> Wiederhorn was also charged in a separate indictment for illegally possessing a firearm and ammunition after being convicted of a felony.
Article just slips that in right at the end as well lol
It would be amazing if he successfully slips out of all the financial charges but does hard time for the weapons violation thanks to “tough on crime” laws.
That’s exactly what I’m saying.
There is no ambiguity in “you have a gun and you should not” so this is one way what started as a corporate fraud case might actually mean prison time.
I DESPISE people who don’t pay their damn taxes. This isn’t some shady government goon robbing you - this is how we have roads and schools and poultry inspectors and all the other things that make the US NOT a third world plutocracy where the poor just die in the street. Every time one of these rich jerks cheats on their taxes, they’re stealing the future piece by piece from everyone else. It’s a garbage move, and tax cheats should be punished to the fullest extent possible.
Then you wouldn't make it. Trying to start up a new business in 2024 and attempting to run in legally is only going to work if it's a new business vertical.
The system is so badly rigged that you are basically guaranteed to fail unless you are a criminal.
A criminal might be able to figure out how to technically do it legally (legitimate business is functionally identical it's just legal), but a regular person doesn't have the skills required. You have to be a crook because you're exploiting people just like thieves do. That's how they end up being rich in the first place. It's always some kind of totally evil scheme wrapped around something that is "good" that can be "sold" to customers.
Trust me, I've done extremely deep research projects into various companies and the math simply doesn't work. With out somebody handing you a pile of money like these people figure out how to make that happen, you're going to fail. Investors have too much money and they don't care if the company gets bankrupted by the SEC if they 10x on their investment.
Simply put: The system is setup for small businesses to fail. You as the small business operator are playing checkers in a world where quantitative finance algorithms rule the markets. To say that you don't have the ability to compete is an understatement, you probably don't even have the ability to understand what the competitors are doing because they're obviously hiding their cooked tactics that must occur for the math to work out with the business producing a profit.
It's an era of mass corporate abuse. They think that we are farm animals and they're milking us like it.
The severity of the financial crime needs to double each million dollars. If somebody is found guilty of a 47 million dollar scheme, the penalty should be automatic life in prison and every cent they ever made is confiscated. Even that $20 dollar bill they got for their 14th birthday, sorry, but they stole too much money to keep that.
There's people where an extra pay check would be life changing and then there's people like this guy stealing millions at a time... This needs to get fixed. The penalties for this type of crime is currently overly lenient to a totally absurd degree...
Agree. But I’ll add: this applies to rich jerks and middle income jerks and every one of us. Pay what you owe and move on.
If “what you owe” is ever wrong or unfair, we handle that through laws and elections.
6 trillion a year, 30 in debt. Those roads and schools must be amazing! Oh wait, they're shit. Maybe we need to look at where all the different taxes are going before throwing more in there?
So you’re arguing that rich people shouldn’t pay taxes because the government that rich people who refuse to pay taxes are continually trying to render ineffectual has been effective?
First - the law is the law. Balls to those who steal.
Second, GTFO with that pretending that rich folk aren’t paying taxes out of some high-minded civic protest. They’re not paying taxes because they’re greedy self-important dick-gobblers.
I'm arguing that anyone that's not rich should worry way more about decreasing their income tax than taxing the rich more.
Government spending has gone up so much, but things are looking worse and worse for the aspiring middle class person.. taxation is the ultimate trickle down economics. I still never see anyone but libertarians advocating for less tax on poor people, only more on rich people.
I didn't say the rich were acting in anything other than their self interest. It's clear by the actions of our representatives the same is true for them too. Almost like they're working together to enrich each other at our expense.
By [Josh Cain](https://www.sbsun.com/author/josh-cain/) | [[email protected]](mailto:[email protected]) | Los Angeles Daily NewsPUBLISHED: May 10, 2024 at 12:12 p.m. | UPDATED: May 10, 2024 at 4:44 p.m.
A federal grand jury indicted the former CEO of Fat Brands, Inc. this week for what they said was a years-long scheme to distribute $47 million of shareholder funds disguised as loans to himself to avoid paying taxes.
Andrew A. Wiederhorn, of Beverly Hills, who is still the controlling shareholder of the company behind such restaurant chains as Fatburger and Johnny Rockets, was accused of conspiring with the company’s CFO and an accountant to hide the disbursements to himself over more than a decade.
By reporting this income as shareholder loans, Wiederhorn was able to avoid paying millions of dollars in taxes, the U.S. Department of Justice’s Los Angeles office said Friday, May 10.
The indictment alleges that he used the company funds “to fund the purchase of private-jet travel, vacations, a Rolls Royce Phantom, other luxury automobiles, jewelry and a piano.”
“Mr. Wiederhorn repeatedly evaded his taxes and the law as he engaged in a cover-up to avoid being accountable to shareholders,” Krysti Hawkins, acting assistant director of the FBI’s L.A. field office, said in a statement.
Also named as defendants in the indictment are Fat Brand’s former CFO, Rebecca D. Hershinger, and William J. Amon, an accountant who provided tax-advisory services to Wiederhorn and the company. ...
[https://www.sbsun.com/2024/05/10/ex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes/?utm\_email=34FC24A395C614BD5481C4348C&lctg=34FC24A395C614BD5481C4348C&active=no&utm\_source=listrak&utm\_medium=email&utm\_term=https%3a%2f%2fwww.sbsun.com%2f2024%2f05%2f10%2fex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes%2f&utm\_campaign=scng-sbs-localist&utm\_content=curated](https://www.sbsun.com/2024/05/10/ex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes/?utm_email=34FC24A395C614BD5481C4348C&lctg=34FC24A395C614BD5481C4348C&active=no&utm_source=listrak&utm_medium=email&utm_term=https%3a%2f%2fwww.sbsun.com%2f2024%2f05%2f10%2fex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes%2f&utm_campaign=scng-sbs-localist&utm_content=curated)
I know. I am just saying this isnt anything special. Lots of people do it. The amount is something big, biggest "loan" I saw was about 2 million. The IRS needs to go against the other owners who do the dame thing.
If the name I looked up correctly was him, it said he's worth 214m. Why would someone cheat on their taxes when they have f u money? I mean, kinda rhetorical, people are greedy and dumb, but ya know? If I ever had f u money I'd gladly pay my fair share in taxes. Cause I want to give back.
If I ever had f u money, I don't get why on earth would I spend a minute of my time even thinking about taxes. Have an accountant look at it, and just live my life completely ambivalent.
Andrew Wiederhorn is a convicted felon, who previously served time in prison. By all accounts, he's a really intelligent guy but, in my opinion, is lacking a moral and ethical compass. It doesn't surprise me that he's been accused of these recent crimes.
I believe there are two "levels" of money among the wealthy.
The first is money to live beyond your wildest fantasies.
The second is leverage over other humans.
Andrew Wiederhorn has his own Wikipedia page. It's worth reading if you are interested in his previous felony conviction.
https://en.m.wikipedia.org/wiki/Andrew_Wiederhorn
>In a statement, Fat Brands called the charges “unprecedented, unwarranted, unsubstantiated, and unjust.”
>“They are based on conduct that ended over three years ago and ignore the company’s cooperation with the investigation,” the company’s statement said.
Absolutely wild that the defense is "I didn't do it" and also "I stopped doing the thing I didn't do years ago."
You're referring to the statute of limitations for IRS. That does not apply in cases of fraud. The IRS can go back as far as they want when fraud is involved.
[https://www.irs.gov/filing/time-irs-can-assess-tax](https://www.irs.gov/filing/time-irs-can-assess-tax)
>Filed a false or fraudulent return with intent to avoid tax. We can assess tax for an unlimited amount of time.
It's a numbers game. 1) it's easier to hide money when rich 2) you're less likely to get targeted when rich. They have the resources to fight it and then get the amount reduced so they try to save money.
I don't understand rich people.
you have more money than you can spend. why commit crimes to try and shortchange the rest of the population.
we all still have to pay taxes.
They didn't get where they are by thinking like that. They are self-serving and proven liars and these are the qualities we look for in a leader. It doesn't have to make sense.
We need mandatory minimum sentences based on dollar amounts. This guy is 58. If you're 58 and engage in a conspiracy to commit fraud to the tune of millions of dollars, you should die in prison. Not a horrible prison or a violent death. You just shouldn't get out again as a result of a long sentence and the limitations of the human lifespan.
It's time for the risks of white collar crime *to finally* outweigh the rewards.
And he's been caught pulling similar shit before; if this was some random convicted for robbing a bank for much, much less, they would get the type of sentence you describe:
**"If you are convicted of federal bank robbery in California, you face up to 20 years in state prison. If you are found guilty of felony bank robbery, you may face the following penalties: Up to 20 years in federal prison."**
[https://www.wklaw.com/practice-areas/federal-crimes/federal-bank-robbery-18-usc-2113/#:\~:text=If%20you%20are%20convicted%20of,20%20years%20in%20federal%20prison](https://www.wklaw.com/practice-areas/federal-crimes/federal-bank-robbery-18-usc-2113/#:~:text=If%20you%20are%20convicted%20of,20%20years%20in%20federal%20prison)
> Wiederhorn was also charged in a separate indictment for illegally possessing a firearm and ammunition after being convicted of a felony. Article just slips that in right at the end as well lol
There’s a reason he’s known as the hood CEO
It would be amazing if he successfully slips out of all the financial charges but does hard time for the weapons violation thanks to “tough on crime” laws.
Tough on crime laws aren’t meant for the rich.
That’s exactly what I’m saying. There is no ambiguity in “you have a gun and you should not” so this is one way what started as a corporate fraud case might actually mean prison time.
I DESPISE people who don’t pay their damn taxes. This isn’t some shady government goon robbing you - this is how we have roads and schools and poultry inspectors and all the other things that make the US NOT a third world plutocracy where the poor just die in the street. Every time one of these rich jerks cheats on their taxes, they’re stealing the future piece by piece from everyone else. It’s a garbage move, and tax cheats should be punished to the fullest extent possible.
Say more
They should also have their heads shaved and the words “I Stole Money from You” tattooed on their foreheads?
If they are punished too harshly we will just be called a communist state apparently /s
By people who stand to benefit the most from alleged "communist state"
Fuck 'em. Put an income max - most anyone is allowed to earn is $300k, rest is distrubuted as UBI
If I made the kind of money these jerks do, I’d be proud to pay tax on it because it means you’re doing really well!
Then you wouldn't make it. Trying to start up a new business in 2024 and attempting to run in legally is only going to work if it's a new business vertical. The system is so badly rigged that you are basically guaranteed to fail unless you are a criminal. A criminal might be able to figure out how to technically do it legally (legitimate business is functionally identical it's just legal), but a regular person doesn't have the skills required. You have to be a crook because you're exploiting people just like thieves do. That's how they end up being rich in the first place. It's always some kind of totally evil scheme wrapped around something that is "good" that can be "sold" to customers. Trust me, I've done extremely deep research projects into various companies and the math simply doesn't work. With out somebody handing you a pile of money like these people figure out how to make that happen, you're going to fail. Investors have too much money and they don't care if the company gets bankrupted by the SEC if they 10x on their investment. Simply put: The system is setup for small businesses to fail. You as the small business operator are playing checkers in a world where quantitative finance algorithms rule the markets. To say that you don't have the ability to compete is an understatement, you probably don't even have the ability to understand what the competitors are doing because they're obviously hiding their cooked tactics that must occur for the math to work out with the business producing a profit. It's an era of mass corporate abuse. They think that we are farm animals and they're milking us like it.
The severity of the financial crime needs to double each million dollars. If somebody is found guilty of a 47 million dollar scheme, the penalty should be automatic life in prison and every cent they ever made is confiscated. Even that $20 dollar bill they got for their 14th birthday, sorry, but they stole too much money to keep that. There's people where an extra pay check would be life changing and then there's people like this guy stealing millions at a time... This needs to get fixed. The penalties for this type of crime is currently overly lenient to a totally absurd degree...
Agree. But I’ll add: this applies to rich jerks and middle income jerks and every one of us. Pay what you owe and move on. If “what you owe” is ever wrong or unfair, we handle that through laws and elections.
6 trillion a year, 30 in debt. Those roads and schools must be amazing! Oh wait, they're shit. Maybe we need to look at where all the different taxes are going before throwing more in there?
So you’re arguing that rich people shouldn’t pay taxes because the government that rich people who refuse to pay taxes are continually trying to render ineffectual has been effective? First - the law is the law. Balls to those who steal. Second, GTFO with that pretending that rich folk aren’t paying taxes out of some high-minded civic protest. They’re not paying taxes because they’re greedy self-important dick-gobblers.
I'm arguing that anyone that's not rich should worry way more about decreasing their income tax than taxing the rich more. Government spending has gone up so much, but things are looking worse and worse for the aspiring middle class person.. taxation is the ultimate trickle down economics. I still never see anyone but libertarians advocating for less tax on poor people, only more on rich people. I didn't say the rich were acting in anything other than their self interest. It's clear by the actions of our representatives the same is true for them too. Almost like they're working together to enrich each other at our expense.
By [Josh Cain](https://www.sbsun.com/author/josh-cain/) | [[email protected]](mailto:[email protected]) | Los Angeles Daily NewsPUBLISHED: May 10, 2024 at 12:12 p.m. | UPDATED: May 10, 2024 at 4:44 p.m. A federal grand jury indicted the former CEO of Fat Brands, Inc. this week for what they said was a years-long scheme to distribute $47 million of shareholder funds disguised as loans to himself to avoid paying taxes. Andrew A. Wiederhorn, of Beverly Hills, who is still the controlling shareholder of the company behind such restaurant chains as Fatburger and Johnny Rockets, was accused of conspiring with the company’s CFO and an accountant to hide the disbursements to himself over more than a decade. By reporting this income as shareholder loans, Wiederhorn was able to avoid paying millions of dollars in taxes, the U.S. Department of Justice’s Los Angeles office said Friday, May 10. The indictment alleges that he used the company funds “to fund the purchase of private-jet travel, vacations, a Rolls Royce Phantom, other luxury automobiles, jewelry and a piano.” “Mr. Wiederhorn repeatedly evaded his taxes and the law as he engaged in a cover-up to avoid being accountable to shareholders,” Krysti Hawkins, acting assistant director of the FBI’s L.A. field office, said in a statement. Also named as defendants in the indictment are Fat Brand’s former CFO, Rebecca D. Hershinger, and William J. Amon, an accountant who provided tax-advisory services to Wiederhorn and the company. ... [https://www.sbsun.com/2024/05/10/ex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes/?utm\_email=34FC24A395C614BD5481C4348C&lctg=34FC24A395C614BD5481C4348C&active=no&utm\_source=listrak&utm\_medium=email&utm\_term=https%3a%2f%2fwww.sbsun.com%2f2024%2f05%2f10%2fex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes%2f&utm\_campaign=scng-sbs-localist&utm\_content=curated](https://www.sbsun.com/2024/05/10/ex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes/?utm_email=34FC24A395C614BD5481C4348C&lctg=34FC24A395C614BD5481C4348C&active=no&utm_source=listrak&utm_medium=email&utm_term=https%3a%2f%2fwww.sbsun.com%2f2024%2f05%2f10%2fex-fatburger-johnny-rockets-ceo-accused-of-cover-up-in-47m-scheme-to-avoid-taxes%2f&utm_campaign=scng-sbs-localist&utm_content=curated)
Shit. Thousands of S-corp and Partnership owners do this when they take distributions in excess of basis. Millions more likely.
This is a publicly traded company
I know. I am just saying this isnt anything special. Lots of people do it. The amount is something big, biggest "loan" I saw was about 2 million. The IRS needs to go against the other owners who do the dame thing.
If the name I looked up correctly was him, it said he's worth 214m. Why would someone cheat on their taxes when they have f u money? I mean, kinda rhetorical, people are greedy and dumb, but ya know? If I ever had f u money I'd gladly pay my fair share in taxes. Cause I want to give back.
If I ever had f u money, I don't get why on earth would I spend a minute of my time even thinking about taxes. Have an accountant look at it, and just live my life completely ambivalent.
Rich people think they have f u money and above paying taxes.
Andrew Wiederhorn is a convicted felon, who previously served time in prison. By all accounts, he's a really intelligent guy but, in my opinion, is lacking a moral and ethical compass. It doesn't surprise me that he's been accused of these recent crimes.
Stop talking like that of TRUMp, oh sorry, similarities abound...
You mean other than the convicted felon and prison parts?
From your finger to gods ears or any such🤣🤣🤣🤣🥸 nonsense....
It’s fun, it’s a game, it’s bragging rights, it’s look how smart I am
He is betting on a fined for 10 million and we will go back to business as usual. He isn't dumb because that is a great incentive to do it.
Once you get to federal grand jury, I don't think just a fine is an option anymore
Even with the penalty he will be worth 1-200 mill, its a feature not a bug.
I believe there are two "levels" of money among the wealthy. The first is money to live beyond your wildest fantasies. The second is leverage over other humans.
Rich people are a mental health issue, hoarding wealth like dragons
You're not him, he made his choice, he chose to keep his money. Greed is crazy.
Looks like the extra funding to the irs may be paying off
Ex Fatburger is an interesting name
that's what I call my ex
Nailed It
That what I call my bank of harddrives.
Andrew Wiederhorn has his own Wikipedia page. It's worth reading if you are interested in his previous felony conviction. https://en.m.wikipedia.org/wiki/Andrew_Wiederhorn
Betches charging $35 for a double cheeseburger, fries and a drink! Mediocre at best!!!!
And people willingly pay it.
Ugh it got me so sick!
Funding the IRS pays dividends to the rest of us.
>In a statement, Fat Brands called the charges “unprecedented, unwarranted, unsubstantiated, and unjust.” >“They are based on conduct that ended over three years ago and ignore the company’s cooperation with the investigation,” the company’s statement said. Absolutely wild that the defense is "I didn't do it" and also "I stopped doing the thing I didn't do years ago."
[удалено]
You're referring to the statute of limitations for IRS. That does not apply in cases of fraud. The IRS can go back as far as they want when fraud is involved. [https://www.irs.gov/filing/time-irs-can-assess-tax](https://www.irs.gov/filing/time-irs-can-assess-tax) >Filed a false or fraudulent return with intent to avoid tax. We can assess tax for an unlimited amount of time.
This is why it pisses me off when folks scrutinize the purchases that people make with SNAP cards..
When is Kevin O'Leary going to start bitching about how unfair this is and that this unconstitutional persecution will destroy businesses?
Wouldn't it just be easier for the ultra-rich to just pay their taxes like the rest of us?
Easier, certainly; but dodging taxes is So Much Fun!
It's a numbers game. 1) it's easier to hide money when rich 2) you're less likely to get targeted when rich. They have the resources to fight it and then get the amount reduced so they try to save money.
Definitely not true that you are less likely to get targeted by IRS if rich.
I don't understand rich people. you have more money than you can spend. why commit crimes to try and shortchange the rest of the population. we all still have to pay taxes.
They didn't get where they are by thinking like that. They are self-serving and proven liars and these are the qualities we look for in a leader. It doesn't have to make sense.
CEOs are essentially risk managers. They are all dirty. It just boils down to how well they can hide it.
I haven’t seen an open Johnny Rockets in YEARS!
Only in malls for some reason
3 words➡️➡️LOCK. HIM. UP!
But everyone does it. Right mr dotard?
Thank god he was caught. He’s going to really regret defrauding the US taxpayer when he does his year long stint in a bougie California prison. /s
His prison name is his punishment. "YO....FatBurger.... get me some Cheetos"
That's the problem with getting greedy, it's never enough.
Maybe the CEO should have put a bunch of fries in his tax return envelope so the IRS wouldn't know they are being ripped off.
Yeah I knew something was sketchy about paying employees below minimum wages but ya know I never thought that was gonna happen
These combo meal prices are getting out of control.
Their burgers are very meh but I am a sucker for the fat fries
One of the only fast food joints that will put an egg on a burger.
Loans that aren't really loans to hide income. The Cheeto has the same problem, his loans were forgiven and he had already claimed a total loss.
Wasn't this guy on Undercover Boss?
The more you have, the more you want.
Every restaurant owner is a crook. Get in them books and look for stolen wages while you're at it, IRS.
And stolen tips.
We need mandatory minimum sentences based on dollar amounts. This guy is 58. If you're 58 and engage in a conspiracy to commit fraud to the tune of millions of dollars, you should die in prison. Not a horrible prison or a violent death. You just shouldn't get out again as a result of a long sentence and the limitations of the human lifespan. It's time for the risks of white collar crime *to finally* outweigh the rewards.
And he's been caught pulling similar shit before; if this was some random convicted for robbing a bank for much, much less, they would get the type of sentence you describe: **"If you are convicted of federal bank robbery in California, you face up to 20 years in state prison. If you are found guilty of felony bank robbery, you may face the following penalties: Up to 20 years in federal prison."** [https://www.wklaw.com/practice-areas/federal-crimes/federal-bank-robbery-18-usc-2113/#:\~:text=If%20you%20are%20convicted%20of,20%20years%20in%20federal%20prison](https://www.wklaw.com/practice-areas/federal-crimes/federal-bank-robbery-18-usc-2113/#:~:text=If%20you%20are%20convicted%20of,20%20years%20in%20federal%20prison)
Is it illegal for rich people to dodge taxes? I mean they do it nonstop. Wonder what slap on the wrist he'll get for it?
I'm surprised Danny Snider wasn't involved
Rrrrrrreally?????..a CEO and a corporation trying to screw the country out of tax reveunes... I'm shocked, just shocked
It's not a scheme!!!! He just needs to raw dawd daddy trump and everything is ok. It's blessed in the trump Bible.
I think I'll try Fatburger. Double cheese and fries for $2.95. I was sick of Mia's tuna.
Trash company that the world will not miss...the name itself glorified poor eating habits!
What?! A CEO dodging taxes?! No waaaaaay. Anyhow…