Two Men Accused of Embezzling $1.4 Million from St. Louis County Restaurant
ST. LOUIS – Two high-level employees of a Grantwood Village restaurant in St. Louis County, Missouri, have been indicted on charges of embezzling more than $1.4 million from their employer over several years. Matthew Braasch and Mark Erney, both long-time employees of the establishment, allegedly misused company funds for personal expenses, leaving the restaurant struggling to cover basic operational costs, including food purchases and state taxes. The case, investigated by the FBI with assistance from the Missouri Department of Revenue, highlights a significant breach of trust and financial mismanagement that has had severe consequences for the business.
Key Details of the Case
- Indictment and Charges: On February 20, 2025, Braasch and Erney were indicted on two counts of wire fraud. Erney surrendered to authorities on February 22 and pleaded not guilty, while Braasch followed suit on February 25.
- Alleged Misuse of Funds: The indictment alleges that both men, who held senior positions at the restaurant, abused company credit cards for personal purchases. Braasch is accused of spending over on hotel stays for an acquaintance. Erney reportedly spent local bars and restaurants, and thousands more on furniture and men’s health products.
The Financial Fallout
The embezzlement allegedly left the restaurant in dire financial straits. According to the indictment, the business lacked sufficient funds to purchase food and pay state taxes, including liquor taxes. To cover the shortfall, Braasch and Erney reportedly took out loans, further exacerbating the financial strain. Braasch is also accused of impersonating a restaurant manager during interactions with state tax investigators to conceal the embezzlement from the actual management team.
Legal Proceedings and Next Steps
The charges outlined in the indictment are accusations, and both men are presumed innocent until proven guilty. The case is being prosecuted by Assistant U.S. Attorney Derek Wiseman, with the FBI and Missouri Department of Revenue leading the investigation. The indictment underscores the severe impact of the alleged embezzlement on the restaurant’s operations and raises questions about internal financial oversight.
This case serves as a stark reminder of the potential consequences of financial mismanagement and the importance of robust internal controls within organizations. As the legal process unfolds, the restaurant and its employees will likely continue to grapple with the fallout from this significant breach of trust.