Swadley's BBQ Investigation: The Full Timeline
An ongoing investigation into Swadley's BBQ, restaurants created on behalf of the Oklahoma Tourism Department has resulted in charges being filed, and alleged conspiracy to defraud the state. Here is the full timeline of events.Thursday, October 3rd 2024, 2:11 pm
OKLAHOMA -
An ongoing investigation into Swadley's BBQ, restaurants created on behalf of the Oklahoma Tourism Department has resulted in charges being filed, and alleged conspiracy to defraud the state.
Here is the full timeline of events:
March 31, 2022
According to a newly released State Audit, the state said they had some concerns about how the Department of Tourism was spending money. On March 7, 2022, a report from the state auditor found there weren't enough checks and balances in place to make sure taxpayer money was being spent the way it should. "We determined that effective internal controls are not in place to ensure that all funds received at state parks with substantial physical receipts are deposited in line with GAO Standards for Internal Control."
April 15, 2022
The online publication, NonDoc, reported that the Oklahoma Tourism Department would be making changes to its million-dollar contract with the restaurant chain Swadley's BBQ.
April 25, 2022
The Oklahoma Tourism & Recreation Department canceled the lease concession agreement with Swadley’s Foggy Bottom Kitchen. The Department says they began an investigation after reports of financial irregularities were brought up in early 2021.
April 29, 2022
Oklahoma Gov. Kevin Stitt accepted the resignation of embattled Tourism Director Jerry Winchester and announced the state is filing suit against Swadley’s Foggy Bottom Kitchen after the state cut ties with the restaurant company.
May 6, 2022
A special investigative House committee issued its first subpoenas in its inquiry into the circumstances behind a lucrative restaurant deal between the Oklahoma Tourism and Recreation Department and Swadley’s Foggy Bottom Kitchen. The committee commanded Gino DeMarco, former tourism deputy director, and Steven Harpe, director of the Office of Management and Enterprise Services. The OTRD abruptly ordered Swadley’s to abandon its six restaurants at state park lodges amid criticism of the profitable contract awarded to the barbecue restaurant chain as well as allegations that Swadley’s overcharged the state millions of dollars for facility renovations.
May 13, 2022
The House investigation began looking into two parts of the business, with the first being how the tourism department contract incentivized Swadley's to lose money and also how the restaurant chain spent taxpayer dollars. The committee heard from Mike Jackson, the director of a legislative watchdog group known as LOFT. He said Swadley's inflated costs for travel and restaurant equipment and that the state paid it all without verifying. Dozens of invoices flagged showed Swadley's tacked on added fees as high as 30% or more, even though that was not covered in the contract. The contract was signed by a now former director of tourism. Lawmakers compared it to handing state money out for no reason.
June 22, 2022
Swadley's Foggy Bottom Kitchen, LLC, filed two legal documents in connection to the investigation into its business with the state of Oklahoma. One was a counterclaim to the state's lawsuit against it and the other a lawsuit against a former employee. The suit against former Swadley's executive Curt Breuklander was filed in Oklahoma County District Court.
According to court documents, Swadley's claims Breuklander was a disgruntled former employee who talked to media in April 2022, alleging that Swadley's overcharged the state of Oklahoma as part of its tourism deal involving the Foggy Bottom Kitchen restaurants at state parks. Swadley's alleges that Breuklander defamed its business and that even if the allegations were true, Breuklander was the executive involved with implementing any agreements with the state. The counterclaim suit against the state of Oklahoma alleges breach of contract, unjust enrichment, breach of the covenant of good faith and fair dealing, reformation, business disparagement and defamation. Swadley's seeks actual and consequential damages from the state related to Oklahoma's decision to end its contract with Swadley's in April.
July 27, 2022
The Oklahoma Tourism and Recreation Department filed more robust claims against Swadley’s Foggy Bottom Kitchen, which the state had contracted to renovate and manage state park restaurants. The OTRD, represented by the Oklahoma State Attorney General’s Office, filed an amended petition this month alleging Swadley’s “overcharged” the state “for a number of items” related to the renovation of state park lodges. “Swadley’s submitted invoices for reimbursement of equipment that it never delivered to any of the restaurants,” the lawsuit claimed. The state also alleged Swadley’s failed to produce tax and other financial documents when requested. Swadley’s narrative of events, detailed in a counterclaim, were starkly different from that of the state. The company denied ever overcharging the state and said Swadley’s officials returned more than $743,000 to the state after discovering it had over-invoiced the OTRD.
The state of Oklahoma accused Swadley's Foggy Bottom Kitchen of hiring someone with a criminal record, according to an amended lawsuit filed earlier this month. The employee later assaulted another employee at one of its state park restaurants. Lawyers for Swadley's are denying the allegations. The state also claims Swadley's didn't install a commercial fire alarm or sprinkler system and said the chain instead installed a non-working residential fire detector. Swadley's told an Oklahoma County court that was also untrue.
January 22, 2023
After conversations between Oklahoma Attorney General Drummond and Oklahoma County District Attorney Vicki Behenna, the Office of the Attorney General assumed responsibility for working with the OSBI in the Swadley's scandal. Vicki Behenna has since directed the OSBI to disclose the investigation to the Office of the Attorney General.
February 9, 2024
A multi-county Grand Jury indicted three men for conspiracy to defraud the state and other claims that stem from Swadley's Bar-B-Q contract with the Oklahoma Tourism and Recreation Department, according to a release from Attorney General Gentner Drummond. On Feb. 9, Ronald Brent Swadley, Curtis Ray Breuklander, and Timothy Raymond Hooper were charged with one felony count of conspiracy to defraud the state and five felony counts of presenting false or fraudulent claims against the state. Prosecutors said that Swadley’s Foggy Bottom Kitchen presented false invoices to the Tourism Department for payment of public funds, and they worked with a restaurant supplier to fabricate invoices with inflated amounts. The news release said that an additional 30% was allegedly added to a fabricated invoice for two used food smokers. According to the indictment, separate sets of invoices were maintained by Swadley’s Foggy Bottom Kitchen. One set contained original invoices received and paid by the company, and the other set contained fraudulent invoices billed to the Tourism Department.
February 14, 2024
Swadley's owners Brent Swadley and Timothy Hooper turned themselves in at the Oklahoma County Detention Center.
March 25, 2024
New filings in the state's lawsuit against Swadley's Foggy Bottom Kitchen say the restaurant group owes the Oklahoma Department of Tourism millions of dollars. According to the lawsuit, in February 2024, Swadley's said the state owed the restaurant nearly $2.6 million. On March 25, 2024, the state responded, saying Swadley's actually owes the Department of Tourism $4.7 million. This all stems from a failed contract with the Oklahoma Department of Tourism that cost more than $16 million in tax dollars. The state's response to Swadley's request for money includes mentions of criminal indictments. Prosecutors said that Swadley’s Foggy Bottom Kitchen presented false invoices to the Tourism Department for payment of public funds, and they worked with a restaurant supplier to fabricate invoices with inflated amounts.
October 3, 2024
Brent Swadley, Co-Founder of Swadley's BBQ, wrote a letter addressing Oklahomans amid an ongoing investigation into the restaurants he created on behalf of the Oklahoma Tourism Department.
Related Coverage:
https://www.news9.com/story/66016bd3eab37a12952bc8e1/lawsuit-says-swadleys-foggy-bottom-kitchen-owes-state-more-than-47-million
https://www.news9.com/story/65c52ad2ece73a065b9b852f/grand-jury-indicts-3-in-swadleys-contract-investigation
https://www.news9.com/story/65c70f428535d5065b4933db/civil-attorney-for-swadleys:-we-have-12-questions-we-want-the-state-to-answer
Oklahoma Tourism Claims Swadley’s Tried To 'Mislead' State, Foggy Bottom Kitchen Files Countersuit
House Committee Plans To Meet With Several Groups In Swadley's Investigation
‘No Rhyme Or Reason’: Swadley’s Documents Examined At Special Committee’s First Meeting
https://www.news9.com/story/6245c32a346f1a072e52182b/new-report-to-answer-questions-about-oklahoma-tourism-and-recreation-department-spending
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