{"id":2450381,"date":"2019-10-26T00:00:00","date_gmt":"2019-10-26T06:00:00","guid":{"rendered":"https:\/\/www.aspentimes.com\/?p=315065"},"modified":"2019-10-26T00:00:00","modified_gmt":"2019-10-26T06:00:00","slug":"defense-targets-waffle-house-ceos-motivations-in-embezzlement-case","status":"publish","type":"post","link":"https:\/\/alwaysmountaintime.com\/kspn\/local-news\/defense-targets-waffle-house-ceos-motivations-in-embezzlement-case\/","title":{"rendered":"Defense targets Waffle House CEO\u2019s motivations in embezzlement case"},"content":{"rendered":"<div><img decoding=\"async\" src=\"https:\/\/www.aspentimes.com\/wp-content\/uploads\/sites\/5\/2019\/02\/facebook-thumbnail-1200.jpg\" class=\"ff-og-image-inserted\"><\/div>\n<p class=\"STND-STND BodyText\">Waffle House chairman Joe Rogers testified against his former ranch managers Zane and Charla Farris this week, explaining how he discovered an alleged scheme that allowed them to purchase more than $1 million worth of property using ill-gotten funds.<\/p>\n<p class=\"STND-STND BodyText\">But on Friday, Defense attorney Andrew Ho, representing Charla Farris, asked Rogers a number of questions regarding motivation and tactics related to selling the ranch \u2014 and why he secretly recorded the Farrises.<\/p>\n<p class=\"STND-STND BodyText\">Ho asked about an unrelated episode where Rogers was a plaintiff in a civil lawsuit and district attorneys brought charges against the same defendant in the matter.<\/p>\n<p class=\"STND-STND BodyText\">The case began in mid-2012, Rogers said under cross-examination, around the time he put the Bear Wallow Ranch up for sale. Ho asked if an unnamed person wrote to Rogers around July 2012 \u201cdemanding $13 million to resolve an issue.\u201d<\/p>\n<p class=\"STND-STND BodyText\">Rogers agreed that case began in 2012, but did not testify to a dollar amount.<\/p>\n<p class=\"STND-STND BodyText\">\u201cYou\u2019ve had some experience with people secretly recording you?\u201d Ho asked. Rogers agreed that he had.<\/p>\n<p class=\"STND-STND BodyText\">Ho noted several times that he was \u201cnot looking to get into the details.\u201d<\/p>\n<p class=\"STND-STND BodyText\">While not specifically named as the case in question, in 2012 attorneys for Rogers\u2019 former housekeeper Mye Brindle wrote to Rogers encouraging him to pay $12 million to avoid media exposure and potential criminal charges related to sexual harassment allegations, according to the Atlanta Journal-Constitution.<\/p>\n<p class=\"STND-STND BodyText\">Brindle had secretly recorded a sexual encounter with her then-boss.<\/p>\n<p class=\"STND-STND BodyText\">Rogers filed a civil suit against Brindle and her attorneys, and the three also were indicted by prosecutors in Georgia. The three were found not guilty of unlawful surveillance in an April 2018 trial, and the civil case was settled in August 2019.<\/p>\n<p class=\"STND-STND BodyText\">Ho asked Rogers during the Farris trial whether he had experience getting prosecutors to bring charges against people he sued civilly.<\/p>\n<p class=\"STND-STND BodyText\">District attorney Ben Sollars objected to that line of questioning, and Judge Denise Lynch told Ho to move on.<\/p>\n<p class=\"STND-STND BodyText\">\u201cThe tactics of what happened in that lawsuit is not relevant,\u201d Lynch said.<\/p>\n<p class=\"STND-STND BodyText\">Roger\u2019s testimony took nearly five days of the trial, with much of that time spent listening to nearly six hours of recordings Rogers made of conversations between him and the Farrises.<\/p>\n<p class=\"STND-STND BodyText\">Rogers confronted the Farrises in July 2016 about suspicious transactions, and recorded those discussions.<\/p>\n<p class=\"STND-STND BodyText\">Rogers legally made the recording without the Farris\u2019 knowledge under Colorado\u2019s one-party consent law.<\/p>\n<p class=\"STND-STND BodyText\">\u201cI object to the tape. It is not authentic, it is cherry-picked and it is incomplete,\u201d said Kathy Goudy, Zane Farris\u2019 attorney.<\/p>\n<p class=\"STND-STND BodyText\">At the beginning of the first tape, Rogers told the Farrises they had two options. If they could work out how much money the Farris\u2019 inappropriately received, he would seek repayment. But Rogers said if that failed, he would file a civil lawsuit and take the information to investigators, who might bring criminal charges.<\/p>\n<p class=\"STND-STND BodyText\">Rogers testified that criminal proceedings may not recoup all the money the Farrises allegedly stole from him, but a civil case, where the burden of proof is less, might yield the total he lost.<\/p>\n<p class=\"STND-STND BodyText\">\u201cI didn\u2019t get what I paid for. In fact, I got just the opposite. I got taken advantage of,\u201d Rogers told the Farrises in the first recording.<\/p>\n<p class=\"STND-STND BodyText\">In subsequent recordings, Rogers confronted the Farrises with a host of issues that his wife and bookkeeper, Fran Rogers, considered suspicious or fraudulent.<\/p>\n<p class=\"STND-STND BodyText\">The Farrises admitted on tape that they used some ranch funds for personal goods.<\/p>\n<p class=\"STND-STND BodyText\">When Rogers questioned how the Farrises bought property in 2012 and 2013, totaling by his count around $1.3 million, the pair maintained they paid for the property with their savings and a large gift from an uncle.<\/p>\n<p class=\"STND-STND BodyText\">\u201cYou came up with a lot of cash,\u201d Rogers remarked.<\/p>\n<p class=\"STND-STND BodyText\">Some of the fraud, Rogers said, was related to his paying expenses while the Farrises sold the goods.<\/p>\n<p class=\"STND-STND BodyText\">On hay, for example, Rogers testified that Bear Wallow paid for fertilizer, but Zane sold the hay.<\/p>\n<p class=\"STND-STND BodyText\"> \u201cI got the expense, they got the profit,\u201d Rogers said.<\/p>\n<p class=\"STND-STND BodyText\">During Ho\u2019s cross-examination, he questioned Rogers about using the Farrises as \u201cscapegoats\u201d to avoid IRS scrutiny for avoiding taxes.<\/p>\n<p class=\"STND-STND BodyText\">Bear Wallow was set up as an S-corp, also known as a pass-through business, meaning the ranch\u2019s profit and losses were reflected on Roger\u2019s tax returns.<\/p>\n<p class=\"STND-STND BodyText\">One year, Bear Wallow ranch bought Zane a truck as a bonus.<\/p>\n<p class=\"STND-STND BodyText\">\u201cThe agreement was that if he left the ranch, it would be his truck,\u201d Rogers said.<\/p>\n<p class=\"STND-STND BodyText\">Rogers denied that the truck bonus was done to avoid paying payroll taxes.<\/p>\n<p><a href=\"https:\/\/www.aspentimes.com\/news\/defense-targets-waffle-house-ceos-motivations-in-embezzlement-case\/\" target=\"_blank\" rel=\"noopener noreferrer\">via:: The Aspen Times<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Waffle House chairman Joe Rogers testified against his former ranch managers Zane and Charla Farris this week, explaining how he discovered an alleged scheme that allowed them to purchase more than $1 million worth of property using ill-gotten funds. But on Friday, Defense attorney Andrew Ho, representing Charla Farris, asked Rogers a number of questions [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[49],"tags":[],"class_list":["post-2450381","post","type-post","status-publish","format-standard","category-local-news"],"acf":[],"publishpress_future_action":{"enabled":false,"date":"2026-08-19 11:43:53","action":"change-status","newStatus":"draft","terms":[],"taxonomy":"category","extraData":[]},"publishpress_future_workflow_manual_trigger":{"enabledWorkflows":[]},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"KSPN The Valley&#039;s Quality Rock","distributor_original_site_url":"https:\/\/alwaysmountaintime.com\/kspn","push-errors":false,"_links":{"self":[{"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/posts\/2450381","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/comments?post=2450381"}],"version-history":[{"count":0,"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/posts\/2450381\/revisions"}],"wp:attachment":[{"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/media?parent=2450381"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/categories?post=2450381"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alwaysmountaintime.com\/kspn\/wp-json\/wp\/v2\/tags?post=2450381"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}