Residents of the Waverly community have long viewed the Stadium Lounge as a problem bar. They complain of noisy patrons spilling out at closing time, vomiting on their steps and littering in their alleys. Since the bar began a seven-days-a-week package goods operation, they say loitering outside the lounge has been a problem starting a 6 a.m. and lasting into the night. Neighbors, some of whose homes are directly across the alley from the bar, tried to block the renewal of its license four years ago, and they finally managed to shut it down, at least temporarily, after police conducting a sting operation saw patrons getting payouts from five illegal slot machines inside. Police said they witnessed the bar's owner, Domingo Kim, attempt to hide cash from the gambling operation in his car.