On February 22, 2022, FAT Brands, Inc., operator of Fatburger and Johnny Rockets restaurants disclosed in an SEC filing that the DOJ and SEC have both “opened investigations relating to the Company and our Chief Executive Officer, Andrew Wiederhorn, and are formally seeking documents and materials concerning, among other things, the Company’s December 2020 merger with Fog Cutter Capital Group Inc., transactions between these entities and Mr. Wiederhorn, and compensation, extensions of credit and other benefits or payments received by Mr. Wiederhorn or his family.”
On this news, shares of FAT Brands, Inc. fell 25% in intraday trading on February 22, 2022.
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