Report shows Arizona liquor officials resigned following botched strip club operation

By CARISSA PLANALP

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    PHOENIX, AZ (KTVK, KPHO) — An internal investigation reveals what led up to the resignations of top state liquor department officials. The report shows it started when an undercover officer investigating a Scottsdale strip club for possible COVID-19 safety violations was accused of going too far with one of the dancers.

An internal affairs investigation conducted by the Arizona Department of Public Safety shows two undercover officers with the Arizona Department of Liquor Licenses and Control were at Skin Cabaret in October looking into a complaint the business was ignoring COVID-19 protocols. One of the officers paid for a dance in the VIP room before the pair left. Hours later, documents show the club was served with an order suspending their liquor license.

The order included in the internal affairs investigation names the VIP dancer by her stage name. That’s when Skin Cabaret management called the police. According to a Scottsdale Police report, the dancer told investigators she did not know the customer was an undercover cop until she read the suspension order. The dancer told police the officer tried to touch her private parts and even grabbed her hips and thrusted into her.

Scottsdale Police identified the undercover officer as Liquor Department Det. Miguel Sanchez and submitted the case to the Maricopa County Attorney’s Office for a charge of unlawful sexual conduct from a peace officer. MCAO turned down the case, citing “no reasonable likelihood of conviction.”

The Scottsdale Police investigation sparked an internal investigation into the strip club sting. IA investigators were particularly interested in a report where Sanchez said the dancer “allowed” him to touch her. In speaking with internal affairs investigators, Sanchez attempted to clarify that he put his hands on the dancer to “prevent” her from “coming into him.” Documents show he told investigators Deputy Director Mike Rosenberger told him to “clear it up” in his final report.

“Once you start down the path of trying to fix something, it’s only going to get worse,” says Dr. Jeff Hynes, a police practices expert.

Hynes was not involved the any of the investigations involving the Arizona Department of Liquor, but as a former internal affairs investigator with Phoenix Police, he says officers can make mistakes in their reports, but they can never alter a report.

“You can go back and supplement the report later on with ‘I would like to clarify a point I wrote in my first report,’” says Hynes. “If they would have done that, then this would not be an issue.”

In the DPS internal affairs report, investigators accused Director John Cocca and Deputy Director Mike Rosenberger of discussing the case even though they had been told not to, noting it was “clearly inappropriate and tantamount to insubordination.”

Internal affairs investigators determined Det. Sanchez should be fired for “dishonesty,” but he resigned in April as the investigation was wrapping up. Cocca and Rosenberger also resigned.

The Arizona Peace Officer Standards and Training Board said Tuesday it has opened cases on the certifications for Rosenberger and Sanchez. AZPOST certifies police officers to serve in the state. If the board decides to strip an officer of their certification, that individual can no longer work in law enforcement in Arizona. AZPOST says Cocca’s certification had already lapsed.

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