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SFPD raids 2 Tenderloin businesses operating as illegal gambling dens
San Francisco Police say they were tipped off by community members about two businesses in the Tenderloin that were fronts for illegal gambling operations.
SAN FRANCISCO - San Francisco City Attorney David Chiu announced Thursday his office has filed a lawsuit against a Tenderloin convenience store for allegedly dealing methamphetamine, marijuana and illegal tobacco products.
Police called a dozen times
What we know:
Chiu filed the lawsuit on Wednesday against the owner and operators of Corner Store located at 401 Eddy Street, at the intersection of Leavenworth Street, alleging the business "sold controlled substances and illegal tobacco products… violating various state and local laws as well as California’s Unfair Competition Law."
Chiu said the lawsuit was filed after authorities received several complaints from community members in the area alleging the location sold the illicit products, and after the San Francisco Police Department was called to the Corner Store a dozen times between March 2023 and November 2025 to respond to reports of theft, vandalism, physical altercations and arrests in and around the store.
What they're saying:
"Selling illegal narcotics in San Francisco is unacceptable," said SFPD Chief Derrick Lew. "The SFPD will continue to work with our partners including the City Attorney to hold offenders accountable and to keep our neighborhoods safe."
The Department of Public Health in April 2024 conducted an undercover operation and purchased an illegal flavored tobacco vape from the Corner Store, prompting the department to issue the store a Notice of Violation for the illegal transaction.
However, tips from the community concerning the Corner Store kept coming in, and in November 2025, the SFPD conducted a coordinated inspection with DPH and the California Department of Tax and Fee Administration at the location where authorities uncovered 48.1 grams of methamphetamine, nearly five pounds of cannabis, a ghost gun, illegal tobacco products, digital scales, small plastic baggies used to store narcotics, and glass pipes used to smoke methamphetamine and crack cocaine.
"The Corner Store didn’t just promote drug activity – it became the drug dealer," said City Attorney Chiu. "Families and minors rely on convenience stores, and we will not tolerate a store that sells drugs."
What's next:
The city’s lawsuit is asking the court to have the Corner Store closed for one year, as well as for unspecified "penalties and injunctive relief to cure the violations at the property."
Authorities cracking down
Dig deeper:
Chiu also noted that one of the owners of the Corner Store also owned and operated SF Discount Market, which was identified as an alleged illegal gambling den and raided by the SFPD in 2024.
In that search, police seized nine gambling slot machines, a high capacity magazine for a Glock handgun, 83 grams of cannabis, small plastic bags commonly used to sell cannabis, a digital scale and more than $10,000 in cash.
Officers also seized stolen property displayed for sale, including cartons of cigarettes from other states, 17 iPhones and merchandise with original price stickers from stores like Walgreens and Sephora.
Chiu’s office also filed a lawsuit against SF Discount Market, and the court ordered the store to close while the lawsuit is ongoing.
The Source: San Francisco City Attorney David Chiu's office