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'The place is safe': Edmonton shisha lounge wins fight to stay open

After years locked in a battle with a policing hospitality unit, the owner of an Edmonton shisha bar has won his fight to stay open.

City appeal committee reverses decision to shut down Nyala Lounge

Moe Tesfay and Tom Engel share a laugh after their victory Tuesday in front of the appeal committee. (Andrea Huncar/CBC)

After years locked in a battle with a hospitality policing unit, the owner of an Edmonton shisha bar has won his fight to stay open.

On Tuesday, an appeal committee overturned a decision by the city's licensing department to shut down Nyala Lounge, located northeast ofdowntown.

"I think the city wentone step forward, we appreciate that, as the African-Canadian community, we thank the city councillors," saidownerMulugeta Tesfay.

"The people spoke, the community spoke, the place is safe."

The committee made up ofcouncillors Moe Banga, Jon Dziadyk and Tony Caterinaupheld additional conditions imposed onNyalalast summer and said a written decision would follow. Members decided the bar's inability to operate over the past week-and-a-half, during a postponement of the hearing, would serve as sufficientpenalty for breaching conditions.

Customers, staff and neighbours attended the hearing on the future of Nyala Lounge. (Samuel Martin/CBC)

Lawyer Simon Renoufrepresentedthe Public Safety Compliance Team (PSCT), a multi-agency unit that includes Edmonton police, the city, the fire department and Alberta Liquor, Gaming and Cannabis. Team members Sgt.Colin Simpson and Justin Lallemand also spoke to the committee.

In a submission last year pushingfor Nyala's closure, the PSCT accused Nyala of breaching dozens ofconditions and jeopardizingpublic safety.

Its arguments were the basis for thecity's Dec. 6 decision to cancel Tesfay's business licence, whichwas previously cancelled in September, thenoverturned a day later, because the city didn't properly notify Tesfay.

Earlier Tuesday, Tesfayagain insisted Nyala is "one of the safest places in Edmonton."

He told the committee he was there to defendhis rights as an African-Canadian to run a business in Edmonton.

"It is also to fight the racism we've been through by the police department and the city," said Tesfay,emphasizing that his concerns only involved a few officers.

"They're harassing my customers, they're harassing my workers for the last three years."

The PSCTdenies allallegations of racial profiling and harassment.

Theend goal of the compliance team was to close down Mr.Tesfay'sbusiness.- Tom Engel

In his submissions, Nyala's defence lawyer Tom Engel told the committee Tesfay, 46, a decorated war veteran, invested his life savings in Nyala Lounge after a suicide bomb blast in Afghanistan ended 20 years of service in the Canadian military.

Engel accused the inspection team of providing "self-serving summaries" withoutfull disclosure of the evidence against Nyala, as well as a number of misrepresentations.

The team cited violent incidents Tesfay himself reported, or ones that had "nothing to do with Nyala" andcontinuedto reference charges that had been stayed, said Engel.

Engelreferenced a spreadsheet that showsof 43 tickets issued to Tesfay worth more than $80,000 33 have been withdrawn, dismissed or cancelled.

Tesfay has been found guilty on six infractions for violations such as overcrowding, and about nine tickets are still active.

"The end goal of the compliance team was to close down Mr. Tesfay's business and everything that they did furthered that goal," Engel said.

Edmonton bar owner shares video showing police visits to his establishment.

6 years ago
Duration 1:30
Video provided by the owner of Edmonton bar Nyala shows instances when the police came to inspect the premises.

Additional police scrutiny could be explained by a "flip flop" on the part of Nyala, said Renouf.

Last June, Tesfay agreed to an additional nine conditions to stay open, only two days after saying he couldn't comply, Renoufsaid.

"That was obviously a situation that the public safety compliance team had to look into," said Renouf. "They had a duty and it's unfortunate that there's a perception of ethnic or racial targeting here."

They had a duty and it's unfortunate that there's a perception of ethnic orracial targeting here.- Simon Renouf

Renouf said Nyalarepeatedlyfailed to meet conditions such as keeping the ventilation on, keeping an accurate count of patrons and meeting security requirements.

"Therewas not one inspection when every condition was being complied with," he said.

"What we've got is a problem of ungovernability. The bargain was made, and the bargain was not lived up to byNyala."

Renoufhighlighted a January 2018 incidentas a principal reason to close Nyala.Police charged Tesfay with obstruction of a peace officer in an incident at the lounge involving a gunthat goes to court in April.

Tesfay has pleaded not guilty, but didn't comment onallegations, as advised by his lawyer.

Hawa Badi says everyone at Nyala has become a family. (Samuel Martin/CBC)

Earlier in the day, customers, staff and neighbours vouched for Nyala's safety as a community-oriented business and questioned the need for frequent inspections involving large groups of officers.

"Nyala ishome," said regular customer Hawa Badi, who describedthe bar as a peaceful place to golisten to good music and smoke shisha. "At Nyala we all become family."

Linda Landers, who works at the nearby Humpty's restaurant, blamed issues on another nearby hookah barthat has since closed.

CustomerRashidHersyrecalled up to 16 officers visitingNyala, including the gang unit. Hequestioned whybars near the downtown orWhyteAvenue, where "people are being killed inside,"reopen soon after.

"Why are African businesses a target?" askedHersy.

Rashid Hersy called on authorities to look into the treatment of African Canadian businesses. (Samuel Martin/CBC)

Renouf said he was not aware of any other African Canadian bar subject to PSCT investigations, apart from PapryrusLounge, which lost its license in 2015 aftertwo men were shot dead.

"My client completely rejects there is racial profiling or targeting," said Renouf.

Applause broke out after the committee's decision before supporters gathered outside where Engel told them "you made the difference," prompting another round ofapplause.

Engel said he plans to discussthe "differential treatment" of African Canadian businesses with Edmonton Police Chief DaleMcFee. Heis asking McFee to investigate why "nothing has happened" a year-and-a-half after Tesfay'sfiled his complaints under the Police Act.

Tesfay is still deciding whether to reopen but said, either way, theruling is a victoryfor the rights of local African Canadian business owners being harassed by inspectors.

"We're willing to work with themif they're willing to work with us," he said.

andrea.huncar@cbc.ca
@andreahuncar