By Brittny Mejia and Matt Hamilton | LA Times
A federal grand jury this week indicted Andrew Wiederhorn, the former chief executive of the company that owns the Fatburger and Johnny Rockets restaurant chains, on federal charges alleging a $47-million “sham loan” scheme.
Wiederhorn, the current controlling shareholder of the publicly traded Fat Brands Inc., is accused of concealing millions of dollars in reportable compensation and taxable income from the Internal Revenue Service and evading the payment of millions in taxes, according to the indictment returned Thursday.
Company money — categorized as “shareholder loans” — was disbursed to Wiederhorn and his family “for their personal benefit,” according to the indictment. Some of that money went toward private-jet travel, vacations, a nearly half-million-dollar Rolls Royce Phantom, other luxury automobiles, jewelry and a piano.
Read more at: LA Times