Iconic Sydney venue the Imperial Hotel in Erskineville was forced to keep its doors shut over the weekend, after NSW police issued the owners with a rare 72-hour closure order. As Fairfax reports, a targeted police operation allegedly found staff consuming illicit drugs whilst on the job.

The closure order came into place at 7pm on Friday after a joint operation between NSW Police and the Office of Liquor, Gaming and Racing (OLGR) was conducted on the Sydney venue, which was made famous by its inclusion in the landmark Australian film The Adventures of Priscilla, Queen of the Desert.

The concerns of police were first raised following several cases of drug detections linked to the venue, in addition to issues with intoxicated punters and ongoing disturbance issues from patrons leaving the venue.

According to Fairfax, police raided the venue last Saturday night and subsequently charged two staff members with drug offences after officers witnessed them consuming ecstasy inside of the venue before continuing to serve alcohol to patrons.

“Bar staff were observed openly consuming illicit drugs while performing their duties,” said the OLGR in a statement. Several venue patrons were also seen in possession and under the influence of illegal drugs, including supplying and consuming drugs in the toilets.

“A situation where bar staff and patrons are openly consuming drugs at the venue, and where there have been repeated drug and intoxication issues, is completely unacceptable and shows that the venue has been operating with a complete disregard for its obligations and responsibilities,” said OLGR Director of Compliance and Enforcement Anthony Keon.

In addition to numerous drug problems, including inspectors who claimed to have been offered illicit drugs, police cited issues such as excessive noise, vandalism, public urination and defecation, cases of punters falling asleep inside the venue, and a woman who was found unconscious in a toilet cubicle.

Mr Keon said the venue, which is now managed by the Spice Group International, who ran the Spice Cellar in Sydney’s Martin Place before relocating to Erskineville in April, had failed to implement appropriate controls to deal with drug use and intoxication despite “numerous regulatory engagements”.

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“Without significant and material changes to the management and supervision of the venue the likelihood of further illegal activity occurring at the venue is extreme, and the only appropriate action is to close the venue,” he said.

The Australian Hotels Association say Sydney’s controversial lockout laws are to blame for traditionally metropolitan nightclub operators creeping into residential communities. They say they’re doing so to avoid the strict regulations imposed on them back in March 2014.

“Event/venue operators that relocate out of the CBD precinct into residential communities to avoid lockouts need to ensure the peace and good order of the neighbourhood is prioritised so that they operate within community expectations,” a spokesperson for the AHA told Fairfax.

“This is an example of the regulators targeting an individual operation that has come under notice rather than imposing a blanket approach, which is to be applauded. There are strict controls around the granting of 72-hour closures so there is a need for the operator to have a serious look at their business model and make changes if they want to be part of the community,” he said.

In a statement posted to their official Facebook page, Imperial Hotel management advised punters of the closure and thanked them for their support. The club will remain closed until 7pm tonight. Read the statement from venue management below.

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