Federal Court Orders Leo's Coney Island Franchises to Pay $515K in Back Wages for Overtime Violations
A federal court has mandated that the owner of four Leo's Coney Island franchises pay $515,000 in back wages and damages to 143 employees. The court order follows allegations that the owner, Kiriakos Vlahadamis, failed to pay the required time-and-a-half rate for overtime hours, as stipulated by the Fair Labor Standards Act (FLSA). Investigations revealed that the franchises maintained two sets of time cards, one for regular hours and another for overtime, which were reportedly destroyed. The judgment, entered in the U.S. District Court for the Eastern District of Michigan, also includes a $73,784 penalty and $10,000 in attorney fees to resolve a contempt petition related to a previous 2018 consent judgment.