State investigators say they will not punish the owners of the Rainey Street bar Unbarlievable after social media comments widely condemned the bar as racist and lewd.
The story found the spotlight in June and even led to a protest outside of the popular nightclub. On Tuesday, officials at the Texas Alcoholic Beverage Commission said they have closed their investigation into the bar and will not sanction the owners.
The TABC did a two-and-a-half-month investigation during which they interviewed owners, employees and a citizen who filed a complaint with the agency.
The investigation found that the social media posts did not put any customer at physical risk so it did not violate any state regulations.
"We try to keep an eye out on the behavior of permittees to make sure they are not putting the public at risk, and that is what we did here," said TABC spokesman Chris Porter.
Earlier this year -- social media exploded with accusations about Unbarlievable including derogatory insults at customers and beers arranged in the shape of a swastika.
The owner later issued an apology and said what happened was a "wakeup call" for him and that he would work to regain the community's trust.
Unbarlievable remains open.