Concerned business associates spoke to the Otago Daily Times about Rob Dale's string of debts, claimed to total at least $240,000, amid worries about his involvement in a bar called Terminus, which is set to open in the place of former Great King St bar The Break.
Concern from members of the public has prompted the district licensing committee to take the unusual step of holding a hearing to decide whether Terminus gets a temporary liquor licence.
Documents viewed by the ODT showed Mr Dale, or businesses he owned, accumulated just over $240,000 in debt from running now-defunct student bars Capone and Boogie Nites, both in Frederick St, and Urban Factory, in Great King St, and a business associate believes the actual figure would be higher than that.
His debts are said to include overdue rent of $109,945 for Urban Factory and $15,456.50 for Boogie Nites and about $100,000 owed to the IRD.
Mr Dale, who last week said he was mentoring two younger people who had bought The Break, disputed he had run up more than $240,000 in debt but declined to comment further on the issue.
"I don't have any comment, except to say that for 20-odd years I have run multiple licensed premises without any regulatory problems whatsoever.''
He was proud of his record of being a responsible host and disputed the suggestion he had misled his business associates.
"That's absolutely untrue.
"I haven't misled anyone, ever.''
He was not financially involved in Terminus and was considering pulling out of the bar completely.
Dunedin man Robin Floyd, who helps manage the Urban Factory property for his god-daughter, who owns it, said Mr Dale "absolutely'' should not be in a position where he was in control of a bar and looking after young people.
He was "out of control'' and had a history of misleading his business partners.
"He is not fit to be in any sort of managerial position in a licensed premises.
"I think what has happened is he has spun a yarn, he has created a persona ... and I think that some of it he actually believes.''
He believed Mr Dale had cost his god-daughter much more than $109,945 in rent, saying he left Urban Factory a mess when the business went bust.
"He left rotten food in microwaves, rotten food in freezers.''
The Urban Factory building was his Chinese god-daughter's first business venture and she had been hurt by Mr Dale's actions.
She was now living in China and involved in her father's "vast'' business empire, but was "disgusted'' after learning Mr Dale was involved in Terminus, Mr Floyd said.
Council liquor licensing co-ordinator Kevin Mechen said because concerns had been raised about Mr Dale's suitability, a hearing would be held to decide whether Terminus received temporary authority to trade under the property's existing license.
It was unusual for such hearings to be held, as temporary authorities were normally given as a matter of course.
Companies Office records showed Frederick Street Management Ltd, which operated Boogie Nites and Capone and listed Mr Dale as its sole director, was in liquidation from August 27 to November 4, 2015, and had since been struck off.
● The Otago Daily Times has been unable to verify the extent of either Mr Dale's personal debts or those of the company of which he was sole director.
