A takeaway pizza boss under investigation for a suspected massive Eat Out to Help Out scam has suddenly added extra seating in his stores.
Millionaire Raheel Choudhary, who owns 61 UK Papa John’s franchises, made the changes after the Mail exposed how he claimed taxpayers’ cash on thousands of eat-in meals despite most of his stores being collection and delivery only.
He has also switched Google review searches to say ‘dining in’ is available in most of his stores. Previously, this was listed as forbidden in all but one of his franchises.
Last night Papa John’s head office, which had told him not to take part in Eat Out to Help Out and has launched an investigation into the Mail’s findings, said any attempt to ‘distort or obstruct the truth’ would be unacceptable.
Under the government’s Eat Out to Help Out scheme, which ran Mondays to Wednesdays from August 3rd – 31st, diners got up to half their meal free up to £10 per customer if they ate at participating restaurants. Takeaways and deliveries were excluded.
Takeaway pizza boss Raheel Choudhary (above with his Lamborghini), under investigation for a suspected Eat Out to Help Out scam, has suddenly added extra seating in his stores. The millionaire, who owns 61 UK Papa John’s franchises, made the changes after the Mail exposed how he claimed taxpayers’ cash on thousands of eat-in meals despite most of his stores being collection and delivery only
Before: This was how Mr Choudhary’s branch in Norbury, South London, used to look – a single chair and a small table
After: In Norbury now, there are five extra chairs. Mr Choudhary has also switched Google review searches to say ‘dining in’ is available in most of his stores. Previously, this was listed as forbidden in all but one of his franchises
This is how the Walton-on-Thames branch, in Surrey, looked before the chairs were added. Last night Papa John’s head office, which had told Mr Choudhary not to take part in Eat Out to Help Out and has launched an investigation into the Mail’s findings, said any attempt to ‘distort or obstruct the truth’ would be unacceptable
Now: In Walton-On-Thames in Surrey, where there was just a narrow bench against a wall for customers to wait for collections, there are four additional chairs facing each other
Mr Choudhary has confirmed he claimed £185,000 in the offer, but says all were from customers who ate in at 40 of his stores that took part in it.
This is despite Papa John’s head office telling all its franchisees not to sign up for the offer because most stores were collection and delivery only, so ineligible.
To stop the spread of coronavirus, the company had also instructed Mr Choudhary to only allow one customer at a time to enter his stores and to make them wait outside for collections.
Mr Choudhary told the Mail he is ‘cooperating fully’ with the Papa John’s investigation, but has abruptly made a number of changes since being told of the allegations by the Mail on October 5th.
In his branch in Norbury, South London, where there was previously a single chair and small table, there are now five extra chairs.
And in Walton-On-Thames in Surrey, where there was just a narrow bench against a wall for customers to wait for collections, there are four additional chairs facing each other.
Sales records seen by the Mail show hundreds of Eat Out to Help Out deals were recorded in both stores, despite staff in both stores previously telling the Mail that dining in was banned in them.
In his Chingford franchise, staff said all the seating had been removed during Eat Out to Help Out because of coronavirus, but it has been restored since the scandal broke.
Staff said many other of his stores have also ordered and added extra seating after Papa John’s head office began its investigation.
Until October 5th, all but one of his franchises were listed on Google as being take away and delivery only, but Mr Choudhary switched most of these between October 6th and 7th to say that dining in was also available.
Mr Choudhary runs his franchises through a series of companies, which he has registered on Companies House as ‘take-away food shops and mobile food stands’. Many of the Papa John’s restaurants, including this one in Southborough, Tunbridge Wells, did not even have space for customers to eat in – meaning they were not eligible for the Eat Out to Help Out scheme
Mr Choudhary runs his franchises through a series of companies, which he has registered on Companies House as ‘take-away food shops and mobile food stands’.
Whistleblowers have told the Mail that thousands of the claims were from fake orders recorded as voucher payments, something Mr Choudhary denies.
Videos and recordings made by a whistleblower at the time also include staff discussing how they were required to put at least £1,000 a day in some stores.
One man, said to be a branch manager, was recorded saying: ‘Everyone’s doing it. Head office is doing it from my computer, I’m doing it.’
During the Eat Out to Help Out scheme, Papa John’s head office circulated posters for franchisees to put up in all their stores advertising a staff whistleblowing hotline.
But staff said in many of Mr Choudhary’s franchises, the poster advertising the line was not put up and they did not know it existed.
Papa John’s head office is also investigating separate allegations by other franchisees that that Mr Choudhary used ‘intimidation and threats’ to try to force them to sell him their franchises at a reduced price.
This included taking their staff and encroaching into their trading areas, it is claimed. Mr Choudhary denies the allegations.
A spokesman for Mr Choudhary said: ‘Like many other similar food businesses, we have seen unprecedented demand for our pizza and as such we have placed additional seating in many of our stores.
‘We do offer “dine in” facilities and we have merely updated our online listings to ensure that this is better communicated to those people that would prefer to dine in the restaurants.
‘Referring to the whistleblower hotline posters, he said: ‘As far as we are aware, the posters were displayed in the stores and at no time were staff discouraged from displaying them.
A spokesman for Papa John’s said: ‘We are conducting a thorough investigation into all allegations made, including these. It would not be appropriate to comment further at this time, but clearly, any attempt to distort or obstruct the truth would be unacceptable.’