His arguments, summarised on the Internal Affairs website, included that "the department gave undue weight to information provided by other government departments".
The club argued the refusal was "unreasonable and wrong".
Mr Keleher said after the commission's legal team looked at the appeal, the department withdrew its decision to decline the application but, by that time, it was too late for the raffle because Metal Mania had been held.
Mr Keleher said the Filthy Few always put a lot of work into the raffle, which was a fund-raiser for the club. .
Questioned whether there was bad blood between the police and the Filthy Few, Mr Keleher said "You will have to ask them that."
During the past 15 months, points of conflict with the policeincluded a public stand-off with rival Tauranga gang the Greasy Dogs, and running an unlicensed bar at its Birch Ave headquarters.
Members of the gang were among those arrested in a two-day drug bust last year that involved the Headhunters, Mongrel Mob, Black Power and Nomads.
Mr Keleher said the police put a dampener on Metal Mania held at TECT Arena on February 18-19 by stopping everyone between the roundabout and the entrance to Baypark.
The Filthy Few had made an application to the commission seeking costs against the department.
The department has so far failed to respond to Bay of Plenty Times Weekend requests for the documents relating to the decision to decline the application and the subsequent withdrawal of the decision.
Inspector Karl Wright-St Clair of the Tauranga Police said Internal Affairs was the lead agency and that was where the Bay of Plenty Times Weekend should seek comment.