Owner of now-closed East Side nightclub arrested on two charges, affidavits state

Owner of now-closed East Side nightclub arrested on two charges, affidavits state

The owner of a now-closed nightclub on the East Side was arrested Thursday on multiple charges, according to arrest warrants obtained by KSAT.

Oscar Merlo Jr., 41, has been charged with exploitation of a child as well as sexual assault of a child, the affidavits state. He was booked into the Bexar County Adult Detention Center on a $200,000 bond, jail records indicate.

Merlo allegedly hired a 14-year-old girl to work at his adults-only club — Chateau Chanel Night Club, located in the 3700 block of East Commerce Street — knowing that she was underage, according to court documents.

The girl listed in the affidavits as the victim told SAPD that she was in a “sexually based relationship” with Merlo, documents said. She told a detective that Merlo had provided her with a fake identification card that indicated she was a 19-year-old woman, instead of 14.

According to an affidavit, the girl also told the detective that she was given the identification card to show that she was of age to work at the club. In an interview with investigators, the victim told them that she was paid between $300 and $400 each night to provide bottle service and “entertainment” in the club’s VIP section.

Documents stated that the girl had previously been listed as a missing juvenile until she was safely located with the assistance of the U.S. Marshals Service. Throughout the investigation to locate her, the National Center for Missing and Exploited Children informed SAPD detectives that the victim was social media “friends” with Merlo and the Chateau Chanel’s social media page.

Posts from the Chateau Chanel’s social media account showed the girl at the club, SAPD documents said. Merlo allegedly gained financial incentive based on the girl’s employment, knowing that it was illegal for her to work at the club, according to one of his arrest affidavits.

Back in August, San Antonio police said a woman was shot multiple times while attempting to break up a fight outside the East Commerce Street club.

It is unclear whether the shooting was a direct cause of its closure, but the club has since been shut down.

Since February, SAPD data shows there have been 30 reported calls for service at the club’s address. The calls include three shootings in progress, three shots fired or heard, two assaults, six disturbances and one fight, among others.

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