False claims into the legitimacy of a new potential downtown nightclub have prompted two investigations into the source of those claims.

State College Police Sgt. Greg Brauser said an investigation determined Levels Nighclub is not a fraudulent business, despite claims on Facebook suggesting otherwise. He said Sunday that there is “no threat” of identity theft with the application process and that New Castle Entertainment — which the Facebook page seemed to portray as a nonexistent organization, despite significant evidence to the contrary — is in negotiations to sign a lease at the proposed 420 E. College Ave., location.

Brauser said police are currently investigating the source of the false rumors surrounding the nightclub.

Also investigating the source of the false rumors is Tim Crockett, who is working on the development of Levels for New Castle Entertainment. In response to what he deems to be libelous statements against Levels, he contacted attorney Joseph Moore to seek legal action against those perpetuating “false allegations.”

According to Crockett, Moore has spoken with Facebook in order to obtain information on who started the Levels Nightclub is Fraudulent page in order to seek a suit.

Late Sunday night, Levels repeated that statement in a comment on a post on Onward State’s Facebook wall. Numerous users had brought up the allegations that Levels Nightclub was a scam, which prompted the club’s page to comment:

We’ve spoken to the police twice tonight and filed a police report. Our attorney will file additional paperwork tomorrow to request the IP addresses and other contact information from Facebook for the parties who started the account and have since posted and spread the links. He will also push to make this a criminal matter since you guys incited panic by telling people to call the police.

Onward State published a Jan. 27th story detailing the arrival of the new nightlife spot to the downtown State College bar scene, which we had been told was scheduled to open up next month in the former location of The Mezzanine on 420 E. College Ave.  That story was taken down later that evening after we received numerous tips, first an email, then also receiving links to the aforementioned Facebook page, so that we could investigate the claims. It has since been republished.