City gives up fight on license for Babe's

Lesley Wright The Arizona Republic Mar. 23, 2006 12:00 AM

SCOTTSDALE - After months of delay by Scottsdale, adult-film star Jenna Jameson and the co-owners of Babe's Cabaret could have their liquor license within weeks.

The Scottsdale City Council voted unanimously Tuesday to send on Jameson's license transfer request without protest to the state Department of Liquor Licenses & Control.

The city investigated the co-owners for six months but police could find no history of criminal activity or liquor license violations. Normally, cities take just 60 days to process liquor license transfers.

Phoenix attorney Jerry Lewkowitz, who represents the club owners, said Wednesday that the state has just 16 days to wrap up its own investigation and issue the license.

Since Scottsdale did not protest the application, the state will not hold a hearing.

Lewkowitz said he has never run into such a roadblock.

"They were almost rude," he said of Scottsdale officials. "At least we're out of there."

But that hardly ends the drama over the renovation of Babe's, which Jameson and her partners bought last summer.

In December, the Scottsdale City Council passed tough new regulations that the city's two strip clubs said would put them out of business.

A referendum on the new regulations will be on the Sept. 12 ballot.