An ex-restaurateur from Denver was recently arrested and charged with fraud for allegedly obtaining over $1 million in pandemic relief loans through deceptive means for personal gain. Jared Leonard, the former owner of AJ’s Pit Bar-B-Q, appeared in the U.S. District Court of Colorado in Denver last week and is now being transferred to Chicago, where the charges were initially filed.
Leonard’s restaurant group in Colorado ceased operations in February after employees accused him of financial misconduct. He had closed down two other establishments, Grabowski’s Pizzeria and Campfire, prior to this. The chef claimed to have relocated to Mexico to manage his remaining restaurants in Punta Mita.
According to court documents, Leonard applied for loans under the Coronavirus Aid, Relief, and Economic Security Act, misrepresenting information about his businesses in Denver and Chicago. He used the funds for personal expenses, including purchasing a $1.2 million house in Colorado.
If convicted, Leonard faces charges of bank and wire fraud and may be required to repay $1.9 million to the government. The Colorado Department of Revenue auctioned off AJ’s Pit Bar-B-Q, now under new ownership as Riot BBQ Co., after Leonard’s departure. The pitmaster, Patrick Klaiber, and chef Manny Barella are now leading the new venture.
Klaiber expressed satisfaction about Leonard facing consequences for his actions. Hamburger Stan in Chicago and the SS Collective group are also implicated in the case. For more Denver food and drink news, subscribe to our newsletter, Stuffed.
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