Neighbors Frustrated Over Giannoulias’ Cousin’s Bar

Chicago - The last thing Alexi Giannoulias wants to talk about while campaigning for the U.S. Senate is State, the controversial Rush Street-style sports bar and nightclub his cousin Kostas Giannoulias opened on the corner of a residential block in Lincoln Park. The establishment, and the way the owner got his liquor license, have had neighbors and some city officials up in arms for several years.

"I have nothing to do with it, but I urge my cousin to work with the neighbors and address their concerns," Giannoulias said.

Residents say they want action from Alexi Giannoulias, not just lip service. They say their once upscale, family friendly neighborhood continues to be over run with drunks and screeching cabs.

"I think if he wants my vote for anything but dog catcher, he better do something about it," said Robin Mulden, a Lincoln Park resident and a lifelong Democrat.

The owner, Kostas Giannoulias, was somehow was able to get a liquor license despite strong opposition from the residents, 43rd Ward Alderman Vi Daley and City Hall. They all agreed there were already too many places in the neighborhood serving alcohol, but to the shock of many, they were overruled by the state liquor appeals commission.

In October, the young owner denied clout was involved but again stressed his close relationship with Alexi.

"Alexi and I have a great relationship. He comes and has dinner here all the time, and we talk all the time," Kostas Giannoulias said at the time.

On Sunday, in his first on-camera interview about the dispute, Alexi Giannoulias called his cousin's claims " not accurate" and said it was "more than unfortunate" if his cousin threw around his name while trying to get a liquor license. The state treasurer says he has only been to State a few times.

Later that day, Kostas Giannoulias redefined his relationship with Alexi.

"My cousin and I are not close,” he said.

The Better Government Association Director Andy Shaw says Alexi Giannoulias should get involved in the dispute.

"He needs to tell his cousin that this is embarrassing for him and bad for the neighborhood. If things don't improve, Alexi should call on the city to shut the place down,” Shaw said.

There have been 180 calls to 911 about State since it opened, for everything from vandalism to violent fights.

The city did close down State briefly for serving minors and continues to investigate. It is possible Kostas Giannoulias could be forced to reapply for a tavern license.

He claims State is a family-style restaurant café, and his license requires food to be the main attraction, not booze.

FOX Chicago News took an undercover camera inside the place on a Friday night in October. We didn't see any food being served.

We visited on a Sunday afternoon during the NFL playoffs. State was jammed with people. Most were drinking, not eating.

Alexi Giannoulias told us he, too, considers State a sports bar.

On the campaign trail, he wants to focus on education issues, not State, but the 30 kids who live on the same block as State say they can't sidestep it.

"It’s kind of hard to sleep because it is so loud," one 11-year-old said.

"I have had to avoid fights in front of my own house, drunk guys coming from State wanting to get in a fight, and the noise from the bar is so loud I can't sleep, even on school nights," said Matt Joss, 16, a student at Whitney Young High School.

When asked if he would vote for Alexi Giannoulias when he turns 18, Joss said, "Definitely no. If he can't control his family, how can he help run the country?"