BOLI finds Stars Cabaret sexual harassment, discrimination of minors
An investigation of Stars Cabaret launched by Oregon Labor Commissioner Brad Avakian has found substantial evidence of sexual harassment of minors, the Bureau of Labor and Industries announced Wednesday.
Investigators determined that Stars knew or should have known about repeated sexual harassment.
The case will now move to the administrative prosecution unit, which will draft formal charges and set a date for hearing.
The investigation stems from a commissioner’s complaint alleging that the company failed to take appropriate corrective action to address workplace discrimination and harassment.
The investigation finds that during the period from August to September 2014 — after police had arrested one of Stars’ managers on charges of sexual abuse and compelling prostitution of a minor — the club employed another female under 16 years of age to work as an adult entertainer.
The first victim, then 13, was prostituted out of one of the Stars Cabarets until she sought medical treatment and subsequently disclosed details of her abuse to a mandatory reporter. The second victim, then 15, sought employment at Stars at the direction of previously convicted sex offender Anthony Curry.
The investigation determined that both minors were employees, not independent contractors, rejecting the argument by respondents that a 13 year old and 15 year old negotiated and entered into a legally-enforceable contract. Stars also exercised extensive control over the dancers.
“It’s unacceptable for employers to subject children to sexual harassment and abuse,” said Labor Commissioner Avakian. “The heinous conditions uncovered in this investigation deserve a swift and aggressive response. We intend to bring charges that reflect the severity of harassment.”
Commissioner’s complaints can be a valuable enforcement tool when vulnerable employees express fear of retaliation. Workers can start the complaint process by filing with the Civil Rights Division at crdemail@boli.state.or.us or by calling 971-673-0764.
A new live entertainment hotline at 1-844-304-2654 also can provide workers information about retaliation, sex discrimination, harassment, unlawful wage practices and a host of other workplace protections. Callers to the toll-free hotline may request confidentiality.
Prior to the substantial evidence determination, Commissioner Avakian amended the complaint to add respondents High Life, LLC, IHAT, Inc., JMS Holdings, Inc., MJ10, Inc., NIMBY, LLC, NPC Properties, LLC, RGK Holdings, Inc. (fka Phoenix Holdings, Inc.), SCS2, Inc. (dba Stars Cabaret at the Capitol), SCTO, Inc. (dba Stars Cabaret – Bridgeport), NPC Concepts, LLC, Weston Court Properties, LLC, W.T.H. Inc. (dba Stars Cabaret in the Cascades) and additional aiders and abettors Pamela Colburn, Lisa Heinzman-Myers, Jon Herkenrath, Randy Kaiser, Todd Mitchell and Jeff Struhar. The amended complaint reflects Stars Cabaret’s interrelated and expansive operational and ownership structure.
A previous commissioner’s complaint against Daimler Trucks North America resulted in a record $2.4 million civil rights settlement last year, the largest in the agency’s history.
Visit www.oregon.gov/BOLI for more information about all of BOLI’s work to protect employment rights, advance employment opportunities, and protect access to housing and public accommodations free from discrimination.
