Sibling owners of Lotawata Creek admit tax fraud

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Lotawata Creek (YourVision 360)

FAIRVIEW HEIGHTS, IL (KTVI) – The brothers behind popular Fairview Heights eatery Lotawata Creek Southern Grill pleaded guilty Thursday to federal tax obstruction, Acting U.S. Attorney for the Southern District of Illinois James Porter said.

According to court documents, Kenneth and Rodney Archer admitted that from 2010 to July 2015 they manipulated information from the restaurant to lower the reported cash sales and then removed that same amount of cash from circulation prior to making store deposits and gross receipt reports. This allowed the brothers to report lower income on the restaurant’s federal tax returns.

The Archer brothers serve as co-owners of the restaurant, with Kenneth the acting president and Rodney the acting vice president of the company.

Both Kenneth and Rodney face up to five years in federal prison, a $250,000 fine, up to three years of supervised release, and mandatory restitution. The restaurant itself faces a $500,000 fine, restitution, and five years of probation.

The Archers are scheduled to be sentenced on July 15.