On 25 March 2015, a Sydney CBD licensee was convicted in court, fined $2,000, ordered to pay $1,500 in legal costs and incurred a first strike under the Three Strikes disciplinary scheme for breaching the 1.30am lockout laws.

The licensee of Hotel Chambers, Chady Khouzame, pleaded guilty in Downing Centre Local Court for failing to comply with a condition of his hotel licence, by letting two patrons into his venue, breaching the CBD lockout rules.

Office of Liquor, Gaming & Racing (OLGR) inspectors visited the Martin Place hotel at about 1.40am on 1 June last year as part of compliance operations and witnessed Mr. Khouzame engage in a brief conversation with two women at the front of the venue before letting them in.

Mr. Khouzame claimed the women were staff members who worked for the venue’s DJ, but when questioned by the OLGR inspectors, one of the women confessed to being a visitor to the hotel to watch her boyfriend, who was a DJ.

Magistrate Keogh dismissed an application by Mr. Khouzame’s counsel for a conviction not to be recorded, saying the lockout breach was of specific concern as it was allowed by the licensee himself.

OLGR Director of Compliance and Enforcement Anthony Keon said: “Licensed venues in the Sydney CBD and Kings Cross precincts need to abide by their licence requirements and the special conditions that are in place to reduce alcohol-related violence and other harm or they will face regulatory action,” Mr Keon said.

“Strict adherence to the lockout is expected by all licensees. Today’s decision should be a strong reminder that a lockout means that from 1.30am there is to be no entry or re-entry for any patrons – including no exceptions and no special treatment for any patrons that are family or friends.”