ORANGE, California – An underground club that advertises weekly sex parties for couples has operated without a proper business license for more than three years and is in violation of numerous city and fire code violations, city officials allege.
The club operates out of CW Studios, an 8,000-square-foot photography studio at 1548 Brian St. City Attorney David DeBerry said the studio, co-owned by Gary Nalder and Robin Wood of Fullerton, is in violation of its business license to operate as a nude and semi-nude modeling studio.
A man working at the studio Tuesday who identified himself as Nalder said "the city is shutting us down."
"It's not a story," he said. "We've had enough." Nalder refused further comment.
"I think it's become pretty evident that's not the type of operation that's going on," DeBerry said. "In reality, it looks as if they're operating some kind of sexual encounter enterprise."
The club, referred to as Amnesty on the studio's voice mail, advertises itself on its Web site, www.clubamnesty.com, as an "on-premise Lifestyle members-only association club" where patrons "can expect to see various displays of nudity and sexual activity." The term "The Lifestyle" is a common euphemism for swinging or wife-swapping.
The club sent out an e-mail to its members Tuesday stating that the club is closing its current location because the city was "causing too much hassle" and the current location was "getting too small and getting too much attention."
According to the club Web site, the club offers five different-themed rooms, including a Group Room, and a Gothic Room, which features a bed with tie-downs and a cross in the shape of a capital "X," with wrist and ankle restraints. The club, open Friday and Saturday nights, advertises theme nights on its Web site, including a "Short Skirts and See-Thru Tops" Night on Saturday and its three-year anniversary June 28.
"It's a nice club. I'm impressed with the cleanliness of the club," said Jillian Foxxx [pictured], an Orange County resident who describes herself as a "swinger, sex maven and porn star."
Foxxx said she has visited the club six times, most recently in March. She said she had a bad experience in February when she was rebuffed by a couple in the Group Room.
"If you don't want to share your partner, don't go into the orgy room. When I go into that orgy room, I expect to play with other people," Foxxx said. "That's what that room is all about. It's called orgy and an orgy is an orgy, is an orgy. That's multiple sex partners."
Mayor Carolyn Cavecche said she felt Nalder and Wood deceived the city in their application process.
"There is a check-off list of operational requirements that we have in the city of Orange that is part of our municipal code. There is a fairly long list that as the owners, they had to initial off on," Cavecche said. "They are fully aware of what type of permit they had and what the requirements for operating that type of business in our city is and they did not comply."
Records obtained from the city of Orange show the couple applied for a business license in August 2004, stating the purpose of the business was the "supply and design of model studios for photographic use."
On their city-mandated Sexually-Orientated/Adult Business application, they checked the box marked "Nude or Semi-nude Model Studio" rather than the box marked "Sexual Encounter Establishment."
Cavecche said there could have been no mistaking which box the couple should have checked.
"They have only checked off that is this is going to be a modeling studio," she said. "That was checked off and it was listed as the description of the proposed business activity. According to my police and fire department, they are not operating their business in that manner."
Nalder and Wood also answered "No" to the question of whether admission would be charged, but the club Web site says that members must pay a $25 annual fee and a $90 event fee that Foxxx said was recently lowered.
"I got an e-mail saying they were not allowed to let people bring in their own alcohol," she said. "So they lowered the price to $75."
DeBerry said the city became aware of the club's existence in early March when a feature story ran in the OC Weekly. The city began its inspections after inquiries from The Orange County Register.
The city sent in inspection teams from the police and fire departments March 29 and sent Nalder a list of needed corrections April 7. According to the city's Municipal Code, regulation of Sexually Oriented/Adult Businesses is necessary to prevent adverse effects and the blighting or degradation of the neighborhoods in the vicinity of the businesses.
A notice of violations sent from the city to "CW Studios AKA Club Amnesty" dated April 10 stated "very little photography equipment was found in the facility."
The letter asked the club to close immediately "because of the numerous violations and your apparent operation of the business and obtaining a permit under false pretenses," but suggested "if you can remedy the violations and otherwise comply with the Orange Municipal Code, you can re-open."
"The problem we have, at least on the surface, there appears there have been numerous violations," DeBerry said. "Whether or not they're going to be able to bring that business into compliance at that particular location, I don't know."
The list of 10 fire code violations includes the need to submit plans for the "extension of the building fire alarm system into the 'dungeon' room"; and the need to "remove all objects, used to restrain persons."
"They aren't allowed to be restrained unless they meet the code requirements per restraining somebody," Deputy Fire Marshall Ian McDonald said about the cross. "They'll probably just be getting rid of that thing. It's a very minor correction because all they have to do is get rid of it."
The city gave the studio until May 1 to come into compliance.
Neighbors of the industrial park that backs up to the Santa Ana River were not surprised upon hearing about the alleged swingers club.
"I came in on a Saturday and noticed the parking lot was full of cars and motorcycles," said Steve Short, a worker at Business Automation Inc., next door at 1544 Yale Ave.
Short said he heard rumors at work that the photography studio next door was a swingers club.
"A co-worker saw people arguing in the parking lot one night," Short said. "I've seen broken bottles in the parking lot."
The man who identified himself as Nalder said he planned to sell the building he and Wood purchased for $1.25 million in 2004.
