The restaurant company and Wiederhorn were indicted more than a year ago for an alleged "sham" loan scheme.
www.cnbc.com
“… In May 2024, the company and Wiederhorn were
indicted by a federal grand jury in Los Angeles on charges of wire fraud, tax evasion and other counts related to what prosecutors alleged was a "sham" loan scheme that netted Wiederhorn $47 million.
… Wiederhorn has maintained his innocence since he was indicted. He was previously convicted about two decades ago for filing a false tax return and paying an illegal gratuity to an associate, serving more than a year in federal prison.
… In March, the White House fired Adam Schleifer, the assistant U.S. attorney in Los Angeles who led the prosecution against Wiederhorn.
Schleifer later alleged that his dismissal was the result of a smear campaign against him led by Wiederhorn.
Despite the turnover, Justice Department officials in California
told The Oregonian in April that the prosecution against Fat Brands and Wiederhorn would continue.
Months earlier, the company donated $100,000 to
Trump's inauguration fund….”