Club owner arrested on felony

STEUBENVILLE – The owner of a club recently raided by state and local authorities was arrested by City Police Friday evening on four felony warrants associated with the raid.

Derek Smith, 47, of 144 Wildon Ave. was charge with three counts of possession of drugs and having a weapon as a convicted felon.

Club 106 on South Street, which Smith owns, was raided by City Police and the Jefferson County Sheriff’s Department, Department of Public Safety’s Ohio Investigative Unit, with the assistance of the Ohio State Highway Patrol’s Special Response Team.

Agents were able to recover six guns, two of which were found to be stolen. Narcotics, including cocaine, crack and methamphetamine, prescription pills and marijuana also were found during the execution of the search warrant.

The Ohio Department of Public Safety reported agents got a search warrant based on information indicating the club was operating as a liquor establishment without a permit and also that there was other illegal activity occurring within the club.

It was also found that the club was illegally serving alcohol without a permit even though Smith was under a Jefferson County Common Pleas Court order not to have the building open for social events. The city obtained an injunction from the court, claiming Smith has not obtained the building permits necessary to operate as a social club.

About 120 people were inside the club when the raid began on May 31.

Smith was arrested Friday inside Dollar General on North Seventh Street after an off-duty officer saw him. An officer reported Smith had $3,880 in cash in his pockets when arrested.

Smith’s bond was set at $500,000, and he is to appear Monday in municipal court for an arraignment.