This Exhibit referred to in the Affidavit of  Thanasis Raptis sworn / affirmed Before me this .....  day of .................. 2016

.................................................... Signature of J. P.

7 June 2016

CITV OF MELBDURnE GPO Box 1603 Melbourne VIC 3001

Mr Thanasis Raptis C/- Blu Nite CafE§ Rear 333 Collins St MELBOURNE VIC 3000

Phone

(03) 9658 9658

www.melbourne.vic.gov.au

DX210487 ABN 55370219287

Dear Mr Raptis 327-343 COLLINS STREET, MELBOURNE I write in response to your various complaints to the City of Melbourne that commenced in December 2015 regarding the tenancy you occupy called Blu Nite Cafe at the rear ground level of the above mentioned property. I have provided a heading in bold for each major component of your complaint (identified in italics) and my response.

Occupancy.Permit

The restaurants combined duot work is unsafe. It was never inspeoted and approved. Therefore the 2 restaurants do not have Oocupanoy Permits, either, as a oombination of restaurants or individual/y. If their establishment was never approved, maintenance determination oannot be established.

A search of City of Melbourne records revealed the following: On 11 November 1997 a Building Permit was issued by Donald Blair-Smith our reference BP98/2750 for alterations and additions to an existing building BCA Classification-6, Description-Restaurant. The relevant building surveyor Donald Blair-Smith nominated on the above mentioned building permit that a Certificate of Final Inspection is required prior to the occupation of this building. . On 29 January 1998 a Certificate of Final Inspection was issued by Donald Blair-Smith for the Permitted Use-Restaurant, BCA Classification-6. I advise that the Blu Nite Cafe is operating as a restaurant in accordance with the above mentioned Certificate of Final Inspection, and therefore no action will be taken regarding this matter.

Kitchen Mechanical Exhaust System Performance The current exhaust fan is extracting only 10% of Blu Nite's cooking effluent. It is unknown what percentage is extracted at Strozzi Ristorante Cafeteria.

The kitchen mechanical exhaust system was designed by Norman Disney Young Consulting Engineers project number 31203~17-T dated September 1997. The kitchen mechanical exhaust system formed part of the Building Permit issued by Donald Blair-Smith 11 November 1997 our reference BP98/2750. To determine if the kitchen mechanical exhaust system is not performing adequately, the City of Melbourne invited 3 independent mechanical engineering firms to quote to carry out an investigation and provide a report. The City of Melbourne hired the mechanical engineering specialist AG Coombs to investigate and report. The result of AG Coombs investigation is that the kitchen mechanical exhaust system is operating at 93% of the Australian Standard 1668.2-1991 requirement (Measured velocity across filters of kitchen canopy). I am of the opinion that the 7% performance shortfall does not represent a danger to the life safety or health of the occupants and on this basis will not be taking any action.

I further note that the AG Coombs investigation revealed that the kitchen mechanical exhaust system is extracting more air than the Norman Disney Young design specification forming part of the building permit documents. Kitchen Mechanical Exhaust System is shared between 2 Restaurants I expressed formally, safety concerns as to a shared duct system which was installed with the consent of building management I owners and not disclosed to me upon purchase of the business, I now find myself forced to be party to it.

There is no breach of the Building Regulations 2006 in relation to this matter and no action will be taken.

Cleaning of the Mechanical Exhaust System To my safety concerns expressing with respect to the fact that there are no access openings for serving !cleaning to the 50 meters long connecting duct part of blunitelStrozzi restaurante Cafeteria.

We are in receipt of documentary evidence that the common mechanical exhaust system was inspected on 3/12/2015 and 191412016 in accordance with AS1851-2012 by Kleenduct Australia Pty Ltd. The test readings in the report confirm that the

mechanical exhaust system passed inspection and no further action is required regarding this matter.

Performance of the mechanical ventilation system in the restaurant dining area in relation to the subdivision of ex-Java into the Blu Nite Cafe and Copy Centre. Customers constantly complain to me as to the air quality in the cafe, this is a HVAC issue, do I require them to issue Statutory Declarations in this regard?

of

We are in receipt of a report from Entire dated 25/2/2016. The report specifies that the Blu Nite Restaurant airflow flow rate is 2340 litre per sE1cond and the Copy Centre airflow rate is 2028 Htres per second. These airflow rates are sufficient evidence that there is nota risk to the health of the occupants. Our office has written to the. owner requesting they provide an investigative report, prepared by a registered building practitioner in the category of mechanical engineer to confirm if the mechanical ventilation system in the Blu Nite Cafe and the City Copy tenancy is compliant with AS 1668.2 and AS3666.1. This matter is on-going and I will advise you of the outcome.

Installation of a wall to divide the ex-Java tenancy into the Blu Nite Cafe and Copy Centre. By when do you expect to make the appointment such that I have SOP engage on my behalf, with the appointed Mechanical Engineer, to expedite the AS1668.2 breaches to resolve Will this also include; Associated permits related to the sub-division to City Copy / approvals

A search of our records has not revealed a building permit to carry out building work to to divide the ex-Java tenancy into the current Blu Nite tenancy and the Melbourne Copy Centre tenancy. A site inspection to determine if the building work created a danger to the life and safety of the occupants was carried out by a Building Surveyor. The inspection revealed a fire sprinkler coverage shortfall in a corridor leading to a common toilet. A Building Notice has been served on the owner, reqUiring them to 'show cause' why they should not install a compliant fire sprinkler system in the above mentioned corridor. This matter is on-going and I will advise you of the outcome.

If you have any further queries please contact me on the telephone number provided below.

Yours faithfully

Stephen

BraYbr:fv~

Deputy Municipal Building Surveyor

Phone:96588506 Email: [email protected] DM#9883518 CoM reference: BUI-2016-37