The Oregon Government Ethics Commission says the former executive director of the Oregon Liquor and Cannabis Commission should pay more than a $500 civil penalty for using his position to secure a highly sought bottle of bourbon that’s normally nearly impossible for the public to buy.

Steve Marks, who was appointed by Democratic Gov. John Kitzhaber and resigned under pressure from Democratic Gov. Tina Kotek, had negotiated a deal to pay $500 for his role in the scandal around bottles of Pappy Van Winkle. But in a 7-1 vote on Friday, the ethics commission rejected that deal.

David Fiskum, the chair of the commission, said he felt Marks’ responsibility was greater than other employees under him who also bought bottles of the bourbon outside the normal system.

Susan Myers, the commission’s executive director, said her investigation showed the practice of buying bottles of Pappy Van Winkle outside of the regular process for all customers of the state-regulated liquor store system reached back more than three decades.

The OLCC controls the sale of hard liquor in Oregon, and some highly sought brands are often difficult for the public to buy because demand outpaces supply. Variations of Pappy Van Winkle are among the most prized bourbons, and among the most expensive on the open market. The OLCC typically made them available to the public through a lottery system. (In 2022, the state had just five bottles of 23-year-old Pappy Van Winkle available in the lottery that attracted almost 21,000 entrants.)

But the state agency also set aside a reserve supply in case something happened to the bottles earmarked for the public. Myers said Marks and other state workers bought bottles held in that reserve supply.

Ethics Commissioner Richard Burke said he felt Marks had received enough punishment, given that he’s left his job and been the subject of ample media coverage.

“Our mission is primarily to educate, not to punish,” Burke said.

The $500 fine Marks agreed to pay would have been the same as deals reached recently with two other high-level OLCC employees. Now, with the commission’s rejection, Marks and the state will attempt to renegotiate a stiffer penalty.

News Source : https://www.opb.org/article/2025/05/09/olcc-pappy-van-winkle-bourbon-scandal-fine/