT Y ,. POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 13 37AM 1 a trial by jury, during which you would also have the : 37AM 2 right to the assistance of counsel for your defense, the 37 AM 3 right to see and hear all the witnesses and have them 37 AM 4 cross-examined in your defense, the right on your own part 37 AM 5 to decline to testify unless you voluntarily elected to do 37 AM 6 so, and the right to the issuance of subpoenas and 37 AM 7 compulsory process for production of documents and the 37 AM 8 attendance of witnesses in your behalf . You would have 37AM 9 all of those rights, including the right to a speedy and > 37 AM 10 public trial . If you plead guilty, you will waive all of 38 AM 11 those rights . Do you understand that? i38 AM 12 A. Yes, sir. 38 AM 13 Q. And you understand that if the court accepts your 38 AM 14 plea there will be no trial? 38 AM 15 A. Yes, sir. .38 AM 16 THE COURT: Has the government and the defense 38 AM 17 entered into a plea agreement? 38 AM 18 MR. STEVENS : Yes, we have, Your Honor. We have 38 AIM 19 memorialized that into written form, all parties have 08 AM 20 signed it . We are tendering an original of the plea 08 AM 21 agreement to the court at this time, ask that it be filed 38 AM 22 into the records of this case . •38 AM 23 MR. ROBERTS : Without objection, Your Honor. 38 AM 24 THE COURT: All right . It is admitted and will :38 AM 25 be filed in the records of the court . JERRY KELLEY, OFFICIAL COURT REPORTER, U. S . DISTRICT COURT POST OFFICE BOX 8 , BEAUMONT, TEXAS 77704-0008 409-F';a-0-1^ REPORTER'S TRANSCRIPT OF PLEA HEARING 14 $ i38AM 1 Q. I ask you, Mr. DeYoung: Have you read the entire r :38 AM 2 plea agreement? t .3s 3 A. Yes, sir. i :38 Arc 4 Q. Did you review it with your attorney? J t :38 AM 5 A. Yes, sir. :38 AM 6 Q. Did you sign it? Y :38 AM 7 A. Yes, sir. 4 :3 8 AM 8 Q. Did you fully understand it once you had read it and :38 AM 9 reviewed it with your attorney? :38 AM 10 A. Yes, sir. :38AM 11 Q. And you understood it before you signed it? :38 AM 12 A. Yes, sir. :38 AM 13 Q. Is that your signature on the last page? :38 AM 14 A. Yes, sir. :39 AM 15 THE COURT: Do you have a copy of it there? :39AM 16 MR. ROBERTS : It was shown to us by the clerk, :39 AM 17 Your Honor. :39 AM 18 THE COURT: All right . =39 AM 19 I 'm going to ask the government attorney to :39 AM 20 summarize the plea agreement, Mr. DeYoung. And when the :39 AM 21 government ' s attorney has finished with that :39 AM 22 summarization, I 'm then going to ask you whether you agree :3.9 Am 23 or disagree with all or any part of it, I 'm going to ask :39 AM 24 you if it is correct, I 'll ask you if you have any :39 AM 25 changes, I ' ll ask you if you understood and accepted the JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER'S TRANSCRIPT OF PLEA HEARING 15 r 39 AM 1 terms . 39 AM 2 Mr. Stevens . :39 AM 3 MR. STEVENS : May it please the court, Your ;39 AM 4 Honor, under paragraph one of the plea agreement, that :39AM 5 section provides that the defendant know of his right to :39 AM 6 an indictment and to a trial by jury, and agrees to waive a :39 AM 7 grand jury review and jury trial of his case, and he } :39 AM 8 agrees to enter pleas of guilty to counts one and two of 39 AM 9 the information, number one alleging a violation of 39 AM 10 bribery, and number two a violation of mail fraud; that he :40AM 11 understands the punishment range for count one is a 40AM 12 sentence of imprisonment of not more than 10 years, a fine :40 AM 13 not to exceed $250, 000, or both, and a supervised release s 40AM 14 term of up to three years may be imposed as to count one. :40 AM 15 As to count two of the information, the :40AM 16 defendant understands he could receive a sentence of :40 AM 17 imprisonment of not more than five years and a fine not to :40 AM 18 exceed $250, 000, or both, a term of supervised release, as :40AM 19 well, of up to three years for that count may be imposed. :40 AM 20 In addition, he will be required to pay a $100 :40 AM 21 special assessment for each count . :40 AM 22 He also understands that, pursuant to Title 18, :40 AM 23 USC, sections 3663 , 3663 (a) and 3364, restitution may be :4oAM 24 ordered by the court . And that will be determined with 40 AM 25 the cooperation of the defendant . Any restitution and the JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 16 .41 1 amount will be determined at a later time; through the :q1 AM 2 presentence investigation. :41 AM 3 The defendant admits and expresses that certain <' :g1 AM 4 personal property and currency may be subject to i41 AM 5 forfeiture . And that, again, will have to be determined -41 AM 6 at a later date . And the defendant has agreed to take all 41 AM 7 actions necessary to assist in the determination of :41 Ara 8 potential forfeitures and to effectuate all necessary :41 AM 9 efforts to employ the forfeiture if property is deemed . 0:41 AM 10 forfeitable. :41 AM 11 The defendant understands that any sentence will o:41 AM 12 be imposed in the sole discretion of the court and may be :41 AM 13 up to the maximum provided by law and subject to the 0:41 AM 14 United States Sentencing Commission Guidelines . :41 AM 15 Paragraph six provides that if the defendant is ' o:41 AM 16 dissatisfied with any sentence he will not be permitted to 0:42 AM 17 withdraw any guilty pleas, and that if the plea agreement 0:42AM 18 is rejected the defendant will be entitled to any remedies 0:42 AM 19 which are available under rule 11 of the Federal Rules of 0:42 ABM 20 Criminal Procedure . 0:92AM 21 If required by the United States Attorney' s 0:42 AM 22 Office, the defendant agrees to truthfully complete a 0.42 AM 23 financial-statement form, and that will be required prior 1:42 AM 24 to sentencing, and that is for purposes of restitution 0:42 AM 25 which may be ordered in this case. JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 t REPORTER'S TRANSCRIPT OF PLEA HEARING 17 :42 AM 1 Next, the defendant agrees to provide complete :42 AM 2 and truthful information and testimony whenever requested :42 AM 3 by the United States Government in regards to all facts :42 AM 4 the defendant may know surrounding illegal activities in 0:42 AM 5 the Eastern District of Texas and elsewhere, not ? o:42 AM 6 limited -- his assistance will be to debriefing testimony t n:42 AM 7 for grand jury and/or for trial purposes . He agrees and :42 AM 8 understands that the essence of this agreement is based :42 AM 9 upon complete and truthful compliance with this provision. :43 AM 10 If it is determined by the Substantial i :43 AM 11 Assistance Committee of the United States Attorney' s :43 AM 12 Office that he has provided substantial assistance in the :43 AM 13 investigation or prosecution of others concerning matters 0:43 AM 14 which have not already been known by law-enforcement 0:43 AM 15 officials, the United States may file a motion for :43 AM 16 downward departure . It is understood, though, that it is i " 0:43A�X 17 entirely within the sole and exclusive discretion of the 3 0:43 AM 18 United States Attorney' s Office whether to file such 0:43 AM 19 motion, and any determination of any reduction in sentence 0;43 km 20 would be, of course, in the court ' s complete discretion. 1 0:43 AM 21 The United States Attorney for the Eastern 0'43 AM 22 District of Texas, in consideration for this agreement, 0'43 AM 23 agrees not to prosecute the defendant for any other 0:43 AM 24 nonviolent offenses he may have committed arising from the 0'43 AM 25 facts and circumstances surrounding the charges in this JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER'S TRANSCRIPT OF PLEA HEARING 18 0.43 AM 1 case . 0:43 AM 2 With the exception of the sentencing guidelines x. 10:43 AM 3 determinations, the defendant waives any appeal, including . 10:44 AM 4 collateral appeal under 28 United States Code, section 10:44 AM 5 2255, of any error which may occur surrounding substance, 10:44 AM 6 procedure or form of the conviction and sentencing in this 10:44 AM 7 case. '•i 10:44 IN 8 Nothing in this agreement shall be construed or 10.44 AM 9 understood so as to release the defendant from any civil p10:44AM 10 liability to any individual or legal entity which could 10:44 AM 11 arise from any matter related to or surrounding this case, 10:44 AM 12 nor does this plea agreement, the defendant understands, 10:44 AM 13 preclude the United States from proceeding against him on 10:44 AM 14 any civil action which the United States may be entitled +110:44 AM 15 to pursue against the defendant . And unless otherwise 10:44 AM 16 provided, which would be stated expressly in this plea 10:44 AM 17 agreement, it is binding only upon the Eastern District of 10:44 AM 18 Texas; this does not bind any other United States Attorney 10:44 AM 19 nor any state or local prosecutor. 10:45 AM 20 Finally, this is the full understanding of the 10:45 AM 21 agreement that has been reached between the United States 10:45 AM 22 of America and the United States Attorney' s Office for X0:45 AM 23 this district and the defendant, and it has been expressly 10,45 AM 24 understood and acknowledged by the signatures of all 10:45 AM 25 parties . JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER'S TRANSCRIPT OF PLEA HEARING 2 19 45 1 THE COURT: All right . 45 AM 2 Q. Mr. DeYoung, do you acknowledge the summarization as 45 AM 3 given by the government as being correct? 45 AM 4 A. Yes, sir. a 45 AM 5 Q• Do you have any changes to make? 45 Arc 6 A. No, sir. 45 AM 7 Q• Did you understand each and every term as you read .45 AM 8 them and as you heard them today? 45 AM 9 A. Yes, sir. 45 Arc 10 Q. Do you accept each of those terms? :45 AM 11 A. Yes, sir. •45 AM 12 Q. And has anyone made any other promises aside from 45 AM 13 those promises that are in the plea agreement? i 45 AM 14 A. No, sir. :45 AM 15 THE COURT: Counsel, are you confident that your :45 AM 16 client fully understands this plea agreement? :45 AM 17 MR. ROBERTS : I am, Your Honor. 1:45 AM 18 THE COURT: Thank you. :45A,M 19 The court admits the plea agreement on the :45 AM 20 record under seal . :45 Art 21 Q. The court will defer its decision to accept or :46 AM 22 reject the plea agreement until there ' s been an :46 AM 23 opportunity to consider the presentence report . If the :46 AM 24 court rejects the plea agreement, I would advise you in :46 AM 25 open court . Under that circumstance, you would not be JERRY KELLEY, OFFICIAL COURT REPORTER, U. S. DISTRICT COURT { POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 } A REPORTER' S TRANSCRIPT OF PLEA HEARING 20 :46 AM 1 bound by it and you would have the opportunity, under that :46 Art 2 circumstance, to withdraw your plea of guilty. Do you 3 :46 AM 3 understand that? l :46 AM 4 A. Yes, sir. :46 AM 5 Q. If the plea agreement is rejected and you still g :46Art 6 persist in your guilty plea, the disposition of the case 0 :46 AM 7 could be less favorable to you than that contemplated by 1:46 AM 8 the plea agreement . Do you understand that? IF :46 AM 9 A. Yes, sir. :46 AM 10 THE COURT: All right . :46 AM 11 The government is now going to make a factual i :46 AM 12 basis or a proffer of proof of the evidence that it would . t' 46 AM 13 offer at trial to support the information and the charges :46 AM 14 against you. This must be done before the court accepts :46AM 15 your plea of guilty. it is important for you to pay very :47 AM 16 close attention to what the government has to say, because :47 AM 17 when the government has concluded, I ' ll ask you if you 0:47 AM 18 agree or disagree with the statements made by the 0:47 AM 19 government in its proffer of proof . 0:47 AM 20 Mr. Stevens . 0:47 AM 21 MR. STEVENS : Your Honor, at this time we would 0:47 AM 22 call Paul Geboski with the FBI to the stand for our proof 0:47 AM 23 presentation, sir. > 24 THE COURT: All right . 25 Please be sworn. JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX- 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 t DIRECT EXAMINATION OF PAUL GEBOSKI t 21 1 [The oath was administered] 2 DIRECT EXAMINATION OF PAUL GEBOSKI :47 Art 3 MR. STEVENS : :47 AM 4 Q. Please tell us your full name . :q7 Art 5 A. It ' s Paul Geboski . :47 AM 6 Q. Sir, how are you employed? .i l :47 Arc 7 A. I 'm an agent with the FBI here in Beaumont, Texas . i :47 Arc 8 Q. And how long have you been an FBI Agent? :47 AM 9 A. Approximately 10 years. :47 Art 10 Q. Are you familiar with the defendant in this case, :47 AM 11 and the investigation surrounding the defendant? s 47 Arc 12 A. Yes, I am. :48 AM 13 Q. Sir, has your investigation led you to conclude that :48 AM 14 the defendant has committed criminal violations of the :48 AM 15 United States of America? :48 AM 16 A. Yes, it has . :48 AM 17 Q. Are you familiar with the charges listed in the :48 AM 18 information as well as the plea agreement that has been :48 AM 19 entered into in this case? :48 AM 20 A. Yes, I am. :48 AM 21 Q. From your investigation, have you talked to :48 AM 22 witnesses, personally learned of the information and data :48 AM 23 surrounding wrongdoing in this case, and discussed these :48 AM 24 facts with the defendant, who has admitted his wrongdoing :48 AM 25 to you? JERRY KELLEY, OFFICIAL COURT REPORTER, U. S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT,`'' TEXAS 77704-0008 409-654-2862 r: s DIRECT EXAMINATION OF PAUL GEBOSKI 22 A. Yes, I have. 4 8 AM 2 Q. We 'll go over the elements here in the information. 48 AM 3 Are you familiar, sir, that the City of Beaumont is a 46 AM 4 local government entity that receives federal assistance? ra 48 AM 5 A. Yes, I am. P 48 AM 6 Q. Did it receive such federal assistance in excess of {= 48 arc 7 $10, 000 during the one-year period beginning October 1st, 48 AM 8 1998, and ending September 30th, 1999? 49 AM 9 A. Yes, it did. 49 AM 10 Q. From your investigation and your understanding, have 49 AM 11 you learned that the City of Beaumont receives hundreds of 49 AM 12 thousands of dollars, actually, of federal assistance 49 AM 13 during that time period? 49 AM 14 A. Actually, it ' s millions of dollars, yes, sir. } 49 AM 15 Q. And was John K. Davis an agent of the City of 49 AM 16 Beaumont during and at all times material to this 49 AM 17 information an agent of the City of Beaumont as an elected .49 AM 18 city council member who represented the people of the city 49 AM 19 of Beaumont, Texas? 49 AM 20 A. Yes, he was. 41 21 Q. During his term as a city councilman, and including :49 AM 22 from January 1998 to July 1999, in the Eastern District of '49 Am 23 Texas, did the defendant knowingly and corruptly give, 49 AM 24 offer and agree to give cash money to City Councilman John 49 AM 25 K. Davis? f JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 DIRECT{EXAMINATION OF PAUL GEBOSKI 23 b` + :49 AM 1 A. Yes, :49 AM 2 Q. And in" fact, John K. Davis agreed to accept that :so AM 3 money? :50 AM 4 A. And he took it, also, yes, sir. :so AM 5 Q. And was that all done and accomplished with the ► ':50 AM 6 intent to influence and reward Councilman Davis in a :so AM 7 connection with city council business involving something :so AM 8 of value of $5, 000 or more? :so AM 9 A. Yes, it was . :50 AM 10 Q. Did that involve the regulating of sexually-oriented :50 AM 11 businesses in the city of Beaumont? f :s0 AM 12 A. Yes, it did. :so AM 13 Q. Did it include regulations affecting the defendant 's :50 AM 14 business, which was known as Peepers, in Beaumont? :so AM 15 A. Yes, it did. :50 AM 16 Q. And has the defendant admitted that he knowingly and :50 AM 17 voluntarily entered into an agreement to pay John Davis t :50 AM 18 cash money as a form of bribery for Davis ' s actions as a soXM 19 city councilman affecting the defendant ' s business and :50 Am 20 sexually-oriented businesses? :50 AM 21 A. Yes, he did. '5 11 Am 22 Q. And how much money did the defendant admit to paying :50 AM 23 John Davis as part of this bribery during this period of :si AM 24 time? sl AM 25 A. $30, 000 . JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 DIRECT EXAMINATION OF PAUL GEBOSKI 24 .51 1 Q. Was this in one lump sum, or was it done in some .51 2 kind of an installment basis during different times from 51 AM 3 January of 1999 to July of -- I 'm sorry, July of 1998 to :51 AM 4 July of 1999? `:51 Art 5 A. According to Mr. DeYoung, it was made in a series :51 6 of approximately 10 payments . :51 AM 7 Q. Next, from on or about January of 1998 to on or :51 AM 8 about November 1999, here in the Eastern District of :51 AM 9 Texas, from your investigation, have you learned that s :51 AM 10 the defendant devised a scheme and plan to defraud sales- { :51 AM 11 taxing entities? It :51 AM 12 A. Yes, I did. :51 AM 13 Q. And how was that accomplished, sir? :51 AM 14 A. By what I would refer to as a cash-skimming scheme :51 AM 15 where sales revenues were skimmed off the top of what was :51 AM 16 reported to those taxing entities . :51 AM 17 Q. And during this period of time, how much was skimmed :52 AM 18 or taken by the defendant and withheld from the sales- 52 AM 19 taxing entities? 52 AM 20 A. Approximately $300, 000 . :52 AM 21 Q. And was this concerning the defendant ' s businesses :52 AM 22 known as Peepers and The Oasis? -'e :52 AM 23 A. Yes . :52 AM 24 Q. And for the purpose of executing and employing and 52 AM 25 effecting the plan to defraud the sales-taxing entities, JERRY KELLEY, OFFICIAL COURT REPORTER, U. S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 DIRECT EXAMINATION OF PAUL GEBOSKI 25 10:52 AM 1 did the defendant knowingly cause mail to be sent, 4 10:52 AM 2 delivered and moved by the United States Postal Service? i 10:52 AM 3 A. Yes, he did. to:52AM 4 Q. Were these items including sales-taxing materials 10:52 AM 5 sent by the comptroller to the defendant and his <; 10:52 AM 6 businesses and then items of mail concerning sales-taxing 10:52 AM 7 items sent to the comptroller? 10:52 AM 8 A. Yes . 10:52 AM 9 Q. And this all concerned the operating of the 10:52 AM 10 defendant ' s businesses known as Peepers and The Oasis? 10:52 AM it A. That is correct . 10:52 AM in this 12 Q. The victims of this particular fraud 10:52 AM 13 skimming scheme that you have testified to, do they 10:53 AM 14 include the State of Texas, the comptroller' s office of 10:53 AM 15 the State of Texas as a taxing entity, the City of 10:53 AM 16 Beaumont as a sales-taxing entity, and the County of n:• 10:53 AM 17 Jefferson? 10:53 AM 18 A. That is correct . 10:53 AM 19 MR. STEVENS : We pass this witness . 10:53 AM 20 MR. ROBERTS : No questions, Your Honor. 10:53 AM 21 THE COURT: All right . 10:53 AM 22 Q. Mr. DeYoung, do you acknowledge and agree with the t 10:53 AM 23 government ' s summary of the facts constituting proof of 10:53 AM 24 the commission of the offense and the charges against you 10:53 AM 25 in the information, and do you likewise agree with the JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT ?, POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 4. 26 1i' 1 10:53 AM 1 testimony that has been given by the government ' s witness 110:53 AM 2 in every respect? i'. 4, 10:53 AM 3 A. Yes, sir. A� 10:53 AM 4 Q. Do you have any changes to offer whatsoever? 10:53 AM 5 A. No, sir. 10:53 AM 6 Q. Does it explain your participation in the crime as 10:53 AM 7 charged? 10:53 AM 8 A. Yes, sir. 10:53 AM 9 THE COURT: Counsel, can you tell the court and y�v 10:53 AM 10 represent to the court that the defendant has been c 10:54 AM 11 competent and able to cooperate with you? 10:54 AM 12 MR. ROBERTS : Please the court, Your Honor -- 10:54 AM 13 THE COURT: And you've discussed the case in 10:54 AM 14 detail with him in every respect? 10:54 AM 15 MR. ROBERTS : I have. 4 10:54 AM 16 THE COURT: And you are confidence that his 10:54 AM 17 constitutional rights have been observed? 10:54 AM 18 MR. ROBERTS : Yes, sir, I am. 10:54 AM 19 THE COURT: And you join in the recommendation 10,54 AM 20 that he enter a plea at this time? 10:54 AM 21 MR. ROBERTS : I do, Your Honor. 10:54 AM 22 THE COURT: 1-0:54 AM 23 Q. Mr. DeYoung, are you entering your plea freely, 10:54 AM 24 voluntarily, knowingly and on advice of counsel? 10:54 AM 25 A. Yes, sir. JERRY KELLEY, OFFICIAL COURT REPORTER, U.S . DISTRICT COURT POST OFFICE BOX* 8 , BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER'S TRANSCRIPT OF PLEA HEARING 27 f 10:54 AM 1 Q. Are you pleading guilty because you are guilty? 10:54 AM 2 A. Yes, sir. 10:54 AM 3 Q. How do you now plead to the charges in count one of ,q 10:54 AM 4 the information, guilty or not guilty? 10:54 AM 5 A. Guilty. 10:54 AM 6 Q. How do you now plead to the charges in count two of 10:54 AM 7 the information, guilty or not guilty? 10:54 AM 8 A. Guilty. 10:54 AM 9 THE COURT: It is the finding of the court in Js 10:54 AM 10 the case of The United States of America v. John W. 10:54 AM 11 DeYoung that the defendant is fully competent and capable 10:54 AM 12 of entering an informed plea, and that his plea of guilty ,7. 110:55 10:55 AM 13 is a knowing and voluntary plea supported by an 10:55 AM 14 independent basis in fact containing each of the essential 10:55 AM 15 elements of the offense. His plea is therefore accepted 10:55 AM 16 and he is now adjudged guilty of that offense . W; 10:55 AM 17 A written presentence report will be prepared by AM 18 the probation office to assist the court in sentencing. _ 10:55 AM 19 You' ll be asked to give information for that report . And 10:55 Am 20 I recommend that your attorney be present during that 10:55 Am 21 interview. 10:55 Am 22 The court will permit you and your counsel to 2 io:ss Am 23 read the presentence report before sentencing hearing and 10:55 Am 24 to make objections to the report that you deem necessary. 10:55 Am 25 You and your attorney will be afforded an opportunity to JERRY KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT '. POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 REPORTER' S TRANSCRIPT OF PLEA HEARING 28 ti• 10;55 AM 1 address the court at the time of the sentencing hearing. 10:55 AM 2 You are now referred to the probation office to 10:55 AM 3 begin your presentence report . 10:56 AM 4 As to release pending sentencing -- 10:56 AM 5 MR. STEVENS : We ' re aware that there have been 10:56 AM 6 no problems and the defendant has adjusted well to the Y 10:56 AM 7 conditions of release . We have no objection to his 10:56 AM 8 maintaining the same conditions of release pending the 10:56 AM 9 presentence report . 10:56 AM 10 PROBATION OFFICER: That ' s correct, Your Honor. 10:56 AM 11 THE COURT: All right . Mr. DeYoung, you will 10:56 AM 12 remain on the current conditions of release. The court, ' . 10:56 AM 13 based upon the testimony at this hearing, will find from 10:56 AM 14 clear and convincing evidence that you are not likely to 10:56 AM 15 flee or pose a danger to the safety of any other person. 10:56 AM 16 That also is based upon the report that I have received 10:56 AM 17 from the probation office . You understand that the 10:56 AM 18 present conditions of release continue to apply, and the 10:56 AM 19 penalty for violating those conditions could be fairly 10:57 AM 20 severe. Some people do it intentionally, some people do 10:57 AM 21 it unwittingly. All I suggest to you is that you visit 10:57 AM 22 with your counsel and go over them again so that they're 10:57 AM 23 locked into your mind and you don't have a problem with 10:57 AM 24 mistakenly breaking a condition. 10:57 AM 25 Is there any other matter before the court by JERRY .KELLEY, OFFICIAL COURT REPORTER, U.S. DISTRICT COURT POST OFFICE BOX 8, BEAUMONT, TEXAS 77704-0008 409-654-2862 9' REPORTER' S TRANSCRIPT OF PLEA HEARING 29 10:57 AM 1 the government? 10:57 AM 2 MR. STEVENS : No, Your Honor. Thank you very 10:57 AM 3 much. 10:57 AM 4 THE COURT: By the defense? 10:57 AM 5 MR. ROBERTS : No, Your Honor. Thanks for your 10:57 AM 6 courtesy. 10:57 AM 7 THE COURT: All right . We now stand adjourned. 8 --------- 9 10 COURT REPORTER'S CERTIFICATE 11 I certify that the foregoing is a correct 12 transcript from the record of proceedi gs 13 December 17, 1999 . 14 --------- 15 16 TABLE OF CONTENTS 17 18 DIRECT EXAMINATION OF PAUL GEBOSKI . . . . . . . . . . . . . . . . . . . . 21 19 20 -------- 21 22 23 24 25 JERRY KELLEY, OFFICIAL COURT REPORTER, U. S . DISTRICT COURT POST OFFICE BOX 8,' BEAUMONT, TEXAS 77704-0008 409-654-2862 EXHIBIT N City of Beaumont December 27, 1999 DPD Investments Peeper's Adult Book Stop 6035 South MLK Parkway Beaumont, Texas 77705 Re: Hearing-Revocation of Sexually Oriented Business License DPD Investments dba Peeper's Adult Book Stop Gentlemen: On January 4, 2000 a hearing will be held before the Beaumont City Council in the City Council Chambers located at 801 Main Street, Beaumont, Texas regarding action to revoke the sexually oriented business license held by DPD Investments dba Peeper's Adult Book Stop. The hearing will commence before the Beaumont City Council at the close of the general agenda for the Beaumont City Council set for January 4, 2000 which is set to start at 1:30 PM. The basis for the action to revoke the sexually oriented business license is as follows: I. Section 7-89 Revocation, Article VI Sexually Oriented Businesses, Chapter 7 Ordinances of the City of Beaumont provides under Subchapter B: (b) Subject to City Council approval as set out in (b)(7) hereof, the City shall revoke a license if it determines: (1) a licensee gave false or misleading information in the material submitted during the application process; On April 19, 1999, an application was submitted for a sexually oriented business license for DPD Investments dba Peeper's Adult Book Stop to be located at 6035 ML King, F:Vekaro1Wean\Peepem.ftr Legal Department • (409) 880-3715 P. O. Box 3827 • Beaumont, Texas 77704-3827 December 27, 1999 Page 2 Jr. Parkway, Beaumont, Texas. The oath submitted on the application bears the signature of John DeYoung as applicant. Section II of that application requires that the applicant provide the names, aliases (if any), addresses and signatures of each person who is an owner of the business, including every owner of a twenty (20) per cent or greater interest in the business. Proof must be attached demonstrating that each owner is at least eighteen (18)years of age. In that section, the owners were listed as John DeYoung and Frankie DeYoung. In documentation provided to the City of Beaumont as disclosure pursuant to Federal Civil Suit No. 99CV-534, DPD Investments dba Peeper's Adult Book Stop v City of Beaumont, et al, in the United States District Court, Eastern District of Texas, are documents reflecting Texas sales and use tax returns for Peeper's Adult Book Stop, 6035 MLK, Jr. Parkway, Beaumont, Texas with a listed owner of Deborah M. Parish. Additionally, copies of checks made payable to the state comptroller on the checking account of DPD Investments bear the signature of Deborah Parish with the notation 'for taxes'. Federal tax documents, Schedule K-1, partner's share of income, credits, deductions, etc. for 1998 reflect that Deborah M. Parish is a forty (40) per cent owner of Peeper's Adult Book Stop. Internal Revenue Service Form 941, Employer's Quarterly Federal Tax Return for 1998 lists Deborah M. Parish as a partner and party signing for Peeper's Adult Book Stop. The documents establish probable cause to believe that the application for the sexually oriented business license submitted for DPD Investments dba Peeper's Adult Book Stop contained false or misleading information in the material submitted during the application process and therefore grounds exist for revocation of the sexually oriented business license issued to DPD Investments dba Peeper's Adult Book Stop. ll. Section 7-89 Revocation, Article VI Sexually Oriented Businesses, Chapter 7 Ordinances of the City of Beaumont further provides under subsection (b)(6) as follows: Subject to City Council approval as set out in (b)(7) hereof the City shall revoke a license if it determines that: (6) a licensee or the employee managing the sexually oriented business is delinquent in payment to the city, county, or state of any taxes or fees. FAebarohdean\Peepers.ltr December 27, 1999 Page 3 On April 19, 1999, an application for a sexually oriented business license for DPD Investments dba Peeper's Adult Book Stop was submitted signed by John DeYoung. Information provided in that application lists John DeYoung as an owner holding twenty (20) per cent or greater interest in the business. On December 17, 1999, in the United States District Court, Eastern District of Texas, Beaumont Division in Criminal Docket No. 1:99CR173-1, United States of America v John Wayne DeYoung, Mr. DeYoung appeared before the Court and indicated he wished to enter a plea of guilty to Count 1 and Count 2 of the information. During the scope of plea proceedings, testimony was obtained from Paul Geboski, Special Agent, Federal Bureau of Investigation regarding that agency's investigation of John Wayne DeYoung. Agent Geboski's testimony stated that the defendant (John DeYoung) devised a scheme and plan to defraud sales taxing entities. This scheme took place between approximately January, 1998 onto and about November, 1999 during which time John DeYoung "skimmed" funds in the approximate amount of Three Hundred Thousand ($300,000) Dollars from his business known as Peeper's and also a business known as the Oasis. Sales taxes were not paid on these funds. The testimony of Agent Geboski reflects that the victims of this particular fraud included the State of Texas, the Comptroller's Office of the State of Texas as a taxing entity, the City of Beaumont as a sales-taxing entity and the County of Jefferson. During questioning of Mr. DeYoung regarding his acknowledgment of and agreement with Agent Geboski's summary of facts constituting proof of the commission of the offenses and charges against him, he agreed with the information presented and offered no changes whatsoever to the information presented. Accordingly, a hearing to revoke the sexually oriented business license issued to DPD Investments dba Peeper's Adult Book Stop will be held on January 4, 2000 before the City Council of the City of Beaumont. If you have questions in regard to the hearing, please contact Lane Nichols, City Attorney, City of Beaumont. Very t Iru y ours nJ s Police ga Advisor /cg F:Ve\caroMean\PeeperaJtr cc: John DeYoung Z � ��� Z/ 3448 30th Port Arthur, Texas 77642 cc: Frankie DeYoung 3448 30th z o2 Port Arthur, Texas 77642 cc: Rokki Roberts Attorney at Law 6001 Savoy Drive, Suite 202 Houston, Texas 77036 F:WcwoPdew\Peepers.ttr TRANSMISSION VERIFICATION REPORT. TIME 12/27/1999 17:35 NAME CITY OF BMT LEGAL FAX 4098803121 TEL 4098803715 DATE,TIME 12/27 17:32 FAX NO. /NAME 26120131713975,9435 LVJRATION 00:02:05 RESULT S) OK MODE STANDARD ECM Post-it*Fax Note 7671 Date% ,_ Pages — From Q tin S ei►' CojDept,�e&I'25/, e- Co•C, Phone# p Phone# Ire_ /S Fax# 7 7S ' ��f 3 S Fax#V e p ;,kD - 3 oZ l